Commercial and Civil Disputes in Germany

German Court Structure — First Instance

As a rule since 1 January 2026, the Amtsgericht (local court) handles civil claims with a value of up to and including €10,000, while the Landgericht (regional court) has jurisdiction above that threshold, subject to statutory subject-matter exceptions. Representation by a lawyer is generally mandatory before the Landgericht and higher civil courts. Before the Amtsgericht, parties can generally represent themselves, although legal representation may still be advisable depending on the case.

At the Landgericht, a Kammer für Handelssachen (KfH) may hear qualifying commercial matters under §§ 95 ff. GVG where the statutory conditions are met and the applicable procedural request or allocation requirements are satisfied. The KfH is generally composed of one professional judge and two commercial judges. The commercial judges contribute practical commercial experience, although whether the KfH is strategically preferable depends on the dispute.

Certain disputes are assigned to specific courts or chambers irrespective of value. This may apply, for example, in selected intellectual-property, publication, medical-treatment, insolvency or other specially allocated matters. Subject-matter jurisdiction should be checked before filing.

Hamburg — Commercial Court and Commercial Chambers

Since April 2025, Hamburg has established two additional options for commercial litigation under the Justizstandort-Stärkungsgesetz:

The Commercial Court at the Hanseatic Higher Regional Court has first-instance jurisdiction for qualifying commercial disputes with a value of at least €500,000 where the parties have agreed to its jurisdiction. The parties may also agree whether proceedings are to be conducted in German or English. Judgments of the Commercial Court are not appealed to another Higher Regional Court; they are subject directly to Revision before the Bundesgerichtshof. Under § 614 ZPO, this Revision does not require admission.

The Commercial Chambers at the Hamburg Regional Court handle certain commercial disputes with a value of at least €5,000. Their proceedings are conducted in English where the applicable subject-matter and party-agreement requirements are met. The designated areas include selected commercial, corporate, post-M&A, transport, IT, competition and insolvency-related disputes. The €5,000 threshold relates specifically to Hamburg’s Commercial Chambers and should not be confused with the general €10,000 allocation between Amtsgericht and Landgericht.

The availability of these courts depends on the subject matter, the applicable statutory conditions, and in some cases the parties’ agreement. The choice between an ordinary civil chamber, Kammer für Handelssachen, Commercial Chambers and Commercial Court — taking into account jurisdiction, party agreement, value, subject matter, procedural language and the appellate route — should be assessed before filing. Outside qualifying English-language proceedings, German remains the court language and translations may be required.

Pre-Litigation Strategy

Effective dispute resolution begins before the court filing stage. The first written response to an alleged breach, the framing of positions in correspondence, and decisions about whether to set a deadline, declare a termination, propose a settlement, or seek interim relief all have legal and practical consequences including limitation, evidence preservation, and costs.

We advise at the pre-litigation stage: assessing the legal and factual position, structuring the demand letter or first response, advising on the choice between negotiation, formal demand, and proceedings, and assessing litigation risks, evidentiary issues, cost exposure and possible settlement parameters. Early advice can preserve procedural and commercial options that may become more limited after formal positions have been taken.

Court Proceedings

German civil proceedings are party-driven and actively managed by the court. The parties must present the relevant facts and offer evidence; the court applies the law to the facts properly introduced into the proceedings. The court is not bound by the parties’ legal characterisation, but it generally decides on the basis of the facts and evidence presented by the parties.

The duration and complexity of German civil proceedings depend on the court, factual disputes, evidence, expert opinions and procedural conduct. Well-structured submissions and complete documentation can help the court address the relevant issues efficiently.

Formal expert evidence is generally obtained through a court-appointed expert. Party-appointed expert opinions can support a party’s submissions but do not automatically replace expert evidence commissioned by the court.

Settlement — Vergleich

Settlement is available at any stage — before proceedings, during proceedings, or at the appellate level. German courts are required to consider an amicable resolution during the proceedings and may propose or record a judicial settlement (gerichtlicher Vergleich). A settlement can provide an agreed and immediately controllable resolution, avoid further appellate risk and include practical arrangements that a court could not order. Whether settlement is appropriate depends on the evidence, legal position, costs, enforceability and commercial objectives.

We advise on settlement strategy, draft settlement agreements, and represent in settlement negotiations at any stage of the dispute.

Appeals — Berufung and Revision

An appeal (Berufung) is generally admissible where the value of the appellant’s complaint exceeds €1,000 or where the first-instance court has admitted the appeal. Subject to the admissibility requirements, first-instance judgments of the Amtsgericht are appealed to the Landgericht; first-instance judgments of the Landgericht are appealed to the Oberlandesgericht.

Berufung is not a complete retrial. Review of factual findings and the introduction of new facts or evidence are subject to statutory limits. Revision to the Bundesgerichtshof is limited to points of law and generally requires admission by the appellate court or a successful statutory procedure challenging the refusal of admission.

Judgments delivered by a Commercial Court as court of first instance are not appealed to another Higher Regional Court. They are subject directly to Revision before the Bundesgerichtshof; under § 614 ZPO, this Revision does not require admission.

Costs and Cost Shifting

As a general rule, the unsuccessful party bears the court costs and the opponent’s recoverable statutory legal costs (§ 91 ZPO). In the event of partial success, costs are allocated proportionately. A party’s actual legal fees under an individual fee agreement may exceed the amount recoverable from the opposing party. Recoverability is governed by procedural cost rules and is not identical to the client’s full contractual fee obligation.

We provide an initial estimate of court fees, statutory cost exposure and the anticipated fee structure, subject to changes in claim value, procedural development and scope.

For International Parties

We advise and represent foreign companies and other international parties in German civil and commercial proceedings where German courts have jurisdiction. Jurisdiction depends on the contractual forum clause, Brussels Ia (EU parties), or German domestic jurisdiction rules. Claimants whose habitual residence or relevant establishment is outside the EU or EEA may, at the defendant’s request, be required to provide security for litigation costs under § 110 ZPO. Treaty-based and statutory exceptions may apply and should be assessed individually.

The English-language proceedings option at Hamburg’s Commercial Court and Commercial Chambers can reduce the practical language barrier for qualifying disputes. Outside qualifying English-language proceedings, German remains the court language and translations may be required. Further detail is on our international contracts page.

Advice by Alexander Kagan, Attorney at Law, admitted to the Hanseatic Bar Association Hamburg. As of: June 2026.

The contents of this page are for general information only and do not constitute legal advice. A mandate is established only upon express acceptance.