Rechtsgeschäfts

Rechtsgeschäft is a term from German civil law that denotes a legal transaction. The concept describes acts or declarations of will that are intended to create, modify, or extinguish rights and obligations under the law. The term is typically used in the singular as Rechtsgeschäft, with the plural form Rechtsgeschäfte; the genitive is des Rechtsgeschäfts.

A Rechtsgeschäft is constituted by one or more Willenserklärungen (declarations of will) that express a legally relevant intention. It can be unilateral, where only one declaration suffices (for example a will or a resignation), or bilateral/multilateral, where the agreement of two or more parties is required (for example a contract such as a sale, lease, or employment agreement). The form and content of a Rechtsgeschäft may be subject to statutory requirements, such as Schriftform (written form) or notarization for certain matters (notably real estate transactions).

For validity, the parties must possess the necessary capacity to contract (Geschäftsfähigkeit) and act without fraud, coercion, or significant error. Defects in consent can render a Rechtsgeschäft void or voidable; common bases include Irrtum (error), Täuschung (deception), and Drohung (coercion). Where invalidity or contestation occurs, remedies such as withdrawal from the agreement or legal action may follow.

The effects of a Rechtsgeschäft are the creation, modification, or termination of rights and duties. Breach of a contract typically gives rise to remedies like damages or specific performance, governed by the applicable rules of contract law. In practice, Rechtsgeschäfte underpin everyday legal relations, from purchases and leases to wills and strategic corporate arrangements.