Save them at any cost? Local authority-owned companies at risk of insolvency

Dr. Dominik Lück | Dr. Maximilian Dombert

Podcast

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02.07.2026

Episode 4 – Rescue at any cost? Local authority-owned companies at risk of insolvency

 

A local tourism company has gone into administration following massive cost increases – and the local authority is already in the midst of making further investments in schools and the fire service. The case in Wangerland raises a question that is on the minds of many local authorities: must towns and local authorities save their companies at any cost?

Dombert and Lück break this down: what legal forms municipal enterprises can take, when a local authority is even permitted to engage in economic activity – and where the crucial distinction lies between voluntary tasks, such as running a swimming pool, and genuine statutory duties, such as water supply. There is no general obligation to bail out such organisations. But what then? Financial injections, fee adjustments, inter-municipal cooperation – and why state aid law must not be overlooked in this context.

The nucleus of democracy - municipal law with Dombert & Lück

 

Municipal law in an understandable, practical way and without paragraph-by-paragraph: In this podcast, the lawyers and specialist lawyers for administrative law speak Dr. Dominik Lück and Dr. Maximilian Dombert on the legal issues that cities, municipalities and municipal companies deal with on a daily basis.

 

As partners in the law firm Dombert Rechtsanwälte, they have been advising local authorities at the interface of law, politics and administration for many years. In their talks, they take you into their everyday professional lives, discuss current developments in municipal law and explain complex topics in such a way that they remain understandable even without a legal background.

 

This is because many of the major social issues are decided locally: Building and infrastructure projects, healthcare, the environment, schools, housing and municipal companies. It is precisely here - in the cities and municipalities - that the nucleus of democracy lies.

The podcast is aimed at local authorities, municipal companies, politicians and anyone who wants to understand how the law works at municipal level.

 

A podcast about local law, administration and politics - understandable, practical and with a look behind the scenes of municipal decision-making processes.

Listen now.

The nucleus of democracy - municipal law with Dombert & Lück. Wherever there are podcasts.

DOMBERT Rechtsanwälte

Our work covers all legal issues and conflicts in which the state, municipalities or authorities are involved.