The Declaration of Intent (Willenserklärung)

A declaration of intent (Willenserklärung) is the foundation of every contract in German law. It is defined as a voluntary, legally relevant statement that aims at bringing about a legal consequence. The German Civil Code (BGB) is built on the idea that people form contracts through declarations of intent.

1. Components of a Declaration of Intent

A declaration of intent consists of two essential elements:

• Internal intent (innerer Wille) – the real will to achieve a legal result.
• External expression (äußerer Tatbestand) – the observable action or statement that expresses this will to the outside world.

2. When is a Declaration of Intent Effective?

According to § 130 BGB, a declaration of intent becomes effective when:

• it reaches the recipient, and
• the declarant is alive and legally capable at that moment.

3. Types of Declarations of Intent

There are two major categories:

a) Express Declarations (ausdrücklich)

These are communicated through spoken words, writing, email, or clear gestures. Example: “I will buy this laptop for 500 €.”

b) Implied Declarations (konkludente Handlung)

These arise from behavior that clearly shows intent. Example: Entering a bus and paying the fare implies an agreement to the transport contract.

4. Importance for Contract Formation

Without a valid declaration of intent, no contract can exist. It is the first and most fundamental step from which all further stages follow, such as offers, acceptances, and legal consequences.