Prescription in Arab Civill Codes and the Unidroit Principles Of

7/31/2019 Prescription in Arab Civill Codes and the Unidroit Principles Of

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Bond Law Review

Volume 20 | Issue 1 Article 4

6-1-2008

Prescription in Arab Civill Codes and the UnidroitPrinciples of International Commercial Contracts

of 2004: A Comparative AnalysisBashar H. MalkawiHashemite University, Jordan, [email protected]

is Article is brought to you by the Faculty of Law at ePublications@bond. It has been accepted for inclusion in Bond Law Review by an authorized

administrator of ePublications@bond. For more infor mation, please contact Bond University's Repository Coordinator.

Recommended CitationMalkawi, Bashar H. (2008) "Prescription in Arab Civi ll Codes and the Unidroit Principles of International Commercial Contracts of2004: A Comparative Analysis,"Bond Law Review: Vol. 20: Iss. 1, Article 4.

Available at: hp://epublications.bond.edu.au/blr/vol20/iss1/4
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Prescription in Arab Civill Codes and the Unidroit Principles ofInternational Commercial Contracts of 2004: A Comparative Analysis

Abstract

e Arab codes give the law of obligations the prominent place it occupies in the civil law system. ese codesrecognize (liberative or negative) prescription as a mode of barring claims as a result of inaction for a period oftime. In addition, the UNIDROIT Principles of International Commercial Contracts of 2004 (PICC 2004)provides that prescription extinguishes an action to enforce a claim of right. e purpose of this article is toconduct a comparative exercise by analyzing similarities and dierences between Arab civil codes and thePICC 2004. Arab civil codes and the PICC 2004 wrestle with the same concept, prescription, in more or lessthe same terms. However, the value of studying the PICC 2004 along with Arab civil codes is even greaterbecause they do dier. e article concludes by arguing that certain prescription provisions in Arab civil codesare unclear and antiquated. Arab countries can reconcile their civil codes with more recent international legalinstruments, such as the PICC 2004, without jeopardizing their own traditions and values.

Keywords

Arab civil codes, law of obligations, prescription, UNIDROIT

is article is available in Bond Law Review: hp://epublications.bond.edu.au/blr/vol20/iss1/4
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PRESCRIPTIONINARABCIVILCODESANDTHEUNIDROITPRINCIPLESOFINTERNATIONAL

COMMERCIALCONTRACTSOF2004:ACOMPARATIVEANALYSIS

BASHARH.MALKAWI*

1 IntroductionTheArabcodesgive the lawofobligations theprominentplace it

occupies inthecivil lawsystem.AccordingtoSanhuri,obligations

are to law what thebackbone is to the humanbody.1Persons are

originally free fromobligation.Tobecomeboundbyanobligation

indicates a transition from that original state to one of legal

subjection. Sources of obligations are contracts, torts, unjustified

enrichment, and the law.2Hence, obligations may not arise from

sourcesotherthanthosecontainedinthisexclusivelist.

An obligation places the debtor under the duty to render a

performance thatmustconsistexactlyofwhateverhepromised if

theobligationresultsfromacontractoranyothersource.3Oncethedebtorfulfilshisdutyheisrestoredtohisoriginalstateoffreedom

from obligation. However, there are certain cases where an

* BasharH.Malkawi,AssistantProfessorofCommercialLaw,Hashemite

University,Jordan.HereceivedhisLLBfromYarmoukUniversityin

1999;LLMfromUniversityofArizonaCollegeofLawin2001;SJDfrom

AmericanUniversity,WashingtonCollegeofLawin2005.1 SeeAbdelRazzaqAlSanhuri,TheConciseInterpretationoftheCivilCode,

Vol.I,38(1966).2 Thequestionsclusteredunderthelabelsourcesofobligationsareof

significantpracticalrelevance.Forexample,whetheradefendantis

boundbecauseofacontractorofaquasidelicttotheobligationthe

plaintiffisseekingtoenforcemattersbecausedifferentrulesgoverning

prescriptionanddefaultwillbeaccordinglyapplicable.SeeHossamEl

Ehwany&NaderM.Ibrahim,IntroductiontoLaw331(2004).3 SeeAdnanAmkhan,SpecificPerformanceinArabContractLaw,9.4

ArabLawQuarterly324,326(1994)(itisageneralprincipleofArab

contractlawthatacontractisconcludedintheexpectationthatthe

obligorwillfulfillhispromisespecificallyandingoodfaith).

