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Upstream-Kreditsicherheiten

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»The Liability of the Manager of a Subsidiary GmbH for Providing Upstream Securities« In order to get better financing terms for the parent company, subsidiaries often provide collateral for a loan granted to the parent company. Despite being common practice, the provision of upstream securities is far from being a risk-free undertaking for the manager of the subsidiary company. Focusing on the role of a managing director of a German subsidiary GmbH, the author examines liability risks for providing upstream securities and formulates instructions to avoid liability.
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