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What are the consequences if a dispute isn't solved?
⏳ Might continue – The issue drags on without resolution.
🔥 Might intensify – Emotions grow, conflict gets worse.
👥 More parties drawn in – Others get involved (e.g. managers, lawyers).
💰 Higher costs – Time, money, and energy are wasted.
📉 Reputation damage – Trust and image may suffer.
🚫 Lost opportunities – Collaboration and progress slow down.
How are disputes commonly solved if they involve asymmetrical partners
In business, wealthy people or companies can sometimes "win" a conflict just by doing nothing — they wait until the other side gives up because of stress, cost, or time.
They don’t need lawyers to fight in court — they need lawyers who help them delay or “sit out” the conflict in a smart, legal way.
What does independence of a court mean=
Judicial independence means:
Judges are free from external influence, including superiors or government.
They cannot be reassigned or removed from cases against their will.
They cannot be forced into early retirement, except in rare disciplinary cases.
Ensures fair and unbiased decision-making.
What is the difference between administrative authorities and courts
Courts:
Handle civil and criminal cases
Independent and follow strict legal procedure
Administrative authorities:
Handle other public matters (e.g. permits, fines)
Part of the executive branch of government
Explain what mediation is
Mediation is when two people (or sides) have a conflict and ask a neutral person (the mediator) to help them talk and solve it themselves.
The mediator doesn't make a decision — the goal is to find a solution both sides agree on.
Where is mediation commonly sued and what problems are there with it?
Mediation is common in the U.S. and increasingly used in Europe, especially in family and neighborhood disputes. Judges may suspend court proceedings to attempt mediation in such cases. Mediation also plays a role in administrative law, especially in approval procedures affecting neighbors (e.g. construction projects), where it allows open participation.
However, from a legal perspective, mediation may disadvantage weaker parties and result in unfair or invalid agreements if not legally reviewed.
What does a dispute resolution for civil and criminal law entail?
In civil and criminal cases, state courts make the final decision.
In Western systems, courts = the state, because the law and the state are seen as one (called critical positivism).
Normally, there's no higher court after the top national court —
except in EU cases, where the European Court of Justice (ECJ) can step in after all national options are used.
What is arbitration?
Arbitration is a private alternative to state courts where:
Disputes are resolved by arbitrators, not state judges.
Parties choose the arbitrators.
Requires a mutual written agreement (arbitration clause or separate agreement).
General Terms clauses are not enough.
Can be institutional (e.g., ICC) or ad hoc.
For what legal situations is arbitration relevant?
Arbitration is typically allowed in commercial and private law matters that can be settled solely between the parties without needing public authority involvement or approval.
Who decides on the arbitration court?
In arbitration, parties can either agree to have a neutral third party nominate the arbitrator or each party may nominate one, with those two selecting a third arbitrator as chairman. If they fail to agree, a designated authority (e.g., president of a professional chamber) may appoint the third arbitrator.
If there is no valid arbitration agreement, the state court has mandatory jurisdiction.
What can and can't be solved by arbitration?
Some things can’t be solved by arbitration — they must go to state court.
Examples:
Family law (like divorce, child support)
Registrations (company, land registry)
Cases with outsiders (third parties not in the contract)
Before using arbitration, you must check two things:
Does the state (that would normally hear the case) allow arbitration for this topic?
Does the country where arbitration is held allow it?
Why/when does arbitration doesn't occur?
Minor contracts – Not worth the effort or cost
No right to appeal – One-shot decision
High upfront costs – More expensive than court
Specialized lawyers needed – Adds to cost
Unpredictable outcomes – Flexible rules = less certainty
What are the most common reasons to have arbitration courts?
Experts: Arbitrators often know technical stuff (e.g. contracts, engineering).
Fairness: You can avoid biased or corrupt courts.
Neutral location: You don’t have to go to the other party’s “home court.”
Language choice: Arbitrators can speak the contract language.
Faster: Often quicker than slow public courts.
Better enforcement: Easier to enforce internationally (thanks to treaties like the New York Convention).
Cheaper: Can be less expensive overall (but not always).
Final: No appeal → faster end.
