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    Naol Essay

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    roba
    The document discusses the concepts of void and voidable contracts under Ethiopian law. A void contract is one that has no legal effect from the beginning due to defects like an impossible object or failure to meet formal requirements. It cannot be validated. A voidable contract is binding until avoided by the victimized party due to defects like lack of consent. Both void and voidable contracts can be invalidated, returning parties to their original positions or awarding damages. However, voidable contracts must be invalidated within two years while void contracts are not subject to limitation periods.

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    Naol Essay

    Uploaded by

    roba
    54 views4 pages
    The document discusses the concepts of void and voidable contracts under Ethiopian law. A void contract is one that has no legal effect from the beginning due to defects like an impossible object or failure to meet formal requirements. It cannot be validated. A voidable contract is binding until avoided by the victimized party due to defects like lack of consent. Both void and voidable contracts can be invalidated, returning parties to their original positions or awarding damages. However, voidable contracts must be invalidated within two years while void contracts are not subject to limitation periods.

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    Family law short note

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    The document discusses the concepts of void and voidable contracts under Ethiopian law. A void contract is one that has no legal effect from the beginning due to defects like an impossible object or failure to meet formal requirements. It cannot be validated. A voidable contract is binding until avoided by the victimized party due to defects like lack of consent. Both void and voidable contracts can be invalidated, returning parties to their original positions or awarding damages. However, voidable contracts must be invalidated within two years while void contracts are not subject to limitation periods.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    54 views4 pages

    Naol Essay

    Uploaded by

    roba
    The document discusses the concepts of void and voidable contracts under Ethiopian law. A void contract is one that has no legal effect from the beginning due to defects like an impossible object or failure to meet formal requirements. It cannot be validated. A voidable contract is binding until avoided by the victimized party due to defects like lack of consent. Both void and voidable contracts can be invalidated, returning parties to their original positions or awarding damages. However, voidable contracts must be invalidated within two years while void contracts are not subject to limitation periods.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 4

    The Concept of Void and Voidable Contract Under Ethiopian

    Law.

    Prepared by Naol Abdela, 4th Year law student.


    July 3, 2022

    Introduction

    1
    This essay is elaborate the concept of void and voidable contract in Ethiopia legal
    frame work. The civil code stipulated capacity, consent, object and form in case of
    required as valid requirement for formation of legal contract. 1Defect of such element
    made a contract void or voidable.
    1:Void contract
    The contract which has not any legal effect and counted as no contract from the
    beginning. It have not binding effect on contracting parties. Impossible or illegal
    object and non-compliance of form required by law or parties makes the contract
    nonexistent from the very beginning.2
    1.1.Parties require invalidation
    According to Art.1808(2) of civil code, a void contract invalidated at the request of
    any contracting party or other interested third party.
    1.2.Period of limitation vs- Void contracts
    While the void contract generate neither right nor duty; the period of limitation
    cannot be invoked. Therefore, Art. 1810 1nd 1845 provisions of period of limitation
    are not relevant to void contracts. Moreover Cassation bench decided that
    invalidation of void contract shall not be restrain by period of limitation.3
    2. Voidable contract
    According Art1808(1) of civil code, contract which have defective of consent of
    parties and capacity is voidable contract. It is binding until it’s avoided by the request
    of the party who victimized by the contract. Therefore it may be “cured or killed”
    depending up on the option selected by victimized party from the two.
    2.1.Parties requires invalidation
    According to Art.1808(1) of civil code, in case of voidable contract only victim party
    can requires invalidation of contract. However the party entitled to invalidate has duty
    to confirmed or invalidated a contract without delay.4
    2.2. Period of limitation Vs voidable contract
    The right to avoid defective contract can only possible, if it is claimed with in time
    fixed by law. But, if such request avoiding this contract is not brought in the time
    fixed by law; the law takes away the shield and cleanses the defects automatically.
    Art 1810 (1) stated that invalidation of voidable contract shall be brought within two
    1
    Art.1678(1) of civil code
    2
    Art. 1808(2) of civil code
    3
    FSCCD vol 13, file no69302
    4
    Art.1814 of civil code.

    2
    years from the ground for invalidation having disappeared.
    B. Effect of void and Voidable contract
    Unfortunately civil code provides similar effect for both void and voidable contract i.e
    invalidation of contract.5 Art.1815(1)and 1817(2) stated that invalidation of contract
    reinstated the party in the position which would have existed, had the contract not
    been made or if reinstatement of parties in the original position is impossible, it
    invalidated by payment of damages or any other remedy which the court thinks fits.
    Beside this parties can only invalidate part of contract vitiated unless it affect the
    whole contract part.6 However we have to note that cannot invalidate contract if it
    affects the interest of third parties.7
    C. Conclusion
    To sum up void and voidable contract is one ground of extinction of obligation.
    Voidable occurred when there is defect of consent and capacity, whereas void
    contract occurred when there is defect of object and form. Laws given similar effects
    for both, which is invalidation.

    5
    Art.1808 of civil code
    6
    Art 1813 of civil code
    7
    Art1816 of civil code

    3
    Reference
     The 1960 of Ethiopian civil code
     The Federal supreme court cassation decision vol no 13, file no. 69302, page
    428&429
     Teaching material of law of contract I

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