Kuwait Court of Cassation principle number 2824

Deeming a loan commercial. Its condition. Its purpose must be to expend the borrowed amounts on commercial activities. What matters is the borrower's apparent intention at the time of the contract, not the ultimate use of the borrowed amount. - The disputed debt arising from an interest-free loan on which the contracting parties' common will converged and whose purpose was not commercial. Its effect. It is subject to the provisions of the Civil Code prohibiting agreement on interest in consideration of the use of a sum of money or in consideration of delay in discharging the obligation. Every such agreement is absolutely void on grounds of public policy. A judgment's contravention thereof. It vitiates it by violation of the law and error in its application and requires its cassation.