Minderung

Minderung is a legal remedy in civil law that concerns a reduction in the value of a performance or its price due to defects, shortfalls, or impairments in goods, services, or a rented property. The term is used in German-speaking jurisdictions and encompasses both purchase contracts and tenancy agreements. It is distinct from other remedies such as damages, withdrawal, or the ordered cure (Nacherfüllung).

In purchase contracts, Minderung refers to a buyer’s right to reduce the purchase price when delivered goods are defective or do not meet agreed quality. The usual sequence in German law is that the buyer first seeks a cure (Nacherfüllung) through repair or replacement; if that fails or is inappropriate, the buyer may choose to withdraw from the contract or claim a price reduction. The amount of the reduction is generally based on the diminished value of the goods compared with a defect-free state, and it depends on the severity of the defect and the corresponding loss in value. The specific rules are laid out in the German Civil Code (BGB), with further guidance from case law and consumer protections.

In tenancy law, Minderung applies as a reduction of rent when the rented property has defects attributable to the landlord. Under §536 BGB, tenants may reduce the rent in proportion to the impairment of usability or living quality after proper notification of the defect and opportunity for remedial action. The right to rent reduction is subject to the seriousness of the defect and the landlord’s obligation to remedy it.

Overall, Minderung serves to align payment with the actual value of the delivered performance, encouraging timely remediation and fair compensation for defects.