SEE PART 1 FOR BEGINNING

Chapter 5.TERM OF PRESCRIPTION OF THE LAWSUIT

Article 73. Total Term of Prescription of the Lawsuit The total term for the defence of the right through the lawsuit of the person whose right has been violated (the term of prescription of the lawsuit) shall be three years.

Article 74. Reduced Term of Prescription of the Lawsuit The reduced term of prescription of six months shall be applied to the following suits: 1) on exaction of a fine, penalty; 2) on drawbacks of things sold (Article 245 of this Code); 3) which stem from the supply of commodities of inappropriate quality (part four of Article 259 of this Code) as well as of incomplete commodities. Suits for the drawbacks in work performed by a contract shall be liable to term of prescription specified in Article 357 of this Code. Suits stemming from transportation of cargo, passengers and luggage shall be liable to the reduced term of prescription specified in Article 378 of this Code while suits stemming from the relations between the communications authorities and their clients - the reduced term of prescription specified in the legislation on communications.

Article 75. Invalidation of the Agreement on the Alteration of Term of Prescription of the Lawsuit It shall not be allowed to alter the term of prescription of the lawsuit and the procedure of its counting on an agreement of the parties.

Article 76. Beginning of the Term of Prescription of the Lawsuit The term of prescription of the lawsuit shall begin from the day of appearance of the right to the suit; the right to the suit shall begin from the day when the person has learned or must have learned about the violation of his right. Exemptions from this rule as well as the grounds for the suspension or interruption of the term of prescription of the lawsuit shall be established by the legislation of the Republic of Belarus.

Article 77. Term of Prescription of the Lawsuit in Case of a Change of Persons in the Obligation A change of persons in the obligation shall not entail a change in the term of prescription of the lawsuit.

Article 78. Suspension of the Term of Prescription of the Lawsuit The term of prescription of the lawsuit shall be suspended: 1) if the presentation of the suit has been prevented by an extraordinary event or an event that cannot be prevented in given circumstances (force majeure); 2) on the strength of a postponement of the execution of obligations established by the Council of Ministers of the Republic of Belarus (moratorium); 3) if the plaintiff or the defendant stay in the Armed Forces of the Republic of Belarus which are in the state of war readiness. The term of prescription of the lawsuit shall be suspended if the circumstances specified in this Article have appeared or have continued to exist during the last six months of the term of prescription or - if this term is less than six months - during the term of prescription. The term of prescription shall continue as of the day the circumstances which have been the basis for the suspension of the term of prescription have ceased to exist; in this case the remaining part of the term shall be extended to up to six months or - is the term of prescription of the lawsuit was less than six months - to the term of prescription of the lawsuit.

Article 79. Interruption in the Term of Prescription of the Lawsuit The term of prescription of the lawsuit shall be interrupted by a submission of a lawsuit in the established manner as well as by committing by the liable person of actions which show the recognition of the liability. After an interruption the counting of the term of prescription of the lawsuit shall begin anew; the time before the interruption shall not be included into the new term. If the suit has been left by the court unconsidered, then the term of prescription of the lawsuit which began before a suit has been submitted shall continue according to the general provision. If the court has left unconsidered a suit made in a criminal case, then the term of prescription of the lawsuit which began before the suit has been made shall continue from the day the sentence which left the suit unconsidered came into legal force. Article 80 has lost its force.

Article 81. Application of the Term of Prescription by the Lawsuit The demand on the protection of the violated right shall be accepted by the court for consideration irrespective of the expiration of the term of prescription by the lawsuit. The term of prescription by the lawsuit shall be applied by the court of justice, economic or arbitration court only on the claim of the part in a dispute which the court (judge) shall be obliged to explain to the parties when accepting the claim application or when the dispute is settled in principle. The omission of the term of prescription by the lawsuit without a justified reason shall be the ground for the rejection of the suit. If the court of justice, economic or arbitration court recognizes as justified the reason for the omission of the term of prescription of the lawsuit the violated right shall be liable to be protected.

Article 82. Suspension, Interruption and Resumption of the Reduced Term of Prescription by the Lawsuit The rules on the suspension, interruption and resumption of the term of prescription by the lawsuit (Articles 78 to 80 of this Code) shall cover also the reduced term of prescription unless the law established otherwise.

