ECJ judgment – damages during construction possible – economy

According to a ruling by the European Court of Justice (ECJ), architects and builders in Germany can hope for damages from the state in certain cases because the German fee rules violate EU law. Every EU country must ensure that individuals are compensated for damage caused by violations of European law, the ECJ announced on Tuesday (Case C-261/20). The judgment concerned the German fee schedule for architects and engineers (HOAI), which, according to a judgment by the ECJ in 2019, violates European law. Minimum and maximum prices are set there for planning work. At the time, the EU Commission complained that providers from other EU countries were being prevented from settling in Germany because they could not compete on price. The BGH then used a procedure to examine the effects of the ECJ judgment on existing planning contracts in which a fee below the minimum rate was agreed – and the planner had subsequently requested the minimum rate. German courts disagreed as to whether the HOAI should continue to be applied. The EU’s highest court has now decided that German courts can continue to apply the fee schedule in disputes between private individuals. The EU requirements have no direct effect on private individuals, but are instructions to a state.

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