Area of expertise | Contract Law

For an experienced contract law attorney, the specific subject matter of a contract generally does not matter. It can range from a long-term agreement for the supply of eggs from a poultry farm to a wholesaler, to a maintenance contract for cogeneration installations (WKK). Every well-drafted contract includes provisions on matters such as duration, pricing, performance, default, notice of default, suspension, force majeure, and liability.

In some cases, the law requires that a contract must be made in writing, such as the purchase and sale of property between private individuals. This cannot be done orally, and an oral agreement is not valid. However, nearly all other contracts can be validly concluded orally. That said, the exact content of oral agreements can be difficult to prove, especially after several years. A contract law attorney can assist in clearly drafting the terms agreed upon by the parties. The clearer the agreements are from the outset, the lower the risk of disputes or litigation later on. This saves both time and money.

When parties have made only a few basic agreements (either orally or in writing), their rights and obligations as contracting parties are additionally determined by the statutory rules of contract law. For example, the work of a contractor must, by law, meet at least the “standards of good craftsmanship,” even if there are few other specific terms agreed upon with the client.

Contract law also covers general terms and conditions. General terms and conditions are essentially a set of provisions added by one party to every contract. However, it is important to note that the application of general terms and conditions must be agreed upon, just like the price must be agreed upon. If a party does not wish the other party’s general terms and conditions to apply, they must expressly reject them. Sometimes, a situation arises in which one party has tacitly accepted the application of general terms and conditions. This can lead to unpleasant surprises. It may also occur that both parties want their own terms to apply, resulting in a “battle of forms.” In such cases, the court will decide which terms govern.

For a non-lawyer, the terms “terminate,” “end,” and “dissolve” might seem interchangeable, with no real difference. However, there is indeed a distinction. Taking the wrong approach in this regard can lead to undesirable consequences. If a party improperly ceases performance of a contract, that party may become liable for damages to the other contracting party. A contract may be legally terminated in accordance with the contract’s end date, while adhering to the applicable notice period. A termination is invalid if it is not made in accordance with the contract’s specified end date or if the applicable notice period or formalities (e.g., registered letter) are not respected. If the parties agree that it is best to end the contract, termination by mutual agreement is possible at any time. Finally, a court may dissolve a contract between the parties if there are valid legal grounds for doing so. When dealing with contract law matters, and especially if you wish to terminate an existing contract, seeking legal advice from a contract law attorney beforehand is essential.