Article 83. Meeting of the Obligation by the Debtor on Expiration of the Term of Prescription by the Lawsuit In case when the debtor has met the obligation on expiration of the term of prescription by the lawsuit, he shall not be entitled to demand the return of the met obligation even if at the time of the meeting of the obligation he did not know of expiration of the term of prescription.

Article 84. Demands That Are not Covered by the Term of Prescription by the Lawsuit The term of prescription by the lawsuit shall not cover: demands that stem from the violation of personal non-property rights, except in cases envisaged by the law; demands of the depositors to the banks on the providing of deposits; demands on the reimbursement of harm caused to life or health of the citizen; in this case the demands made on expiration of the term of prescription shall be met for the period of not more than three years preceding the submission of the claim; in cases established by legislative acts - in respect of other demands.

Article 85. Application of the Term of Prescription by the Lawsuit Related to Additional Demands (Claims) On expiration of the term of prescription by the lawsuit in relation to the main claim (demand) the term of prescription on the additional claim (penalty, trust and so on) shall be also considered as expired.

Section II RIGHT OF PROPERTY AND OTHER PROPRIETARY RIGHTS

(in the wording of the Law of March 3, 1994 - Records of the Supreme Soviet of the Republic of Belarus, 1994, N 13, p. 183)

Chapter 6. GENERAL PROVISIONS

Article 86. Right of Property The right of property represents the right of the person to possess, use and dispose of his property, which is independent of other rights. The rightfulness of possession represents a legally secured possibility for managerial domination over the property. The rightfulness of use represents a legally secured possibility for extraction from the property of its useful properties in the process of personal or managerial consumption of th¥ property. The rightfulness of disposal represents a legally secured possibility for determining the destiny of the property. The independent right of property represents a sovereign possibility for the proprietor to realize the rightfulness of possession, use and disposal at his own discretion and to his own interests. Restriction of the rightfulness of the proprietor m be established only by legislative acts

. Article 87. Right of Full Management and Limits of Its Exercise The right of full management represents the right of the enterprise to possess, use and dispose of the property which is given to it by the proprietor for carrying on economic activities; this right is based on the right of property. The right of full management shall be liable to the rules on the right of property, unless legislative acts or the proprietor stipulate otherwise.

Article 87.1. Right of Operative Management and Limits of Its Exercise The right of operative management represents the right of the institution financed at the expense of the proprietor for the possession, use and disposal of the property assigned to it by the proprietor within the limits established by the legislation in compliance with the purposes of activities, tasks of the proprietor and the designation of the property; this right is based on the right of property. Chapter 7 (Articles 88, 89, 90, 91, 92), Chapter 8 (Articles 93, 94, 95), Chapter 9 (Articles 96, 97, 98) have lost their force

. Chapter 10. RIGHT OF PROPERTY OF THE CITIZENS

Article 99. General Provisions on the Property of the Citizens The property of citizens is created and increased at the expense of their labour incomes resulting from participation in the public production, management of their homestead and incomes from resources deposited in banks and other financial and credit institutions, shares (stocks) and other securities, the acquisition of property through inheritance and on other grounds allowed by the law. The citizen possesses exclusive rights to dispose of his abilities for productive and creative work. The citizen exercise this right independently or on the basis of a labour contract. The citizen shall have the right, on the consent of the proprietor, to make pecuniary or other contribution into the property of the enterprise, other economic organization, farm wherein he works according to a labour contract, and to take part in the appropriation of profits (incomes) of such enterprise (economic subject) or another entity in proportion to the amount of this contribution. The right of inheritance of property of the citizens is recognized and protected by law.

Article 100. Objects of the Right of Property of Citizens The property of citizens may include living houses, dachas, gardening houses, plots of land, transport facilities, pecuniary resources, shares, stocks and other securities, items of household and of personal use, means of production for managing a farm, individual homestead, garden, orchard, individual and other economic activities, fabricated products and received incomes, as well as other property designed for consumption or production purposes. A member of a housing, house-construction, dacha, garage or other cooperatives who has fully paid his share for the flat, dacha, garage, other building or room given to him for ownership shall acquire the right of property for this property from the time this right is certified in the established manner. A person renting a living room in the house of the state or public housing fund and members of his family shall have the right to buy out from the proprietor the correspondent flat or house. On acquisition of the above property as one's own property the citizen shall have the right to dispose of it at his own discretion - sell, testate, give on lease, make with it other transactions that do not contradict the law. Plots of land shall be transferred to the ownership of citizens of the Republic of Belarus in cases and according to the procedure envisaged by the land legislation of the Republic of Belarus. Legislative acts of the Republic of Belarus may establish the types of property which may not be in ownership of the citizens. The composition and the cost of other property acquired by the citizen at the expense of his labour incomes and savings and on other grounds allowed by the law shall not be restricted.

