Geschäftsbesorgungsvertrag

Geschäftsbesorgung is a German legal term that translates to "management of affairs" or "entrustment of business." It refers to a legal relationship where one party, the Geschäftsbesorger (manager), undertakes to manage certain business affairs on behalf of another party, the Geschäftsherr (principal). This arrangement is typically governed by a contract, which can be explicit or implied.

The scope of a Geschäftsbesorgung can vary widely. It might involve managing property, handling investments, conducting specific transactions, or providing professional services. The core of the agreement is the entrustment of a task or set of tasks to the manager, who is expected to act in the best interests of the principal. The manager is usually compensated for their services, though the nature of this compensation can also be contractually defined.

Key aspects of Geschäftsbesorgung include the manager's duty of care and loyalty towards the principal. The manager must act diligently, responsibly, and avoid conflicts of interest. If the manager breaches these duties and causes damage to the principal, they can be held liable. Conversely, the principal is generally obligated to reimburse the manager for necessary expenses incurred during the management of affairs. This legal concept is fundamental in various commercial and contractual contexts within German law.