What is the scope of the civil procedure
Handles civil law disputes only
Covers:
Commercial & business cases
Labour & employment issues
Consumer protection
Competition law
Parties are equal – even the state can be sued like any private party
What role does the state play in civil Cases
The state (e.g. Austria, Linz, Tyrol) can be a party in civil cases when it acts like a private legal person.
Examples:
Breach of contract (e.g. not delivering a purchased tank)
Personal injury (e.g. car accident with a state-owned vehicle)
What legal consequences do civil procedures carry?
Civil procedure results in civil (private) law consequences only. Criminal law consequences are not part of civil procedure. Exception: In some jurisdictions (e.g., USA), punitive damages may be awarded in civil cases, which can be very high. In Europe, punitive damages are rarely granted and often not enforced if awarded abroad.
What wrongdoing triggers what procedure?
Civil procedure: The victim sues to get money for the harm.
Criminal procedure: The state punishes the offender (e.g., prison, fines).
Administrative procedure: The authorities handle rules (like taxes or licenses).
How do different courts treat evidence?
Civil vs. Criminal courts can decide differently on same facts
→ Example: O.J. Simpson (acquitted criminally, liable civilly)
✅ Positive:
Courts are independent and follow different standards
❌ Negative:
Different outcomes can cause confusion and public distrust
How does the difference in evidence impact "sentencing" in different courts?
🟥 Criminal Court
Requires absolute certainty
Standard: Beyond reasonable doubt
→ Higher bar for conviction
🟦 Civil Court
Needs only predominant certainty
Standard: More likely than not
→ Easier to assign liability (e.g. compensation)
📌 Example:
A person acquitted in criminal court may still be liable in civil court
What are litigants?
Litigants = parties in a legal dispute
Can be individuals, companies, or the state
Involved in court or arbitration proceedings
what differences in procedural law vs common law is there?
In Europe (civil law): Judges follow written rules (codes).
In Common Law countries (like UK, US): Judges follow past decisions (precedents).
How does procedural law look in Europe?
Procedural law is usually codified in comprehensive codes (often one uniform code).
Judges must apply these codes strictly; their decisions must follow these legal rules.
Court practice is not a source of law—decisions must be based on statutory rules only.
Explain Substantive Law vs Procedural Law
Substantive law: Defines rights, obligations, and powers of persons (e.g., Civil Code, Commercial Code).
Procedural law: Rules on how to enforce rights and obtain legal decisions in court, including execution by the state.
What is the difference between Claimant and defendant in a civil procedure?
👤 Claimant
Starts the case.
Files the statement of claim (also called complaint or lawsuit).
🛡 Defendant
Person or party being sued.
Responds to the claim in court.
Is it possible to stop the preceding early?
Yes, parties can agree to a settlement
Often encouraged by the judge
Helps avoid risky or unpredictable court rulings
Saves time and costs
What are the possibilities for claims at court?
Reject the claim → ❌ because of a formal mistake (e.g., wrong form or wrong court)
Dismiss the claim → ⚖ after a full trial, the defendant wins
Grant the claim → ✅ after a full trial, the claimant wins
What are appeal and what do they cover?
Appeal = legal review of a court decision.
Filed by the losing party if they disagree.
Only covers mistakes by the first court.
No new facts or arguments allowed.
It’s a check, not a full retrial.
Some decisions can’t be appealed.
What are the main aspects of civil procedural law=
a) Organizational Law =
➡ Says where and by whom legal cases are handled.
(Which court, which judge, and what that court is allowed to do.)
b) Procedural Law (in the narrow sense) =
➡ Says how the process works:
How to file a case, how trials run, how to object, and how to appeal.
What types of courts are there in Europe?
🟢 Small courts – District courts (e.g. family, landlord cases)
🔵 Larger courts – Regional courts (e.g. IT, IP, data protection)
🟣 Appeals – Higher regional courts (review decisions)
🔴 Highest – Supreme Court (final say)
Explain the principle of party control
Parties set the scope of the dispute
Judge must stick to the subject brought by the parties
Common ways to end proceedings:
Withdraw the action (may still pay fees)
Waive the claim
Acknowledge the claim
Settle in court
What is the Principle of Orality
Evidence & testimonies must be given orally in court
Witnesses appear in person – no written statements
Documents allowed only in exceptional cases, must be read aloud
Applies mainly to the first instance
Appeals are usually written only
What is Principle of Immediacy in Civil Procedure
Direct evidence only – The deciding court must take the evidence itself.
