Conciliation hearing
Conciliation hearing / Güteverhandlung
May 14, 2024
The conciliation hearing is an oral hearing before the court in civil proceedings in accordance with Section 278 (2) ZPO and before the labour courts in accordance with Section 54 ArbGG. It serves to bring about an amicable agreement, a so-called settlement, and thus bring the legal dispute to an efficient and cost-saving end. The advantages of an amicable settlement lie in the fact that not only legal, but also economic, social and emotional factors of the parties can be taken into account.
This often leads to a more sustainable solution that puts less strain on the relationship between the parties. In addition, an amicable settlement is legally binding and has the same effect as a court judgement, which contributes to legal certainty.
The conciliation hearing usually begins with a brief introduction by the judge, who emphasises the importance of an amicable settlement and explains the framework conditions of the procedure. The parties then have the opportunity to present their points of view and arguments, with the judge actively listening and asking clarifying questions if necessary. It is customary for the judge to mediate between the parties and help formulate compromises. Breaks may also be taken during the hearing to give the parties time for private consultations. The aim is to reach a settlement at the end of the hearing, which is recorded by the judge. A settlement reached in the conciliation hearing is legally binding and enforceable like a court judgement.
In labour court proceedings, the conciliation hearing takes place in a separate hearing, which is scheduled as soon as possible after the complaint is received by the court. If the parties are unable to reach an agreement, the contentious hearing takes place at a later date. In a settlement, the parties can reach agreements on all points in dispute. In labour law proceedings, e.g. in unfair dismissal proceedings, agreements can be reached on the date of dismissal, the reason for dismissal, severance pay, a reference, bonus payments, ESOP entitlements, holiday entitlements, the return or right to keep work equipment such as laptops or mobile phones, confidentiality obligations or language regulations.