Entering into certain legal relations, the parties acquire certain duties and rights. According to the Civil Code, obligations must be performed properly .
The rules for their implementation are established by the parties themselves, legislation, customs, or requirements usually imposed on the relevant relationship. This procedure is enshrined in the Civil Code, in article 309.
General provisions regarding the fulfillment of obligations apply to all existing legal relations. Let us further consider the features of their application.
The concept of performance obligations
It can be interpreted in several ways.
First of all, the institution of fulfillment of obligations includes a set of legal norms regulating the order, principles, legal consequences of observing the conditions of the obligation . Secondly, it is considered as one of the key stages of interaction between the parties.
Participant Features
Entering into legal relations, the parties should understand that the obligations undertaken by them must be properly performed. The Civil Code of the Russian Federation secures the opportunity for participants to choose their own way to fulfill the terms of the agreement. For example, the parties may provide for the performance of obligations in kind, in money, in the most economical way, and so on.
However, in any case, the selected option cannot be contrary to the law.
Explanations
Considering article 309 of the Civil Code of the Russian Federation with the comments of lawyers, it can be noted that specialists pay attention to the fact that the main condition for effective interaction between the parties is the fulfillment by the participants of the obligations assumed.
The principle of real execution is considered as alternative, additional. It applies in cases expressly enshrined in law. For example, failure to fulfill an obligation does not eliminate the obligation of the debtor to pay the debt, transfer the thing, provide the service or refrain from any action in favor of the creditor.
As for the principle of economical execution, it is not provided for in the Civil Code. It is fixed by special normative acts (Charter of Railways, Merchant Shipping Code, etc.).
The importance of due diligence
By setting the order that obligations must be fulfilled properly, the Civil Code of the Russian Federation gives it fundamental legal significance. This is due to a number of circumstances.
First of all, this principle allows you to streamline civil turnover.
Secondly, without its observance it is impossible to actually fulfill the obligation.
Thirdly, upon detection of a violation of the terms of the transaction or to prevent it, civil measures can be applied to the debtor. For example, the law establishes ways to ensure the fulfillment of obligations , various sanctions.
Goals
Principle of Art. 309 of the Civil Code of the Russian Federation on the proper fulfillment of an obligation is aimed at achieving the result that the participants in the legal relations determined in the agreement, settled by the legislative norm, other legal acts, customs of circulation or requirements put forward usually in similar situations.
Any violation, failure to comply with the terms of the transaction entails the application of measures to the debtor.
Upon fulfillment of an obligation ( including by a third party ), it is terminated.
The principle under consideration is traditionally specified by the concept of contractual discipline. Compliance with this also implies that obligations must be properly implemented. The Civil Code of the Russian Federation fixes the ability of participants to set the time, place of performance of duties. Its implementation also covers the concept of contractual discipline.
Subject and object
Consideration of the principle enshrined in the new edition of Art. 309 of the Civil Code of the Russian Federation , it is necessary to implement in conjunction with other norms of the Code that define the key elements of legal relations.
So, the subject of proper execution may be:
- Property. It can be represented by a specific thing, the result of work, etc.
- The product of intellectual labor.
The object of the proper fulfillment of an obligation is actions related to or not related to the transfer, creation of any property. Under the terms of the agreement, the debtor is required to provide the subject of execution to the creditor in a specified amount and of a specific quality.
The subject is defined in units of measure. For example, brick - in pieces, nails - in kilograms, etc.
The subject can be an individually defined (specific) thing or objects defined by generic characteristics (for example, 100 tons of cement).
Way of execution
As mentioned above, the parties determine it independently. Moreover, in accordance with Art. 309 of the Civil Code of the Russian Federation , the method of execution must not contradict the terms of the agreement, the provisions of the law, customs, requirements, usually presented in similar situations.
The method of execution is a specific action committed by the debtor in favor of the creditor. It could be:
- Provision of property, including in parts.
- Handing the thing in person to the creditor or sending it by available means (by mail, rail, etc.).
- Mutual performance of actions by participants in legal relations in a certain order.
Partial execution
In some cases, the thing to be transferred is indivisible (picture, car, etc.). In such situations, based on the requirements of Article 309 of the Civil Code, the content of the obligation does not imply performance in parts.
However, large batches of materials or raw materials can be transferred in parts. The participants determine the volumes and terms of provision themselves. A similar situation exists with technically complex capital construction projects. They can be transferred into operation in stages.
It should be said that the creditor may (but is not obligated) not to accept performance in parts if the obligation must be fully repaid. If the creditor has not accepted such a performance, then there is a delay, which entails the corresponding consequences. For example, the debtor offers to repay part of the debt, although the terms of the agreement established a full payment on time. Such actions are regarded as improper performance of an obligation. The creditor rightfully refuses to accept such performance. In this situation, the debtor must pay interest on the entire amount of the debt, which includes the part that the creditor refused.
Alternative Actions
As a rule, the parties determine the method of proper performance of obligations clearly and unambiguously. However, in some cases, alternative performance may be provided.
The parties may agree that the debtor performs one of two actions or transfers one or the other property. In such situations, the right of choice is granted to the debtor.
Alternative methods are allowed, if this does not contradict the legislative or other legal act, as well as the essence of the contract.
