Definition and legal significance of the term
The term term plays a significant role in the legal context and is used in various areas of law. Generally, in the legal sense, a term refers to a specific period of time, a timeframe, or a precisely defined point in time, which is crucial for the creation, exercise, or expiration of rights and obligations. In German law, the term rarely stands alone but is often associated with concepts such as deadline, appointment, or period, depending on the specific area of application.
Etymology and definition
The word term originates from Latin (terminus = boundary, endpoint, term), which refers to the fundamental meaning of a temporal or material limitation. In legal language, the term describes a fixed point in time or a period within which a legally relevant act must be carried out or a legal consequence arises.
Types and functions of the term in law
Term as a point in time in the law of obligations
In German law of obligations, the term is a fixed point in time by which a performance must be rendered (§ 271 BGB). If a fixed term for fulfilling an obligation is agreed upon, it is called a so-called “calendar day” as the time of performance. The agreement of a term affects the maturity of a claim and potential consequences of default.
Example: payment date
A classic example is the payment date in contracts. Here, it is specified by when the debtor must provide the owed performance (such as payment of a purchase price). If the debtor misses the agreed term, the creditor may demand default interest and initiate further legal steps.
Term and deadline: legal comparison
In contrast to a deadline, which describes a period between two points in time (beginning and end of the period), the term refers to a single, specific point in time. While a deadline is relevant for matters such as challenges or submissions, the term, for example, denotes a court date or the start date of a contract.
Significance in civil procedure law
In civil procedure law, the term usually refers to the appointment scheduled for an oral hearing or a hearing date. The court summons to a specific term is legally binding and may, if not attended, have procedural consequences (e.g., default judgment).
Term in the context of court proceedings
Significance in civil procedure law
In civil proceedings, the term is a crucial element of the process. The judge determines and announces the scheduling of proceedings (§ 215 ZPO). The most common terms in civil proceedings include:
- Main hearing date for oral hearing
- Evidence date for taking of evidence
- Pronouncement date for delivery of judgement
Legal consequences of terms
The absence of parties or their representatives at a court date may result in disadvantages such as default judgments or adverse decisions. The possibility to postpone dates (rescheduling) exists only for important reasons, such as unavoidable absence.
Criminal and administrative law
Scheduling and adherence to terms also play a significant role in criminal and administrative proceedings. In criminal law, the main hearing date is central to the proceedings (§ 213 StPO). Disregarding court dates—such as failing to appear—can lead to legal disadvantages or even arrest warrants.
Terms in contracts and deeds
Contractual term provisions
Many civil law contracts explicitly or implicitly refer to terms, especially in:
- Lease and tenancy agreements (fixed-term contract, contract start and end)
- Supply contracts (delivery date, completion date)
- Employment contracts (start of employment, end of probation period)
Contractual penalties or default provisions are often linked to non-compliance with a term, providing the creditor with additional security.
Notarial deeds and wills
A term can also be of decisive importance in notarial deeds or wills, for example by stipulating certain dates for succession or for the effectiveness of the respective dispositions.
Conceptual distinctions
Difference between term, appointment, and deadline
Although in everyday language the terms “term”, “appointment”, and “deadline” are often used synonymously, there are precise legal differences:
- Term: Specific point in time (e.g. “31 December 2024”)
- Appointment: Usually a concrete event associated with an action (e.g. court date)
- Deadline: Period between two points in time (e.g. “within 14 days of receipt”)
International law and translations
In international legal transactions, the term “term” is also used; in Anglo-American law in particular, “term” can refer both to a period (e.g., the duration of a contract: “term of lease”) and to a specific point in time.
Legal consequences of non-compliance with the term
Default and legal disadvantages
Failure to comply with an agreed term can have numerous legal consequences, depending on the nature of the legal relationship:
- In the law of obligations: default of the debtor with the duty to perform (claim for damages, default interest)
- In procedural law: procedural consequences such as the loss of rights or expiry of legal remedies
Restoration and extension
In some cases, the law provides for restoration of rights in the event of unintentional failure to meet a term (e.g., reinstatement, § 233 ZPO).
Summary and significance in legal practice
The term term has a multifaceted function in the legal system. As a fixed point in time, it plays a central role in contracts, legal proceedings, and daily legal dealings. The precise distinction between term, appointment, and deadline is important in practice and for compliance with legal and contractual requirements. Failure to comply with a term can have far-reaching legal consequences; therefore, terms warrant special attention in legal practice.
