Law places limits on government power.
The rule of law means more than having lots of laws. The people applying them are bound by law themselves. An official cannot simply decide according to personal preference. Legal requirements and procedures govern what an authority may do.
Article 20(3) distinguishes the roles: the legislature is bound by the constitution; the executive and judiciary are bound by law and justice. Independent courts decide disputes. Article 19(4) generally provides a legal remedy when public authority violates someone’s rights.

The other three answers
The wrong options exempt the state, confuse nationality with legal duties, or mix up institutional roles.
The state does not have to abide by the laws.
This is the opposite of the rule of law. Government power is constrained by law; an authority cannot disregard applicable rules whenever convenient.
Only Germans must follow the laws.
People without a German passport are subject to the legal order too. Individual provisions may address different groups, but this does not create a general exemption from the law.
The courts make the laws.
Legislation and adjudication are different tasks. Courts apply and interpret law; they do not simply take over the legislature’s role. Judicial decisions can nevertheless shape how the law develops.
Being bound by law does not mean every rule is identical.
Residents, authorities and courts have different rights and duties. An authority may possess powers a private person does not. What matters is that these powers have a legal basis and legal limits.
A state governed by law can still make mistakes. The principle does not promise perfect decisions; it requires legal constraints and mechanisms of review. In the exam, choose the option that expressly includes both residents and the state.
Article 20 · Basic Law ↗Rule of law → rules bind the state too.
Remember “too”. Mentioning only residents’ duties misses the crucial limit on government power.
Three words for this question
- der Rechtsstaata state governed by the rule of law
- A state whose exercise of power is legally constrained and subject to review.
- sich an etwas haltento abide by something
- To observe and follow a rule.
- die Rechtsprechungthe judiciary / adjudication
- The work of courts in applying law to disputes.
