Withdrawal Button Becomes Mandatory – New Requirements for Distance Contracts from June 19, 2026

With the Act amending consumer contract law, insurance contract law, and treatment contract law, promulgated on February 5, 2026 (Federal Law Gazette 2026 I No. 28), the legislator introduces a fundamental revision of Section 356a of the German Civil Code (BGB). Upon the new regulations taking effect on June 19, 2026, companies will be obliged to provide an electronic withdrawal function for online distance contracts. Consumers must in future have the option to submit their declaration of withdrawal directly via a so-called 'withdrawal button'.

New Requirements for Businesses

The new regulation applies to all businesses that conclude distance contracts with consumers via an online user interface. This includes contracts relating to the provision of financial services or other goods or services. The term 'online user interface' covers not only websites but also mobile apps.

Previously, the law only required that a withdrawal be possible through a simple and clear declaration to a business. While some providers already offer digital withdrawal options via online forms, others still require a declaration by email or letter. These discrepancies are now to be eliminated by the legally mandated 'button solution', and the sometimes inconsistent withdrawal processes are to be standardized. Ultimately, consumers should be able to withdraw from a contract as easily as they can conclude one.

While the new button solution builds on existing legal mechanisms – particularly the 'cancellation button' according to Section 312k BGB – its function and objective go beyond them. While existing button solutions have primarily focused on the termination of long-term contracts or the confirmation of specific declarations, the new Section 356a BGB for the first time creates a standardized digital procedure for distance contracts specifically tailored to the right of withdrawal.

Unlike previous button solutions, the withdrawal button also does not merely concern individual contract types, such as fixed-term consumer contracts, but potentially all online distance contracts subject to withdrawal.

Design of the Withdrawal Button

The new Section 356a (1) sentence 2 BGB stipulates that the electronic withdrawal function must be clearly labeled with 'Withdraw Contract' or a comparable phrasing. The 'withdrawal button' must be easily discoverable by the consumer, directly accessible from every subpage of the online user interface, and clearly visible.

This requirement can generally also be met by a link in the website's footer. However, unlike links to privacy notices or the impressum, the withdrawal function must be visually highlighted. In the explanatory memorandum to the government draft (BT-Drs. 21/1856, p. 37 f.), suitable measures mentioned include, for example, choosing a different color or a stronger contrast, as well as prominent placement.

Continuous Availability

In principle, the withdrawal function only needs to be continuously available to the consumer on the online user interface until the withdrawal period expires. However, if the withdrawal button is accessible without prior login to a customer area, individualization for different website visitors will be technically difficult to implement.

According to the explanatory memorandum, it should explicitly not be permissible to require consumers to register, authenticate, or log in first in order to use the withdrawal function. An exception should only apply if the contract can only be concluded by setting up a customer account – in this case, it is sufficient to provide the withdrawal function within the login area.

In all other cases, the withdrawal function must therefore be provided generally and permanently on the website. According to the explanatory memorandum, this should not constitute misleading consumers in a legal sense. However, practical problems remain, as a general provision could entice consumers to submit unjustified declarations of withdrawal even after the withdrawal period has expired, thus causing significant additional effort in processing them.

Concluding Contracts via Third-Party Sites

Another special feature is that for the obligation to provide the withdrawal function, it is irrelevant whether the contract is concluded via a website operated by the business itself or via a third-party website, such as an intermediary platform. In both scenarios, the business must ensure that an electronic withdrawal function is available to the consumer and, if necessary, contractually oblige the third-party provider to do so.

On Formalities

The withdrawal function must enable the consumer to provide or confirm the following information to the business:

1. First and last name,
2. which contract or which part of the contract is to be canceled,
3. the electronic communication method by which the consumer is to be sent a confirmation of receipt for the cancellation.

The consumer must be given the option to submit their cancellation electronically and to provide or confirm the necessary information for identifying the contract concerned. If the consumer has already clearly identified themselves previously, for example by logging into their customer account, no renewed identification should be required.

The information submitted must subsequently clearly indicate which contract the cancellation refers to. If there are multiple contracts between the consumer and the entrepreneur, the relevant contract must be specifically selected or designated. Furthermore, it must be possible to cancel individual contract components, such as specific goods or services.

To prevent consumers from accidentally exercising their right of cancellation, companies must also provide an additional confirmation option through which consumers can clearly confirm their intention to cancel. Only after the consumer has entered the required information for cancellation or confirmed their data may the cancellation declaration be triggered via a confirmation function – for example, with the label "Confirm Cancellation".

Subsequently, a confirmation of receipt containing the content of the cancellation declaration must be sent to the consumer via their chosen communication method (e.g., by email). In this context, the legislator points out that care should be taken not to inadvertently create the impression that the effectiveness of the cancellation has already been checked. Therefore, for the wording of the confirmation of receipt, the legislator suggests including a note that a review of the effectiveness and scope of the cancellation declaration is still pending.

Outlook – Consequences of Violating § 356a BGB (new version)

With the introduction of the mandatory cancellation button, the legal risks for businesses also increase significantly. Those who fail to implement the legal requirements or do so incorrectly risk, in particular, competition law warnings from competitors and consumer associations. Even minor errors in the placement, labeling, or technical design of the cancellation function can lead to considerable legal consequences in the future.

Operators of online shops and digital sales platforms, in particular, should therefore check whether their website complies with the new legal requirements. This is because experience shows that new consumer protection regulations regularly become the focus of law firms specializing in warnings.

The cancellation button is therefore likely to quickly become a new focal point in e-commerce – making it all the more important to review the legal requirements and ensure their legally compliant implementation.

Wording of § 356a BGB (new version)

§ 356a Electronic Cancellation Function for Distance Contracts

(1) For distance contracts concluded via an online user interface, the entrepreneur must ensure that the consumer can submit a cancellation declaration on the online user interface by using a cancellation function. The cancellation function must be clearly legible and labeled with "Cancel Contract" or another equivalent unambiguous wording. It must be constantly available on the online user interface during the cancellation period, prominently placed, and easily accessible to the consumer.

(2) The cancellation function must enable the consumer to submit a cancellation declaration to the entrepreneur and to readily provide or confirm the following information to the entrepreneur in or with the cancellation declaration:

1. the consumer's name,

2. information for identifying the contract or the part of the contract that the consumer wishes to cancel,

3. information on the electronic communication method by which the consumer is to be sent a confirmation of receipt for the cancellation.

(3) As soon as the consumer has provided or confirmed the information according to paragraph 2, the entrepreneur must enable the consumer to submit their cancellation declaration and the information to the entrepreneur by means of a confirmation function. This confirmation function must be clearly legible and labeled with "Confirm Cancellation" or another equivalent unambiguous wording.

(4) If the consumer has activated the confirmation function, the entrepreneur must immediately send the consumer a confirmation of receipt on a durable medium, which must contain at least the content of the cancellation declaration according to paragraph 2, as well as the date and time of its receipt.

(5) The consumer's cancellation declaration is deemed to have been received by the entrepreneur within the cancellation period if the consumer sent the cancellation declaration according to paragraph 3 via the cancellation function before the expiry of this period.