Following a referendum last October deemed void and unconstitutional by the Constitutional Court, Spanish authorities arrested then-members of the Catalan Government and leaders of civil society organisations and charged them with rebellion, among other charges.
On March 23, Spanish Supreme Court Judge Pablo Llarena initiated a European arrest warrant for 25 Catalan politicians, including Puigdemont, regarding the illegitimate Catalan independence referendum of 2017.
Lawyers for Carles Puigdemont have arrived at the German prison where the former Catalan leader has been held for the past two weeks.
However, the court ruled out Puigdemont's extradition based on charges of "rebellion", highlighting that it was not compatible with the German law.
A German court is deciding whether Puigdemont should be extradited on the lesser charge of misuse of public funds to hold a banned referendum on independence for Catalonia previous year.
A court in the northern town of Schleswig set bail at €75,000 (£65,500).
He repeated a call for dialogue with the Spanish state and asked the authorities to respect the results of last December's regional elections - which saw the Catalan separatists win a slim majority.
The official, who spoke under customary anonymity, said "Spanish justice will adopt the appropriate measures in the face of these new circumstances".
The court said Thursday that Puigdemont can't be extradited on the main charge Spain is leveling against him, that of rebellion, because the comparable German charge of treason specifies "violence".
The German court decided the charge of rebellion did not warrant extradition, because the accusation isn't punishable under German law.
A previous attempt to appoint Sanchez as regional president failed last month after Spain's Supreme Court turned down a request for him to be released from jail to be sworn in.
Sanchez said in a letter from a Madrid jail published Thursday that he was ready to try again to be elected.
The former chief of Catalonia's regional police and other regional security officials have been charged with sedition over their role in events leading a year ago to a banned independence referendum.
He was trying to drive from Finland to Belgium, where he had been living since fleeing to escape arrest in Spain.