In order to ensure full compliance with the requirements of both international regulations and local rules, investors intending to enter new markets rationally seek the guidance and consultative services provided by competent experts, as expertise and consultancy services are critical to minimize costs of business transactions and to develop right setting in terms of operational dealings.

Germany is a great destination for international investors considering ever expanding economy of the country. Though foreign investors enjoy outstanding opportunities in Germany’s strong economy, they also face strict regulations setting various aspects of business.

The increasingly stricter structure governing international business brings additional risks and makes commercial transactions even more complicated. Besides, the trade laws, including  World Trade Organization (WTO) which is the only global international organization dealing with the rules and free trade agreements, across  the globe vary so much and change quite often, and the penalties are increasingly severe. So, investors need to conduct international transactions properly and achieve their commercial goals through managing complex business challenges. To this end, investors and business owners need expertise and guidance to make sure they remain compliant to existing rules and to avoid running the risk of facing strict penalties.

Additionally, if you intend to set up a business or invest in Germany, there are certain rules and regulations you must comply with, in particular on which legal form the business should be built in terms of existing financial and legal considerations.

Likewise, with the aim of simplifying the existing law and complying with the European Union regulations, the German government passed new versions of the German Federal Act on Foreign Trade (Außenwirtschaftsgesetz) and the German Foreign Trade Law became effective on 1 September 2013.

In order to ensure full compliance with the requirements of both international regulations and local rules, investors intending to enter new markets rationally seek the guidance and consultative services provided by competent experts, as expertise and consultancy services are critical to minimize costs of business transactions and to develop right setting in terms of operational dealings.

Violation of Business Contracts

Corporate Law is the basis of economic activity, including the formation of a company and operation of business, and it’s closely related to Contract Law. Contract Law seeks to regulate the formation and implementation of contracts. It sets out the essential elements of a valid contract and the remedies available to parties in the case of a breach of contract.

Although business environment is regulated by the relevant rules, disputes are inevitable and any business will face legal issues at some point. Among many other issues, such as unfair trade practices, leakage of trade secrets, litigation, and legal disputes with contractors; one of the most common issues is the violation of contracts. 

Even though business owners try to be careful while negotiating or drafting business contracts, they still might end up in courts. In particular, conducting business with foreign companies can be very tricky due to different regulations and practices. An important aspect of running a successful business and strengthening economic position is to anticipate and tackle common legal issues in a timely manner. Hence, applying proactive and preventive approach towards potential business challenges is critical to success. It also helps investors avoid or minimize the potential disputes in their future transactions.