No second-hand use – It can’t rely on evidence gathered by other courts.
Purpose – Ensures the judge sees and hears everything firsthand.
What is the Principle of Publicity in Civil Procedure
Court hearings are public – spectators may attend
Ensures transparency and trust in justice
Exceptions: Closed hearings in sensitive cases (e.g. minors, family, national security)
How do costs of courts work in Europe?
The loser pays the winner’s legal costs.
If both win a bit, they share the costs.
But: Not everything gets paid back — there are limits on how much can be claimed.
How do costs of courts work in America?
Low entry cost – Filing a civil case ≈ $200
Contingency fees – Lawyer gets paid only if you win
Big win possible, low risk – Claimant may win millions, risk is only the fee
No loser-pays rule – Claimant usually doesn’t pay defendant’s costs if they lose
What costs are there for civil procedural costs
✅ Court & Legal Costs – Made Simple
Court fees = Like an entry ticket the plaintiff pays to start the case.
➤ Based on how much money is being claimed (not a flat fee).
➤ Also includes things like witness travel or interpreters, but only during the trial, not before.
Legal fees = Money paid to lawyers or legal help (can also include nonprofit legal aid).
➤ Sometimes agreed directly, or set by law.
Party expenses = Other costs during the case (e.g., travel, lost income).
✅ If you win, some of these costs can be paid back by the losing side.
Under what circumstances is there a mandatory representation
In countries like Austria, you often need a lawyer in court when:
The claim is over €5,000 (especially in district courts).
In most bigger cases, you must have a lawyer no matter the amount, except for small claims under €5,000.
What rules for witnesses are there?
Must show up → Witnesses have to come to court (even ex-employees), unless they have a valid excuse (like a doctor’s note).
Must tell the truth → No lies, no half-truths. Lying = criminal offence.
Get money back → Travel costs are paid by the court (even flights, if approved).
Can say no → Close relatives or those who might get in trouble themselves can refuse to testify.
What subforms of appeals are there?
Comprehensive Appeal
New evidence and arguments allowed
Case continues almost like a new trial
Common in administrative law
Review Appeal (Ordinary Appeal)
Checks if the first court followed the law
No new facts or arguments
Common in civil proceedings
What is the purpose and limit of an appeal court?
🔁 Appeal Court – What can it do?
✅ Confirm the decision (no big errors)
✏ Amend small mistakes
❌ Set aside the decision and send it back if there are major errors
What is insolvency
Insolvency is a legal status where a business cannot pay its debts on time because its liabilities exceed its assets.
Definition may vary by country.
Leads to collective legal proceedings,
Managed by a court-appointed insolvency manager (receiver),
Individual creditor claims are replaced by one unified process.
What duties are the fore insolvency?
📢 Notification duty: Managers must report insolvency to the court quickly (e.g., within 60 days in Austria)
⚠ Late reporting = penalties (civil, tax, criminal)
🧐 Check business partners: Make sure they are not insolvent
🔍 Monitor partners: Register claims in time if they become insolvent
⚖ Applicable law: The law of the country where the company mainly operates applies
What is the insolvency procedure?
Court appoints insolvency manager to:
Check assets and business viability
Find investors or sell assets
Publish insolvency status online
Creditors must register claims in court
Outcomes:
✅ Business continues (with investor help)
❌ Business is liquidated (assets sold, often cheap)
How are creditors treated as a consequence of insolvency?
Secured creditors (e.g. with a mortgage or pledge) get paid first
They can sell the secured asset directly
All other creditors share what’s left pro rata (fairly, based on what they’re owed)
How does Private insolvency look?
Lasts 5 years: Part of your income goes to creditors.
Debt relief: If you pay at least 10% of your debts, the rest can be forgiven.
Extra money (e.g. inheritance or lottery win) must be given up during this time.
Bad behavior (like hiding money) cancels the process.
Only for private individuals, not businesses.
What public law relations are there?
Between state and individual
Subordinated: State is above the individual
State can act unilaterally (e.g. issue fines, revoke licenses)
No need for the individual’s consent
How can be sued in criminal court?
Only natural persons(human beings)
What acts re punishable under criminal law
Acts that violate important legal rules and harm society
Decided by lawmakers (political choice)
Examples: theft, assault, fraud
Some less serious acts are handled as administrative offences
When something is no longer a crime = decriminalisation
How does the severity of the punishment impact the procedure?
Serious punishments, especially imprisonment, must be decided by an independent court, not an administrative authority. According to the European Court of Justice, imprisonment over six weeks requires a court decision.
What legal "consequences" can a single act impose?
A single act can trigger multiple procedures:
(a) Criminal procedure – For serious crimes (e.g. manslaughter)
→ Handled by state prosecutor
(b) Administrative procedure – For rule violations (e.g. traffic breach)
→ Handled by authorities
(c) Civil procedure – For damages/compensation
→ Started by victim or heirs
What reasons for existence do the different legal interest have?
Administration: Regulating public order (e.g., traffic).
Criminal law: Protecting public values (e.g., life).
Civil law: Restoring individual harm (e.g., financial compensation).
Explain the benefit of doubt principle
🟥 Criminal Law
Benefit of the doubt applies
If there’s reasonable doubt, the accused must be acquitted
Judge/jury must be sure beyond reasonable doubt
🟦 Administrative Law
No benefit of the doubt
Guilt is assumed (e.g. parking sign ignored)
Accused must often prove innocence
What principles for sentencing are there in criminal vs administrative law
🟥 Criminal Law
Principle of absorption
Multiple crimes → one consolidated sentence
(e.g. one life sentence)
🟦 Administrative Law
Principle of accumulation
Each offence → separate penalty
(e.g. 10 fines for 10 violations)
How is the burden of proof treated in CL vs AL
🟥 Criminal Law
Prosecutor must prove everything.
Standard: Beyond reasonable doubt.
Accused is innocent until proven guilty.
🟦 Administrative Law
Some facts are automatically assumed true.
The person may have to disprove them (e.g. say a sign wasn’t visible).
Easier for the authority to win.
What is the hierarchy of instances between courts?
courts of appeal(regional courts)
Supreme Court
What role does the European court of human rights play in these instances
Not a third court instance
Steps in after all national remedies are used
Handles human rights violations (e.g. unfair trial – Article 6)
Can declare a violation and award compensation
Cannot overturn national decisions (no acquittal or release)
What is the role of the state and the victim in a criminal trial
The state prosecutes the offender — not the victim.
The victim is mainly a witness, providing testimony.
Fines/penalties go to the state, not the victim.
Focus: Punishment, not victim compensation.
In some systems, victims have added rights:
– Sit beside the prosecutor
– Question the defendant or witnesses
– Insist on prosecution even if the state wants to drop the case
What are differences between civi and criminal procedures are there?
Control over facts:
Civil: Parties decide scope and evidence
Criminal: Prosecutor leads investigation
Different outcomes on same facts:
Acquittal in criminal, but liability in civil
Standard of proof:
Criminal: Beyond reasonable doubt
Civil: Predominant probability
Benefit of the doubt:
Only applies in criminal cases
what does "not twice for the same matter" mean in legal terms?
No double prosecution for the same case
Known as “ne bis in idem” (like double jeopardy)
Case can only be reopened in special cases (e.g. new DNA evidence)
Protects against unfair repeated trials
What does No Punishment Without Law mean?
Only acts defined as crimes by law before the act can be punished
No retroactive laws – Past actions can't be criminalized later
Laws must be clear – No vague or broad rules
Prevents arbitrary punishment by the state
What is the difference between crimes and misdemeanours?
🟥 Crimes (Felonies)
Serious offences (e.g. murder)
Handled by regional courts
Recorded in criminal records (sometimes for life)
🟦 Misdemeanours
Minor offences (e.g. petty theft, minor damage)
Handled by district courts
Usually not recorded in criminal records
What is the difference between culpability and fault?
Culpability (guilt) is mainly used in criminal law.
Fault is more common in civil law and contract law
What are the major types of culpability?
