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Before you sign: how to check and novate service contracts that bind the new owner
A practical checklist for buyers in Frankfurt and Munich: which lift, heating, Fernwärme and waste contracts remain with the property, what German law requires for assignment or novation, and the notary clauses you should insist on at signing.
Why contracts matter to the buyer
When you buy a property in Germany you do not automatically get a clean slate. Some obligations stay with the land or the ownership structure; others remain strictly personal to the seller. The law treats transfer of claims (Abtretung) and takeover of obligations (Schuldübernahme) differently: a creditor can assign a claim (see BGB § 398), but a change of the contracting party for a service provider often needs the provider's consent. For rented housing, the buyer steps into the landlord's position under BGB § 566. These legal rules determine whether a lift‑maintenance contract, a boiler‑service deal, a Fernwärme supply or municipal waste charge will continue to bind the new owner or must be formally novated or replaced. (BGB §§ 398, 413, 566).
Fernwärme (district heating): treat as a special case
District‑heat supply is governed by federal standard rules (the AVBFernwärmeV) and by local providers' supplementary conditions. Both Mainova (Frankfurt) and Stadtwerke München (SWM) publish 'Ergänzende Bedingungen' and technical connection rules that form the supplier's contract terms; those documents require notification and set out how load changes and handovers are handled. In practice an ownership change normally requires informing the supplier and obtaining either a formal contract transfer or a new supply contract; the supplier may charge transfer, reconnection or capacity‑adjustment fees. Always request the full current supply terms and the latest billing reconciliation from the existing customer account. (See Mainova and SWM supply conditions and their technical‑connection PDFs).
Heating‑system and lift maintenance
Boiler and lift service contracts are private civil contracts. If the building is a condominium (WEG), technical‑service contracts for communal systems are handled by the owners' association and remain a communal matter under the WEG rules; the association—not the individual seller—is the contracting counterparty for service suppliers. For a single owner property, the contract usually belongs to the owner and will bind whoever holds the owner position only if the supplier agrees to a transfer. Check each contract for: (1) an assignment/transfer clause or an explicit prohibition on assignment; (2) termination notice periods; (3) one‑off transfer fees; and (4) whether the service provider requires a technical handover certificate. If a communal contract exists, obtain the minutes showing the owners' resolution and the current reserve balance. (See WEG law for communal governance).
Municipal waste and statutory charges in Frankfurt and Munich
Household waste collection and many related fees are public law obligations. Frankfurt delegates collection to the Frankfurter Entsorgungs‑ und Service GmbH (FES) under the city's Abfallsatzung; Munich's services and fees are regulated by the city's relevant abfall‑ and gebühren‑satzungen administered by the Abfallwirtschaftsbetrieb München (AWM). For fees and container assignments the municipality typically regards the property (or its owner) as the billing unit; a change of owner triggers a billing‑address update and possibly reassessment of container size/fee. Ask the municipality for the charging rule that will apply to the new owner and request the last municipal fee notice. (See the Frankfurt and Munich official pages and the Abfallsatzungen).
What to insist on at notarisation (practical contract clauses)
Insert clear, verifiable seller warranties and conditions precedent in the purchase contract. Insist on at least the following: 1) a schedule of all service contracts with originals or certified copies attached; 2) written supplier statements either consenting to assignment or stating the fee and deadline for novation; 3) a seller obligation to terminate non‑assignable contracts before closing and to indemnify the buyer for costs if they are not terminated; 4) retention of part of the purchase price in the notary escrow (Notaranderkonto) until specified supplier consents or municipal confirmations are delivered; 5) a requirement that the notary obtain the municipal certificate or confirmation about public‑law obligations where relevant. The Bundesnotarkammer explains the use and duties around notary escrow accounts and practice when municipal certificates are obtained by the notary; use those mechanisms rather than informal side letters. Ask the notary to record deadlines and precise documentary conditions in the deed.
Practical checklist for your advisor
Before signing the deed deliver to your notary or lawyer: • contract list and last‑12‑month statements for each service; • supplier contact and the contractual 'assignment' or 'no‑assignment' clause highlighted; • written consent or a dated plan and cost estimate for novation; • WEG minutes and reserve statement when applicable; • the last municipal waste fee notice and the name of the municipal account holder. If any consent is unresolved, require the notary escrow and a concrete deadline for delivery of the consent paperwork. Do not rely on verbal promises: require executed, dated statements.
When to call a specialist
This article is general information, not legal advice. If contracts are non‑standard, involve long fixed terms, or the supplier threatens disconnection or large transfer charges, instruct a German real‑estate lawyer experienced in energy and public‑law matters. For WEG questions use a lawyer familiar with condominium practice; for municipal charge disputes consult an administrative‑law specialist. The notary prepares the deed and can hold escrow, but cannot give legal advice beyond his official role — your lawyer and the notary should coordinate the precise wording of conditions precedent.
Nothing on this page is investment, tax or legal advice. Price bands are indicative asking prices and disagree between sources by design. Verify every figure with a qualified German notary, tax adviser (Steuerberater) or lawyer before committing capital.
