Commercial Courts in Germany? A look at the draft bill

Introduction: The Importance of Commercial Courts for International Clients

As an attorney representing a wide range of clients doing business internationally, I have a particular interest in developing legal systems and procedures tailored to the needs of businesses in a globalized economy. In this context, the planned introduction of commercial courts in Germany is an issue of particular relevance. These courts will be specifically designed to handle commercial disputes and will offer a number of advantages that should make them particularly attractive to my international clients.

Globalization has fundamentally changed the way companies do business. Today, companies rely more than ever on international markets, and their business relationships often span multiple countries and jurisdictions. This has led to an increase in commercial disputes, which are often complex and cross-border. Resolving these disputes requires a legal system capable of dealing with these challenges and providing effective and efficient solutions.

In this context, commercial courts should be a welcome development. They should be specifically designed to handle business disputes and offer procedures tailored to the specific needs of companies. This is to include, among other things, the ability to conduct proceedings in English, which is said to be of great benefit to many of my international clients. In addition, Commercial Court proceedings are generally intended to be faster and more efficient than traditional court proceedings, which can result in faster dispute resolution and lower costs for the parties involved.

The planned introduction of commercial courts in Germany is now one step further. The draft bill on strengthening Germany as a judicial location by introducing commercial courts and English as the court language in civil jurisdiction has been published and can be viewed here. This draft provides a detailed look at the proposed changes and the impact they could have on the practice of law.

As a lawyer representing international clients, I see the planned introduction of Commercial Courts in Germany as a potentially positive development that could have the potential to improve the way we resolve commercial disputes. However, it is important that we monitor this development critically and ensure that the Commercial Courts, if introduced, live up to their promise. This is the only way to ensure that they could actually help to increase legal certainty and provide more efficient legal protection for companies.

It should be noted that there are currently no commercial courts in Germany as such, but rather chambers of commerce at the regional courts that are responsible for commercial matters. The draft bill aims to introduce specialized commercial courts that are to differ from the existing chambers of commerce through their specific focus on international commercial disputes and the possibility of conducting proceedings in English. This represents a significant step in the further development of the German legal system and deserves careful consideration and discussion among all stakeholders involved.

The Need for Commercial Courts in Germany

Globalization has fundamentally changed the business world. Today, companies rely more than ever on international markets, and their business relationships often span multiple countries and jurisdictions. This has led to an increase in commercial disputes, which are often complex and cross-border. Resolving these disputes requires a legal system capable of dealing with these challenges and providing effective and efficient solutions.

In this context, the planned introduction of commercial courts in Germany is a topic of particular relevance. These courts will be specifically designed to handle commercial disputes and will offer a number of advantages that should make them particularly attractive for international business relationships.

The draft bill to strengthen Germany as a judicial location by introducing commercial courts and English as the court language in civil jurisdiction is an important step in this direction. It can be viewed here and provides a detailed look at the proposed changes and the impact they could have on legal practice.

The Commercial Courts are designed specifically to handle business disputes and provide procedures tailored to the specific needs of businesses. This is to include, among other things, the possibility of conducting proceedings in English. In addition, Commercial Court proceedings are generally intended to be faster and more efficient than traditional court proceedings, which can result in faster dispute resolution and lower costs for the parties involved.

The draft also provides that the Commercial Courts may exclude the public when hearing trade secrets and impose a greater duty of confidentiality on the opposing party to the proceedings regarding the knowledge gained. This could be an important advantage for companies that want to protect their trade secrets.

In addition, the draft emphasizes that the introduction of commercial courts and English as the court language in civil jurisdiction should contribute to strengthening Germany as a judicial location and to increasing the efficiency of the judiciary by advancing the law in the area of commercial law. This is an important aspect that could further increase the attractiveness of the Commercial Courts for international companies.

The advantages of the Commercial Courts for international clients

The introduction of Commercial Courts offers a number of advantages for international clients. One of the biggest advantages is the possibility to conduct proceedings in English. This greatly facilitates communication and understanding of the process for international clients. In addition, Commercial Courts are designed to handle commercial disputes quickly and efficiently, which can lead to faster dispute resolution. Finally, the Commercial Courts contribute to the further development of law in the area of commercial law, which leads to greater legal certainty for companies.

The ability to conduct proceedings in English is particularly important for international clients. Many of them are not familiar with the German legal system and may have difficulty understanding complex legal documents in German. The possibility of conducting proceedings in English greatly facilitates communication and understanding of the proceedings. It can also reduce the cost of translating documents, which can result in significant savings for the parties involved.

Another important advantage of the Commercial Courts is their efficiency. These courts are designed to resolve commercial disputes quickly and efficiently. This can lead to faster conflict resolution, which is a great advantage for companies. In addition, the Commercial Courts can help to increase legal certainty by contributing to the further development of law in the area of commercial law. This can help to strengthen companies’ confidence in the legal system and increase their willingness to do business in Germany.

Finally, commercial courts can help reduce the cost of resolving commercial disputes. By handling disputes quickly and efficiently, Commercial Courts can help reduce the cost of resolving disputes. This can be of great benefit to companies, especially small and medium-sized enterprises, which often have limited resources.

The impact of the introduction of Commercial Courts on legal practice and outlook.

The planned introduction of Commercial Courts in Germany represents a significant change in legal practice. For lawyers working in international business relationships, this means familiarizing themselves with the specifics of these courts and adapting their practice accordingly. This can be challenging, but it also presents an opportunity to provide clients with enhanced service and expand expertise in this important area of business law.

Commercial Courts place new demands on attorneys. They require a deep understanding of international business law and the specific procedural rules of the Commercial Courts. They also require the ability to work in English and communicate complex legal issues in a clear and understandable manner. This requires continuous education and adaptation of practice.

At the same time, commercial courts also offer new opportunities. They could enable lawyers to provide improved service to their clients by helping them resolve their disputes quickly and efficiently. In addition, they could offer lawyers the opportunity to expand their expertise in an important area of business law and position themselves as experts in the field.

The Commercial Courts are a new and innovative element of the German legal system that has the potential to fundamentally change the way commercial disputes are handled. They could provide an opportunity to resolve disputes more efficiently, reduce dispute resolution costs, and increase legal certainty for businesses. These are all important advantages that could help position Germany as an attractive location for international companies.

At the same time, commercial courts also present new challenges. They require lawyers to familiarize themselves with new procedural rules and legal standards, improve their skills in communicating and arguing in English, and continually educate themselves to stay abreast of the latest in international business law.

Author: Marian Härtel

Marian Härtel ist Rechtsanwalt und Fachanwalt für IT-Recht mit einer über 25-jährigen Erfahrung als Unternehmer und Berater in den Bereichen Games, E-Sport, Blockchain, SaaS und Künstliche Intelligenz. Seine Beratungsschwerpunkte umfassen neben dem IT-Recht insbesondere das Urheberrecht, Medienrecht sowie Wettbewerbsrecht. Er betreut schwerpunktmäßig Start-ups, Agenturen und Influencer, die er in strategischen Fragen, komplexen Vertragsangelegenheiten sowie bei Investitionsprojekten begleitet. Dabei zeichnet sich seine Beratung durch einen interdisziplinären Ansatz aus, der juristische Expertise und langjährige unternehmerische Erfahrung miteinander verbindet. Ziel seiner Tätigkeit ist stets, Mandanten praxisorientierte Lösungen anzubieten und rechtlich fundierte Unterstützung bei der Umsetzung innovativer Geschäftsmodelle zu gewährleisten.