Law of contracts

Chapter one
Obligations in general
Definition and nature of obligation
Concept, definition, source and type of obligation
The concept and definition of obligation
 There is no single and agreeable definition for the world obligation
 Different from legal system to legal system
 The conceptual foundation of obligation traces back to the ancient Roman law.
They define obligation as a means of an undertaking or legally binding relationship where
one party promises the other party to perform some acts or tod o something.
 Roman jurists define obligation based on their personal opinion, which means
different scholars define it differently.
The Other Roman jurist Pavel understood obligation as an undertaking not by Roman
citizen to perform some acts or not to do or not to give or not to render rights to Roman
citizens.
 This definition is very defective because;
 It impose obligation only on non Roman citizens and it's obviously discriminatory.
Latter on the institute of Justinian included the roman citizens as well.
 Even though the definition was defective and very weak it has become stepping stone
for the development of the concept of obligation throughout the world.
 Other definition by blacks law Dictionary define obligation as a legal or moral duty to
do or not to do something.
The definition of obligation under our legal system
 There is no express definition
 Our cc does not define the term obligation like its mother code French’s civil code the
definition of obligation is indicated in an implied manner.
Even though it is not explicitly defined we can find the implied definition from the cumulative
reading of article 1675 & 1712. Those provisions define obligation in the aspect of contract.
It define contract is an agreement whereby two or more persons as between themselves create,
vary or extinguish an obligation of a properitary nature.
In general obligation can be expressed as:
 Obligation to give
 Obligation not to give
 Obligation to do something

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  Obligation not to do something
 Obligation to render rights to others
Simply put, from the definitions given above we can point out the following essential defining
elements of an obligation that shows the existence of obligation.
A. An active subject: he is the one who has the power to demand to performance or presentation
also known as the creditor or oblige.
B. passive subject: he is the one who is bound to perform the obligation also known as the
debtor or obligor.
C. an object or presentation: it is the thing to be performed or presented which may include the
act of giving or not giving doing or not doing something.
D. The juridical tie (vinculum juris) it is the juridical tie or bond between the two subjects by
reason of which the debtor is bound in favor of the creditor to perform the presentation or
obligation.
It is the legal tie which constitute the source of obligation
Or it is the coercive force which makes the obligation demandle eg. Obligation to deliver,
obligation to pay
Example Abel entered in to a k+ of sale of Automobile with haile who paid the purchase price
of the automobile. Abel did not deliver the automobile.
Question: who is active subject? Who is passive subject? What is the object? What is the
juridical tie?
1.2 sources of obligation
Obligation has different sources and there is no single source for it.
1. Law
 This is to mean the obligation directly arises from the laws enforced in the country.
 The government may enact laws on different social economic and political issues
 Without requiring the consent of all the citizens in the country and
 Everyone in the country has the duty to respect that state laws. For instance the
following obligations emanate from the law:
 Criminal laws (delicts)
 Payment of tax
 Payment of custom duties
 Duty of spouses to support and assist each other art.49 RFC
 Maintenance duty among family members (art.198 RFC)
 Obligation to render military service (Constitution Article 18(4)(c)
 Severance payment for employees (labor proclamation No.1150/2019)

