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The Confirmation of Interest Letter is a crucial preliminary document in German business practice, commonly used to initiate formal discussions for potential transactions or business opportunities. It serves as an intermediate step between informal discussions and more binding agreements like Letters of Intent or definitive agreements. Under German law, while a Confirmation of Interest Letter is generally non-binding regarding the main transaction, it can create certain pre-contractual obligations under BGB § 241(2) and § 311(2), particularly concerning good faith negotiations. The document typically includes the scope of interest, basic terms, proposed process for further discussions, and any preliminary commitments such as confidentiality or exclusivity provisions. It's particularly valuable in complex transactions where parties need to document their preliminary interest while maintaining flexibility for detailed negotiations and due diligence.

1. Sender's Details: Full legal name and address of the sending party

2. Date: Date of the letter in German format (DD.MM.YYYY)

3. Recipient's Details: Full legal name and address of the receiving party

4. Subject Line: Clear identification of the opportunity or transaction being considered

5. Opening Statement: Formal introduction and reference to any previous discussions or communications

6. Expression of Interest: Clear statement of interest in the opportunity or transaction

7. Scope of Interest: Brief description of what aspects of the opportunity the sender is interested in

8. Basic Terms: High-level outline of key parameters or conditions of interest

9. Non-Binding Nature: Clear statement that this is not a binding commitment to proceed

10. Next Steps: Proposed process for further discussions or due diligence

11. Contact Details: Name and contact information of the primary contact person

12. Closing and Signature: Formal closing, signature block with authorized signatory