Taschengeldparagraph

Taschengeldparagraph is the common name for § 110 of the German Civil Code (BGB). It provides that a minor can enter into binding, paid contracts using their own funds—such as pocket money—for everyday purchases within the scope of what they can afford with that money. The aim is to allow minors to participate in ordinary consumer transactions without needing parental consent for every small purchase.

Legal basis and conditions. The core condition is that the minor uses money that belongs to or is designated for them (taschengeld or funds the guardian has expressly provided for the minor’s use). The purchase must be something a person of the minor’s age and living situation would typically acquire with such funds, and the amount must be within the minor’s available resources. The contract is generally valid for the minor without requiring parental approval, provided these limits are respected. The law focuses on everyday, customary transactions and not on large or long-term obligations.

Scope and limitations. The Taschengeldparagraph does not cover agreements that would create substantial or long-term financial obligations beyond the minor’s usual pocket-money scope, such as loans, high-value purchases, or long-term service contracts. If a contract would impose costs beyond the minor’s taschengeld or falls outside ordinary purchases, parental consent is usually required, and the contract may be voidable.

Practical notes. The rule recognizes the autonomy of older minors in smaller consumer matters while preserving parental oversight for significant commitments. It is commonly invoked in contexts like buying books, clothing, or small electronic items with one’s own funds.

See also: German Civil Code, contract law, minor’s capacity.