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NB: obligations arising from the law are not presumed and to be demandle it must be clearly
provided for expressly or impliedly.
2. CONTRACT
 Contractual obligation is when the obligation arises from the agreement of the parties.
Contract as defined under article 1675 cum 1712&1679
 It is the meeting of minds between the two persons whereby one binds himself with
respect to the other.
 Obligation arising from contracts has the force of law between the contracting parties
because that which is agreed up on in the contract by the parties is the law between them.
Thus the agreement should be complied with good faith. Art. (1731(1)
Question: if there is contradiction between the contract and the law which one shall prevail??
Answer Although contracts have a force of law it doesn't mean that contracts are over and above
the law. Rather contracts are with the limitations imposed by the law
 Art. 1711 and the following states that contracting parties may establish such
stipulations, clauses, terms and conditions as they may deem convenient provided that
they are subject to the restrictions and prohibitions as are provided by law.
3. ACTS OF TORTFEASOR (QUASI DELICS) EXTRA CONTRACTUAL LIABILITY)
In this regard when the debtor commits an act ans sustained damage on the other he will be
forced to pay damages or compensation to the injured party.
Tortious activities may be committed either by
 Misfeasance (commission) or
 Nonfeasance. (Omission)
 Misfeasance (commission) is a tortious that is committed by doing some positive
activity (doing or breaching a prohibitory laws eg assault, defamation, trespass and the
like ......
 Nonfeasance (Omission) is a negative act so nonfeasance is failure to act where the
aw requires you to act in a certain way
E.g. failure to pay tax,
Tortious liability may be in three ways
A. fault based liability 2028-2065
B. strict liability 2066-2089
C. vicarious liability 2124-2169
CONTRACT VS EXTRA CONTRACTUAL ACTIVITY
1. Capacity required for k+ not for tortious activities and there is no exception

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2. Requirement of fault is necessary for tort while in k+ non performance itself enough without
showing fault to claim damages
3. Source: agreement vs. law
4. Period of limitation: 10 years vs. 2 years
5. Jurisdiction: in contract the court having jurisdiction is the court of the place where the
contract was made or to be performed in tort court of the place where the wrong was committed
4. UNLAWFUL ENRICHMENT (QUASI CONTRACT)
This is the fourth source of obligation. This type of obligation arises when a person has derived
from the work or property of another person without just cause, that is unjustly enriching
himself at the
Expense of another and then he shall indemnify the person at whose expense he has enriched
himself to the extent he has benefited from his work or property eg. 2161 receiving undue
payment
1.3 DISTINCTION BETWEEN OBLIGATION AND CONTACT
1. Obligation is the only source of contract while obligation have other sources like law,
crimes....
2. k+ is bilateral in nature while the other types of obligation are unilateral
3. All contracts are obligations while not all obligations are contracts
4. We cannot think of k+ without obligation but the reverse is possible
5. Consent is necessary element of contract while consent may not be necessary in other forms
of obligations
1.4 TYPES OF OBLIGATIONS
Obligations can be classified based on the nature of activities and the number of parties legally
bound by the obligation.
1. BASED ON THE NATURE OF THE OBLIGATION
A. Divisible and indivisible obligation
A. Divisible obligation
This is when whereby a party undertakes to perform it's obligation by dividing it in to parts.
E.g. A&B owed C 1000 birr such parties to the obligation can perform or discharge the
obligation by paying half of the debt of C which is 500 birr each.
B. INDIVISIBLE OBLIGATIONS

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In this type of obligation the performance of the obligation undertaken cannot be divided in to
parts.
So due to the conditions and circumstance of it's formation in this type of obligation partial
performance is impossible. E.g. sell of car
2. POSITIVE AND NEGATIVE OBLIGATIONS
A. NEGATIVE OBLIGATION
This is the situation where the person's obligation is not to do something or is to refrain from
doing something.
Such obligations are obligations not to do
E.g.1. Company A undertakes an obligation not to do produce or sell certain products in the
market.
E.g. 2. Messi undertakes an obligation not to advertise other soft drink other than Pepsi.
B. POSITIVE OBLIGATIONS
This is the situation where the person's obligation is to do or to give something
It requires positive actions from the debtor
eg1. Parents obligations of upbringing their Children
eg2. Obligations of the state to fulfill it's people's socio economic rights
3. CLASSIFICATIONS OF OBLIGATIONS BASED ON THE NUMBER OF PARTIES
LEGALLY BOUND
A. UNILATERAL OBLIGATION
It arises from a contract which two parties participate however only one of the parties is legally
bound by the contract for the benefit of the other contracting party. E.g. Donation, agency
payment unpaid deposit
 There is only one promise
 There is no reciprocal obligation between the contracting parties, rather only one party
has an obligation to perform that unilateral obligation due to that unilateral obligation
are called contracts on gratuitous title
QUESTION: WHAT IF THE DONOR WANTS TO RECOVER?
QUESTION (one may ask that why do someone only be beneficiary while the other party incur
only liability or burden?)
Answer: they can do so whatever they want of civil obligation long as: their agreement is:
 defect free and
 in line with the law

