The managing director of a limited liability company is appointed and dismissed by the shareholders’ meeting. A managing director may be dismissed at any time, even without giving reasons.
In this respect, a distinction must be made between the position as managing director and the contractually agreed employment relationship, in which, for example, remuneration claims, vacation entitlement and retirement benefits are regulated.
While dismissal can take place at any time, termination of the employment relationship depends on the contractually agreed deadlines, whereby a dependency is often established between the position as managing director and the employment relationship.
The dismissal of a managing director becomes effective upon adoption of the shareholders’ resolution; the entry of the dismissal in the commercial register is only declaratory in this respect.
