Working with German businesses, suppliers, or customers means your contractual relationships are typically governed by German law — whether or not your contracts explicitly state this. German contract law (Bürgerliches Gesetzbuch, BGB) and commercial law (Handelsgesetzbuch, HGB) provide the framework for all types of commercial agreements: purchase contracts, service agreements, licensing deals, distribution agreements, SaaS contracts, and agency arrangements. For international companies, this often means that familiar concepts from their home jurisdiction — such as common law remedies, implied terms, or specific warranty standards — do not apply in the way they expect.
HUFELD advises international companies on German contract law throughout the entire contract lifecycle. We draft new agreements that are enforceable under German law, review existing contracts for legal risks and invalid clauses, negotiate contract terms with German counterparties, and advise on remedies when contracts are not performed as agreed. Our advice is provided in English, and contracts can be drafted bilingually or in English with German law as the governing law.
When a German business partner fails to pay, delivers defective goods or services, or otherwise breaches a contractual obligation, international companies face the challenge of enforcing their rights efficiently from abroad. German law provides a structured set of remedies depending on the nature of the breach: the right to demand performance (Erfüllungsanspruch), to claim damages (Schadensersatz), to withdraw from the contract (Rücktritt), to reduce the price (Minderung), or to withhold your own performance until the other side performs (Zurückbehaltungsrecht).
HUFELD handles commercial claims for international clients at every stage of the process. We conduct an initial legal assessment, draft pre-litigation demand letters (Mahnschreiben) and set cure periods (Nachfristen), pursue out-of-court settlement where appropriate, and initiate court proceedings before German civil and commercial courts when necessary. We also advise on jurisdictional questions — whether German courts have jurisdiction, whether a foreign judgment can be enforced in Germany, and whether international arbitration or mediation may be a better option. In many situations, a formal demand letter from a German lawyer is sufficient to achieve payment or resolution without litigation.
German law contains some of the strictest rules in Europe on standard terms and conditions (Allgemeine Geschäftsbedingungen, AGB). Under §§ 305 ff. BGB, standard terms are only incorporated into a contract if they have been clearly communicated and the other party has had a realistic opportunity to review them. Many types of clauses — particularly in B2C contracts, but also in a range of B2B contexts — are automatically invalid even if formally agreed upon, because German courts treat them as unreasonably disadvantaging one party.
For international companies active in Germany, this means that existing terms and conditions valid in their home country may be unenforceable or partially invalid under German law. Common problems include overly broad liability exclusions, automatic renewal clauses, jurisdiction provisions conflicting with mandatory German or EU rules, and warranty limitations that exceed what German law permits. HUFELD reviews existing terms and conditions for German law compliance, identifies invalid or risky clauses, and drafts German-compliant AGB tailored to specific business models — whether in e-commerce, SaaS, services, or traditional commercial supply.
HUFELD is a Munich-based German business law firm advising international founders, companies, agencies, and entrepreneurs in English. We understand the particular challenges international businesses face when dealing with German contract law: unfamiliar legal concepts, language barriers, uncertainty about jurisdiction, and the practical difficulty of managing a German legal matter from abroad.
Our lawyers work in English with international clients and are experienced in presenting German legal concepts in clear, practical terms. We provide written legal advice in English, draft and review contracts bilingually or in English with German law as the governing law, and represent international clients in German pre-litigation procedures and court proceedings. Our goal is not only to provide legal analysis but to help clients make informed decisions and resolve their contract and claims issues efficiently under German law.
Yes. Foreign companies can enforce contracts under German law in German courts without needing a German subsidiary or local presence. Whether German courts have jurisdiction depends on the contract's jurisdiction clause and EU or international private law rules. HUFELD advises on jurisdiction, applicable law, and enforcement strategy for international clients.
If you supply goods or services to German businesses or consumers, German-compliant terms and conditions are strongly recommended. AGB that do not meet German requirements may be partly or fully invalid, which can expose you to liability and undermine your contractual position. HUFELD drafts and reviews AGB tailored to your specific business model.
The first step is a legal assessment of the breach, the applicable contract terms, and the available remedies under German law. Options typically include a formal demand letter, setting a cure period, negotiating a settlement, or initiating court proceedings. HUFELD advises on the most effective strategy for your situation and handles the necessary steps on your behalf.
Yes. We regularly review commercial contracts drafted in English, particularly where the contract is governed by German law or the counterparty is based in Germany. We assess the enforceability of key provisions under German law, identify risks, and propose modifications to protect your position.
The standard limitation period for commercial claims under German law is three years (§ 195 BGB), beginning at the end of the year in which the claim arose and the claimant became or should have become aware of it. Special limitation periods apply in some cases. HUFELD advises on applicable deadlines and ensures claims are asserted in time.