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B. BILATERAL OBLIGATION
It arises from a contract entered in to by two parties in which these contracting parties are bound
legally to each other on equal terms.
 There are two promisors and two promises.
 This type of obligation is also called obligation based on onerous title (bewaga lay
yetemeserete wul)
There is a reciprocal obligation among the parties
C. MULTILATERAL OBLIGATION
Is the case where mora than two persons undertake to perform and obligation.
Such obligation can be classified in to three
1. SIMPlE JOINT OBLIGATION
In this type of obligation parties who are bound by such an obligation are not jointly liable for
the total debt.
 each debtor is liable for his own share
 with exception of some provisions (art.1917 " the provisions regarding joint obligation
shall apply by analogy to obligations which are indivisible owing to their nature"
So if the nature of the obligation is indivisible then the provisions of joint liability i.e. 1896 will
be applied which means all co-debtors will be liable until the obligation is fully discharged.
(1896 cum 1897)
2. JOINT OBLIGATIONS
It arises from contractual obligations in which more than one parties participate and debtors are
jointly liable for the debt secured as a result of the obligation entered into with creditor or
creditors.
The specific amount of liability of the debtors or the specific amount of right of the
creditors is not clearly known; rather they are jointly liable until the discharge of the whole
obligation.
There is no defense of benefit of division
3. JOINT AND SEVERAL OBLIGATIONS
In this kind of obligation the co-debtors shall be jointly and severally liable unlike joint
obligation where the debtors are jointly obliged to undertake a given obligation.
 The creditor may require all the debtors or one of them to discharge the obligation in
whole or in part.
1.4 THE MEANING OF CONTRACT OR CONTRACT LAW

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  No definitive answer to the question what is contract and contract law.
 But one may say contract law is most obviously the law relating to agreements or
promises.
 There is no single definition for the terms different jurisdictions define it differently.
For instance the French civil code which is the mother code of the Ethiopian civil code define
contract as agreement whereby one or several other persons bind themselves in favor of one or
several other persons to give, to do, or not to do something"
So contract has two main components: that are
A. agreement of the parties
B. The obligations that springs directly from the agreement
When we say agreement it relates to agreements that the law will enforce.
WHAT IS CONTRACT LAW?
It is a law based on liability for breach of promises or agreement
also contract law is used to mean the whole collection of rules which apply to contract and this
includes many rules which are not contractual in the sense of being based on promise to do
something ( eg. k+ by fraud...is it based on tort or k+ there are different views.
So contract law is primarily concerned with supporting the social institution of exchange
However not all agreement among the society is to be governed under the law of contract.
For instance domestic arrangements are not governed by law at all.
DEFINITION OF CONTRACT UNDER THE ETHIOPIAN LEGAL SYSTEM
Art. 1675 define contract as "an agreement where two or more persons as between themselves
create, vary or extinguish an obligation of a properitary nature"
In order to clearly understand the definition let's break it down and see each of its elements.
A. Contract is an agreement
So agreement is one essential defining element and characteristics of k+ law which makes it
different from other laws.
So what is an agreement? Agreement is a manifestation of mutual consent or assent by two or
more persons to one another.
Their consent may be expressed be verbally, through written instrument or by conduct.
So in order to say there is an agreement there must be a manifestation of common intention by
the parties.
The contract being an agreement it is not the paper on which it may be written and signed - such
paper or document is used only as a means of proving that agreement was made expressly.