1

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83

obligation can be extinguished. That may be so because of

confusion, compensation, novation, release, or subrogation. 4 But

there is one important mode of extinction which cannot be

overlooked in the literature, viz., prescription. Hardly anycomparativestudyhadbeenconducted in theareaofprescription

betweenArabcivilcodesandotherinternationalinstruments.

The focus of this article willbe on prescription rules in selected

ArabcivilcodesascomparedwiththeInternationalInstituteforthe

UnificationofPrivateLaw (UNIDROIT)PrinciplesofInternational

CommercialContractsof2004.Thiscomparisonmightbesurprising

to an Arab lawyers way of thinking where prescription rules

belong to the law of obligations, as opposed to the law of

commercial contracts. As far as general approach and manner of

proceeding are concerned, the UNIDROIT Principles stand in

similarity with Arab civil codes. Indeed, UNIDROIT Principles

cover contractual claims within the entire field of obligations.

Although the UNIDOIT Principles and Arab civil codes

correspondence inmattersofprinciple, therearealsoanumberof

differencesindetail.

The article will proceed in three sections. Section two provides

historicalbackground toUNIDROITand itsworkonharmonizinglegal rules worldwide, specially its project for the transnational

4 Confusionreferstothecasewheretheattributesofthecreditorand

debtorareunitedinthesameperson.Noonemaybeboundtorender

performancetohimselfwhenthecreditoranddebtoristhesame

person;thustheobligationnolongerhasapurposeandcomestoan

end.Compensationtakesplacewhentwopersonsoweeachother

reciprocallyidenticalobjects,thatis,wheneachoneisacreditorand

debtoroftheotherandtheobjectoftheperformanceofeachobligationisathingofthesamekindsuchasmoney.Novationisthe

extinguishmentofanexistingobligationbythesubstitutionofanew

one.Byreleaseismeantthegratuitousrenunciationmadebyacreditor

infavorofhisdebtoroftherighttoclaimthewholeorapartofthe

debt.Thereisnopaymentorsubstitutionofanewdebtor,thereis

simplyanabandonmentofthedebt.Subrogationisthesubstitutionof

onepersontotherightsofanother.SeeElEhwany&Ibrahim,supra

note2,at332349.SeealsoSaulLitvinoff,5LouisianaCivilLawTreatise:

TheLawofObligations540546,579582,598,633635(2ded.2001)

(discussingthemodesofextinguishinganobligation).

2

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PRINCIPLESOFINTERNATIONALCOMMERCIALCONTRACTS

OF2004:ACOMPARATIVEANALYSIS

84

harmonizationofcontractlaw.Sectionthreeexaminesthedefinition

ofprescriptionandthedifferenttypesofprescription.Moreover,it

analyses in detail the similarities and differences between theUNIDROIT Principles and selected Arab civil codes concerning

prescription. Finally, the article concludesby arguing that while

prescriptionrulesinArabcivilcodesandthePICC2004correspond

withregardtocertainpoints,significantdifferencesstillexist.Arab

countriesmayusethePICC2004asabenchmarkforfurtherchange

toexistingtextswithoutjeopardizingthefruitsofmanycenturiesof

civilcodestradition.

2 UNIDROIT:HistoricalBackgroundUNIDROIT,theInternationalInstitutefortheUnificationofPrivate

Law,hadbeenfoundedinRomein1926asanorganoftheLeague

ofNations.Since theSecondWorldWar,however, ithasoperated

as an independent intergovernmental organization. Members of

UNIDROIT number some sixtyone countries, including several

Arab countries.5 Its most important contribution in the field of

private law, so far, was the preparation of Principles ofInternational Commercial Contracts of 1994 (PICC 1994).6 These

Principles cover general provisions such as freedom of contract,

binding character of contracts, and good faith.7In addition, these

principles cover the topics of formation of contracts, validity,

interpretation and content, performance, nonperformance and

remediesfornonperformance.However,thePICC1994scoverage

ofthelawofcontractwasnotcomprehensive.

