Corporate Criminal Liability in Germany

Abstract

In general terms, German law recognizes corporate liability as a consequence of legal personality: contract and tort law provide that corporations are liable for the wrongdoing of their representatives or employees, and special concepts of civil liability (e.g., product liability) can result in the liability of corporations as well. A form of corporate liability can also be found in German administrative law, for example, in provisions dealing with the protection of the environment. By contrast, the German Penal Code does not provide for the imposition of criminal sanctions on corporations. In drafting the code in 1870, the German legislator adhered to a notion of personal guilt that could not be applied to corporations; following the ancient rule, societas delinquere non potest, it limited criminal liability to natural persons. However, according to § 30 (1) Regulatory Offenses Act an administrative fine can be imposed on a corporation.