Complaint period

Claims Period - The claims period (warranty period, statute of limitations for defects) is the period during which a building owner or buyer may assert claims for defects in construction work or real estate against the contractor or seller. Under the German Civil Code (BGB), the period is 5 years from acceptance (Section 634a(1)(2) BGB); under the VOB/B, it is 4 years. Once the period has expired, claims for defects are time-barred and can no longer be enforced.

Limitation Periods Under the BGB and VOB/B

The BGB provides for a limitation period of 5 years from acceptance for structures and work on structures. In the case of a VOB/B contract (common in commercial construction projects), the period is only 4 years-however, this must be expressly agreed upon. For movable components (e.g., built-in kitchens, awnings), the general limitation period of 2 years applies. In the case of defects fraudulently concealed, the regular limitation period of 3 years from the date of discovery applies, up to a maximum of 10 years-the seller cannot invoke the expiration of the shorter periods.

The limitation period begins on the date of acceptance of the work. In real estate development projects, the limitation period for the common property of a condominium association (WEG) does not begin until formal acceptance by the owners’ association-not upon acceptance by the individual buyer of their residential unit. In practice, this means that the warranty period for the common property expires significantly later than that for the individual units. WEG management companies must therefore carefully coordinate and document the acceptance of the common property.

Time Limits When Purchasing Real Estate

When purchasing an existing property, the warranty for material defects is generally excluded in the notarized purchase agreement-the buyer purchases “as is.” Exception: Defects fraudulently concealed (e.g., known mold infestation, concealed moisture) are not covered by the exclusion. When purchasing from a developer, the full BGB deadlines apply: 5 years from acceptance for the common property, 5 years from individual acceptance for the individual unit. The deadlines for common property do not begin until acceptance by the WEG (not by the individual buyer).

A particular problem arises when, in new construction projects, the developer waives a formal acceptance of the common property or conceals it. Buyers should insist that the WEG commission an expert to perform the acceptance and that an acceptance report be prepared. An unnoticed fictitious acceptance can result in the warranty period beginning at an unfavorable time.

Obligation to Give Notice of Defects and Notification of Defects

The warranty period only protects the purchaser if they give notice of defects within the prescribed time limit. In commercial transactions (purchasers under the German Commercial Code [HGB]), there is an obligation to give immediate notice of defects pursuant to § 377 HGB; for private builders, notification is not a prerequisite for the warranty to take effect, but it is advisable to put the contractor in default and suspend the statute of limitations. The notice of defects should be in writing and describe the defect specifically-mere general dissatisfaction is not sufficient. We recommend documenting defects with photos and sending the letter by certified mail.

Practical Tip for Owners in Nuremberg

We recommend that builders and buyers of new-construction condominiums in the Nuremberg metropolitan region conduct a systematic defect inspection no later than 6 months before the 5-year period expires-ideally with a building expert. Many construction defects only become apparent after several years: cracks in walls due to settlement, moisture damage to waterproofing in the basement area, or functional defects in heating systems. In condominium complexes, the management should organize a joint inspection of the common property in a timely manner and notify the developer of defects in writing to suspend the statute of limitations.

Particularly in new construction projects in Nuremberg completed between 2018 and 2022, warranty periods will expire in the coming years. We recommend that condominium management companies actively monitor these deadlines and, if necessary, initiate independent evidentiary proceedings at an early stage if defects are apparent. The costs involved are manageable; the benefit-a court-certified expert opinion before the statute of limitations expires-can be significant.

Frequently Asked Questions

How can I suspend the statute of limitations?

The statute of limitations is suspended by: a written notice of defects with a deadline sent to the contractor (suspends the statute of limitations during negotiations), a court-ordered payment demand, or filing a lawsuit, independent evidentiary proceedings (highly recommended, as it secures the evidence and suspends the statute of limitations), and acknowledgment of the defect by the contractor (restart of the statute of limitations). Important: A simple email or phone call does not reliably suspend the statute of limitations-use the formal route via certified mail or through an attorney.

What applies to hidden defects?

Hidden defects that are only discovered after the warranty period has expired are generally barred by the statute of limitations-unless the contractor or seller fraudulently concealed the defect. In this case, the standard 3-year statute of limitations applies from the time the defect is discovered. Fraudulent concealment exists if the contractor knew of the defect or at least considered it possible and deliberately concealed it. The burden of proof for fraudulent concealment lies with the buyer-a high hurdle in practice.

Can the warranty period be contractually shortened?

In contracts with consumers (private individuals), the 5-year period for structures cannot be validly shortened-it is mandatory. In contracts between businesses, a reduction is possible (e.g., to the VOB/B period of 4 years). In GTC (General Terms and Conditions), a reduction of the warranty period for structures to less than 5 years is invalid. Reductions agreed upon in individual contracts are generally permissible among merchants, but uncommon.

When does the warranty period begin for a major renovation?

In the case of a comprehensive major renovation, the warranty period for the renovated components starts anew-calculated from the date of acceptance of the renovation work. It is important to distinguish which parts of the building were actually renovated and which remained unchanged. For components that were not replaced, the original warranty period (if not yet expired) remains applicable. When purchasing a home immediately after a major renovation, it is therefore important to verify whether the acceptance of the renovation work is documented-the start of the warranty period depends on this.

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