The aim of this paper is analyzing the legal system enabling German cities and towns to control street cafes. The conclusions obtained are as follows : 1. While restaurants and cafes intend to gain by an increased income, the towns intend to gain by an increased attractity of central urban areas, which makes the system a win-win situation for both. 2. German town statutes mainly try to ensure an unobstructed general use of public street space and exempt the towns from any liability for damages arising from public street space usage by sidewalk cafes. The statutes do not only apply to streets the town is responsible for, but also for streets governed by the Federal Republic and the Lander. 3. The statutes vary widely and are flexible enough to adapt to local as well as temporary needs. Even though Germany is known for strict guidelines in town planning, the statutes hardly contain any regulations about urban design, opening hours or management style.