Kuwait Court of Cassation principle number 634

Administrative contracts. Subject to a special legal regime differing from the regime governing civil contracts. The reason for this. The unequal interests represented by each party to an administrative contract, as the administration seeks to achieve the public interest while the party contracting with it seeks its own private interest. The implication of this: the administration has the right to include in its administrative contracts with individuals or private legal persons financial penalties uncommon in private-law contracts. The rationale for this: safeguarding public services, ensuring their proper functioning, and ensuring that the contracting party respects the contractual conditions and exercises care and precision in performance. Exhaustion of the contract's purposes upon completion of the works for which it was concluded. Its effect. The administration may not exercise those exceptional powers or impose financial penalties on the contracting party on the allegation that it breached its obligations during performance of the contract. - The administration's assessment of the circumstances surrounding performance of the contract and the contracting party's circumstances, and its exemption of that party from liability for delay. Its effect. Discharge of the contracting party from all liability.