Kuwait Court of Cassation principle number 316

Summary: - Acquisition by the possessor of a thing of the fruits he receives from it and the benefit he obtains. Its condition. That he be in good faith. Article 929 Civil Code. Establishment that the possessor is not the holder of the right he claims over the thing he possesses. Its implication. The holder of the right may recover the thing from the possessor. Fruits received by the possessor while in good faith at the time of receipt. Their becoming his entitlement. The benefit he obtained falls under the rule governing fruits he received. He may not be required to return them or return them or their value to the person whose right has been established. This rule constitutes an exception to the general rule. - Acquisition of fruits by the possessor. Its condition. That his possession be lawful, complete in its material and mental elements, and free of defects in relation to the person against whom acquisition of the fruits is invoked, and that the possessor be in good faith at the time of receiving the fruits or obtaining the benefit. Good faith at the time of acquiring possession is insufficient. - The presumption is that the possessor is in good faith until the contrary is proved. When he is considered in bad faith. Article 915 Civil Code. Rule: It is established in the jurisprudence of this Court that the provision in Article 929 of the Civil Code that “1- The possessor of a thing is entitled to the fruits he receives from it and the benefit he obtains so long as he is in good faith.......” indicates—as disclosed by the Explanatory Memorandum—that the possessor acquires the fruits he receives and the benefit he obtains while in good faith. If it is established that the possessor is not the holder of the right he claimed over the thing he possesses, the holder of the right recovers the thing from the possessor. The fruits received by the possessor while in good faith at the time of receipt are his entitlement, and the benefit he obtained is treated as fruits received. He is therefore not obliged to return them or their value to the person whose right has been established. This rule is an exception to the general rule that fruits belong to the owner or the person entitled to enjoy the thing. For the bewildered person to acquire the fruits, his possession must be lawful, complete in its material and mental elements, and free of defects in relation to the person against whom acquisition of the fruits is invoked. It is also required that the possessor be in good faith at the time of receiving the fruits or obtaining the benefit; good faith at the time of acquiring possession is insufficient. Although the presumption is that the possessor is in good faith until the contrary is proved, pursuant to Article 915 of the Civil Code, the possessor becomes in bad faith, first: if his actual knowledge that his possession infringes another’s right is established, and he is in bad faith from the time of that knowledge. Second: if an action is brought against him indicating that the right he claims over the thing he possesses does not belong to him, he is considered in bad faith from the time he is served with the statement of claim, even if he continues as before to believe that he holds a right.