Auction; application for permission by non-EU citizens

If you want to auction off movable property, real estate or rights belonging to third parties, you need a permit.

Description

The auction of other people's movable property, other people's land or other people's rights is subject to permission. Movable property also includes fruit on the stalk and wood on the trunk.

The auctioneer is subject to certain prohibitions. For example, he may not bid for himself or through another at his auctions, or purchase auction goods entrusted to him, or auction movable goods from among the goods he carries in his commercial business, unless this is customary.

Furthermore, the auctioneer is subject to the requirements of the Auctioneer Ordinance (VerstV) when carrying out his trade, e.g. he must

  • prepare a list of the items to be auctioned at the latest two weeks before the auction, in which the items to be auctioned from each buyer are to be uniformly identified
  • notify the competent authority and the chamber of commerce and industry in whose district the auction is to be held in writing of each auction at least two weeks before the planned auction date, stating the place and time of the auction as well as the type of goods to be auctioned off
  • give the auctioneer the opportunity to inspect the goods to be auctioned for a period of at least two hours
  • keep a record of each auction order and its execution.

In the case of partnerships, the trader is any managing partner; in the case of legal entities, the permission is granted to the legal entity.

Particularly competent auctioneers, with the exception of legal entities, may be publicly appointed by the competent authority (see under "Related Topics").

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

In addition to obtaining the permit, you must also register the trade with the relevant municipality.

Prerequisites

In principle, a residence permit is required that allows the exercise of self-employed activities.

The requirements for the permit are reliability and orderly financial circumstances of the trader.

With regard to reliability, the applicant is generally required to submit an official certificate of good conduct or an extract from the criminal record of his or her home country or an equivalent document and/or a certificate of good conduct for public authorities and information from the central commercial register. If, on the basis of the foreigner's previous residence, it can be assumed that facts relevant to trade law are no longer or not yet contained in the above-mentioned certificates and evidence, submission of the foreign or German certificates can be waived.

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

Deadlines

Duration of the procedure approx. 3 - 5 weeks

Required documents

  • Non-EU foreign nationals: Residence title permitting self-employed (independent) activities
  • valid identity card or passport
  • Proof of reliability

    Official certificate of good conduct or extract from the criminal record of the home country or an equivalent document and/or a certificate of good conduct for public authorities (Section 30 (5) of the Federal Central Register Act) and information from the Central Trade Register (Section 150 (5) of the Trade, Commerce and Industry Regulation Act).

  • proof of financial standing

    Certificate of exemption from insolvency from the home state and, if applicable, information on entries in the register to be kept by the insolvency court or the enforcement court (section 26 subs. 2 Insolvency Code, section 915 Code of Civil Procedure)

  • in the case of a power of attorney: a written power of attorney and identification of the grantor of the power of attorney and the authorized representative
  • for registered companies, civil law companies and limited liability companies:

    • for registered companies: Commercial register excerpt or comparable registration documents from abroad (with German translation),
    • in the case of companies under civil law: articles of association,
    • in the case of a GmbH in the process of formation: a copy of the notarial formation agreement and a power of attorney from the founders, according to which the commencement of the trade is to be commenced prior to the entry in the commercial register.

Fees

  • Permit: 50 to 1,000 Euro according to the cost schedule to the Cost Law (Tariff No. 5.III.5/13.1)

Status: 03.08.2022

Responsible for editing: Bayerisches Staatsministerium für Wirtschaft, Landesentwicklung und Energie

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  • Online transactions, Bavaria-wide
  • Online transactions, locally limited
  • Prefillable Form, Bavaria-wide
  • Legal bases, Bavaria-wide
  • Legal bases, locally limited
  • Fees, Bavaria-wide
  • Fees, locally limited
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