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In real estate and brokerage law, conflict of interest review refers to the process of determining whether a broker, notary, or other service provider is in a conflict of interest when a contract is concluded-that is, whether they are acting on behalf of both the seller and the buyer at the same time or representing other conflicting interests. In a broader sense, conflict of interest review in construction law and building planning (BIM - Building Information Modeling) refers to the software-based process used to check planning elements from various disciplines (structural engineering, building services, architecture) for geometric and functional conflicts before construction begins.
A real estate broker may generally represent both parties in a real estate transaction (so-called dual agency), but must disclose this fact. If the broker is in a genuine conflict of interest-for example, if they actively advise both the seller and the buyer while representing differing objectives-their right to a commission may be jeopardized. The notary is legally obligated to remain impartial (Section 14 BNotO) and may not act if they are in a conflict of interest. When changing notaries or inquiring about conflicts of interest, one should openly ask whether there are any prior relationships with either party.
The legal consequences of covert dual representation are far-reaching: The brokerage firm not only loses its right to a commission from one or both parties but may also be held liable for damages if the client has suffered demonstrable harm as a result of the conflict of interest. Buyers should therefore obtain written confirmation at the start of any relationship with a broker regarding whom the broker represents and whether they receive commissions from both parties. The statutory requirement for equal commission sharing (§ 656c BGB), in effect since 2020, for purchase agreements involving residential real estate further restricts commission models that place a one-sided burden on one party.
In modern building planning using BIM (Building Information Modeling), clash detection is an indispensable step before construction begins. Specialized software (e.g., Autodesk Navisworks, Solibri) overlays the digital discipline-specific models from architects, structural engineers, and MEP engineers and automatically identifies all locations where components overlap or are too close to one another. Examples: A ventilation duct running through a structural beam, or piping that is too close to electrical installations. Early detection of such conflicts prevents costly rework on the construction site.
The cost of resolving a collision increases significantly as the planning process progresses: What can be corrected in the planning phase with just a few hours of work often causes downtime for multiple trades on the construction site and results in five- to six-figure additional costs. Conducting regular clash detection checks-ideally after each planning round-therefore not only ensures quality but also directly reduces costs. Large construction projects such as hospitals, schools, or office complexes now routinely undergo multiple BIM coordination rounds before the groundbreaking ceremony.
Anyone purchasing a new-construction apartment or a new-construction project from a developer indirectly benefits from a thorough clash detection check during the planning phase: Fewer planning errors mean fewer construction delays, lower cost overruns, and higher quality of the finished property. Buyers should ask the developer whether and how clash detection is integrated into the planning process-a hallmark of quality for professional project developers.
Furthermore, the quality of planning often serves as an indicator of a developer’s reliability and competence. Companies that work with coordinated BIM models and verifiable clash detection reports demonstrate that they take their craft seriously and operate in a structured manner. In contrast, frequent construction delays and high change order costs are often a sign of inadequate preliminary coordination-and may indicate a lack of clash detection.
In the Nuremberg metropolitan region, BIM-based planning processes are increasingly becoming the standard for larger commercial and residential projects. When purchasing new construction projects, we recommend specifically asking for BIM documentation and clarifying which specialist engineers are involved in the project. For renovation projects, we recommend coordinating with architects and tradespeople early on to identify conflicts between new building services and the existing structural framework-especially when installing ventilation systems, heat pumps, or underfloor heating in Wilhelminian-style buildings. At my-home.de, we help buyers of new-construction properties assess the quality of planning and execution-an important criterion alongside location and price.
A hard clash occurs when two components physically overlap-e.g., a pipe running through a wall without an opening. A soft clash refers to insufficient spacing between components-e.g., too little space for installation, maintenance, or fire safety clearances. Both types must be resolved before construction begins.
Yes. Anyone acting as an agent for both sides (dual agency) must disclose this to both parties. Concealed dual agency can result in forfeiture of the commission claim and have legal consequences.
Ask the agent explicitly at the outset whether they are also working for the seller and whether they receive a commission from both sides. You can consult an independent buyer’s attorney or seek neutral advice to protect your interests. A written clarification of the terms of engagement prior to viewing appointments provides additional protection.
The market leaders are Autodesk Navisworks, Solibri Model Checker, and Trimble Connect. These programs can merge the specialized models of various design partners (IFC format), automatically detect clashes, and document them in reports. BIM platforms such as Revit or ArchiCAD also offer integrated clash detection functions.
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Important Disclaimer
The information, assessments, and legal notes in this real estate glossary serve solely as general orientation. Despite careful preparation, we assume no liability for the accuracy, completeness, or timeliness of the content. These contents do not replace individual legal or tax advice. We strongly recommend consulting a qualified attorney or tax advisor for specific matters.
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