Judicial principle — Kuwait Court of Cassation

Kuwait Court of Cassation principle number 2987

State of Kuwait · Civil Matters — Volume 11 · Ministry of Justice — Court of Cassation — Technical Office

English translation of the principle

It is permissible to agree in a contract of sale that the seller retains ownership of the thing sold until the entire price is paid. Article 464 of the Civil Code, Articles 137/1, 138 of the Commercial Code. Absolute nullity of that condition in the sale of a car. Article 5 bis of Law 67/1976 concerning Traffic, without the nullity affecting the contract of sale itself. Its effect. Ownership of the car passes to the buyer immediately upon the contract. The reason therefor.
Arabic original
جواز الاتفاق في عقد البيع على احتفاظ البائع بملكية المبيع حتى الوفاء بالثمن كله. م ٤٦٤ مدني، م ١٣٧/١، ١٣٨ ق التجارة. بطلان ذلك الشرط في بيع السيارة بطلانا مًطلقاً. م ٥ مكرر ق ٦٧/١٩٧٦ في شأن المرور دون أي يلحق البطلان عقد البيع ذاته. أثره. انتقال ملكية السيارة للمشترى بمجرد العقد. علة ذلك.
Original Arabic judgment citations

(الطعن ٨٠/٩٣ تجاري جلسة ٢٩/١١/١٩٩٤ مج القسم الثالث - المجلد الأول ص ٩٤٦)

Source: Court of Cassation legal principles collection — Civil Matters — Volume 11 — Ministry of Justice — Court of Cassation — Technical Office. PDF pages: 583.

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