Action for the restoration of ownership

An action for the restoration of ownership enables the owner in possession of an item to defend...

Amended dismissal

What is an amended dismissal? An “amended dismissal” refers to a notice of termination that is...

Annuity

What is an annuity?  An annuity is a fixed instalment paid throughout the term of the loan,...

Appeal against a decision

What is an appeal against a decision? A taxpayer may lodge an appeal against a decision by a...

Asset

What is an asset? The term ‘asset’ refers to individual economic goods or assets of a company....

Assignment of Claims (Cession)

What is the assignment of claims? The assignment of a claim refers to the transfer of a claim to a...

Austrian Public Employment Service (AMS)

What is the Austrian Public Employment Service (AMS)? Originally, the employment offices were...

Banking secrecy

What is banking secrecy? Banking secrecy prohibits credit institutions from disclosing or utilising...

Bankruptcy proceedings

What are bankruptcy proceedings? Bankruptcy proceedings cover all of the debtor’s assets subject to...

BaSAG

What is the BaSAG? The “Federal Act on the Recoveryand Resolution of Banks” (BaSAG) came into force...

Book value / carrying amount

What is the book value or a carrying amount?  Under company law and tax law, the book value is...

Branch

What is a branch office? In the context of insolvency law, the concept of a place of business is...

Brokerage Agreement

A real estate brokerage agreement is a sui generis contract that is conditionally remunerated and...

Building Law

What is building law? Building law refers to the right in rem, which is transferable and...

Business

What is a business? In everyday language, the term ‘business’ is often used as a synonym for...

Business entity

What is a business entity? The business entity is a legal entity that operates a business (e.g.,...

Call for Tenders

A public tender must not be confused with a design competition. A tender is issued by the client to...

Capitalisation

What is capitalisation? Expenditure incurred in acquiring or producing an asset must be recognised...

Casual Employment

Casual employment occurs when employees are employed by the same employer on an irregular basis, on...

Certification

Certification is the confirmation by a notary or court official of the authenticity of a signature,...

Change in Operations

A change in operations refers to far-reaching economic measures, such as the downsizing, relocation,...

Collective Bargaining Agreement

Collective bargaining agreements are contracts under private law between employee and employer...

Company Agreement

What is a company agreement? Company agreements are written agreements concluded between the...

Company Pension

A company pension refers to an employer-sponsored retirement plan designed to provide additional...

Comparison of business assets

What is a business assets comparison? The business assets comparison is a method of determining...

Compensation

What is a compensation? The legal basis for the judicial settlement was the Settlement Regulations...

Compliance

What is compliance? Compliance is generally understood to mean acting in accordance with applicable...

Compulsory enforcement

What is compulsory enforcement? Compulsary enforcement is defined as the use of state coercive...

Consumer Protection Act

The Consumer Protection Act, which first came into force in 1979, aims, as its name suggests, to...

Corporate Reorganisation Act (URG)

What is the Corporate Reorganisation Act? The URG has been in force since 1997 and aims to reduce...

Corporation

What is a corporation? A corporation is a legal entity under private law with its own legal...

Covenants

What are covenants? Covenants refer to contractual provisions whereby a party undertakes, for the...

Debt restructuring

What is debt restructuring? The term debt restructuring can have two meanings. On the one hand, it...

Debtor

What is a debtor? The debtor is the person in respect of whose assets insolvency proceedings have...

Declaration of consent

The declaration of consent is the express declaration of consent to the registration whereby the...

Decree

What is a decree? ‘Decrees’ are the term used to describe statements issued by the Federal Ministry...

Deferral

What is a deferral? A deferral refers to a subsequent agreement to postpone the due date (full...

Discount

What is a discount? A discount refers to the difference between the nominal value of a security...

Dividend

What is a dividend? A dividend is a share of a corporation’s profits. At the annual general...

Double taxation

What is double taxation? If a set of circumstances is subject to taxation by different countries,...

Double-entry bookkeeping

What is double-entry bookkeeping? Under the double-entry bookkeeping system, all transactions...

Easement

What is an easement? Easements are limited rights in rem to use another person’s property. The...

Employee Stock Ownership

Until January 1, 2024, employee stock ownership plans were largely limited to stock corporations, as...

Equity

What is equity? Equity represents the funds made available to the company by its legal owners....

Equity loan

This is a loan under which the borrower does not have to pay interest, but instead grants the lender...

Factoring

What is factoring? Factoring refers to the purchase of receivables arising from the delivery of...

Fees Act

What is the Fees Act? The Fees Act (GebG) governs the liability to pay fees in respect of legal...

Financial plan

What is a financial plan? If the debtor is seeking to enter into a self-administered restructuring...

Foreclosure sale

At the creditor’s request, authorisation may be granted to commence auction proceedings if the...

Foreign-currency loan

What is a foreign-currency loan? This refers to a loan taken out in a foreign currency, which is...

General partnership

What is a general partnership? A general partnership (OG) is the basic form of a partnership. It...

General Protection Against Dismissal

What is general protection against dismissal? In Austria, the proper termination of an employment...

Global assignment

Under a global assignment, a large number of claims are assigned. In practice, it is usually used to...

GmbH

What is a GmbH? The GmbH, also known as a limited liability company, is a corporation with certain...

Group taxation

What is group taxation? By forming a group of companies, profits and losses can be offset against...

Guarantee

What is a guarantee? A guarantee is a contract whereby the guarantor undertakes to the creditor to...

Guarantee credit

What is a guarantee credit? In the case of a guarantee credit (liability credit), a bank provides a...

Hidden reserves

What are hidden reserves? So-called hidden reserves represent the difference between the actual...

