Document background
The Company Transfer Letter is a mandatory document under German law used when a business or part of a business is transferred to a new owner or entity. It is required by §613a of the German Civil Code (BGB) and must be provided to all affected employees. The document serves multiple purposes: it formally notifies employees about the transfer, provides information about the new employer, confirms the continuation of existing employment terms, and informs employees about their right to object to the transfer within one month. The letter must be carefully drafted to comply with German legal requirements, as insufficient or incorrect information can extend the objection period and create legal risks. This document is particularly important in corporate restructurings, mergers and acquisitions, and other business transformations where employment relationships are transferred.