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But contractual agreement is different from non compulsory exchange of consent. E.g.
Gentlemen’s agreement for gratuitous action, free performance of service is not contract.
Simply Not every agreement is contract but every contract is agreement.
B. CONTRACT IS NOT A UNILATERAL INSTRUMENT
A contract in order to be an enforceable agreement before the law at least two parties is
necessary. There may however be more than two parties but cannot be less than that. This is
because a person cannot enter into a contract with himself for such contract cannot operate to
affect his legal relations with someone else. In other words a man cannot be under Legal
obligation to himself.
But there are exceptions: as per article 2188 of the civil code an agent can conclude a contract
with himself acting on his own behalf or in the name of third party.
The case where the agent concludes a contract with himself on his own behalf is known as self
dealing.
Where the agent contract with himself in the name of third party it is known as dual agency.
In both cases the principal can cancel or ratify the contract. This is to avoid conflict of interest.
C. THE AGREEMENT MUST BE BETWEEN PERSONS ONLY
It could be either natural (physical) person or arteficial (legal person)
Which means a person cannot contract with a thing, animal or Robot.
Other cases like will drawing an order of succession, acknowledgement of natural child,
resignation made by an employee are unilateral expression ta persons intention to generate an
obligation of a civil nature.but they are not contract Because there is only one party.
C. THE AGREEMENT MUST BE BETWEEN THEMSELVES (AS BETWEEN
THEMSELVES)
It's also called the relative effect of contract
This is to say that a contract takes effect only between the parties concerned
So as a general rule contract cannot produce effect up on third parties that are not parties to the
contract. See art.1952 (1) says except in cases provided in this code contract shall produce effect
only as between the contracting parties”
So in some exceptional cases provided by law contract may have effect on third parties?
E.g. Art 1957 as per this article parties to a contract may stipulate that one of them shall perform
an obligation for the benefit of third party.
There are also many other exceptions ...but still the principle of relative effect of contract is at
the core of contractual freedom

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D. THE CONTRACT MAY BE TO CREATE, VARY ORR EXTINGUISH OBLIGATION
The contract maybe to create or to vary or extinguish (all of them are contract) the obligation
may be to do or not to do or to give something.
E. OF A PROPERITARY NATURE (PATRIMONIAL)
This means that the contract or
 the agreement must relate with goods, physical or intellectual services
 And this excludes contract of status such as betrothal, marriage, adoption and the
like which creates obligation of status predefined by law of primarily non patrimonial
nature.
It doesn't mean that patrimonial (proprietary) obligation does not derive from such status bound
situations such as the payment of alimony (maintenance) but they are not governed law of
contract in all situations.
1.4 THE MEANING OF CONTRACT OR CONTRACT LAW

 It is difficult to give a definitive answer to the question what is contract and contract
law.

But one may say contract law is most obviously the law relating to agreements or promises.

 There is no single definition for the terms different jurisdictions define it differently.

For instance the French civil code which is the mother code of the Ethiopian civil code define
contract as agreement whereby one or several other persons bind themselves in favor of
one or several other persons to give, to do, or not to do something"

 So contract has two main components: that are

A. agreement of the parties

B. The obligations that springs directly from the agreement

When we say agreement it relates to agreements that the law will enforce.

WHAT IS CONTRACT LAW?

 it is a law based on liability for breach of promises or agreement

Also contract law is used to mean the whole collection of rules which apply to contract

 And this includes many rules which are not contractual in the sense of being based on
promise to do something (egg. k+ by fraud...is it based on tort or k+ there are different
views.

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  So contract law is primarily concerned with supporting the social institution of
exchange

However not all agreement among the society is to be governed under the law of contract.
Eg. Domestic arrangements are not governed by law at all.

DEFINITION OF CONTRACT UNDER THE ETHIOPIAN LEGAL SYSTEM

 Art. 1675 define contract as "an agreement where two or more persons as between
themselves create, vary or extinguish an obligation of a proprietary nature"

In order to clearly understand the definition let's break it down and see each of its elements.

