Judicial principle — Kuwait Court of Cassation

Kuwait Court of Cassation principle number 1306

State of Kuwait · Commercial and Labour — Volume 9 · Ministry of Justice — Court of Cassation — Technical Office

English translation of the principle

Cessation of payments justifying a declaration of bankruptcy. Its nature. - A merchant's mere refusal to pay does not constitute cessation in the stated sense, since such refusal may stem from an excuse that has arisen despite his solvency, or from a temporary crisis that can be overcome.
Arabic original
التوقف عن الدفع الذي يبرر شهر الإفلاس. ماهيته. - مجرد امتناع التاجر عن الدفع لا يعد توقفاً بالمعنى المذكور إذ قد يكون مرجع هذا الامتناع عذراً طرأ عليه مع اقتداره أو إلى أزمة طارئة يمكن التغلب عليها.
Original Arabic judgment citations

(الطعن ٣٨/٩٣ تجاري جلسة ٢٠/١٢/١٩٩٣ مج القسم الثالث - المجلد الثاني ص ٥٣) (والطعن ٧٢/٩٤ تجاري جلسة ٥/١٢/١٩٩٤ مج القسم الثالث - المجلد الثاني ص ٥٣)

Source: Court of Cassation legal principles collection — Commercial and Labour — Volume 9 — Ministry of Justice — Court of Cassation — Technical Office. Printed page 231. PDF pages: 231.

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