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CTS Eventim suing German government for €560m

The legal dispute comes after the government terminated a €2 billion+ contract with CTS company AutoTicket and didn't offer compensation

By IQ on 04 Apr 2022

Klaus-Peter Schulenberg, CEO of CTS Eventim

AutoTicket, a joint venture between CTS Eventim and Kapsch TrafficCom, is suing the Federal Republic of Germany for approximately €560 million.

In 2018, AutoTicket secured a 12–15-year contract, worth more than €2 billion, from the ministry of transport to collect traffic tolls in Germany.

It was to be the first time CTS Eventim’s technology was used outside the ticketing sector.

A decision on the amount of the claim will be made in the second phase of the arbitral proceedings

However, the government terminated the operating agreement, alleging “poor performance”.

AutoTicket is now disputing the decision in an arbitral tribunal, which involves a panel of unbiased adjudicators sitting to resolve a dispute between parties.

The first phase of the two-stage tribunal has found that the government was not allowed to unilaterally withdraw from the contract without compensation.

The arbitral award also rejected poor performance as a reason for termination, meaning AutoTicket is entitled to damages and reimbursement of expenses.

The company is asking for €560m in compensation but a decision on the amount of the claim will be made in the second phase of the arbitral proceedings.


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