E-Commerce 2026: Additional Requirements, New Cancellation Button – What Businesses Need to Know Now

Dr. André Schmidt

Co-Author: Andra Schlingemann

The assumption that the introduction of electronic cancellation can be handled with a last-minute “technical quick fix” will likely prove to be a costly mistake for many companies. With the planned Section 356a of the German Civil Code (BGB) taking effect on June 19, 2026, the legal standards for e-commerce will expand once again: Online retailers must provide an electronic cancellation function that allows consumers to cancel contracts easily and directly. This is referred to as a cancellation button. 

This change applies to both distance contracts for financial services and for other goods and services for which a right of withdrawal exists under the Consumer Rights Directive. For companies, this means an additional technical and organizational obligation that must be carefully implemented.

 

The Organizational Pitfall: Technology Without a Legal Framework

The central misconception is likely that the cancellation button is viewed as a purely technical requirement that can be “checked off” with a one-size-fits-all implementation. However, the button does not exist in isolation. It necessitates adjustments to terms and conditions, cancellation policies, order summaries, and contract texts.

The new regulation contains detailed requirements, including:

  • Placement within the digital contractual environment

  • Wording and functional design

  • Accompanying information obligations

  • Transparent linking to contract and policy texts

 

With the introduction of the cancellation button, the legislature is pursuing a clear guiding principle: Cancellation must not be more complicated than the entering into the contract. The focus is thus placed not only on the content of the cancellation policy, but also on the actual user experience.

 

Special Risks with Hybrid Models: B2C, B2B - or Both?

The new regulations primarily affect B2C distance sales contracts. However, things get complicated where business models aren’t clearly defined: shops that combine B2C and B2B or sell different types of products need to be especially careful. It’s not sufficient to simply hide the button as a general measure. If even part of the offering falls under the right of withdrawal, a very clear distinction must be made - both technically and legally.

 

Risk of Legal Action: Market Conduct Rule with Potential for Automated Scanning

Experience with legal notices, cookie banners, and other regulatory requirements shows that automated scans of online offerings by competitors and industry associations are to be expected. Since a violation of this regulation constitutes a violation of market conduct rules, the issue automatically becomes subject to a cease-and-desist letter. Smart implementation is therefore essential to avoid cease-and-desist letters and the associated costs.