Public-law contracts as the basis for the creation, modification and termination of legal relationships, taking account of tax law

Abstract

According to German legislation, which complies with the legislation of a large number of European and post-Soviet countries, the administrative procedure can be concluded with two different results. In most of cases, administrative actions will be aimed at adopting an administrative act. This is a centralized form of public administration, with which direct rights are justified, modified or discontinued. So, for example, the abstract right to a constitutionally protected property guarantees that a person is allowed to build on the territory that belongs to him (so-called "freedom of construction") is made by a way of passing an administrative act, named a building permit. Only this building permit gives concrete right for the construction of a particular building (according to the submitted architectural documents). Thus, the law on construction can be applied only by issuing a building permit, as well as can be canceled by canceling the construction permit or changing its contents.

The second form of administration that can be used to conclude an administrative procedure in accordance with Article 9 of the law is a public contract. In practice, this is much less common in comparison with an administrative act and is not indisputable in general as a tool of government action.