Dr Julia Schällig

The participation of external managing directors as partners in the companies they manage is a common structuring tool to align shareholder and management interests and to retain the management team. Often, the corporate position as partner is functionally tied to the office of managing director, so that the end of the management mandate also leads...

Under stock corporation law, the executive board is responsible for managing the company, while the supervisory board is tasked with oversight. The executive board is legally required to provide the supervisory board with regular and comprehensive information. Statutory provisions mandate periodic (typically quarterly) reporting by the management board to the supervisory board. Additionally, the supervisory...

Under the German Transformation Act (Umwandlungsgesetz – UmwG), companies can reorganize through mergers, demergers, or changes of legal form. A common demerger type is a spin-off, where a business unit is transferred from one company (the transferring legal entity) to another (the transferee). The spin-off takes effect automatically under the UmwG, avoiding the need for...