What is a Works Agreement?
A works agreement (§ 631 BGB) is a contract where the contractor owes the creation of a specific work or result, as opposed to a service contract where the activity itself is owed.
Distinction from Service Contract
Works agreement: owes result, payment upon acceptance, warranty applies. Service contract: owes activity, ongoing payment, no warranty.
Works Agreements in Public Procurement
Common for construction (plus VOB/B), IT development, expert reports, and strategy concepts with defined deliverables.
Acceptance as Key Moment
Acceptance (§ 640 BGB) triggers payment, starts the warranty period, transfers risk, and reverses the burden of proof for defects.
Practical Tip
The distinction between works and service contracts significantly affects liability. Patterno helps you identify the contract type early and adjust your calculations accordingly.