OLG-Zweibrücken: Husband acted on behalf of wife through email access

OLG-Zweibrücken: Husband acted on behalf of wife through email access

In a landmark ruling, the Palatinate Higher Regional Court (OLG) Zweibrücken decided that passing on an email password to a spouse can lead to so-called prima facie power of attorney. This enables the partner to transact legally on behalf of the other, even if the partner knows nothing about the transaction. The case, which was decided on January 15, 2025 (case 1 U 20/24), relates to a homeowner who entered into a settlement agreement with her building insurance company following water damage - but unknowingly.

The woman had taken out building insurance for her single-family home in 2011. When water damage occurred, insurance was called in to settle the damage. In 2014, a settlement was reached between the homeowner and the insurance company, which provided for a payment of 10,000 euros and was intended to cover all previous and future damage. Years later, in 2020, however, consequential damage occurred again and the insurance company refused payment because it referred to the severance payment settlement that had already been concluded.

Conflict over the severance payment settlement

The homeowner was of the opinion that the settlement agreement was void because she had not taken any action in the matter herself. She sued the Kaiserslautern regional court, which, however, dismissed the lawsuit. It based its decision on the fact that the husband had acted on behalf of his wife and that by receiving the payment the wife had implicitly agreed to the contract.

The Zweibrücken Higher Regional Court, on the other hand, made it clear that the husband acted with apparent authority because he concluded contracts using his wife's email access without her knowing about it. The judges examined the right of representation in accordance with Section 164 Paragraph 1 of the German Civil Code (BGB) and came to the conclusion that passing on the email password can be viewed as sufficient to establish a prima facie power of attorney. Even if the woman knew nothing about the actions, the insurance company could rely on her husband's power of representation.

Legal framework and authority to tolerate

The OLG's decision is not without significance as it shows how prima facie powers of attorney are handled in German law. According to case law, toleration and prima facie powers of attorney are important instruments for clarifying ambiguities in legal transactions. While a power of acquiescence exists when someone knowingly tolerates someone else acting on their behalf, a prima facie power of attorney refers to cases in which the person represented is not aware of the actions of their representative, but should have recognized and prevented them if they had exercised due care. This shows that responsibility is not always clear, even in unclear situations.

The court's decision therefore has far-reaching implications for future cases in which spouses or other persons act on behalf of another person. The trust placed in such relationships can quickly lead to legal complications if clear agreements are not made.

Further details about the case and the legal background can be found in the reports from LTO and anwalt.de.