5 SeeUNIDROIT,Membership,availableat(lastvisited

January23,2008).6 In1980,theUNIDROITSecretariatsetupaworkinggrouptodraftaset

ofprinciplesoninternationalcommercialcontracts.SeeMichael

JoachimBonell,AnInternationalRestatementofContractLaw28(3ded.

2005).7 Thetextofeachprinciplewasfollowedbyacommentaryincluding

illustrations.Thestructureofthepublicationwasthusinspiredbythe

AmericanRestatements.SeeUNIDROIT,PrinciplesofInternational

CommercialContracts(1994).

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ItwasthereforeonlynaturalthatUNIDROITsGoverningCouncil,

in1997,setupanotherworkinggroup, theprimary taskofwhich

was to consider a number of additional topics. The UNIDROIT

Principles of International Commercial Contracts of 2004 (PICC2004) are the result of the deliberations of this second working

group.8The PICC 2004 has now replaced the 1994 Principles. ThePICC 2004 contains new topics such as plurality of parties,

assignment,substitutionofanewdebtor,setoff,andprescription.

Since their issuance, the UNIDROIT Principles have received

considerable attention internationally. Specifically, they have

generatedasubstantialamountofliteratureandhaveplayedarole

inthedraftingofinternationalcommercialcontracts.9Additionally,

theUNIDROITPrinciplesareincreasinglyusedbyarbitraltribunals

and,occasionally,evenbynationalcourts.10

3 PrescriptionAccording to the civilian tradition, prescription is a means of

acquiring real rightsorof losingcertain rightsas the resultof the

passageoftime.Thereareseveraltypesofprescriptionaccordingto

their operation and effect. Traditionally, prescription has been

dividedinto

two

categories:

acquisitive

or

positive

prescription,

which isamodeofacquiringownership throughpossession fora

period of time, and liberative or negative prescription, which is a

modeofresistingaclaimbyvirtueoftheclaimantsinactionoveran

8 FormoredetailsseeMichaelJoachimBonell,UNIDROITPrinciples

2004 TheNewEditionofthePrinciplesofInternationalCommercialContractsadoptedfortheInternationalInstitutefortheUnificationof

PrivateLaw,9UniformLawReview6(2004).9 AcomprehensivebibliographyforthePrinciplesingeneralcanbe

foundinMichaelJoachimBonell,TheUNIDROITPrinciplesinPractice:

CaseLawandBibliographyonthePrinciplesofCommercialContracts

(2002).10 SeeCharlesN.Brower&JeremyK.Sharpe,TheCreepingCodification

ofTransnationalCommercialLaw:AnArbitratorsPerspective,45

VirginiaJournalofInternationalLaw199,205220(2004)(citingseveral

arbitraltribunalsthatinvokedtheUNIDROITPrinciples).

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establishedperiodoftime.11However,therecouldbeathirdkindof

prescription;prescriptionofnonuse.12

Acquisitiveprescriptionallows for theacquisitionofownershiporotherrealrightssuchasusufructbypossessionforaperiodoftime.

Apersonwhohaspossessionofamovableor immovablewithout

being its owner, or of a real right over a movable or immovable

withoutjusttitlemayacquiretheownershipofthethingortitleto

the real right if his possession continues uninterrupted for fifteen

years.13 This is not the place for a full discussion of acquisitive

prescriptionasitbelongstothelawofproperty.14

11 IntheFrenchCode,thesetwokindsofprescriptionaretreatedinthe

sametitlebecausethereareanumberofruleswhichapplytoboth

kindsofprescription.SeeG.BaudryLacantinerie&A.Tissier,Traite

TheoriqueEtPratiqueDeDroitCivil,No.24(4thEd.1924),In5CivilLaw

Translations14(La.StateL.Inst.trans.1972).Arabcivilcodeshavea

differentandmorelogicalarrangement.Arabcivilcodesdevote

separatesectionstoliberativeprescriptioninthechapterthatnumerates

thevariousmodesofextinguishinganobligationwhiledealswith

acquisitiveprescriptioninanotherchapterasoneofthemodesof

acquiringownershiporrealrights.SeeGeorgeN.Sfeir,ModernizationOfTheLawInArabStates:AnInvestigationIntoCurrentCivilCriminalAnd