Articles 101, 102, 103 have lost their force.

Article 104. Consequences of the Voluntary Building of a House The citizen who has built a living house (dacha) or part of the house (dacha) without the established permit or with grave violations of the basic construction norms and rules shall not have the right to dispose of this house (dacha) or part of the house (dacha) - sell, give as a gift or on rent and so on. Applications of the citizens, who have built buildings with violation specified in part one of this Article, on the allotment of a plot of land for the building of buildings, accepting of buildings for their use and registration in the established manner shall be considered by executive committees of regional, town, town-district Soviets of People's Deputies. Having determined that a building has been built with violations specified by part one of this Article, the executive committee of the regional, town, town-district Soviet of People's Deputies shall be obliged to solve the question on whether to allot to the citizen who has performed unauthorized construction a plot of land, accept the building for its use and registration in the established manner, or to demolish the building by the citizen himself or at his expense, or to bring a claim to the court on free of charge withdrawal of the building and its transfer to the communal property. The refusal by the executive committee of the regional, town, town-district Soviet of People's Deputies to consider the application of the citizen on the allotment of a plot of land, acceptance of the building for its use and registration and the decision on the demolition of the building may be appealed against in the regional court at the place where the building is located. In case of a free of charge withdrawal from the citizen, on the grounds of this Article, of a living house (dacha) or part of the house (dacha) the court may deprive this person and persons living together with him of the right to use the living area in this house (dacha). However if these citizens have no other living room suitable for permanent living the executive committee of the local Soviet of People's deputies to which the withdrawn house (dacha) has been transferred shall provide them with another living room.

Articles 105, 106, 107, 108, 109 have lost their force.

Article 110. List of Property of Citizens Which May not Be Claimed The list of property of citizens which may not be claimed to by the creditors shall be established by the Civil Procedural Code of the Republic of Belarus.

Chapter 11. COMMON PROPERTY

Article 111. Notion of the Common Property Property may belong by the right of common property to two or several organizations, or to the State and one or several organizations, or to two or several citizens. Common property shall be differentiated between common property with the determination of shares (shared property) and without the determination of shares (joint property).

Article 112. Possession, Use and Disposal of Common Shared Property Possession, use and disposal of common shared property shall be effected on agreement of all its participants. In case of disagreement the manner of possession, use and disposal shall be determined through the claim of any of its participants.

Article 113. Procedure of Possession of the Living House Being in Common Shared Property If the agreement between the participants in the common shared property for a living house on the procedure of use of insulated rooms of the house (flats, rooms) in accordance with the shares of the participants has been notarized and registered in the executive committee of the local Soviet of People's Deputies, then this agreement shall be compulsory also for the person who in future acquires a share in the common property of this house.

Article 114. Consequences of Additional Building to or a Rebuilding of the Living House Being in Common Shared Property If a participant in the common shared property for the living house increases, with the observance of the established rules , at his own expense the useful area of the house by way of additional building or rebuilding, then on demand of this participant the shares in the common property for the house and the procedure of the use of the room in the house shall be liable to be respectively altered.

Article 115. Expenses for the Maintenance of the Property Being in Common Shared Property Each participant of the common shared property shall be obliged to take part, according to the amount of his share, in the payment of taxes, duties and other payments on the common property as well as in the expenses for its maintenance and preservation.

Article 116. Right of the Participant of the Common Shared Property for the Alienation of the Share Each participant of the common shared property shall have the right to alienate his share in the common property to another person.

Article 117. Right of Preemption When a share in the common property is to be sold to an outside person, the other participants of the common shared property shall have the right of preemption to the share being sold at its sale price and on other equal conditions except the case of public auctions. The person who sells a share in the common property shall be obliged to inform in writing the other participants in the common shared property on the intention to sell his share to an outside person specifying the price and other conditions of sale. If other participants of the common shared property waive their right of preemption or do not exercise this right within one month in relation to the house or - in relation to other property - within ten days as of the day of announcement, the person who sells the share shall have the right to sell his share to any person. In case when a share is sold with violation of the right of preemption other participants of the common shared property shall have, within three months, the right to demand through the court that the rights and obligations of the buyer should be transferred to them.

