International Business Law and Tax Law

Urban Thier & Federer assists clients with Evaluation of the many factors, which are important for choosing the most suitable legal structure for a company.

• Comparison and selection of suitable legal forms, taking into account liability, governance, taxation, and investor requirements.
• Tax Qualification and Coordination Between Legal Systems
• Avoiding unintended permanent establishments and residencies, particularly in cross-border management situations.
• Coordination with notaries, tax advisors, and US counsel to ensure a consistent and actionable structure.
• Future-proofing of the structure, particularly with regard to growth, restructurings, financing rounds, or a later sale.

We design, review, and negotiate cross-border contracts between Germany and the USA, secure their legal enforceability and tax efficiency, thereby minimizing economic and legal risks.

• Drafting and negotiation of cross-border contracts, e.g., supply, distribution, licensing, service, and cooperation agreements.
• Design of choice of law and jurisdiction or arbitration clauses to manage enforceability, costs, and risks internationally.
• Alignment of contractual provisions with tax and regulatory requirements, such as withholding taxes, transfer pricing, export controls, or sanctions.
• Risk Allocation and Limitation of Liability Considering Different Liability Standards (Germany/USA).
• Adaptation of existing contracts to international circumstances, e.g., in cases of expansion, reorganization, or post-M&A integration.
• Preventive dispute avoidance through clear definitions, escalation mechanisms, and practicable enforcement regulations.

We design, review, and negotiate contracts under German law, ensuring their legal validity and managing liability risks while keeping them Contracts under German law, commercially workable feasibility for our clients.

• Drafting, review, and negotiation of all types of contracts, e.g., purchase, service, work, license, and cooperation agreements.
• Liability and Risk Management, including penalty clauses, warranties, and damages provisions.
• Adaptation and optimization of existing contracts to new legal requirements, business developments, or strategic goals.
• Formulating clear performance, payment, and termination clauses to prevent disputes.
• Assistance with contract disputes or out-of-court settlements, including dunning and enforcement proceedings.

Our firm develops Cross-border tax strategies between Germany and the United States of America, optimizes structures, holding models, and aims to reduce tax burdens while observing applicable compliance requirements.

• Analysis of the tax starting situation for companies and private individuals in Germany and the USA, including income, assets, and existing structures
• Optimization of the economic and tax framework
• Design of holding and investment structures to minimize double taxation, withholding taxes, and exit taxes.
• Optimization of taxation of income from IP, capital investments, and cross-border trade, including the use of tax treaties and incentive schemes.
• Avoidance of unintended permanent establishments to prevent additional tax liabilities in other jurisdictions.
• Consulting on international restructurings, mergers, or acquisitions.