ConstitutionalLawInTheArabWorld101113(1998).12 Theprescriptionofnonusediffersfromliberativeprescriptioninthat

liberativeprescriptionbarsanaction,whereastheprescriptionof

nonuseextinguishestheunderlyingrealright.However,likeliberative

andacquisitiveprescription,theprescriptionofnonuseissusceptibleof

renunciation,interruption,andsuspension.SeeSymeonSymeonides,OneHundredFootnotestotheNewLawofPossessionandAcquisitive

Prescription,44LouisianaLawReview69,116(1983).

13 SeeEgyptianCivilCode,art.968;LibyanCivilCode,art.972;IraqiCivilCode,art.1158;JordanianCivilCode,art.1181;andSyrianCivilCode,

art.917.SeealsoTereniaUrbanGuill,Palomequev.Prudhomme:The

LouisianaSupremeCourtRulesonAcquisitivePrescriptionof

ServitudesofLightandView,70TulaneLawReview1675,1681(1996).

(IntheU.S.,theLouisianaSupremeCourtaffirmedthatservitudesof

lightandviewmaybeacquiredthroughacquisitiveprescription,

providedthattheadversepossessorhasjusttitleandhaspossessedthe

uninterruptedrightingoodfaithfortenyears.)14 FormoreseeFarhatJ.Ziadeh,PropertyLawintheArabWorld3660

(1979).

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Liberativeornegativeprescriptionisamodeofbarringofactionsas

a result of inaction foraperiodof time.Liberativeprescription is

notmerelyamechanismforthereleaseofdebts;rather,itisamode

ofextinctionofclaims.Thus,liberativeprescriptionextinguishesthelegal right of enforcement; it does not extinguish the underlying

obligation.15When the action isbarredby prescription, a natural

obligation still subsists, although the civil obligation is

extinguished.Anaturalobligationisbindingonapartynotbythe

forceoflaw,butbytheconscienceoftheindividualwhomakesit.16

Theremainingnaturalobligationmayformthebasisofanewand

legallyenforceablecontract,andanyamountspaidbytheobligorin

satisfactionofthisobligationmaynotberecoveredaspaymentofa

thingnotdue.

Civil lawjurisdictionsgenerally regard liberativeprescriptionasa

substantiveissue.17Ontheotherhand,thecommonlawviewisthat

liberativeprescriptionisaproceduralissuebecauseitaffectssolely

the nature of the remedy to be afforded. 18 However, this

classificationassubstantiveandproceduralcanbedifficultbecause

substance often gradually shades into procedure. Liberative

prescription may be considered to have both substantive and

proceduralaspects.

15 SomeschoolsofSunnijurisprudenceallowanactiontoenforceaclaim

ofrighttobebarredbythepassageoftime.However,theShariadoes

notrecognisethelegalnotionofprescriptionasextinguishinganyright.

Thuseveninthoseschoolswhichtimelimitationbarsaclaimfrom

beingjudiciallyheardandenforcedtherightof selfhelporsetoff

(taqas)canstillbeusedasanextrajudicialremedy.Thisdistinction

betweenalegalrightanditsenforcement,whichiscogent,hasgreatly

influencedthelawsofArabcountries.SeeMahirJalili,TimeBarClausesinSaudiArabianContracts,13InternationalConstructionLaw

Review488,49091(1996).16 SeeDavidV.Snyder,ASymposium:TheCaseofNaturalObligations,

56LouisianaLawReview423,425428(1995).17 SeeConflictofLaw:StatutesofLimitationintheMultistateProduct

LiabilityCase,48TulaneLawReview1130,1134(1974).18 SeeLocke,UseofForeignStatutesofLimitationsinIllinois:An

AnalysisofStatutoryandJudicialTechnique,34DePaulLawReview

407,413(1985).SeealsoDevelopmentsintheLaw Statutesof

Limitation,63HarvardLawReview1177(1950).

