Last Updated on June 27, 2021 by LawEuro
German Civil Code (BGB) German law
Title 4
Donation
Section 516
Concept of donation
(1) A disposition by means of which someone enriches another person from his own assets is a donation if both parties are in agreement that the disposition occurs gratuitously.
(2) If the disposition occurs without the intention of the other party, the donor may, specifying a reasonable period of time, request him to make a declaration as to acceptance. Upon expiry of the period of time, the donation is deemed to be accepted if the other party has not previously rejected it. In the case of rejection, return of what has been bestowed may be demanded under the provisions on the return of unjust enrichment.
Section 517
Failure to acquire assets
It is not a donation if someone, to the advantage of another person, fails to acquire assets or waives a right that has become available but not yet been definitively acquired, or declines an inheritance or a legacy.
Section 518
Form of promise of donation
(1) For a contract by which performance is promised as a donation to be valid, notarial recording of the promise is required. The same applies to a promise or a declaration of acknowledgement if the promise to fulfil an obligation or the acknowledgement of a debt is made as a donation in the manner cited in sections 780 and 781.
(2) A defect of form is cured by rendering the performance promised.
Section 519
Defence of paying for necessaries
(1) The donor is entitled to refuse to fulfil his promise given as a donation to the extent that he, taking account of his other duties, is not in a position to fulfil the promise without jeopardising his reasonable maintenance or the performance of duties of maintenance incumbent upon him by operation of law.
(2) If the claims of more than one donee coincide, the earlier claim takes precedence.
Section 520
Expiry of the promise of an annuity
If the donor promises maintenance consisting of recurrent performance, the obligation expires with his death unless the promise leads to a different conclusion.
Section 521
Liability of the donor
The donor is responsible only for intent and gross negligence.
Section 522
No default interest
The donor is not obliged to pay default interest.
Section 523
Liability for legal defects
(1) If the donor fraudulently conceals a legal defect, he is obliged to compensate the donee for the resulting damage.
(2) If the donor promised to provide an object that he had to acquire first, the donee may demand damages for non-performance for a legal defect if the defect was known to the donor upon acquisition of the thing or remained unknown as a result of gross negligence. The provisions of section 433 (1) and sections 435, 436, 444, 452 and 453 on the liability of the seller for legal defects apply with the necessary modifications.
Section 524
Liability for material defects
(1) If the donor fraudulently conceals a defect in the donated thing, he is obliged to compensate the donee for the resulting damage.
(2) If the donor promised to provide a thing designated only by class that he had to acquire first, the donee may, if the thing provided is defective and the donor was aware of the defect when the thing was acquired or remained unaware of it due to gross negligence, demand that in place of the defective thing a thing free of defects is supplied. If the donor fraudulently concealed the defect, the donee may demand damages for non-performance in place of supply of a thing free of defects. The provisions applicable to a warranty for defects in a thing sold apply to these claims with the necessary modifications.
Section 525
Donation subject to conditions
(1) Anyone who makes a donation subject to a condition may demand that the condition is fulfilled if he himself has performed.
(2) If fulfilment of the condition is in the public interest, then the competent public authority may also demand fulfilment after the death of the donor.
Section 526
Refusal to fulfil the condition
Insofar as due to a legal defect or a defect in the donated thing the value of the disposition does not reach the amount of the expenses required to fulfil the condition, the donee is entitled to refuse to fulfil the condition until the deficit caused by the defect is made up for. If the donee fulfils the condition without knowledge of the defect, then he may demand from the donor reimbursement of the expenses caused by fulfilment to the extent that, as a result of the defect, they exceed the value of the disposition.
Section 527
Non-fulfilment of the condition
(1) If fulfilment of the condition fails to occur, the donor may demand the return of the gift under the conditions determined for the right of revocation of reciprocal contracts under the provisions on return of unjust enrichment to the extent that the gift would have had to be used to fulfil the condition.
(2) The claim is excluded if a third party is entitled to demand fulfilment of the condition.
Section 528
Claim for return due to impoverishment of the donor
(1) To the extent that the donor, after fulfilment of the condition, is not in a position to maintain himself reasonably and to meet the maintenance obligation incumbent upon him by law in relation to his relatives, his spouse, his civil partner or his previous spouse or civil partner, he may demand return of the gift from the donee under the provisions on the return of unjust enrichment. The donee may avoid return by paying the amount required for maintenance. The provision of section 760 and the provision applicable to the maintenance obligation of relatives under section 1613, and in the case of the death of the donor also the provision of section 1615, apply to the duty of the donee with the necessary modifications.
(2) Among more than one donee, the earlier donee is liable only to the extent that the later donee is not obliged.
Section 529
Exclusion of claim for return
(1) The claim to return of the gift is excluded if the donor has caused his indigence by intent or gross negligence or if at the time of onset of his indigence ten years have passed since the donated object was provided.
(2) The same applies to the extent that the donee, taking into account his other duties, is not in a position to return the gift without the maintenance suitable to his station in life or the discharging of the duties of maintenance incumbent upon him by operation of law being jeopardised.
Section 530
Revocation of donation
(1) A donation may be revoked if the donee is guilty of gross ingratitude by doing serious wrong to the donor or a close relative of the donor.
(2) The heir of the donor only has the right of revocation if the donee has intentionally and unlawfully killed the donor or prevented him from revoking.
Section 531
Declaration of revocation
(1) Revocation is effected by declaration to the donee.
(2) If the donation is revoked, return of the gift may be demanded under the provisions on the return of unjust enrichment.
Section 532
Exclusion of revocation
Revocation is excluded if the donor has forgiven the donee or if one year has passed since the time when the person entitled to revoke obtained knowledge that the requirements for him to have the right had been satisfied. Revocation is no longer permissible after the death of the donor.
Section 533
Waiver of the right of revocation
The right of revocation may only be waived when the person entitled to revoke has become aware of the ingratitude.
Section 534
Donations for duty and decency
Donations to meet a moral duty or made from considerations of decency are not subject to a claim for return or to revocation.
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