Commercial Courts: Germany’s Response to the Global Competition for Justice

Germany Introduces Commercial Courts: A New Forum for International Business Litigation

In April 2025, Germany enacted the Justizstandort-Stärkungsgesetz (“Law to Strengthen Germany as a Center of Justice”), an ambitious reform designed to make German state courts more attractive for complex international business disputes. At its core, the reform establishes Commercial Courts at the Higher Regional Courts (Oberlandesgerichte)and Commercial Chambers at the Regional Courts (Landgerichte), with proceedings available entirely in English.

The Rationale

The reform addresses long-standing structural deficits of German civil litigation:

• Lack of specialization in international business matters

• Language barriers for foreign parties

• Limited international visibility

• Weak protection of confidential business information

By introducing specialized courts, English-language proceedings, modern case management, and confidentiality protections, the reform aims to combine the advantages of state courts (neutrality, enforceability, lower costs) with features traditionally associated with arbitration (efficiency, flexibility, confidentiality).

Structure and Jurisdiction

Commercial Courts are specialized panels within the Higher Regional Courts. They hear major business disputes exceeding €2 million (approx. $2.2 million) where the subject matter falls within § 119b(1) GVG, including:

• Corporate law disputes

• Disputes arising from acquisitions of businesses or shares

• Liability of directors and officers

Jurisdiction requires both parties’ consent, either through a contractual clause or by proceeding without objection.

Procedural Innovations (§§ 610–614 ZPO)

The reform introduces new procedural tools inspired by international best practice:

• Panel of three professional judges for all cases

• Case management conference to structure evidence, timelines, and procedure

• Real-time verbatim transcripts available upon request

• Direct appeal to the Federal Court of Justice (Bundesgerichtshof), skipping the usual intermediate appellate level

English as the Language of Proceedings (§§ 184a–184b GVG)

For the first time, full civil proceedings before German state courts can be conducted in English, provided both parties agree. This option applies exclusively to Commercial Courts and Chambers, and within the defined business law subject areas. Appeals to the Federal Court of Justice may also proceed in English upon approval.

Confidentiality Protection (§ 273a ZPO)

A major innovation is the introduction of explicit confidentiality measures. Courts may now order redactions, restricted file access, and protective orders to safeguard trade secrets—aligning German litigation with practices already standard in international arbitration.

Outlook

With these reforms, Germany positions its state judiciary as a credible alternative to arbitration for high-value international business disputes. Success will depend on effective implementation: staffing, digital infrastructure, judicial training, and consistent application across federal states. International visibility—through multilingual databases and proactive outreach—will also be key.

The Commercial Courts lay the foundation for a modern, credible, and internationally competitive forum for business litigation—an overdue step in the global competition for legal certainty, efficiency, and trust.

Overview of Established Commercial Courts (as of July 2025)

• Baden-Württemberg / OLG Stuttgart
  Corporate disputes, M&A (≥3% shareholdings). Launched April 2025.

• Bavaria / OLG Munich
  Supply chain disputes; board liability. Launched June 2025.

• Berlin / Kammergericht
  Construction and engineering contracts. Launched April 2025.

• Bremen / Hanseatic OLG
  Maritime, freight, logistics; hydrogen, aviation, space tech. Launched April 2025.

• Hamburg / Hanseatic OLG
  Senate 1: Construction, banking, corporate, post-M&A
  Senate 2: Insurance, transport, shipping
  Launched April 2025.

• Hesse / OLG Frankfurt
  Corporate and M&A disputes; commercial contracts. Excludes capital markets, construction, inheritance, insolvency. Launched July 2025.

• North Rhine-Westphalia / OLG Düsseldorf
  Construction, insurance (D&O), corporate disputes, M&A.
  Special chambers: Cologne (IT disputes), Bielefeld/Essen (renewables), Düsseldorf (transactions).
  Launched April 2025.