Kuwait Court of Cassation principle number 2965

The regulation concerning licences and structures erected on State property, issued by Decision No. 56 of 2001 of the Minister of Finance, included an amendment to the terms of licences and contracts concerning buildings and structures erected on the State's private immovable property and covered by Council of Ministers Decision No. 592/Sixth of 2001. These are the licences and contracts that ended under a licence or contract system for the exploitation of a plot of land to erect a property. The contractual term for these licences or contracts concluded between the Ministry of Finance and investors is ten years - 552 - Obligation from the end of their original term, whatever the term agreed upon at renewal. The investor must submit a written application expressing his wish to renew one year before expiry of the contractual term. Investors' properties whose contracts or licences expired before issuance of that regulation. They must submit a renewal application within three months from the date of its publication in the Official Gazette. If the Ministry of Finance agrees to renewal, a contract shall be concluded under new terms, obligations and rental value. If the investor does not agree to renewal of the contract and licence. The buildings and structures devolve upon the State subject to removal. An example. Contract for the exploitation of State-owned industrial plots: