Auctioneer trade; application for a license

The auctioning of third-party movable property, third-party land or third-party rights is subject to authorization.

The auctioneer is generally subject to certain prohibitions, e.g. he may not bid for himself or through another person at his auctions or purchase auctioned goods entrusted to him or auction movable goods from the range of goods he carries in his commercial business, unless this is customary.

Furthermore, the auctioneer is subject to the requirements of the Auctioneers Ordinance (VerstV), e.g. he must

• prepare a list of the items to be auctioned no later than two weeks before the auction, in which the auctioned items of each client are to be uniformly identified
• notify the competent authority in writing or electronically of each auction at least two weeks before the planned auction date, stating the place and time of the auction and the type of goods to be auctioned
• provide the opportunity to inspect the auctioned item for at least two hours
• keep a record of each auction order and its execution

In the case of partnerships, every managing partner is a trader; in the case of legal entities, the license is issued to the legal entity.

Auctioneers with special expertise, with the exception of legal entities, can be publicly appointed by the competent authority (see "Related topics").

When assessing the required special expertise, training and qualification certificates issued in the country of origin must also be recognized. If the applicant is authorized to conduct auctions in the country of origin,

• which are reserved there for persons who have a level of expertise essentially equivalent to the special expertise, or
• has worked full-time as an expert auctioneer in two of the last ten years and the evidence submitted shows that the applicant has above-average expertise that essentially corresponds to the special expertise under Section 34 b (5) GewO,

his expertise must be recognized.

In the event of significant deviations in the content of the applicant's previous training or activity from the content in accordance with Section 34b (5) GewO, the applicant may be required to take an aptitude test or an adaptation course at his discretion.

The authorities have rights of information and inspection vis-à-vis traders. At the request of the authorities, the parties concerned must provide the information required to monitor business operations. Furthermore, the authorities are authorized to enter the business premises in order to carry out inspections and visits.

In addition to obtaining a permit, the business must be registered with the responsible municipality.

Permit requirements are reliability and orderly financial circumstances of the trader.

The applicant's reliability is checked on the basis of a certificate of good conduct for authorities and information from the central trade register.

The orderly financial circumstances are determined on the basis of information about entries in the register kept by the insolvency court or the enforcement court.

Permit for EU citizens

The trader's reliability and financial circumstances are checked on the basis of documents issued in the country of origin that prove that the requirements for reliability and orderly financial circumstances are met. It may be required that a certified copy of the documents and a certified German translation be submitted. If such documents are not issued in the country of origin, they may be replaced by an affidavit in lieu of an oath by the trader or comparable acts under the law of the country of origin.

When applying for a public appointment, proof of training and qualifications from the country of origin must be submitted. An aptitude test or an adaptation period may be required.

Permit for non-EU citizens

In principle, a residence permit that allows you to work on a self-employed basis is required.

With regard to reliability, applicants are generally required to submit an official certificate of good conduct or good character or an extract from the criminal record of their home country or an equivalent document and/or a certificate of good conduct for authorities and information from the central trade register. If, based on the foreigner's previous residence, it can be assumed that the aforementioned certificates and proofs no longer or not yet contain facts of significance under trade law, the foreign or German certificates may be dispensed with.

The orderly financial circumstances are determined on the basis of a certificate of freedom from insolvency from the home country and, if applicable, on the basis of information on entries in the register to be kept by the insolvency court or the enforcement court.

• For registered companies (including GmbHs): an extract from the commercial register or comparable registration documents from abroad (with a German translation),
• For partnerships: partnership agreement,
• For a GmbH in the process of being formed: a copy of the notarized articles of incorporation and a power of attorney from the founders authorizing the commencement of business operations prior to entry in the commercial register.

For registered companies (e.g., GmbH): an extract from the commercial register or comparable registration documents from abroad (with a German translation); for civil law partnerships: the partnership agreement; for a GmbH in the process of being formed: A copy of the notarized articles of incorporation and a power of attorney from the founders stating that business operations are to commence prior to entry in the commercial register

Official certificate of good conduct or good character or extract from the criminal record of the home country or an equivalent document and/or a certificate of good conduct for authorities and information from the central trade register

Permit: 50 to 1,000 euros in accordance with the Schedule of Costs under the Costs Act (Tariff No. 5.III.5/13.1)

• § Section 34b (1) of the Trade, Commerce and Industry Regulation Act (GewO)
• § Section 34b (5) of the Trade Regulation Act (GewO)
• Ordinance on Commercial Auctions (Auction Ordinance - VerstV)
• Annex to the Ordinance on the Enactment of the Schedule of Costs under the Costs Act (Kostenverzeichnis - KVz)

• Auction; advertisement
• Auctioneer trade; application for appointment as a particularly competent auctioneer