Flat-rate operating costs without reconciliation – what applies?

Risky for you

Risky — the clause disadvantages you and is worth challenging.

Flat-rate operating costs are permitted (§ 556 para. 2 BGB), but must be clearly labelled. Advance payments require annual reconciliation (§ 556 para. 3).

What you can do next

Clarify in writing whether it is a flat rate or advance payment, and insist on an annual reconciliation if necessary.

The law behind it

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Related questions

General information based on German law and court decisions, checked by lawyers — not legal advice for your individual case.