Hire Purchase

What is a hire purchase? A hire-purchase agreement is a tenancy agreement under which the landlord...

Insolvency

What is insolvency? The term ‘insolvency’ is usually used as a synonym for insolvency proceedings...

Insolvency Act

What is an insolvency act? The Insolvency Act, which came into force on 1 July 2010 pursuant to the...

Insolvency administrator

What is an insolvency administrator? Upon the opening of insolvency proceedings, the insolvency...

Insolvency estate

What is the insolvency estate? The insolvency estate comprises all of the debtor’s domestic assets...

Insolvency register

What is an insolvency register? The Insolvency Register is a publicly accessible database forming...

Inspection of the Land Register

What is the meaning of inspection of the land register? Everyone has the right to inspect the Land...

Inventory

What is an inventory? Immediately following the commencement of bankruptcy proceedings or...

Land Register

What is a land register? The Land Register is a public register maintained by the district courts,...

Letter of comfort

What is a letter of comfort? A letter of comfort is a means of securing a loan. It refers to a...

Lien

A lien is a right in rem granted to a creditor, enabling them to realise the value of an asset...

Limited partnership

What is a limited partnership? A limited partnership (KG) is a company operating under its own...

Liquidation

What is liquidation? The dissolution of a company leads to its liquidation. Liquidation is carried...

Loan

What is a loan? A loan involves the transfer of fungible goods (which are defined in trade by...

Loss Carryforward

What is a loss carryforward? A loss carryforward is the total of losses incurred in past fiscal...

Maternity leave

What is maternity leave? The term maternity leave is used synonymously as an umbrella term for the...

Merger

What is a merger? In a merger, the entire assets of a corporation are transferred by way of...

Natural person

What is a natural person? All people have legal capacity, they are natural persons. Legal capacity...

Nominal value

What is a nominal value? The nominal value is the amount at which a stock or security is...

Option

What is an option? Under an option contract, one party (the option grantor) grants the other party...

Outsourcing

What is outsourcing? Outsourcing (the transfer or delegation of tasks) refers to the transfer of...

Part-time work

What is part-time work? Part-time work is defined as a situation where the normal working hours...

Partnership

What is a partnership? A partnership constitutes a ‘person-based association’. This arises when at...

Personal insolvency

What is personal insolvency? Personal insolvency, also known as debt settlement proceedings, refers...

Pledge principle

The acquisition of contractual liens on movable property requires the physical delivery of such...

Preliminary decision on an appeal

What is a preliminary decision on an appeal? The tax authority that issued the decision must, after...

Progression

What is progression? Progression refers to the increase in the income tax rate as a function of the...

Prohibition of alienation and encumbrance

What is a prohibition of alienation and encumbrance? The prohibition of alienation and encumbrance...

Prohibition on the repayment of deposits

What is the prohibition on the repayment of deposits? Shareholders may not reclaim their capital...

Property income tax

What is property income tax? Income from the sale of land is generally subject to property income...

Provision

What is a provision? Provisions are recognised in order to reflect in the balance sheet potential...

Proxy

Prokura is a comprehensive commercial power of attorney with a scope defined by law. It authorizes...

Public Limited Company

What is a public limited company? A public limited company is a corporation in which the share...

Reallast

Was versteht man unter einer Reallast? Die Reallast ist eine dinglich wirkende Belastung eines...

Repayment

What is a repayment?  Penalties imposed by the tax enforcement authorities are deemed to have been...

Restriction on Transfer

What is a restriction on transfer? The term “restriction on transfer” generally refers to the...

Restructuring proceedings

What is a restructuring proceeding? The restructuring proceedings replaces the (compulsory)...

Retention of title

What is a retention of title? Under a retention of title clause, the seller (seller with retention...

Revision

What is a revision? Taxpayers may lodge an appeal with the Administrative Court against decisions...

Right of first refusal

What is a right of first refusal? The agreement of a right of first refusal obliges the owner of...

Right of retention

The consequence of the ‘simultaneous performance’ principle, which generally applies to contracts...

Rights in rem

The law of property governs who (as a legal person) may exercise control over legal objects and in...

Self-consumption

What is self-consumption? In VAT law, ‘own use’ is traditionally defined as supplies for purposes...

Severance Pay

An employee is entitled to severance pay in the event of termination without proper notice or in...

Severance Pay new

What is the new severance pay system? For employment relationships based on a contract under...

Severance Pay old

What is the old severance pay system? Severance pay is a payment provided for by law for employees...

Shareholder loans

What is a shareholder loan? If a shareholder of a company grants a loan to ‘his’ company, this...

Short-time work

What is short-time work? Short-time work refers to a measure designed to reduce working hours and...

Silent partnership

What is a silent partnership? A silent partner participates, in return for a share of the profits,...

Skimming procedure

What is a skimming procedure? A debtor who is a natural person may, during the course of personal...

Social Plan

What is a social plan? A social plan is a company agreement setting out measures to prevent,...

Sole Proprietorship

What is a sole proprietorship? In a sole proprietorship, the business entity is a natural person. A...

Standard value

What is a standard value? The standard valuation is used to determine the amount of various taxes...

Stock

What is a stock? On the one hand, a stock is defined as a share in the authorized capital of a...

Subscription right

In the event of a capital increase, existing shareholders have the right to maintain their existing...

Superstruction

What is a superstruction? Superstructions are independent structures erected on another person’s...

Supervisory Board

What is a supervisory board? The supervisory board is the ‘supervisory body’ of a corporation or a...

Tenancy agreement

What is a tenancy agreement? The ABGB groups tenancy and lease agreements under the term ‘tenancy...

Works Council

What is a works council? As the central representative body for the workforce within the company,...