Facts
The case concerns the acquisition of an agricultural business by a joint-stock company (A.X. AG). The owner of the business, X., had contributed it to A.X. AG. This involved various plots of land in several municipalities that together formed an agricultural business. A portion of these plots of land was located in the building zone. The permit for the acquisition of the business by A.X. AG was rejected by the Office of Agriculture.
A.X. AG and X. then filed a complaint with the Federal Supreme Court. They argued that the plot of land in the building zone remained part of the agricultural business and that therefore the main assets of A.X. AG consisted of an agricultural business. Consequently, the company would be subject to the provisions of the Federal Act on Rural Land Law (BGBB).
Considerations
The Federal Supreme Court upheld the complaint. It stated that legal entities can generally acquire and dispose of agricultural businesses, provided that the holders of the majority interest meet the requirements for self-cultivation. Even if the plot of land in the building zone is no longer subject to the BGBB, it remains part of the agricultural business until an exception to the prohibition on division is granted.
There is no circumvention of the law, as any transfer of shares in a company that owns an agricultural business is subject to the permit requirement…