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The following parts will highlight the similarities and differences

between thePICC2004and thecivilcodesofArabcountrieswith

regardtotherulesofliberativeornegativeprescription.

3.1 TheLegalPolicyUnderlyingPrescriptionTheprescriptionrulesofboththePICC2004andthecivilcodesof

Arabcountriesarefoundeduponthesameconsiderationsofpublic

policy.For thesakeof thegeneralpeaceand topreventdishonest

actions, the law provides that after a certain length of time

obligationsshallnotbeenforceableiftheobjectionistakenthatthe

righthasbeenprescribed.19Documentsmaybelost,witnessesmay

bedead,andtherecollectionofeventslongpastmayhavebecome

dim. It is for these reasons that the law comes to the help of the

debtorbycreatingapresumptionofpayment.Whenthetimefixed

by law forprescriptionhasexpiredapresumptionofdischarge is

created. The legal policy underlying prescription canbe said to

illustrate the verybroad rule that the law helps those who help

themselves.

3.2 TerminologyThe PICC 2004 and Arab civil codes use a different terminology

when referring to prescription. The PICC 2004 employs the term

limitation periods while Arab civil codes generally use the term

prescription.20However, the only Arab country to use the term

limitationofactionsisSudanasitisinfluencedbycommonlaw.21

At common law, the term prescription refers to the processby

whichlimitedrightsofuseoveranothersland,suchaseasements,

19 SeeReinhardZimmermann,ComparativeFoundationsoftheLawonSet

OffandPrescription76(2002).SeealsoHSShaaban,Commercial

TransactionsintheMiddleEast:WhatLawGoverns?31Law&Policyin

InternationalBusiness157,164165(1999).20 SeeUNIDROIT,PrinciplesofInternationalCommercialContracts,art.

10.1(2004).SeealsoHishamR.Hashem,TheJordanCivilCodeofMoslem

Jurisprudence63(1990)(article449oftheJordaniancivilcodecarriesthe

headingprescriptionwhendiscussingextinguishmentofclaims).21 ZakiMustafa,TheCommonLawInTheSudan:AnAccountOfTheJustice,

Equity,AndGoodConscienceProvision168(1971).

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maybe acquired.22When talking about prescription in the sense

used in Arab civil codes, common law countries such as the U.S.

refertostatuteoflimitations.

Thedifference interminologyispracticallyirrelevant.Whetherthe

term prescription or limitation period is used, it produces the

same effect. Prescription does not affect the right (i.e., the

substantive cause of action),but merely the obligee or creditors

ability to pursue that right in court.23Inotherwords, prescription

formsabar that restricts the timewithinwhich legalproceedings

maybebrought.3.3 PeriodsofPrescriptionUnder Arab civil codes, there is a general fifteenyear period of

prescription,knownaslongprescription.24Thepublicpolicyhereis

mainlytopreventcontestswhichariselongaftertheobligationwas

formed. The creditor who has remained inactive for so long is

regarded as having lost his right of action and there is a

presumptionofpayment.

Thegeneralprescriptionperiod fixed inArabcivilcodes is longer

than the period of the PICC 2004. Under article 10.2 of the PICC

2004,thegeneralperiodofprescriptionisthreeyears.However,thegeneral period of prescription provided in the PICC 2004 is

accompaniedbyamaximumperiodoftenyears.25Incomparisonto

thesingleperiodofprescriptioninthePICC2004,Arabcivilcodes

containseveralprescriptionperiodsforparticularcases.

22 SeeBarryJ.Kusinitz,AdversePossessionandEasements,47Rhode

IslandBarJournal5(1999).23 SeeMohammadSewar,GeneralTrendsInTheUnitedArabEmirates Civil

TransactionsLawAsComparedWithOtherArabCivilCodes214(1989).24 SeeEgyptianCivilCode,art.374;IraqiCivilCode,art.429;Jordanian

CivilCode,art.449;KuwaitiCivilCode,art.438;MoroccanCivilCode,

art.387;SyrianCivilCode,art.372;andUnitedArabEmiratesCivil

Code,art.473.

