Duty to inspect and give notice of defects (Untersuchungs- und Rügepflicht)

In practice

Between merchants, statutory liability for defects under German law is decided when the goods arrive. The duty hits small businesses particularly hard, because nobody there is responsible for checking and the crates sit untouched until the goods are installed. It is therefore advisable to name one person who inspects deliveries properly: they check quantity, type and visible damage, take photos and, if in doubt, give notice of defects in writing. Oral notice is valid but often harder to prove. For hidden defects, the period runs from discovery, so record when the defect was noticed. Buyers can negotiate longer periods in the supply agreement. If the seller fraudulently concealed the defect, the buyer’s failure to give notice does not help the seller.