LAG Schleswig-Holstein: CEO employment contract can be cancelled orally

1. Mar 2019 News

Unless it is otherwise agreed in the contract, according to the LAG Schleswig-Holstein, a general manager employment relationship can also be terminated orally. The court rejected the claim of a former managing director, who wanted to continue to receive his compensation. However, the business relationship no longer existed after the current ruling. There wasn’t a written waiver, but however, the defendant had unsubscribed the plaintiff from the responsible social security institutions, which he had accepted without protests. In a family law dispute, the plaintiff also stated that he was employed by another company.

This was enough for the LAG Schleswig-Holstein to assume that the managing director’s contract had previously been cancelled by mutual agreement. The contract of employment only provides for one-sided terminations, therefore, in this case, the termination of the management relationship is effective.