Article 118. Withdrawal of the Share from the Common Property Each participant of the common shared property shall have the right to demand that his share should be withdrawn from the common property. If no agreement has been reached on the method of withdrawal, then the property being in the common shared property shall be divided by the court in kind, inasmuch as it is possible, without a disproportionate damage to its managerial purpose; otherwise, the property owner wishing to withdraw shall receive a pecuniary compensation.

Article 119. Making Claims to the Share in the Common Property A creditor of the participant in the common shared property shall have the right to make a claim on the withdrawal of the share of his debtor to make claims to it.

Article 120. Chapter 12 (Articles 121, 122, 123, 124, 125, 126, 127, 128, 129, 140) have lost their force.

Chapter 13. PROTECTION OF THE RIGHT OF PROPERTY

Article 131. Demand of the Property by the Proprietor from Somebody Else's Illegal Possession The proprietor shall have the right to demand his property from somebody else's illegal possession.

Article 132. Demand of the Property from Conscientious Buyer If the property has been acquired with payment from a person who has not had the right to alienate it, which the person who has acquired it did not know and should not have known (conscientious buyer), then the proprietor shall have the right to demand this property from the buyer only in case when the property has been lost by the proprietor or the person to whom the property has been transferred for possession, or has been stolen from one or the other, or has been withdrawn from their possession by another way without their consent. The demand of the property on the grounds specified in part one of this Article shall not be allowed if the property has been sold in the manner established for the execution of the judicial decisions. If the property has been acquired free of charge from the person who has not had the right to alienate it, the proprietor shall have the right to demand the property in all cases.

Article 133 has lost its force.

Article 134. Inadmissibility to Demand Money and Securities from the Conscientious Buyer Money as well as bearer securities may not be demanded from the conscientious buyer.

Article 135. Settlement When Demanding the Property from Illegal Possession When the proprietor demands the property on the grounds of Article 131 of this Code he shall also have the right to demand that the person who has known or must have known that his possession is illegal (unconscientious owner) should return or reimburse all the incomes which this person has made or should have made over the entire period of possession; as regards the conscientious owner - all the incomes which he has made and should have made as of the time he learned or must have learned of the illegal possession or received a writ through the claim of the proprietor on the return of the property. The owner, both conscientious and unconscientious, in his turn shall have the right to demand that the proprietor should reimburse for expenses made by him in respect of the property as of the time the proprietor is due to receive incomes from the property. A conscientious owner shall have the right to leave for himself the improvements made by him if they may be separated without damaging the thing. If such separation of the improvement is impossible the conscientious owner shall have the right to demand the reimbursement of expenses incurred for the improvement, but not in excess of the amount of the increased cost of the thing.

Article 136. Protection of the Rights of the Proprietor Against Violations That Are not Connected with the Deprivation of Possession The proprietor shall have the right demand that all violations of his rights should be corrected although these violations have not been connected with the deprivation of possession.

Article 137. Protection of the Rights of Owner Who Is not Proprietor The rights envisaged by Articles 131 to 136 of this Code shall belong also to the person who, although being not the proprietor, possesses the property on the strength of the law of a contract.

Chapter 14. ACQUISITION AND TERMINATION OF THE RIGHT OF PROPERTY

Article 138. Time of Appearance of the Right of Property for the Person Who Acquires the Property by a Contract The right of property (the right of operative management) for the person who acquires the property through a contract shall appear at the time the thing is being transferred, unless the law or the contract stipulated otherwise. If the contract on the alienation of a thing is liable to registration the right of property shall appear at the time of its registration.

Article 139. Transfer of Things A transfer shall mean the giving of things to the person who acquires as well as the hand-over to a transport organization for dispatching to the person who acquires and the hand-over to the post office for the dispatch to the above person of things alienated without the obligation of delivery. The transfer of things shall also mean the transfer of the bill of lading or of another instructive document for the thing.

