Trade law managing director – appointed (non-statutory) bodies

In the case of a regulated trade that requires proof of professional qualification, the trade law managing director of a legal entity must either be a member of the company’s statutory representative body, such as the managing director of a GmbH, or be employed in the business for at least half of the standard weekly working hours and be fully subject to social security obligations under the applicable social insurance regulations.

If the person is not a socially insured employee, then according to the clear wording of the law, only someone who is part of the company’s statutory representative body can be appointed as trade law managing director. Voluntarily appointed bodies, such as those engaged through service or work contracts, are not covered by this regulation and cannot serve as trade law managing directors.

VwGH 29.05.2024, Ra 2022/04/0119