The Bauherren-Schutzbund e.V. (BSB) has issued an official statement on the German federal government's ministerial draft bill regulating the statutory basic standard, known as Building Type E. The association generally welcomes the initiative to make planning and building in Germany simpler and less expensive. At the same time, the interest group representing private building clients and home buyers sees a significant need for improvement regarding disclosure and transparency requirements.
Voluntary participation and financial transparency
According to the BSB, a departure from conventional construction standards is only justifiable for private clients if it brings noticeable and financially rewarding savings. If this measurable benefit is lacking, consumers have no reason to waive proven standards of workmanship. In this context, the association's managing director, Henrik Fork-Weigel, stresses that choosing the reduced standard must always remain an explicit, conscious decision by the building clients.
- —Binding opt-in: The basic standard must apply only following documented and explicit consent; an automatic standard with an opt-out right is rejected.
- —Clear disclosure: Deviations from the customary standard must be explained in layman's terms prior to contract signing, addressing their specific consequences for functionality and use, without mere reference to technical regulations.
- —Itemisation of savings: All cost advantages must be quantified in detail and passed on entirely to buyers within the contractual total price.
From a competitive standpoint, the opt-in model advocated by the BSB provides a reliable foundation. It ensures that actual cost reductions become a transparent criterion for decision-making in the market. Provided that offers based on Building Type E are commercially compelling, they can establish themselves. This approach prevents reduced build quality from becoming the default standard in residential construction without the explicit acceptance of buyers.
Avoiding one-sided liability and quality risks
To date, the draft legislation primarily provides legal certainty for planners and construction companies. If the basic standard is effectively agreed upon, falling short of conventional standards is nevertheless deemed compliant with the contract and does not constitute a defect. However, this does not create an automatic financial benefit for the client.
Fork-Weigel warns against establishing the sought-after legal certainty for the construction sector at the expense of consumers. Because private owners bear the structural and financial consequences of a property for decades, quality and cost risks must not be shifted unilaterally.
