Judicial principle — Kuwait Court of Cassation

Kuwait Court of Cassation principle number 4513

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

English translation of the principle

The pledged asset. The creditor may exploit it, deducting the net yield he obtains from the amount secured by the pledge, even if it has not fallen due. The debtor’s contention that the pledged shares generate a profit which the creditor has not deducted from the principal debt. The judgment’s failure to investigate this. Inadequate reasoning requiring its cassation.
Arabic original
الشيء المرهون. يجوز للدائن أن يستثمره مع خصم ما يحصل عليه من صافي الريع من المبلغ المضمون بالرهن ولو لم يحل أجله. تمسك المدين بأن الأسهم المرهونة تغل ربحاً لم يقم الدائن بخصمه من أصل الدين. التفات الحكم من تحقيق ذلك. قصور في التسبيب يوجب تمييزه.
Original Arabic judgment citations

(الطعن ٢٢٦/٩٠ تجاري جلسة ٢٧/١/١٩٩٢ مج القسم الثالث - المجلد الثاني ص ١٠٧٨)

Source: Court of Cassation legal principles collection — Civil Matters — Volume 11 — Ministry of Justice — Court of Cassation — Technical Office. PDF pages: 889.

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