News & Stories

Munich. As far as hotel operator contracts are concerned, the franchise agreement is growing in popularity in Germany, in particular against lease, management and hybrid contracts. Hotel companies are attempting to expand certain of their portfolio brands and the franchise agreement is by far the quickest way of doing just that. Nevertheless, operators still face many prejudices when it comes to franchising, yet most of these result from uncertainty, itself stemming from a lack of knowledge on part of the negotiating partner. In this and the two following editions of hospitalityInside.com, Dr Christian Zerr, Solicitor at the international law firm Hogan Lovells International LLP, explains in a series of three articles how franchising is treated in the hotel industry from a legal perspective.

Karlsruhe. The German Supreme Court decided on Wednesday that tenants may not sublet their apartment to tourists without the prior consent of the landlord. This is a blow to private accommodation agencies such as airbnb, Wimdu, 9flats and others.

Leipzig. Following the NSA revelations, there has been a constant stream of reports of global attempts to change applicable law to meet the challenges posed by social media, renegade secret services and "big data". Law makers worldwide are now faced with the task of formulating new data protection legislation. Their success differs from country to country. Our expert for online law, solicitor Peter Hense based in Leipzig and partner at Spirit Legal London, analyses the new developments in data protection in Germany, Europe and the US. The Americans are taking massive strides, Europe is making an effort too and in Germany, old data protection and technological development clash.

Hanover/Berlin. The German enthusiasm for travel continues and indeed, the destination decisions are being increasingly made at short notice. There is also the issue of a north-south divide in holiday duration within the travel-enthusiastic Germany: The north occupies the top rankings while the south is rather toward the rear ranks this year.

Aachen. For fund initiator Anno August Jagdfeld, 2013 will end with some good news: There will be no proceedings against him for embezzlement in relation to the Adlon fund.

Berlin. The hoteliers who inclusively offer an "overnight stay with breakfast" must nevertheless account for the different VAT amounts on the bill. The German Federal Finance Court had decided this on Wednesday. Now hotels and hotel groups that have handled this differently up to now could be accused of tax fraud.

Offenbach. When does overtime begin? When must the employer pay after the agreed working time? The German Federal Labour Court delivered a judgement on a special case: A member of staff, employed by the company for several years currently as deputy restaurant chef, hands in notice of termination of employment in accordance with the proper notice periods. In his last week of employment, he turns up to the personnel department of the hotel and submits a self-compiled Excel list recording around 500 hours of overtime. He demands this work be remunerated along with his last salary payment.

Offenbach. It is often necessary over the course of employment to issue a written warning to an employee. Since such warnings can be a necessary requirement for dismissal, many employees seek to have these warnings removed from personnel files. The German Federal Labour Court has recently decided when such a claim rightfully exists - and sets out some fine differences in its decision.

Offenbach. What employer hasn't it happen to? An employee leaves the company in dispute with management on some matter, yet demands a reference attesting excellent performance and behaviour nonetheless. The employee also expects that the reference includes a line regretting the loss of such a good employee. For years, employers have acceded to such demands. Now, the Federal Labour Court in Germany has delivered a judgement on such a case. Employers are now no longer bound to add such friendly concluding statements.

Leipzig. No industry allows their performance to be evaluated by external persons more frequently than the hotel industry. While independent professions such as architects, lawyers and doctors have been able to successfully defend themselves against endless customer reviews up to now, hotels are being hit broadside with welcomed or not so welcomed progress reports. The downsides of the review boom are nevertheless becoming increasingly clearer. And this in turn brings along great challenges within the legal and practical handling of unwelcomed guest opinions. In this third contribution of our newly initiated column, "Online Law", Solicitor Peter Hense from Leipzig, partner with the British solicitor´s office, Spirit Legal London, illuminates how hotel companies can and should behave.