Contract for Work in Public Procurement Law 2026 – Distinctions & Significance

The contract for work in procurement law: civil-law basis for works and service contracts, distinction from the service contract and particularities in public procurement.

Definition: A contract for work is a civil-law contract type in which the contractor owes the production of a specific work or result and the contracting authority pays remuneration in exchange – in public procurement it is the most frequent basis for works contracts and certain service contracts.

Last updated: January 2026 · Legal basis: §§ 631 et seq. BGB (Germany), §§ 1165 et seq. ABGB (Austria), VOB/B, BVergG 2018, GWB/VgV

What is a contract for work?

A contract for work is the civil-law contract type in which the contractor owes a specific outcome – the "work" – rather than merely an activity. This distinguishes it from a contract of services, under which only the performance of an activity, not its outcome, is owed. A contract for work is the civil-law basis for many public contracts.

Contract for work and procurement law

In procurement law, contracts for work are typically classified as works contracts or as service contracts of the contract-for-work type. The procurement-law classification (works, supply or service contract) does not follow the civil-law contract type but the main subject matter of the service. Even where a contract for work exists in civil-law terms (e.g. software development), the contract can still qualify as a service contract under procurement law.

Particularities of construction contracts (VOB/B)

For construction works of public contracting authorities in Germany, not only the BGB applies but generally also VOB/B (Procurement and Contract Regulations for Construction Works, Part B). VOB/B modifies the statutory contract-for-work rules on many points – for example as regards defects rights, time limits and termination. It becomes part of the contract through express agreement; its incorporation in the B2B sphere is unproblematic.

In Austria, ÖNORM B 2110 frequently applies to construction works, performing similar functions.

Key elements of the contract for work

In the public contract for work, the following provisions are particularly important:

Specifications: the precise definition of the work owed (the result)
Remuneration: unit-price contract, lump-sum contract or hourly-rate contract
Acceptance: formal acceptance of the work as a prerequisite for the remuneration being due
Warranty for defects: statutory and contractual defects rights
Liability: limitations and extensions of liability

Acceptance as a procurement-relevant moment

The acceptance of the work (§ 640 BGB, § 1170 ABGB) is significant not only in civil-law terms – it can also be relevant for the final invoice and the warranty period and must be documented accordingly.

FAQ

What is the difference between a contract for work and a contract of services in procurement law? A contract for work owes a result; a contract of services owes only an activity. For procurement law, what matters is the main subject matter: works, supplies or services.

Can a contract for work also be awarded as a direct award? Yes, where the contract value does not exceed the relevant thresholds.

Does VOB/B apply automatically to public construction contracts? No. VOB/B must be expressly agreed. Without agreement the statutory contract-for-work rules (BGB) apply.

Last updated: January 2026 All information is provided without guarantee. For legally binding advice please consult a law firm specialising in public procurement law.