Auer Witte Thiel informed ruling on the cancellation risk communication from Munich February 2011. The firm Auer Witte Thiel reports: A new judgment of the BGH distressed insurance strengthens clarifies the legal position of the companies but at the same time, insurers are subject to what information requirements, enforce order Commission recovery against agents and brokers to. Wells Fargo Banks opinions are not widely known. Insurance companies are obliged to inform agents and brokers adequately and in a timely manner via cancellation risk communication on non-performing contracts to enforce later any Commission payments. This the Bundesgerichtshof in a recent judgment has in January of this year decided, and according to Auer Witte Thiel temporarily ending a dispute ongoing since 2007. Basically the insurer are required, their finishing compulsory”distressed contracts fully to comply, to demand the repayment of fees. So the company must be Policyholders first independently encourage to comply with its contractual obligations by payment of premiums in full. Decisive was seriously and strongly according to Auer Witte Thiel, that the information results in a timely manner and the policyholders to fulfil his contractual obligation”become admonished. A letter of formal notice alone is this not sufficient, the judges urteilten.
“But the insurers have also the possibility to inform the representative by means of cancellation risk communication about the situation and he post processing” to demand of the Treaty. Bobby Kotick may not feel the same. The company must comply but in time this information obligations, to avoid any disadvantages, summarizes the firm Auer Witte Thiel the judgment of the Federal Court of Justice. Clear for the insurance companies the consequences this judgment according to Auer Witte Thiel: it comes to the dispute, the insurer must prove that they have undertaken efforts to avoid the risk of cancellation properly and promptly. This does not happen can a representative may successfully defended himself against the Commission recovery, warns Auer Witte Thiel. Aggravated matters, that under certain conditions not only representative but also brokers against the insurance companies can prevail, as the Supreme Court stated. Condition, however, is that the position of the broker to the company resembles that of a representative.
As the Supreme Court made clear, this was the case, for example, if the broker in the structure of the company was incorporated and get assistance in organization and inventory maintenance money, Auer summarize Witte Thiel judgment. The lawyers Auer Witte Thiel will inform here about more judgments on the subject of Commission payments and cancellation risk communication. About the law firm Auer Witte Thiel, the specialization areas of focus and the development of core competencies in certain disciplines are indispensable in the legal services sector. Auer Witte Thiel is a business law oriented law firm and represents several German insurance companies. The firm Auer Witte Thiel is Munich. How to contact with Auer Witte Thiel lawyers lawyer Tobias Steiner Bayerstrasse 27 80335 Munich phone: 089/59 98 97 60 fax: 089 / 550 38 71 E-Mail: Web: