Why errors in the instructions extend the cancellation period and how buyers benefit from this
If the cancellation policy is missing from the brokerage contract or is incorrect, the standard 14-day cancellation period does not begin. Instead, the contract can be cancelled for up to one year and 14 days, often long after the property purchase. Rogert & Ulbrich will check whether your policy was incorrect and enforce your claims for reimbursement.
When does the cancellation period actually begin?
The cancellation period for a brokerage contract concluded remotely is generally 14 days. However, the starting point is crucial. According to Section 356 Paragraph 3 of the German Civil Code (BGB), the period does not begin until the broker has properly informed the consumer about their right of cancellation. As long as no correct information has been provided, the 14-day period simply does not start.
The requirements for proper instruction are set out in Article 246a of the Introductory Act to the German Civil Code (EGBGB). According to this article, the real estate agent must provide clear and understandable information about the conditions, deadlines, and procedures for exercising the right of withdrawal and make the model withdrawal form available to the consumer. If any of these elements are missing or incorrect, the instruction is not proper.
Are you unsure whether your cancellation period has even started? Have your cancellation policy checked.
The extended right of withdrawal: one year and 14 days
If the buyer was not informed of their rights or was not informed correctly, the cancellation period is extended. According to Section 356 Paragraph 3 Sentence 2 of the German Civil Code (BGB), the right of cancellation then only expires 12 months and 14 days after the conclusion of the contract. Cancellation remains possible within this extended period, in many cases even after the viewing, the notarized purchase agreement, and payment of the commission.
This maximum period is also the absolute limit. There is no unlimited right of withdrawal for contracts subject to current law. After one year and 14 days, the right expires permanently. Therefore, buyers who suspect an error in the instructions should not wait unnecessarily long.
Are you wondering if your deadline is still open? We will determine the relevant start and end dates of the deadline for your specific case.
Typical errors in the cancellation policy
In practice, errors in instruction are common. They lead to the short deadline not starting and the extended deadline applying. These errors occur particularly frequently:
- Instruction is completely lacking.The real estate agent did not inform us about the right of withdrawal at all.
- Sample cancellation form is missingThe legally required form was not attached, although it must be provided.
- Deviation from the statutory modelIf the broker uses his own wording instead of the official model cancellation policy, he bears the full risk that it does not meet the requirements.
- Contradictory instructionsMultiple, inconsistent instructions in email, PDF, terms and conditions or on the website can confuse the consumer and render the entire instruction ineffective.
- Incorrect information regarding deadline or compensationUnclear or incorrect information regarding the start of the deadline or compensation renders the instruction defective.
Even a single one of these errors can be enough to trigger the extended deadline. Therefore, have your documents carefully reviewed.
The unclear addressee of the revocation as a source of error
A particularly common source of error in practice is the recipient of the cancellation notice, i.e., to whom the cancellation must be declared. The instructions must clearly and comprehensibly state to whom the consumer must contact. If this remains unclear or contradictory, the instructions are defective.
This becomes particularly problematic when multiple parties are involved. For example, if a property is brokered through a savings bank or another entity acting on behalf of the real estate agency, it can remain unclear whether the cancellation should be declared to the real estate agent, the intermediary entity, or both. If the instructions list two possible recipients or if the information in the instructions and the sample cancellation form differs, the consumer is unsure whom to contact. The courts consider this misleading, rendering the instructions invalid overall.
Does your instruction name multiple recipients or is it unclear on this point? This could support your claim; we will review the wording.
What a training error means for buyers
An error in the instructions works directly in your favor. The short cancellation period does not begin, meaning you can revoke the brokerage agreement within up to one year and 14 days. With a valid revocation, the broker's claim to commission lapses, and you can reclaim any commission already paid.
There is another advantage as well. If the instruction was flawed, you generally do not owe any compensation for the brokerage services already rendered. You will therefore receive the full commission back, without any deductions for the broker's work. The brokered purchase agreement for the property remains unaffected.
Do you suspect an error in the instructions in your contract? Have your claim for reimbursement reviewed before the maximum period expires.
What buyers should check and do
The defective instruction is one component of the overarching review scheme, which also includes violations of the principle of equal division and the invalidity of defective online order buttons. The following steps are advisable when proceeding via the cancellation policy:
- Reviewing documentsBrokerage agreement, all emails and attachments, the cancellation policy, the sample cancellation form, terms and conditions, purchase agreement and proof of payment.
- Check instructionWas the customer informed of their rights, was the sample cancellation form provided, and do all the details match?
- Check recipientIs it clearly stated to whom the revocation must be declared, or are several recipients named?
- Keep the deadline in mindThe extended deadline ends no later than one year and 14 days after the conclusion of the contract.
- Have it legally reviewedA legal assessment clarifies whether the instruction was flawed and whether a revocation is still possible.
Because the maximum deadline is fixed, time is often of the essence. Send us your documents and we will review your options.
Rogert & Ulbrich – Your lawyers in real estate law
Rogert & Ulbrich has been consistently representing consumers against excessive demands and invalid contracts for years. The firm was founded by Dr. Marco Rogert and Tobias Ulbrich and has handled over 40,000 cases and filed more than 25,000 lawsuits. In real estate law, the focus is on protecting buyers, particularly regarding real estate agent commissions and the revocation of brokerage agreements.
We will examine your cancellation policy in detail, clarify whether the extended deadline applies, and enforce your claim for reimbursement, out of court against the broker and, if necessary, in court. You can conveniently retain our services online; we operate nationwide and, if you have legal expenses insurance, we will bill your insurer directly.
Do you suspect that your cancellation policy was incorrect? Get in touch and secure your rights.
