Contract Law

The basic structures of contracts of sale are prescribed by law. In contrast to English law, a contract under German law requires no detailed provisions and definitions on issues such as right of retention, set-off or assignment, as these have already been provided by the legislator. Unless the contract expressly stipulates otherwise, the statutory provisions will apply.

The United nations Convention on Contracts for the International Sale of Goods (CSIG), which has been ratified by almost all major industrial and commercial nation, applies to international contracts for the sale of goods. The UN Sales Convention is strongly influenced by Continental European legal principles and therefore meshes particularly well with German law. No other member state of the UN Sales Convention has passed more court decisions on matters under this Convention than Germany. These decisions are often cited by other countries. For further information about contract law, click Pdf at the right.