Article 140. Objects Which May Be Acquired Only on Special Permits The list of objects which according to their importance for the national economy, the reasons of state security or for other reasons may be acquired only on special permits (weaponry, aircraft, strong poisons and others) as well as the procedure of giving of such permits shall be determined by the legislation. Currency values: foreign currency (bank notes, treasury notes, coins); payment documents (cheques, bills, letters of credit and others) and fund values (shares, bonds and others) in foreign currency; bank payment documents in roubles (cheques and others) acquired with foreign currency with the right of their conversion into such currency; precious metals - gold, silver, platinum, metals of the platinum group (palladium, iridium, rhodium, ruthenium and osmium) in any kind and condition and natural precious stones in raw or worked state (diamonds, brilliants, rubies, emeralds, sapphires as well as pearls), with the exception of jewelry and other household items made of these metals and stones as well as scrap of such items may be acquired only in the manner and within the limits established by the legislation.

Article 141. Risk of Accidental Perish The risk of accidental perish or accidental damage of alienated things shall be transferred to the person who acquires them together with the appearance of his right of property, unless the contract establishes otherwise. If the alienator has exceeded the time limit for the transfer of things or if the person who has acquired them has exceeded the time limit for the taking them over, the risk of an accidental perish or an accidental damage shall be born by the party which has exceed the time limit.

Article 142. Main Thing and Accessory The accessory shall be a thing designed to service the main thing and connected with it by common designation of use. The accessory shall follow the destiny of the main thing unless the law or a contract establishes otherwise.

Article 143. Right of Ownership of Fruits and Incomes Fruits, new born animals, incomes brought by the thing shall be owned by the proprietor of the thing inasmuch as another is not established by the law or by a contract between the proprietor and another person.

Articles 144, 145 have lost their force.

Article 146. Negligent Maintenance of the House If a citizen maintains negligently the house owned by him allowing its destruction, then the executive committee of the local Soviet of People's Deputies shall warn the proprietor about the negligent maintenance of the house and shall set the time for correction of the destruction. If the citizen without justified reasons does not make the necessary corrections, then on the decision of the court the house may be withdrawn free of charge and transferred to the fund of the local Soviet of People's Deputies.

Article 147 has lost its force.

Article 148. Property without the Owner The property which has no proprietor or the owner of which is not known (property without the owner) shall be transferred to the ownership of the State on decision of the court made on application of the financial authorities. The application shall be submitted on expiration of one year from the day the property was registered as such. The procedure for the detection and registration of property without the owner shall be defined by the Ministry of Finances of the Republic of Belarus.

Article 149. Finding The person who has found the lost thing shall be obliged to immediately inform of this the person who has lost the thing and shall return to him the found thing or declare about the finding and hand over the thing to the militia station or the executive committee of the rural Soviet of People's Deputies or - if the thing has been found in the institution, at the enterprise or in transport facility - shall hand it over to the administration of the relevant organization.

Article 150. Keeping of Found Things The administration of the organization to which the found thing has been handed over, if the person who has lost the thing has not been detected within two weeks, shall hand it over to the militia station or the executive committee of the rural Soviet of People's Deputies. Authorities of the transport organizations shall keep and realize the found things handed over to them according to the rules in force in the transport organizations. The militia station or the executive committee of the rural Soviet of People's Deputies shall be obliged to keep the found things handed over to them during six months. If the person who has lost the thing has been detected within the above period of time the thing shall be returned to him. If within this time period such person has nor been detected the thing shall be transferred into the property of the State free of charge.

Article 151. Reimbursement of Expenses to the Person Who Has Found the Thing The person who has found and returned the thing to the person who has lost it, or who has handed it over according to the established procedure (Article 149 of this Code) shall have the right to receive from the person who has lost the thing or - in case the thing has been transferred to the State - from the respective state organization the reimbursement for the expenses connected with the keeping and handing over of the thing.

