Successful lawsuits against repayments
Many entrepreneurs and self-employed people have successfully sued against the repayment of Corona emergency aid. However, it is crucial to defend yourself against the notices in good time, otherwise the obligation to pay will remain. Use our contact form for more information.
Positive judgments in several federal states
More than one in five self-employed people or small business owners who received emergency Corona aid are expected to pay it back in full or in part. Nationwide, more than 5,000 people affected have filed suit against the repayment claims, with around half of the cases still open Corona emergency aid – One in five people should pay back | tagesschau.de. In Baden-Württemberg, around 1,400 lawsuits are pending Corona emergency aid: Freiburg administrative court supports plaintiffs | Staatsanzeiger BWIn several federal states, lawsuits against the revocation and reimbursement notices have good prospects of success.
In North Rhine-Westphalia, the Higher Administrative Court declared several repayment notices unlawful as early as 2023 (OVG Münster, judgments of March 17, 2023, case no. 4 A 1986/22, 4 A 1987/22, 4 A 1988/22). The state had set certain conditions when paying out the funds, but did not comply with them when reclaiming them. In particular, the online information on the Corona emergency aid was changed 15 times between March 25 and May 31, 2020.
Court rulings in Baden-Württemberg
In July 2024, the Freiburg Administrative Court was the first court in Baden-Württemberg to rule on the admissibility of the L-Bank’s demand for repayment of emergency Corona aid. In four of the six cases heard, the repayment notices were overturned (e.g. file number 14 K 4126/23). In one case, the Administrative Court dismissed the action; one case has not yet been decided.
File an objection and sue in good time!
Companies that want to prevent repayment must file an objection to a corresponding revocation and reimbursement notice within one month. The deadline begins with the delivery of the notice. If the deadline is missed, the notice becomes final and the obligation to pay remains.
If the objection is rejected, an appeal can be filed against the decision at the competent administrative court within a period of one month. Those affected then only have the choice between payment or legal action.
An objection and a possible lawsuit initially prevent the enforcement of the decision and give those affected time.
Impact and duration of proceedings
An appeal procedure usually takes several months, while an appeal before the administrative court takes an average of about 10 months. During this time, the amount claimed does not have to be paid, which can have a positive liquidity effect.
Payments already made
The majority of those affected have already paid the Corona aid that was demanded back and are no longer benefiting from the positive judgments. Anyone who does not object to a repayment notice in good time is not entitled to have the proceedings reopened – even if the notice was presumably unlawful (OVG Münster, decision of July 11, 2024 – 4 A 1764/23).
Read our other reports on Corona emergency aid:
17.06.2024: Reclaiming Corona emergency aid: More than 1000 legal proceedings in Baden-Württemberg
05.06.2024: Reclaiming emergency Corona aid: Model case filed by the von Buttlar law firm this July against the L-Bank
05.06.2024: Corona emergency aid: L-Bank’s objection decisions dated 31.05.2024 – note the deadline for filing a lawsuit
22.04.2024: Corona notices in Baden-Württemberg must be observed within one month
27.03.2024: Corona emergency aid: Object to L-Bank’s recovery notices by April 8, 2024
08.03.2024: Corona emergency aid: lodge an objection against the repayment notice from L-Bank
24.01.2024: Corona emergency aid: file a lawsuit against L-Bank’s objection decision in good time
04.03.2022: Corona emergency aid: Legal advice before repayment is worthwhile
24.02.2022: Corona emergency aid: Contact a lawyer before repayment
