Dispute over Corona aid - Part of the entrepreneur wins - Court to Rule on Corona Aid Repayments, Affecting Hundreds of Cases
The Administrative Court of Baden-Württemberg in Mannheim is currently handling six pattern cases on the repayment of Corona emergency aid, with decisions expected after October 7, 2025. These cases involve hundreds of other similar cases and around 1,400 lawsuits by entrepreneurs against repayment demands, including that of hairdresser Holger Schier from Heidenheim an der Brenz.
The court aims to clarify consistent legal principles amid contested repayment demands based on whether the economic forecasts underlying the aid were accurate. In one case involving a winemaker from Freiburg, the entrepreneur's appeal against a first-instance decision was successful. The Administrative Court of Appeals (VGH) of Baden-Württemberg ruled in favor of entrepreneurs in five cases involving the repayment of Corona emergency aid. Meanwhile, the court rejected the appeals of the L-Bank against four rulings by various administrative courts. Entrepreneurs do not have to repay the money from the Corona pandemic to the state in these five cases. However, the rulings are not yet final, and reasons for the decisions are expected in November. In a case involving a driving school operator, the court ruled in favor of the state, and the repayment of Corona emergency aid was justified.
These rulings and ongoing cases are crucial for entrepreneurs who received aid during the pandemic in Baden-Württemberg. While some entrepreneurs, like hairdresser Holger Schier, have won their cases, others await final decisions. The court's goal is to establish clear legal principles regarding the repayment of emergency aid based on accurate economic forecasts.
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