Contract Release Form for Germany

Contract Release Form Template for Germany

A Contract Release Form under German law (Aufhebungsvertrag) is a formal legal document that mutually terminates an existing contractual relationship between two or more parties. Governed by the German Civil Code (BGB), this document outlines the terms and conditions for releasing parties from their contractual obligations, including any settlement terms, mutual releases, and ongoing responsibilities. It must comply with German legal requirements, particularly regarding form requirements (§623 BGB for employment contracts), data protection regulations (GDPR), and specific provisions of German contract law. The document typically includes provisions for consideration, confidentiality, and the effective date of release.

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What is a Contract Release Form?

The Contract Release Form (Aufhebungsvertrag) is a critical legal instrument under German law used to formally terminate existing contractual relationships by mutual agreement. This document is commonly utilized in various scenarios, including employment terminations, business partnership dissolutions, or service contract conclusions. It serves as a comprehensive record of the parties' agreement to end their contractual obligations, typically including details about any financial settlements, ongoing obligations, and mutual releases. The document must comply with German legal requirements, particularly the German Civil Code (BGB) and, where applicable, employment law provisions. It's especially important in circumstances where parties wish to avoid potential disputes by clearly documenting the terms of their separation and ensuring all parties understand their rights and obligations post-termination.

What sections should be included in a Contract Release Form?

1. Parties: Identification and details of all contracting parties

2. Background: Context of the original agreement and reasons for the release

3. Definitions: Key terms used throughout the document

4. Release and Discharge: Core provisions detailing the mutual release from obligations

5. Effective Date: Specific date when the release becomes effective

6. Consideration: Details of any payment or consideration for the release

7. Mutual Warranties: Confirmations from both parties about their authority and understanding

8. Confidentiality: Obligations regarding confidential information

9. Data Protection: GDPR compliance and data handling provisions

10. Governing Law: Confirmation of German law application

11. Execution: Signature blocks and execution requirements

What sections are optional to include in a Contract Release Form?

1. Severance Payment: Details of any severance payment when used in employment context

2. Non-Compete Obligations: Any continuing non-compete obligations, if applicable

3. Reference Letter: Terms regarding the provision of employment references in employment contexts

4. Return of Property: Provisions for returning company/other party property

5. Ongoing Obligations: Any obligations that survive the release

6. Tax Implications: Special provisions regarding tax treatment of payments

7. Insurance and Benefits: Treatment of insurance or benefits in employment context

8. Dispute Resolution: Alternative dispute resolution mechanisms if desired

What schedules should be included in a Contract Release Form?

1. Schedule of Payments: Detailed breakdown of any financial settlements or payments

2. Property Register: List of items to be returned or transferred

3. Outstanding Obligations: List of any continuing obligations post-release

4. Consent Forms: Any required third-party consents or regulatory approvals

5. Data Processing Agreement: Detailed GDPR compliance provisions if extensive personal data is involved

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Germany

Publisher

Genie AI

Document Type

Release Agreement

Cost

Free to use
Relevant Industries

Legal Services

Human Resources

Professional Services

Information Technology

Manufacturing

Financial Services

Healthcare

Construction

Retail

Education

Consulting

Real Estate

Telecommunications

Relevant Teams

Legal

Human Resources

Procurement

Compliance

Risk Management

Operations

Corporate Governance

Business Development

Contract Administration

Executive Leadership

Relevant Roles

Legal Counsel

Human Resources Manager

Contract Manager

Business Development Manager

Chief Executive Officer

Chief Legal Officer

Human Resources Director

Procurement Manager

Project Manager

Operations Manager

Compliance Officer

Risk Manager

General Counsel

Corporate Secretary

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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