Judicial principle — Kuwait Court of Cassation

Kuwait Court of Cassation principle number 3284

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

English translation of the principle

A loan is commercial if its purpose is to spend the borrowed sums on commercial activities. What matters in this respect is the borrower's apparent intention at the time of contracting, not the ultimate destination of the sums.
Arabic original
القرض يكون تجارياً إذا كان القصد منه صرف المبالغ المقترضة في أعمال تجارية . العبرة في ذلك هي بالقصد الظاهر للمقترض وقت التعاقد لا بمصير المبالغ.
Original Arabic judgment citations

(الطعن ١١/١٩٨٦ تجاري جلسة ٢٢/١٠/١٩٨٦ مج القسم الثاني - المجلد الثالث ص ٤٧٥)

Source: Court of Cassation legal principles collection — Commercial and Labour — Volume 9 — Ministry of Justice — Court of Cassation — Technical Office. Printed page 554. PDF pages: 554.

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