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Posts tagged with Limited liability company

Prohibition of competition and prohibition of appropriation of corporate opportunities do not (always) protect a GmbH against its sole shareholder-director.

· Limited liability company Prohibition of competition Corporate opportunity Return of capital contributions capital-maintenance Due Diligence Trustee· 0 comments

In principle, it is permissible for the sole shareholder-director of a GmbH to compete with his/her GmbH. Certain limits are set by the prohibition of return of contributions.

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Strict duty of loyalty for shareholders of limited liability companies and syndicate partners

· Limited liability company Duty of loyalty Syndicate agreement Supervisory Board Acting in bad faith· 0 comments

In its ruling in case 6 Ob 155/20t – CERHA HEMPEL represented a party to the proceedings – the Supreme Court made a number of important statements on the duty of loyalty that exists between the shareholders of a limited liability company who are bound by a syndicate agreement.

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