Intent (Wilful Act) → The person knew what they were doing and wanted (or accepted) the harmful result.
➤ But intent doesn’t always mean they wanted the crime — just that they acted on purpose.
Negligence → The person didn’t mean to cause harm, but was careless and didn’t act like a reasonable person would.
➤ It’s about being too careless, not evil.
What subforms of a wilful act are there?
Direct Intent – The person wants the illegal outcome (e.g., hired killer).
Eventual Intent (Conditional Intent) – The person accepts the risk of the outcome and acts anyway.
what subforms of negligence are there?
🟥 Criminal Negligence
Punishable only in specific cases
(e.g. causing injury or death by negligence)
No intent, but carelessness leads to serious harm
⚖ Common Defense
Claim: Act was “only negligent”, not intentional
Goal: Avoid criminal liability
Are ommissions to act punishable?
Normally, just doing nothing is not a crime.
But sometimes, the law says you must act — and if you don’t, it can be criminal.
What is the difference between white collar and blue collar crimes?
white collar: Non-violent, financially motivated
Usually committed by professionals or businesspeople
blue collar: Typically violent or visible crimes
Often associated with manual labor or working-class individuals
What is the purpose of punishment in criminal law?
Subjective Deterrence – Stop offender from reoffending.
Objective Deterrence – Warn society not to commit crimes.
Rehabilitation – Help offender change and reintegrate.
Vengeance (Retribution) – Punish because it’s deserved.
what codes of criminal law legislation are there?
Criminal Code
Defines crimes & penalties
Lists offences and their elements
Sets punishments#
Code of Criminal Procedure
Rules for investigations & trials
Covers arrests, searches, and evidence
Protects rights of the accused
Penal Law
Governs how punishments are carried out
Covers prisons, fines, parole, prisoners’ rights
What are examples of modern white collar crimes and how are they treated by the law?
🧾 Examples:
Fraud
Bribery & corruption
Accounting manipulation
Tax evasion
Insider trading
⚖ Legal treatment:
Companies can be punished
If a senior person commits the crime
And the company failed to prevent it (e.g. no controls)
What are compliance programs?
Compliance programs are systems and rules inside a company to prevent legal violations.
They include:
🧭 Codes of conduct
🎓 Employee training
📢 Internal reporting rules
🛡 Policies to prevent misconduct
✅ Companies must show they are acting responsibly to avoid criminal or financial risks.
What are the elements of a crime?
Offence – A punishable act defined by law
Unlawfulness – No legal justification (e.g. self-defence doesn’t apply)
Guilt – The person can be blamed (e.g. mentally fit, aware)
Explain Offence:
An offence has two main parts:
Objective Elements (“external facts”):
– What happened?
– The act, result, and circumstances.
Subjective Elements (“mental state”):
– What was the mindset of the offender?
– Intent (wilful act) or negligence (carelessness).
explain unlawfulness:
An act is unlawful if it fits the offence and there is no legal justification.
✅ Justifications (make the act lawful):
Self-defence (Notwehr) – against a current attack, must be necessary & proportional
Consent – given freely, knowingly, and not against public morals
Legal duty/authority – e.g., police action within the law
Explain culpability:
Unlawful act ≠ always punished
Person must be blameworthy (culpable)
Factors:
Age – Children may not be punishable
Mental state – e.g. psychotic break = no guilt
Mistake of law:
Unavoidable → not guilty
Avoidable → lighter sentence
What conditions are necessary for guiltiness of a crime?
To be guilty, a person must:
✅ Have intent
– Objective: Will to act
– Subjective: Mental ability to understand right/wrong and freedom to choose differently
❗ Must be blameworthy → the person knew what they were doing and could have chosen not to do it
At what point does a crime become punishable?
Just planning a crime or collecting tools is usually not punishable as an attempt.
(Unless those acts are already crimes on their own, like illegal gun possession.)
But if someone joins a criminal gang (conspiracy), that can be punished even if nothing happens yet.
A real attempt becomes punishable once the person starts carrying out the crime — not just thinking or preparing.
How does abandonment of crime factor into punishment?
