Gesamtschuldnerisch

Gesamtschuldnerisch is a German legal term that translates to "jointly and severally liable." It describes a situation where two or more parties are responsible for the same debt or obligation. In such a case, each debtor is liable for the entire amount of the debt, regardless of their individual contribution to it. This means a creditor can demand the full payment from any one of the jointly and severally liable debtors, or from a portion of them, or from all of them simultaneously.

The concept of gesamtschuldnerisch liability is commonly found in contract law, particularly in cases of loans, leases, and co-signatory agreements. For example, if two people co-sign a loan, both are gesamtschuldnerisch liable for the entire loan amount. If one person fails to pay their share, the lender can pursue the other person for the full outstanding balance. Once a debtor has paid more than their proportional share of the debt, they generally have a right of recourse against the other debtors for their respective portions. However, this right of recourse is a separate matter between the debtors and does not affect the creditor's right to collect the full amount from any single debtor.

The purpose of gesamtschuldnerisch liability is to provide creditors with greater security and a more efficient means of debt recovery. By allowing the creditor to pursue any one of the liable parties for the full amount, the risk of non-payment is reduced for the creditor. It is a significant aspect of debt and obligation management within the German legal system.