News & Analysis as of

Germany Forfeiture

Ogletree, Deakins, Nash, Smoak & Stewart,...

German Federal Labor Court Finds Certain Virtual Stock Option Forfeiture Clauses May Unreasonably Disadvantage Employees

On March 19, 2025, the German Federal Labor Court (Bundesarbeitsgericht or BAG) held in Case No.: 10 AZR 67/24 that certain forfeiture clauses in General Terms and Conditions of Business (Allgemeine Geschäftsbedingungen or...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

European Court of Justice Finds That There Is Not an Automatic Start of the Limitation Periods for Paid Annual Leave Days

Paid annual leave days in Germany have been the subject of several recent decisions by the European Court of Justice (ECJ), with the Luxembourg-based judges regularly opposing previous case law of the Federal Labor Court...more

Orrick - Employment Law and Litigation

To-Do’s for Employers in Germany: No More Automatic Forfeiture of Vacation Entitlements

Introduction - The German Federal Vacation Act (Bundesurlaubsgesetz) provides that vacation has to be approved and taken in the current calendar year. The employee is meant to actually take the vacation and enjoy a rest....more

Orrick, Herrington & Sutcliffe LLP

Ausschlussklauseln ohne Mindestlohnausnahme sind unwirksam

Seit Inkrafttreten des Mindestlohngesetzes (MiLoG) am 01.01.2015 stellt sich die Frage, ob Ausschlussklauseln in Arbeitsverträgen Ansprüche auf den Mindestlohn ausdrücklich ausnehmen müssen....more

Orrick - Employment Law and Litigation

Germany – The Time to Review Your Standard Employment Contracts is Now!

A recent ruling of the Federal Labor Court will invalidate thousands of forfeiture clauses in employment contracts in Germany. Companies need to review and revise their standard employment contracts now and explore options to...more

Littler

German Labour Court Decision Forcing Employers to Reexamine Their Employment Contracts

Littler on

It is rare for the highest German labour court to issue a decision that will require employers to take immediate action with respect to their employment contracts. On September 18, 2018, however, the Federal Labour Court...more

A&O Shearman

German Constitutional Court Declares Parts of Provisions Regarding Forfeiture of Tax Losses and Loss Carry Forwards...

A&O Shearman on

The German Constitutional Court held in its decision dated 29 March 2017 (published on 12 May 2017) Section 8c sentence 1 German Corporate Income Tax Act (KStG) (introduced in 2008 and replaced by the identical provision of...more

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