II UKN 37/96
AI generated
Supreme Court dismisses appeal; self-employment contract in one-person LLC is void due to lack of subordination.
Legislator summary
AI generatedThe Supreme Court dismissed the cassation appeal regarding the invalidity of employment contracts between a sole shareholder and the one-person company he founded. The lower courts found that the contracts lacked essential elements of employment, specifically the element of subordination, because the shareholder was effectively contracting with himself. Consequently, the court ruled that such agreements are void as an attempt to circumvent labor law requirements.
Legislator headnote
AI generatedArt. 203 KH; Art. 58 KC; Art. 83 KC: Employment contracts between a sole shareholder and a one-person LLC are void due to lack of subordination and constitute a sham to evade labor law.
Keywords
AI generated
one-person LLC
sole shareholder
employment contract
lack of subordination
void contract
labor law evasion
self-employment
Cited Legislation
AI generatedArt. 203 KH
Art. 58 KC
Art. 83 KC
Art. 393 § 12 KPC