Execution sequence
As a rule, it is determined by law or participants in the transaction, however, it may flow from the essence of the obligation itself.
For example, under Article 711 of the Civil Code, the customer must pay the contractor work after the adoption of the result. The contract, in turn, may provide for prepayment.
Counter performance
It takes place in almost all transactions.
For example, according to general rules, when buying and selling, the seller’s obligation to provide the buyer with the thing, and the acquirer’s obligation to pay for it are counterclaim. The supply contract may stipulate that the shipment of the goods will be made after receiving money from the customer.
Pursuant to the provisions of Article 309 of the Civil Code of the Russian Federation , 328 norms of the Code establish the consequences of non-fulfillment or partial fulfillment of a counter obligation. So, a participant in a legal relationship may suspend the transfer of products if an advance payment has not been received. Moreover, he has the right to refuse the transaction and demand compensation for losses. Prepayment in such cases acts as a way to ensure the fulfillment of the obligation .
A place
When negotiating the conditions for fulfilling an obligation, the parties are entitled to determine the place of fulfillment. In addition, it may be established by law, custom, or flow from the essence of the transaction. If the parties did not determine the place of fulfillment, then the obligation is repaid at the place:
- Finding property.
- Transferring things to the first carrier for subsequent delivery to the creditor.
- Production / storage of property, if the creditor knew about such a place at the time the corresponding obligation arose.
- Residence / location of the creditor (for monetary obligations).
- Residence / location of the debtor.
The timing
When considering the issue of improper performance of an obligation, it is necessary to clearly differentiate the time and date of performance. The latter is called the day the debtor acts in favor of the creditor, approved (accepted) by him.
The due date is the period or date on which the obligation is to be settled. If the parties set a certain time period, then the obligation can be fulfilled on any day within it.
If the participants have not determined a specific period or day, then the obligation must be repaid within a reasonable time. Its duration depends on several factors:
- The relationship of the parties to the transaction.
- The nature of the obligation.
- Conditions affecting the timeliness of appropriate actions.
According to general rules, an obligation that has not been settled within a reasonable time, as well as an obligation for which the juice is determined at the time of demand, must be fulfilled by the debtor within 7 days, unless otherwise provided by law, contract, customs or the nature of the transaction. Calculation begins from the date the creditor makes a claim.
Subject composition
The objectives of the obligation can be considered achieved if proper execution is provided to the creditor or to the person authorized by him to accept the execution.
Article 312 of the Civil Code allows the debtor to verify the powers of the entity accepting the repayment of the obligation. Unless otherwise established by agreement, it follows from the essence of the transaction or the customs of turnover, the debtor:
- In the performance of an obligation, it may require evidence that the host is proper.
- It carries the risk of the likely consequences of not presenting the specified requirement.
If the debtor refused to repay the obligation before providing evidence, it will not be considered past due.
Within the meaning of the provisions of paragraph 2 of paragraph 312 of the Civil Code, the debtor has the right to demand from the person representing the creditor confirmation of authority arises if:
- Execution is accepted by a person acting in accordance with a written document, and the creditor did not directly provide the written authority to the debtor.
- The authority of the representative is included in the content of the agreement between the debtor and the creditor.
Third Party Involvement
Legislation allows the performance of an obligation by a third party .
The debtor has the right to engage a third-party entity for execution, and the creditor is obliged to accept such execution if the obligation to pay off the obligation in person does not follow from the provisions of the regulatory enactment, the essence of the transaction, or contract.
In this case, it is necessary to take into account the increased responsibility of the debtor. He does not drop out of legal relations, but bears responsibility both for his own actions and for the actions of a third party, if the legislation does not place it directly on a third party.
Cash liability
Its subject, as the name implies, is cash. Fulfillment of obligations, respectively, involve financial transactions. This may be, for example, debiting funds from an account, paying interest, etc.
The theory of law offers different views on the legal nature of monetary obligation. So, some authors believe that only money can be its subject, while others believe that securities and property rights can be included in the subject.
The proper execution of such an obligation is carried out in stages. In general, there are three stages:
- Repayment of lender expenses.
- Interest payment.
- Return of the main debt.
Alternative obligation
Its execution has a number of features:
- The creditor has the right to demand execution from the debtor.
- Several creditors under one obligation have equal claim rights in relation to one obligated person.
- Several debtors in one transaction repay debts to one creditor in equal shares.
Joint liability
Its execution is carried out according to special rules. The creditor, in particular, receives the right to choose the debtor, from whom he will accept the performance. However, the debt can be repaid by all debtors participating in these legal relations.
In the event of the performance of an obligation by one of the debtors, he shall be entitled to present a recourse claim to the remaining obliged persons. Accordingly, in this case, he acquires the status of a creditor in relation to them.
In case of joint liability, the full repayment of the claims or the fulfillment of the obligation in the part assigned to each debtor is possible.
Additionally
In some cases, objective reasons arise that impede the fulfillment of an obligation. For example, the location of the debtor is unknown to the creditor, and he, in turn, cannot notify the obligated person of the change of his place of residence.
In such cases, it is allowed to deposit debt on a deposit of a notary's office. The fact of such an action is recorded in the registry.