Contingent performance of an obligation in civil law of the Russian federation

The paper examines new provisions of the Civil Code of the Russian Federation set forth in Article 327.1 and devoted to contingent performance of an obligation. It is stated that domestic civil law was previously aware of the concept of contingent performance of the obligation. It is noted that reciprocal obligations on the basis of literal interpretation of provisions of Article 327.1 and Article 328 of the Civil Code of the Russian Federation may be regarded as one type of obligations with contingent performance. Also, an opportunity of stipulating in a contract actions and circumstances that may condition the performance of obligations has never contradicted foundations of civil law. Finally, the notion of the contingent transaction is not new to domestic civil law. The paper states that due to the introduction of the rule enshrined in Article 327.1 of the RF Civil Code the issues of determining the legal nature of contingent performance of the obligation and interrelation between this notion and the notion of the contingent transaction have emerge full blown. It is reasonable to conclude that neither the law-maker nor court practice associate the performance of the obligation with contingent transactions. In general, the new rule is assessed favorably, as the law-maker has recognized the possibility of including conditions that are fully dependent on the will of the parties (potestative conditions) and determine the performance of the obligation, implementation, modification or termination of rights under the contract.

obligation, transaction, performance of an obligation, contingent performance of the obligation, contingent transaction, reciprocal performance of the obligation, potestative condition, suspensive condition, reform of Law of Obligations

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