Global Crisis
Hub & Resource Center

In principle, the author of a work protected by copyright has an exclusive right to reproduce or copy it. In Austria, however, anyone has the right to make copies of such works for private use. Originally, the legislator had scenarios in mind where people recorded music from the radio with their stereo system and a blank tape cassette, or recorded films via a video recorder. Collecting societies collect a levy as compensation for this private copying right...

Good news in times of crisis: The eagerly awaited draft of the Restructuring and Insolvency Directive Implementation Act (RIRL-UG) was published yesterday. The law with which Directive (EU) 2019/1023 (Restructuring Directive) is implemented in Austria is to come into force on July 17, 2021 (at the end of the implementation period). The review phase will run until April 6, 2021...

Introduction COVID-19 poses great challenges, especially for cross-border M&A transactions and capital market deals. In the last five years or so, the M&A sector has seen a strong seller's market in which sellers have been able to generate high selling prices and enforce contractual arrangements in their favour. This will likely change rapidly now. Government imposed quarantines and travel restrictions already have a negative impact on due diligence reviews, contract negotiations as well as signings and closings of transaction...

CIVIL LITIGATION What are the effects of COVID-19 and the measures recently taken by the federal government on litigation proceedings? Will the civil courts remain in operation? As of 16 March 2020, a regulation amending the rules of procedure for courts of first and second instance will come into force. This regulation provides for a restriction of court services limited to the strict minimum. In the implementation decree, the Federal Ministry of Justice clarified that the courts will remain in operation only to the extent necessary. Oral hearings should only be held if absolutely required to maintain the administration of justice...

Are delivery obligations between businesses still to be fulfilled? In principle, commercial contracts and the rights and obligations contained therein remain legally binding, despite the official measures taken to prevent the spreading of COVID-19. However, in connection with travel contracts, the Austrian Supreme Court qualified the outbreak of the infectious disease SARS as a force majeure event that made it unreasonable to perform the contract. Due to the similarity of events, this categorization may also be applied to the current situation...