Case C-237/02

Freiburger Kommunalbauten GmbH Baugesellschaft & Co. KG

v

Ludger Hofstetter and Ulrike Hofstetter

(Reference for a preliminary ruling from the Bundesgerichtshof)

(Directive 93/13/EEC – Unfair terms in consumer contracts – Contract for the building and supply of a parking space – Reversal of the order of performance of contractual obligations provided for under national law – Clause obliging the consumer to pay the price before the seller or supplier has performed his obligations – Obligation on the seller or supplier to provide a guarantee)

Summary of the Judgment

Approximation of laws – Unfair terms in consumer contracts – Directive 93/13 – Unfair term under Article 3 – Meaning – Clause obliging the consumer to pay the full price before performance once a guarantee is provided – Assessment of unfair nature by the national court

(Council Directive 93/13, Art. 3)

It is for the national court to decide whether a contractual term in a building contract requiring the whole of the price to be paid before the performance by the seller or supplier of its obligations and provision by the latter of a guarantee satisfies the requirements for it to be regarded as unfair under Article 3(1) of Directive 93/13 on unfair terms in consumer contracts.

Although the Court may interpret general criteria used by the Community legislature in order to define the concept of unfair terms such as it appears in Directive 93/13, it should not, however, rule on the application of those general criteria to a particular term, which must be considered in the light of the particular circumstances of the case in question.

(see paras 22, 25, operative part)