Article 152. Unsupervised Animals The person who has detained unsupervised or stray animals shall be obliged to immediately inform of this the proprietor of the animals and return to him the animals or inform within three days about the detention of the animals the militia station or the executive committee of the rural Soviet of People's deputies. The militia station or the executive committee of the rural Soviet of People's Deputies shall take measures for the retrieval of the proprietor of the animals and shall hand over the animals, for the period of retrieval, with the observance of veterinary rules to the maintenance and use to the nearest collective or state farm the heads of which shall not have the right to refuse to take over the animals. If the proprietor of the working animals or cattle (or of such young animals) has been detected within six months or of the proprietor of small animals (or such young animals) - within two months from the day the animals were handed over to the state or collective farm, the animals shall be returned to the proprietor who shall be obliged to reimburse the state or collective farm for the expenses made for the maintenance of the animals counting in the benefits obtained as a result of their use. If within the term specified in part three of this Article the proprietor of the animals is not found, he shall lose the right of property for these animals. In this case the animals maintained in a collective farm shall be transferred free of charge into the ownership of this collective farm, while the animals kept in a state farm shall be transferred free of charge to the state and included into the property of the state farm where the animals have been kept.

Article 153. Buried Treasure A buried treasure, that is, buried in the ground or hidden in any other way money or valuable things the proprietor of which cannot be detected or if he has lost the right for them on the strength of the law, shall be transferred into the ownership of the State and must be handed over by the person who has detected it to the financial authorities. The person who has detected and handed over to financial authorities gold and silver coins, Soviet and foreign currency, precious stones, pearls, precious metals in ingots, items or scrap shall be given remuneration in the amount of twenty five per cent of the cost of handed over valuables, except cases when the excavation and search of such valuables were part of official duties of such person.

Article 154 has lost its force.

Article 155. Withdrawal of Precious Metals and Diamonds Owners of the precious metals (gold, platinum, silver) in ingots, concentrates, native metals, in semi-finished items or items of production and laboratory use as well as of diamonds which have been withdrawn by the order of the authority of inquiry, the investigator, prosecutor or court, if these owners are convicted without confiscation of property, or if a verdict of no guilty has been attained, or the case has been ceased, shall be paid the cost of the withdrawn valuables and the valuables shall be transferred to the State.

Section III LAW OF OBLIGATIONS

I. General Provisions on Obligations

Chapter 15. APPEARANCE OF OBLIGATIONS

Article 156. Notion of the Obligation and the Grounds for Its Appearance On the strength of the obligation one person (debtor) shall be obliged to commit for the benefit of another person (creditor) a definite action, for instance: to transfer property, perform a piece of work, pay money and so on or to abstain from a definite action while the creditor shall have the right to demand that the debtor should execute his obligations. Obligations shall appear from a contract or on other grounds specified in Article 4 of this Code.

Article 157 has lost its force.

Article 158. Making of the Contract A contract shall be considered as made when the parties have reached an agreement on all substantial items of the contract according to the form required by the case. Substantial shall be those items of the contract which have been recognized such by the law or are necessary for the contract of this kind as well as all items in relation to which the agreement must be reached on request of one of the parties.

Article 159. Form of the Contract If the parties have agreed to make a contract in a definite form it shall be considered as mad from the time it was given the agreed form, although this form is not required by the law for this type of contracts. If according to the law or the agreement of the parties the contract must be made in writing it may be made both by making one document signed by the parties and by an exchange of letters, telegrammes, telephonogrammes and so on signed by the parties which send them.

Article 160. Making of the Contract by the Offer Made with the Specification of the Term for the Answer When an offer to make a contract has been made with the specification of the term for the answer, the contract shall be considered as made if the person who has made the offer has received from the other party an answer on the acceptance of the offer within this term.

Article 161. Making of the Contract by the Offer Made without the Specification of the Term for the Answer When an offer to make a contract has been made orally without the specification of the term for the answer, the contract shall be considered as made if the other party has immediately notified the offerer about the acceptance of the offer. When such offer has been made in writing, the contract shall be considered as made if the answer on the acceptance of the offer has been received within the time which is normally required for this.

Article 162. Answer on the Acceptance of the Offer to Make the Contract Received with Delay If it is seen from the answer on the acceptance of the offer to make a contract received with delay that the answer was sent in time, it shall be recognized as delayed only in case when the offerer immediately notifies the other party on the reception of the answer with delay. In this case the answer received with delay shall be considered a new offer to make a contract.

Article 163. Answer with the Consent to Make a Contract on Other Conditions The answer on the consent to make a contract on conditions other than those which were offered shall be recognized as a refusal of the offer and at the same time as a new offer. If at the time of the making of the contract discrepancies arise between the organizations which should be resolved by the economic court (Article 164 of this Code) the rules of this Article shall not be applied.