A. Contract is an agreement
So agreement is one essential defining element and characteristics of k+ law which makes it
different from other laws.

 So what is an agreement?

Agreement is a manifestation of mutual consent or assent by two or more persons to one

another.

 Their consent may be expressed be verbally, through written instrument or by

conduct.

So in order to say there is an agreement there must be a manifestation of common intention

by the parties.

 The contract being an agreement it is not the paper on which it may be written and
signed - such paper or document is used only as a means of proving that agreement was
made expressly.
 But contractual agreement is different from noncompulsory exchange of consent. eg.
Gentlemen’s agreement for gratuitous action, free performance of service is not contract.

Simply Not every agreement is contract but every contract is agreement.

B. CONTRACT IS NOT A UNILATERAL INSTRUMENT

 K+ in order to be an enforceable agreement before the law at least two parties are
necessary.
 There may however be more than two parties but cannot be less than that.
 This is because a person cannot enter into a contract with himself for such contract
cannot operate to affect his legal relations with someone else.
 In other words a man cannot be under Legal obligation to himself.

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  But there are exceptions: as per article 2188 of the civil code an agent can conclude a
contract with himself acting on his own behalf or in the name of third party.

 The case where the agent concludes a contract with himself on his own behalf is known
as self-dealing.
 Where the agent contract with himself in the name of third party it is known as dual
agency.

In both cases the principal can cancel or ratify the contract. This is to avoid conflict of interest.

C. THE AGREEMENT MUST BE BETWEEN PERSONS ONLY

 It could be either natural (physical) person or artificial (legal person)

 Which means a person cannot contract with a thing, animal or Robot.

Other cases like:

 Will drawing an order of succession,

 Acknowledgement of natural child,
 Resignation made by an employee
 They are unilateral expressions of person’s intention to generate an obligation of a
civil nature. But they are not contract? Because there is only one party

C. THE AGREEMENT MUST BE BETWEEN THEMSELVES (AS BETWEEN

THEMSELVES)

 It's also called the relative effect of contract

 This is to say that a contract takes effect only between the parties concerned

So as a general rule contract cannot produce effect up on third parties that are not parties to
the contract. See art.1952 (1) says except in cases provided in this code contract shall produce
effect only as between the contracting parties”

 So in some exceptional cases provided by law contract may have effect on third
parties?

Eg. Art 1957 as per this article parties to a contract may stipulate that one of them shall
perform an obligation for the benefit of third party.

There are also many other exceptions ...but still the principle of relative effect of contract is
at the core of contractual freedom

D. THE CONTRACT MAY BE TO CREATE, VARY ORR EXTINGUISH OBLIGATION

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The contract maybe to create or to vary or extinguish (all of them are contract) the obligation
may be to do or not to do or to give something.

E. OF A PROPERITARY NATURE (PATRIMONIAL)

This means that the contract or the agreement must relate with goods, physical or intellectual
services

 This excludes contract of status such as betrothal, marriage, adoption and the like
which creates obligation of status predefined by law of primarily non patrimonial
nature.

It doesn't mean that patrimonial (proprietary) obligation does not derive from such status
bound situations such as the payment of alimony (maintenance) but they are not governed law
of contract in all situations.

CLASSIFICATIONS OF CONTRACT

 Classifying contract is not an easy task; however different scholars define it from
different perspectives.

But still it can be classified even though there is an overlap among the categories of contract.

 The difference in the classification of contract basically depends on its formation,

enforceability and performance.

