JUDGMENT BY THE FEDERAL SUPREME COURT OF GERMANY RENDERED IN 2004 IN CASE II ZR 65/03

 

Subject Matter: Whether a dispute regarding the payment of the initial contribution to a limited liability corporation is arbitrable.

 

Finding: Disputes concerning the payment of the initial capital share of a limited liability company were arbitrable under previous German Arbitration law. Parties may refer such disputes to arbitration under the new Arbitration Act; the arbitrability test under the new Arbitration Act being whether there is an economic interest at stake.

 

Parties: Not disclosed

 

Place of Court Proceedings: OLG Schleswig, BGH Karlsruhe, Germany

 

Applicable Law: The German Arbitration Act in the version being in force until December 31, 1997, section 1025 subsection 1.