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| Strabag wins case at Cologne Higher Regional Court In the case VzfK (Verbraucherzentrale für Kapitalanleger e.V. – Consumer Group for Investors) against Cologne-based Strabag AG, the Cologne Higher Regional Court found completely in favor of Strabag. In the first instance, at the Cologne District Court the VzfK applied to ascertain that particularly the sale of the building construction and civil engineering activities to Ed. Züblin AG and the creation of joint services companies were unlawful. In addition, according to VzfK, Strabag AG had been integrated illegally into the Strabag SE organization. Furthermore, VzfK applied to establish Strabag's obligation to reverse the above measures. In its judgment on 23 November 2007, the Cologne District Court largely granted the relief VzfZ sought. However, Strabag AG appealed against this decision. The Cologne Higher Regional Court has now decided to uphold the appeal in full and quashed the original judgment of the Cologne District Court. The VzfK action has thus been completely rejected. What is more, the Cologne Higher Regional Court did not allow any appeal. The practical result of the petition being rejected is that it is not necessary to reverse the sale of the building construction and civil engineering activities to Ed. Züblin AG. What is more, the shared service companies between Strabag AG and Ed. Züblin AG can continue operating in the same scope. The Strabag Group management expressed its satisfaction with the judgment, seeing the strategy it is pursuing as fully confirmed. The sale of the Strabag building construction activities to Ed. Züblin AG created considerable advantages for both companies. write your comments about the article :: © 2009 Construction News :: home page |