Classification of contract based on performance

1. BILATERAL VS UNILATERAL CONTRACT

 Every contract involves at least two parties whether is bilateral or unilateral

In bilateral contract (also called contracts based on onerous title)

 Both the parties have an obligation to discharge in respect of the other

Hence, bilateral contract is a promise for a promise

 Bilateral contract is also called synallagmatic contract a relationship which imposes a

reciprocal obligation on both parties

Eg. Payment of money &

 delivery of goods,
 k+ of rent,

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  sale k+,
 employment contract

UNILATERAL K+ in unilateral k+ only one party assumes an obligation

Eg. Repayment of loan, contest (competition) lotteries and other prize winning
competitions

 Generally whether a contract is classified as unilateral or bilateral depends on what

the offeree must do to accept the offer and binds the offeror to a contract.

So, if the offeree, in order to accept the offer, he must only promise to perform then it is a
bilateral.

In contrast if the offer is phrased to that the offeree can accept only but completing the contract
then it is a unilateral contract.

B. EXPRESS VS IMPLIED CONTRACT (this classification is based on the creation or

formation of contact)

 An Express contract is one in which the terms of the agreement are fully and
explicitly stated in words oral or written
 implied contract is implied from the conduct or the activities of the parties

Implied contract are different from express contract in that in case of implied contract it is the
conduct of the parties rather than their words that creates and defines the terms of the contract.

C. SOLEMN (FORMAL) VS. CONSENSUAL (INFORMAL) CONTRACTS

 Solemn or formal contract are contract that require a special form or method of
creation to enforceable or valid
 Or solemn contract should be made following certain formality requirements
 So special formality requirement is necessary for its validity

E.g. k+ on immovable 1723

CONSENSUAL (INFORMAL K+)

 Consensual k+s are k+s in which no special form is required

 The k+s are usually based on their substance rather than form.

WHY SPECIAL FORM IS REQUIRED??

The principle is parties can agree as they deem necessary.

But exceptionally form is required due to:

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  Social, sentimental , and economic value of some properties
 Probability of losing evidences
 Evidentiary purpose

So why not for all??? B/C

 Some properties are of low economic value
 May cause Westgate of time and economy

eg. Written form to take bus...is uneconomic

D. CONTRACT OF ADHESION VS. CONTRACT OF CONSULTATION (FREELY

NEGOTIATED K+

 This classification is based on the number of parties that dictate the terms of the
agreement.

ADHESION K+ In this kind of k+ in which the terms of k+s are dictated by a party with
overwhelming bargaining power and the signer must agree to those terms or go without the
commodity or service in question

The contract is written exclusively by one party (the dominant) and presented to the other
party (adhering party) who has no the opportunity to negotiate.

Eg. Insurance policies, lease k+, loan agreement and others and other types of k+ with
government

 They resemble (seem) law rather than meeting of mind

 Because there is no bargaining or negotiation.

K+ OF CONSULTATION (freely negotiated k+)

 Here the k+ is the result of the freely bargaining parties who are brought together by
the play of the market.
 There is approximate or equal bargaining power between the parties
 The parties freely bargain for their respective rights and duties.

E. ALEATORY VS. COMMUTATIVE K+ (based on Time of performance)

ALEATORY K+ is a type of k+ in which one party’s performance depends on some

uncertain event that is beyond the control of the parties involved.

E.g. Life insurance ...the insured pay premium as the time of the formation of the k+ but the
insurer will pay the indemnity when the insured dies (which is uncertain
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eg. Loan

COMMUTATIVE K+: Is a type of k+ where k+ting parties are required to perform their
obligation simultaneously.

 there is no advance time given to one of the k+ting parties

E.g. Sale

PURPOSE OF CONTRACT LAW AND its IMPORTANCE

 K+ law is mainly and primarily concerned with supporting the institution of

exchange which is an enormous part of our life.
 Of course k+ law has many purposes but the central one is to support and control
agreements that collectively make up a market economy.
 It empowers the parties to make agreements that the law will enforce.
 It enables parties to a contract to make exchange that might otherwise carry too
great risks that may come due to the default of one of the parties

Generally k+ law is important for creating smooth functioning of business transaction by

creating:

 certainty,
 predictability, and
 Enforceability.

