What is the task of notaries?

Jakobus Schuster

CEO | Co-Founder

13 April 2022

The foundation of a GmbH is an important decision. It entails rights and obligations. For example, the relationship between the shareholders must be regulated.

For example:

Who may decide what and with what majority?
How is profit distributed?
Who represents the company and to what extent?

Such issues are regulated in the articles of association of a GmbH. This must be drawn up as a notarial deed. We explain what the notary's task is.

What is a notarial deed?

A notarial deed is a contract that must be read out by a notary in order to become effective. On the one hand, this offers protection against hastily concluding contracts with far-reaching consequences. Much more important, however, are the informative and legal advisory tasks of notaries.

Task of notaries in the notarial deed

Notaries must exercise their profession impartially and objectively. In the notarial deed, notaries ensure that all contracting parties know their rights and obligations under the contract. In the case of a notarial deed for the formation of a limited liability company, for example, a notary reads out the entire contract. It is the notary's task to explain to the contracting parties in simple language what is regulated in the contract. Complicated legal texts are not always easy to understand. If the contracting parties have different levels of experience, this leads to a balancing of information asymmetries. One of the tasks of the notary in the notarial deed is therefore to ensure fair and balanced contractual regulations. In this way, the contracting parties are protected by the notarial deed in the case of important contracts.

Online notarial deed

At notarity it is also possible to process notarial deed online. For this purpose, the contracting parties meet with the notary directly on the internet. app.notarity.com in a video conference. Thus, online notarial deeds function in a user-friendly, flexible and 100% digital way. If you have any questions about online notarial deeds, please do not hesitate to contact us.