References and further reading
- German Civil Code (BGB), in particular § 271 BGB
- Code of Civil Procedure (ZPO), in particular §§ 215 ff. ZPO
- Code of Criminal Procedure (StPO), in particular § 213 StPO
- Palandt, Bürgerliches Gesetzbuch, commentary on § 271 BGB
- Thomas/Putzo, Code of Civil Procedure, commentary on scheduling of proceedings
Note: Precise application of the law always depends on the individual case and the specific legal provisions. The interpretation and significance of terms may vary depending on the area of law and circumstances.
Frequently asked questions
When is an agreed term legally binding?
An agreed term is generally legally binding when both parties have validly agreed upon it and the term is part of a contract or binding arrangement. The agreement may be express—such as in writing, orally, or via electronic communication—or implied, that is, established by conclusive behavior. The deciding factor is that, from the perspective of the parties involved, a clear, determinable point in time or period has been set for a specific act or performance. In business contracts, such as for service, works, rental, or employment agreements, such dates are treated as deadlines and may be legally enforceable. If a binding term is not met, contractual claims for damages, withdrawal, or even contractual penalties may result—provided these have been contractually agreed upon or arise from the law.
What are the legal consequences of non-compliance with a term?
Failure to comply with a legally binding term can have different consequences depending on the contractual relationship and the applicable legal regulations. In civil law, exceeding an agreed term regularly triggers so-called default or non-performance liability. The creditor may generally demand performance from the debtor and, if this does not occur, withdraw from the contract or claim damages after setting an appropriate grace period (see §§ 280, 286, 323 BGB). In many contracts, a penalty for exceeding the time limit may also be agreed upon. In employment relationships, failure to perform on time—for example, unexcused absence on the agreed date—may have employment law consequences, up to and including warnings or dismissal. Ultimately, the specific provision in the contract or the law determines which sanctions apply in each individual case.
Are there differences between fixed and non-binding terms in law?
Yes, German law differentiates between so-called “fixed” (absolute) and “non-binding” terms (relative deadlines). A fixed or absolute term, also known as a “fixed date”, exists if meeting a specific date for performance is so essential to the contract that the performance would become pointless for the creditor if not delivered on time (e.g., delivery of a bridal dress for a wedding). The law provides special rights in such cases (fixed transaction, § 323 para. 2 no. 2 BGB), such as allowing the creditor to withdraw without providing further notice. Non-binding terms, by contrast, serve merely as guidelines or suggestions; they may be adjusted or postponed within reason. Legally, they are not binding, unless the behavior of the parties effectively upgrades them to fixed dates.
How is a legally secure agreement of a term made?
A legally secure agreement of a term requires that it be determined clearly and specifically between the parties. The agreement should specify the date and/or time exactly, or at least define a clearly determinable reference point (such as “no later than 14 days after conclusion of contract”). It is recommended to record terms in writing, for example in the contract text, in an email, order confirmation, or a protocol. Especially in economically or temporally significant contracts, explicit labeling as a “binding date”, “fixed date”, or “binding deadline” is advisable. Written form also serves as evidence in case of dispute. Oral agreements are generally also valid, but may be harder to prove.
Can terms be changed by mutual agreement after the fact?
In principle, terms can be changed at any time afterwards, provided all affected parties agree (principle of freedom of contract, § 311 BGB). Such an amending agreement should, as with the original arrangement, be as clear and in writing as possible, stating the old and new term. Changes should be clearly documented and confirmed by all parties to avoid later disputes. If a contract bound to dates is subject to statutory deadlines, such as in employment or tenancy law, changes may only be made within the legal framework. Unilateral changes by only one party are generally invalid and may even constitute a breach of contract.
What is the significance of a term in connection with statutory deadlines and limitation periods?
Terms often coincide with statutory deadlines in the legal context—for example, for asserting claims. Statutes may provide specific periods, such as for actions or limitation periods. If a contract stipulates a term that falls outside such deadlines, this may result in the loss of rights; for instance, if a service is offered after the deadline, it is generally time-barred. Conversely, a term that falls before a statutory deadline may be affected by it, such as when, for important reasons, a statutory extension is allowed. Terms cannot override the law; statutory maximum and minimum periods must be observed, otherwise related agreements may be invalid.