We advise automobile manufacturers, intra-group importers and wholesalers in particular in the areas of

• sourcing
• sales law
• contract law (R&D-cooperations)
• other cooperation agreements
• restructuring of wholesale and retail structures (M&A)
• brand protection

Weakness in demand, pricing pressure and changing prices of row materials affect the whole automotive industry. The suppliers of the automotive industry are burdened with the economic situation in two ways. The market of the suppliers of the automotive industry is under a constant pressure for permanent cost reduction and consolidation. Due to vertical integration, the suppliers of the automotive industry are forced to emerge as development partnerships of the OEMs. Therefore, the situation of the suppliers of the automotive industry is characterized by a dependancy on monopolistic clients.

The market of the suppliers of the automotive industry is under a constant pressure for permanent cost reductions and for consolidation. We advise suppliers of the automotive industry in particular in the areas of

• sourcing
• contract law (R&D-cooperations)
• other cooperation agreements
• consolidation and restructuring
• expansion (mergers & acquisitions)
• company transfer/sale of company
• joint ventures
• other alliances (financial or strategic)
• mergers, spin-offs, split-offs (Transformation Act)
• restructuring outside of the Transformation Act
• corporate law
• commercial law (brand protection)
• product liability
• international trade law
• insolvency restructuring
• employment law, as well as
• brand protection

Furthermore, we advise our clients in relation to anti-trust law issues, in particular:

• merger control
• horizontal and vertical restraints of competition, as well as
• avoidance of monopolistic misuse

In order to do this, a precise examination of the admissibility of contractual arrangements and actual behaviour under German and European Competition Law is unavoidable.

Our scope of advice for automobile dealers and distributors in particular includes advisory services in

• restructuring of trade structures in the automotive industry,
• corporate law advice and corporate group financing, as well as
• antitrust law

The block exemption for the automotive industry is still the central authority of the automobile trade. However, in recent times not the changes of the legal framework but rather the market developments in combination with political framework conditions and the new trends in the automobile trade have triggered necessary changes.

Therefore, we advise the automobile trade in the area of restructuring of trade structures which become necessary by the increasing economic pressure, in particular in connection with

• sourcing agreements
• contract and corporate law
• cooperation agreements
• consolidation and restructuring
• expansion (mergers & acquisitions)
• company transfer/sale of company
• outsourcing and other alliances (financial or strategic)
• mergers, spin-offs, split-offs (Transformation Act)
• restructuring outside of the Transformation Act
• private equity and litigation
• investments and insolvency restructuring, as well as
• employment law

Corporate and tax law further subjects foreign and equity capital financing to strict rules. We advise automobile dealers and distributors in preparing and negotiating the necessary contracts, as well as in executing:

• expansion financing (equity capital measures, foreign capital financing, recapitalization),
• corporate group financing (corporate group refinancing for tax reasons),
• mezzanine financing (jouissance rights, options, silent participation).

We closely coordinate the structures of financing measures with the tax and business advisors of our clients in the individual circumstances.

Furthermore, we advise automobile dealers and distributors in relation to anti-trust law issues, in particular:

• share and asset sale and purchase agreements
• incorporation of joint venture companies
• individual agreements between corporations (Cooperation-, Takeover-, Franchise- or Sales Agreements), as well as
• pricing and delivery agreements to specific business partners with a focus on exclusivity, non-competition and abuse of market-dominating positions (selective distribution, package deals).