CLASSIFICATION OF CONTRACT BASED ON its ENFORCIBILTY

VALID K+: Is an agreement that fulfills all the essential requirements of the law.

VOID: Is one that is nonexistent from its inception because the object (purpose) is illegal...and
due to that neither party can enforce the k+.

VOIDABLE: It is a contract that is defective and can be avoided by one of the parties...or

 It is an agreement that enforceable by law at the option of one or more of the parties.

UNENFORCEABLE K+: Is one which cannot be enforced in a court of Law because of

some technical defect.

Eg. Lapse of time (period of limitation)

PROVISIONS APPLICABLE TO K+
Art... 1676(1) the general pp. read......?

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this sub provision of the civil code clearly states that the title on k+s in general i.e. (art. 1675-
2026) are intended to cover all types of k+s whatever their nature And irrespective of the
parties thereto.

 When we say whatever their nature...it could be sale k+, k+ on immovable,

administrative k+, arbitration k+....etc.
 When the law says irrespective of the parties thereto it is to include both natural
and artificial persons.
 This means the provisions in the General k+ are common to all special k+s under
book V (5) of the civil code and those k+ governed by the commercial code.

In other words Commentary by George krzeczunowicz ...classify k+ in to three

1. NOMINATE CONTRACT

In case of those nominate k+s there is special provision that governs them. E.g. Special k+
under book V (5) are nominate k+

eg. Lease, deposit, sale, loan, agency, administrative k+

2. MIXED CONTRACT

These may contain a number of these nominate transactions each governed by separate
rules of law.

E.g. art 2653 ff k+ of innkeepers

This type of k+ nominate elements of lease (room) deposit (luggage) sale (food) hire service)

3. INNOMINATE CONTRACT (unnamed)

It is a type of k+ that doesn't fit to any of the named descriptions.

 One of their common features is that there is no special provision to govern them. So it
can only be solved exclusively by using the provisions of the general k+.

Art. 1677 SCOPE OF APPLICATION OF THIS TITLE

Sub (1) "the relevant provisions of this title shall apply.......out of k+"

 This article simply shows the application of the general k+ provisions to the other
sources of obligations other than k+.
 The expression "notwithstanding the obligation does not arise from k+" must be taken to
mean notwithstanding that the obligation does arise from sources other than k+.
 Not all the provisions of the general k+ apply for them. Rather only the relevant one
will be applied.

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E.g. Formation of k+ rules cannot be applied for tort rules.

 However issues like rules on performance or nonperformance of non-contractual

obligation can be ruled by general k+ provisions.
 Again remission of debt, novation, set-off, merger, period of limitation also extinction
of obligation can be applied for others.

Question: art. 1675 define k+ as agreement on things of a proprietary nature. And article
1677(1) makes general k+ provisions applicable to other types of obligations ...is there any
contradiction??

If so can it be applied for criminal law as well??? No b/c in criminal law analogy is prohibited.

Art.1677 (2) Read "Nothing in this title shall affect...."

This provision is all about Art. 1677(2) exception to 1677(1)

Read "nothing in this title shall affect....."

This means this title on k+s in general applies to special and commercial k+s in so far as only as
it doesn't conflict with special provisions on them.

This sub (2) is all about the manifestation of the principle of interpretation which says special
rules derogate from general rules.

So this sub (2) narrows down the scope of sub art. (1) to exclude Rules affecting the special
provisions which applies to obligations of non-contractual origin in nature.

 so if a lawyer is faced with tort case then first he must look up first his law of tort before
resorting to the title on general k+ .if it is not possible to solve the problem by using the
tort law or if there is a lacuna or gap then he can resort to the general k+
 Thus, the general provisions of the k+ will assume a supplementing or
complementary role and only will come in to play in the event of a lacuna (gap) or
difficulty with the special provisions. E.g. Absurdity.
 Lastly any special provision of uncertain meaning should be interpreted in light of
the general law context.

Question
What is the importance of making the general provisions applicable to other areas of
law???

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