Kuwait Court of Cassation principle number 2531

An express rescission clause. A prior agreement between the parties that the contract shall be rescinded automatically upon failure to fulfil the obligations arising from it. Its effect. Depriving the judge of discretionary authority regarding rescission. The prerequisite thereof. The court's verification of the conditions for rescission and the necessity of giving effect to it. The creditor's option to seek rescission lapses upon its acceptance of performance in a manner inconsistent with the intention to rescind the contract, or if the creditor has, through its fault, caused the debtor's failure to perform its obligation, or if the debtor's refusal to perform is lawful on the basis of the defence of non-performance where its conditions are satisfied. Its effect. The judge disregards the contractual rescission clause. The creditor retains the right to invoke judicial rescission. - 465 - Obligation - Ascertaining the existence of an express rescission clause and its waiver. Is entrusted to the judge of merits. The condition thereof.