✅ No punishment if:
Voluntary withdrawal
Crime could still be completed
Offender actively stops the crime
❌ Still punishable if:
Offender quits due to external reasons
(e.g. fear, victim too strong, crime too hard)
How does active regret factor into the punishment of crimes?
After someone commits a crime, they might pay for the damage and say they’re truly sorry. This doesn’t make the crime go away, but it can help them get a lighter punishment.
What factors outside the crime influence the punishment?
🔺 Aggravating factors (→ harsher sentence):
Prior criminal record
Multiple offences
Cruel or malicious intent
🔻 Mitigating factors (→ lighter sentence):
Young age (18–21)
No prior convictions
Acted under pressure or influence
What is the purpose of international criminal law?
International criminal law decides:
Which court can deal with a case (👉 jurisdiction)
Which country’s law is used (👉 applicable law)
But it's not about:
One single world criminal law
The same punishment everywhere
Humanitarian war rules (that’s International Humanitarian Law)
What rules for jurisdictions are there?
Territoriality – Crime happens in Austria → Austrian law applied
Nationality – Austrians can be punished for crimes committed abroad
Passive personality – Crimes against Austrians abroad may trigger action
Universal jurisdiction – Covers serious crimes (e.g. war crimes) worldwide
Flag/State theory – Crimes on Austrian ships/planes fall under Austrian law
No extradition → national trial – Austria may prosecute if extradition fails
Name a few white collar crimes:
Misappropriation – Abuse of entrusted property.
Embezzlement – Keeping property you're supposed to manage or return.
Unauthorised Vehicle Use – Taking a vehicle without permission (often within families).
Appropriation – Taking something temporarily, with intent to return.
core types of offences:
Crimes Against Property
Theft (aggravated, gang-based, violent)
Burglary
Illegal energy extraction
Crimes Against Persons
Assault, murder, sexual offences
Crimes Against the State
Terrorism, treason, espionage
White-Collar Crimes
Fraud, embezzlement, corruption
Traffic Offences
DUI, reckless driving
Name a few fraud related crimes:
commercial -
insurance-
data processing-
What is warranty?
A warranty is:
A legally binding promise within a contract, and
Creates legal responsibility if the promise is not fulfilled,
Even without fault (strict liability applies).
If one party doesn’t perform as promised, they can be held accountable under the warranty.
How does fault factor into warranty?
Warranty = strict liability
No fault needed (no negligence or intent)
Any deviation from the agreed performance → liability
Focus is on the defect, not who caused it
What is necessary for warranty?
A defect, which is any deviation from the promised contractual performance.
What is a defect?
Quality defect → The product is not what was promised (e.g. broken, wrong model, bad material)
Quantity defect → The amount is wrong (too few, too much, or missing parts)
Legal defect → The seller didn’t transfer full ownership or the item is legally burdened (e.g. stolen or already pledged)
What legal remedies are there for defects?
🔁 Correction – Repair or replacement of the item.
💶 Price reduction – Pay less for the defective product.
❌ Contract rescission – Cancel the contract and return the item.
Where does the warranty take place?
At the original place of performance
Same location where the contract duty was first carried out (e.g. delivery or service)
What warranty periods are there in Austria?
movable goods 2 years
immovable goods: 3 years
how carries the burden of proof in warranty?
General rule: Buyer must prove defect existed at handover
Later defects = assumed from wear, misuse, or others
🇦🇹 In Austria:
First 6 months (or 1 year for consumers) → Seller must prove there was no defect
After that → Burden shifts to the buyer
Who is obligated to fulfil the warranty?
The original contractual partner
How is warranty implemented into law?
Statutory warranty law is mandatory in B2C relationships (Business-to-Consumer).
Any contractual deviations are only allowed if they are in the consumer's favor
Can the warranty be completely amended?
Not fully for brand-new goods
Total exclusion = usually invalid
Must respect the principle of good faith
Partial limits may be allowed (if fair and clear)
What purpose does warranty fulfil?
Correction mechanism – Fixes if something is not as agreed.
Not compensation – It’s not about paying money, but making things right.
Ensures fairness – Buyer gets exactly what they paid for – no more, no less.
Can't be capped or insured – Because it’s about restoring the agreed deal, not covering loss.