Last Updated on June 28, 2021 by LawEuro
German Civil Code (BGB) German law
Title 14
Safekeeping
Section 688
Typical contractual duties in safekeeping
By a safekeeping contract, the depositary is obliged to store a movable thing delivered to him by a depositor.
Section 689
Remuneration
Remuneration for safekeeping is deemed to have been tacitly agreed if in the circumstances it is to be expected that safekeeping is to be performed only for remuneration.
Section 690
Liability for gratuitous safekeeping
If safekeeping is assumed gratuitously, then the depositary is only liable for the care that he customarily exercises in his own affairs.
Section 691
Deposit with third parties
In case of doubt, the depositary is not entitled to deposit the deposited thing with a third party. If deposit with a third party is permitted, then the depositary is only responsible for his own fault in making this deposit. He is liable under section 278 for fault on the part of an assistant.
Section 692
Change of safekeeping
The depositary is entitled to change the agreed type of safekeeping if he may assume in the circumstances that the depositor would approve of the change if he were aware of the factual situation. The depositary must make notification to the depositor prior to such a change and must wait for the decision of the depositor unless postponement entails danger.
Section 693
Reimbursement of expenses
If the depositary, for the purpose of safekeeping, incurs expenses that he may regard as necessary in the circumstances, then the depositor is obliged to make reimbursement.
Section 694
Liability in damages of the depositor
The depositor must compensate the depositary for damage incurred by the depositary due to the quality of the thing deposited, unless he neither knows of the dangerous quality of the thing when depositing it nor should have known of it, or he notified the depositary of it or the depositary knew of it without notification.
Section 695
Right of the depositor to demand return
The depositor may at any time demand that the thing deposited is returned, even if a period for safekeeping has been specified. Limitation of the claim to return of the thing commences on the claim for return.
Section 696
Claim of depositary for repossession of the thing deposited
The depositary may, if no safekeeping period has been specified, demand repossession of the thing deposited at any time. If a period has been specified, then he may only demand early repossession if there is a compelling reason to do so. The limitation of the claim commences upon the demand for repossession.
Section 697
Place for return
Return of the thing deposited must be made at the place where the thing was to be stored; the depositary is not obliged to take the thing to the depositor.
Section 698
Interest on money spent
If the depositary spends deposited money for himself, then he is obliged to pay interest on it from the time of spending onwards.
Section 699
Due date of remuneration
(1) The depositor must pay the agreed remuneration upon termination of safekeeping. If remuneration is assessed by time periods, then it is to be paid at the end of the individual time periods.
(2) If safekeeping ends prior to expiry of the time specified for it, then the depositary may demand a portion of his remuneration corresponding to his performance to date unless the agreement on remuneration leads to a different conclusion.
Section 700
Irregular safekeeping contract
(1) If fungible things are deposited in such a way that ownership is to pass to the depositary and the depositary is to be obliged to return things of the same type, quality and quantity, then in the case of money the provisions on loan contracts apply, and in the case of other things the provisions on contracts for the loan of things apply. If the depositor permits the depositary to consume fungible things, then in the case of money the provisions on loan contracts apply and in the case of other things the provisions on contracts for the loan of a thing apply from the point of time when the depositary appropriates the things on. In both cases, the time and place for return are, in case of doubt, determined under the provisions of the safekeeping contract.
(2) In the case of deposit of securities, an agreement of the type cited in subsection (1) is only valid if it is made expressly.
Leave a Reply