Article 164. Settlement of Precontractual Disputes Disagreements arising between organizations, between organizations and citizens carrying on entrepreneurial activities without the formation of the legal person as well as between such citizens when they make a contract shall be settled by the economic court in accordance with the Economic Procedural Code of the Republic of Belarus if this is envisaged by the legislation or the agreement of the parties.

Article 165. Contract for the Benefit of a Third Person Execution of the contract for the benefit of a third person may be demanded both by the person who has made the contract and by the third person for the benefit the execution of the contract has been conditioned inasmuch as another is not envisaged by the law, the contract or does not stem from the essence of the obligation. If the third person has waived the right given to him by the contract, then the person who made the contract may use this right provided this does not contradict the law, the contract or the essence of the obligation.

Chapter 16. SECURING THE EXECUTION OF OBLIGATIONS

Article 166. General Provisions Execution of the obligation may be secured according to the law or the contract through a penalty (fine), pledge, security, surety, guarantee, warranty or deposit.

Article 167. Penalty The penalty (fine) shall be the amount of money determined by the law or the contract which the debtor must pay to the creditor in case of non-fulfilment or inappropriate fulfilment of obligations, in particular in case of delayed execution of the obligation. The penalty (fine) may be used to secure only a real demand. The creditor shall not have the right to demand the payment of penalty (fine) if the debtor bears no responsibility for the non-fulfilment or inappropriate fulfilment (execution) of the obligation.

Article 168. Form of the Agreement on the Penalty The agreement on he penalty (fine) must be made in writing. The non-observance of the written form shall entail invalidation of the agreement on the penalty.

Article 169. Pledge On the strength of the pledge the creditor (pledge holder) shall have the right, in case the debtor (pledger) does not execute the obligated secured by the pledge, to have is demand met from the cost of the pledged property ahead of other creditors, except cases envisaged by the legislation of the Republic of Belarus. Relations in the pledge shall be regulated by a special legislation.

Articles 170, 171, 172, 173, 174, 175, 176, 177, 178 have lost their force.

Article 179. Guarantee By the contract of guarantee the guarantor shall be obliged before the creditor of the other person to answer for the execution by the latter of his obligation in full or in part. The contract of guarantee must be made in writing. The non-observance of the written form shall entail invalidation of the contract of guarantee. Guarantee may be provided only for a real demand.

Article 180. Responsibility of the Guarantor The guarantor shall be answerable in the same scope as the debtor, in particular for the payment of interests, reimbursement of losses, payment of penalty provided the contract of guarantee does not specify otherwise. In case of non-execution of the obligation the debtor and the guarantor shall be answerable before the creditor as joint debtors, provided the contract of guarantee does not specify otherwise. Persons who have jointly given the guarantee shall be answerable before the creditor as joint debtors provided the contract of guarantee does not specify otherwise.

Article 181. Rights and Duties of the Guarantor in Case of a Suit to Him If a suit has been made to the guarantor he shall be obliged to involve the debtor to take part in the case. Otherwise, the debtor shall have the right to put forth against the back demand of the guarantor all the objections which he had against the creditor. The guarantor shall have the right to put forth against the demand of the creditor all the objections which could have made the debtor. The guarantor shall not lose the right for these objections even in case if the debtor has rejected them or has recognized his obligation.

Article 182. Rights of the Guarantor Who Has Executed the Obligation The guarantor who has executed the obligation shall be given all the rights of the creditor on this obligation. Each of several guarantors shall have the right to the counter demand to the debtor in the amount paid by this guarantor. On execution by the guarantor of the obligation the creditor shall be obliged to transfer to the guarantor the documents certifying the demand to the debtor as well as the rights securing this demand.

Article 183. Notification of the Guarantor on the Execution of the Obligation by the Debtor The debtor who has executed the obligation secured by the guarantor shall be obliged to immediately notify about this the guarantor. Otherwise, the guarantor, who in his turn has executed the obligation, shall retain the right of counter demand to the debtor. In this case the debtor shall have the right to exact from the creditor only that which has been received ungroundedly.

Article 184. Termination of the Guarantee The guarantee shall be terminated with the termination of the obligation secured by it. The guarantee shall be also terminated if the creditor within three months from the day of actual the term of the obligation fails to make claim to the guarantor. If the term of the obligation execution is not specified or defined by the time of demand, then, if no other agreement exists, the responsibility of the guarantor shall terminate on expiration of one year after the day the contract of guarantee was made.

