Judicial principle — Kuwait Court of Cassation

Kuwait Court of Cassation principle number 1929

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

English translation of the principle

A non-Kuwaiti engaging in trade individually. Not permissible unless he has a Kuwaiti partner or partners whose capital is not less than 51% of the capital of the joint business. The purpose of this prohibition and its relation to public policy. The consequence of its violation. Absolute nullity. - A void contract cannot serve as a basis for claiming any obligations and cannot be ratified.
Arabic original
اشتغال غير الكويتي بالتجارة منفرداً. لا يجوز ما لم يكن له شريك أو شركاء كويتيين لا يقل رأس مالهم عن ٥١٪ من رأس مال المتجر المشترك. الغرض من هذا الحظر وتعلقه بالنظام العام. جزاء مخالفته. البطلان المطلق. - العقد الباطل لا يصلح سبباً للمطالبة بأي التزامات ولا تلحقه الإجازة.
Original Arabic judgment citations

(الطعن ٣٦٥/١٩٩٧ تجاري جلسة ٢٣/٢/١٩٩٨ مج القسم الرابع - المجلد السادس ص ٤٨)

Source: Court of Cassation legal principles collection — Commercial and Labour — Volume 9 — Ministry of Justice — Court of Cassation — Technical Office. Printed page 336. PDF pages: 336.

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