Leverage transactions ; chance of multiple profit ? but also private bankruptcy risk! (at the same time with reference to the new BGH ruling on consultant liability, V ZR 402/99)

by Johannes Fiala, lawyer Leveraged transactions are in practice referred to by financial service providers as “savings annuity”, “savings annuity”, “lex annuity”, “interest rate differential transaction”, “loan-financed annuity”, “immediate annuity”, “leveraged annuity”, “guaranteed annuity”, “loan-financed life insurance”, “leveraged life insurance”, “fixed loan with redemption replacement”, “leveraged pool”, “loan-financed investment”, “fixed loan with repayment substitute”, “leveraged […]

Liability of tax consultants

Tax consultants are not infallible either The tax law in Germany is known to be one of the most complex and most comprehensive on this planet. In order not to get unloved mail from the tax office at some point, not only entrepreneurs and companies trust , but also increasingly private persons to the supportof […]

Neither liability umbrellas nor structured distributors protect intermediaries from personal liability

– When sellers, intermediaries and advisors are themselves in the fire in the case of insolvent investments –   A well-known structural distributor was ordered to pay damages by judgment of 31.07.2014 (LG Frankfurt/Main, Case No. 2-32 O 154/13) because an investment advisor insufficiently informed about risks of a real estate fund. Structural distributors and […]

Asset manager’s liability : right to compensation and damages

Asset manager liability: What you need to know Those who are wealthy or come to assets are not necessarily also experts in the field of money investmentor asset management. For this reason, in order to maintain the preservation of their own property and to increase the long term visibility of future, many investors use the […]

Attorney liability

Lawyers are not untouchable either When we turn to a lawyer with a matter of concern, the reasons for this are manifold, often unattractive and usually require specific expertise, which cannot be accessed by a layperson in the short term. One is “at the mercy” of the competence and the action of the lawyer and […]

Faulty software attestations, certificates and attestations: Theses on the liability of the management or managers, as well as software houses, auditors and other alleged experts

A reply to Stritters Forum tips of 13.10.2007   Some business managers can be blinded by attestations, certificates and certifications when purchasing software: Not only the content with many ifs and buts, but especially the liability situation shows that these are regularly samples without value.   Manager liability Even from a medium-sized GmbH, the management […]

Value added tax liability for insurance brokers, insurance agents and structured sales

In its ruling of 3 August 2017 (Ref. V R 19/16), the Federal Court of Finance (BFH) decided that the establishment of a structured sales organisation is not exempt from VAT. In principle, this not only applies to structured sales organisations and other distribution companies and pools, but also to insurance intermediaries (agents), insurance brokers […]

Lawyer warns against occupational pension liability cases due to mini interest

In a letter dated 28 September 2017, the Federal Ministry of Finance (BMF) dealt with the future treatment of incorrectly designed contracts for occupational pension schemes (bAV). According to this, special payments by the employer in the event of calculation errors by the occupational pension scheme provider are liable to pay wage tax for employees. […]

ECJ: Tax advice to residents by foreign consultants

In its ruling of 17.12.2015 (Case C-342/14), the European Court of Justice (ECJ) ruled that foreign tax consulting companies are authorised to provide tax advice in Germany. According to the Advocate General’s opinion to the ECJ, this requires “the recognition of the company and the appointment of its management bodies as tax advisors” (StB) – […]

Generation consultants, succession planners and financial planners together with initiators in conflict with the Legal Services Act

For decades there has been the training as Financial-Planner (financial planner), Estate-Planner (succession planner) and for some years now as Generation Consultant with IHK certificate. Surely only the trainers will make money from this for the time being. At second glance, it is a guide to the violation of the Legal Services Act (RDG) and […]