Article 185. Deposit The deposit (caution money) shall be the amount of money given by one of the contracting parties as part of payments due to be paid by it according to the contract as a proof of the making of the contract and for the securing of its execution. If the non-execution of the contract is the responsibility of the party which has given the deposit it shall remain with the other party. If the non-execution of the contract is the responsibility of the party which has received the deposit it shall be obliged to return it in the doubled amount. In addition to this, the party responsible for the non-execution of the contract shall be obliged to reimburse the other party for the losses with the taking into account of the amount of the deposit inasmuch as the contract does not stipulate another. Irrespective of the amount of deposit the agreement on the deposit must be mad in writing.

Article 186. Guarantee The rules of Articles 179, 181, 183 and 184 of this Code shall cover the guarantees given by one organization as security of payment of debts of the other party, provided the legislation of the Republic of Belarus does not stipulate otherwise.

Chapter 17. ASSIGNMENT OF THE DEMAND AND THE TRANSFER OF DEBT

Article 187. Assignment of the Demand Assignment of the demand (claim)by the creditor to another person shall be allowed inasmuch as this does not contradict the law or the contract or inasmuch as this demand (claim) is not connected with the personality of the creditor. It shall not be allowed to assign the demand (clain)on reimbursement of the harm caused to health or by causing death. The assignee of the demand (claim) shall be given the rights securing the execution of the obligation.

Article 188. Responsibility and Duty of the Creditor Who Assigns the Demand The creditor who has assigned the demand (claim) to another person shall be obliged to hand over to him the documents certifying the right of the demand. The original creditor shall be answerable before the new creditor for the invalidity of the demand handed over to him but shall not be answerable for the non-execution of this demand by the debtor, except in cases when the original creditor has undertaken the guarantee for the debtor before the new creditor.

Article 189. Execution of the Obligation to the Original Creditor When There Is No Notification of the Assignment of the Demand If the debtor has not been notified about the actually made assignment of the demand, then the execution of the obligation to the original creditor shall be recognized as execution to the appropriate creditor.

Article 190. Objection by the Debtor against the Demand of the New Creditor The debtor shall have the right to make against the demand of the new creditor all objections which he has had against the original creditor by the time he was notified of the assignment of the demand.

Article 191. Transfer of the Debt The transfer of one's own debt to another person shall be allowed only with the consent of the creditor. The new debtor shall have the right to make against the demand of the creditor all the objections based on the relations between the creditor and the original debtor. The guarantee and the pledge made by the third person shall be terminated with the transfer of the debt unless the guarantor or the pledger has expressed his consent to be answerable instead of the new debtor.

Article 192. Form of the Assignment of Demand and the Transfer of Debt The assignment of the demand and the transfer of the debt based on a transaction made in writing shall be executed in a simple written form.

Chapter 18. EXECUTION OF THE OBLIGATIONS

Article 193. General Provisions Obligations must be executed in due manner and in the specified time in compliance with the prescriptions of the law, contract or - if such prescriptions do not exist - in accordance with the ordinarily made requirements.

Article 194. Inadmissibility of a Unilateral Refusal from the Execution of the Obligation The unilateral refusal from the execution of the obligation and the unilateral alteration of the conditions of the contract shall not be admitted except in cases stipulated by the law.

Article 195. Execution of Obligations by Parts The creditor shall have the right to refuse to accept the execution of the obligation by parts, unless otherwise provided by the law, contract or stems from the essence of the obligation.

Article 196. Transfer of the Execution of the Obligation to the Third Person The execution of the obligation arising from the contract may be transferred in full of in part to a third person if this is envisaged by the established rules, no less than if the third person is connected with one of the parties through the administrative subordination or the respective contract. If the obligation of the citizen for the execution of the obligation in person does not stem from the law, contract or the essence of the obligation, the creditor shall be obliged to accept the execution offered instead of the debtor by a third person.

SEE PART 3 FOR CONTINUE

HOME ll CATALOG ll HISTORY ll CATEGORY ll INVEST ll CATEGORY l


 

Please visit our sponsors.
Click Here to Visit our Sponsor

Webmasters, need money? Click here!
Click Here to become a ValueClick Member Site