25 SeeUNIDROIT,supranote20,atart.10.2(2).

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90

In Arab civil codes, the term of prescription for rent, instalments,

allowancesformaintenance,andpaymentsforhireisfiveyears.26In

order for this prescription rules to apply, courts insist on twoqualities; regularity and periodicity.27In general, the prescription

period for any sum payableby the year or at shorter recurring

intervalsisfiveyears.Themotiveofpublicpolicy,whichunderlies

prescription of five years, is not quite the same as in the long

prescription. It is based not so much upon the presumption of

paymentasupontheprinciplethatperiodicalpaymentsofthiskind

areexpectedtobemetoutofrevenue.Ifthecreditorissonegligent

asnot tosue forhisrightwithin fiveyears itwouldnotbe fair to

compelthatdebtortopaywhatmightbealargecapitalsum.Thus,thepublicpolicyisnotsomuchthatthelawpresumesthecreditor

hasbeenpaidasthatitpunisheshimforhisnegligence.

The termofprescription is fiveyears for sumsdue tophysicians,

lawyers, engineers, pharmacists, experts, teachers, brokers, and

professors in return for services they have performed and for

expensestheyhaveincurred.28Theprescriptionhereisbasedupon

presumption of payment. Arab civil codes limit the fiveyear

prescription

period

to

these

professionals.

Thus,

accountants,

translators,orartistsareexcludedfromitscoverage.Inaddition,the

26 SeeEgyptianCivilCode,art.375;JordanianCivilCode,art.450;

KuwaitiCivilCode,art.439;MoroccanCivilCode,art.391;andSyrian

CivilCode,art.373.27 SeeCaseNo.234,EgyptianCourtofCassation,Vol.30,270(May5,

1979).SeeCaseNo.130,EgyptianCourtofCassation,Vol.31,130

(March1,1980).SeeCourtofCassationCaseNo.124/1999,Journalof

JordanianBarAssociation2439(2000).

28 SeeEgyptianCivilCode,art.376;IraqiCivilCode,art.431;JordanianCivilCode,art.451;SyrianCivilCode,art.373;andUnitedArab

EmiratesCivilCode,art.475.Arabcivilcodesclasstogether

physicians,lawyers,engineers,professors,andteachers.Itmightbe

arguedthatthereisagoodreasonforputtingtheseprofessionalsinthe

sameclassastheyareengagedtoperformnotasingleactbutaseriesof

acts.Thequestionthatariseswhether,forpurposesofprescription,to

treateachvisitofaphysician,eachpieceofworkofanengineer,each

litigationofalawyerascreatingaseparatedebt,ortotreattheir

servicesasalumpsumwhenthewholeactivityiscompleted.Thisissue

isbynomeansfreefromdifficulty.

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scope of coverage for this prescription is limited to services

performed and expenses incurred as a result of their works. Any

otherserviceandexpensefallsoutsidethescopeofcoverage.

The term of prescription is two years for sums due to merchants

andartisans for things theyhavesupplied topersonswhodonot

tradetherein,andtherightsofhotelandrestaurantownersforthe

accommodations and price of food, and the right of workers and

servants.29 The category of workers and servants include cooks,

drivers, and plumbers. 30 In order for the twoyear prescription

period to apply, the rights of merchants and artisans must result

fromsupplyofthingstootherpersonswhodonottradetherein.If

thosepersonstowhomthingsaresuppliedtradeinthesethings,the

debtbecomes commercial and thus subject to commercial law.31

Like the fiveyear prescription period, the twoyear prescription

discussedhereisbaseduponpresumptionofpayment.

The way of proceeding adoptedby the PICC 2004 considerably

simplifiesthestructureoftheprescriptionperiod.Accordingtothe

PICC 2004, there is always only one period of prescription. As a

rule, there is the threeyear period which canbe extended to no

more than ten years. On the other hand, Arab civil codes set a

generallongprescriptionperiod;fifteenyearprescriptionperiod.Inaddition, Arab civil codes numerate several cases where the

prescriptionperiod canbeeither twoor fiveyears,depending on

the categories of individuals concerned. The PICC 2004 scheme

appears to promote more clarity and uniformity in prescription

periodscomparedwithArabcivilcodes.

29 SeeJordanianCivilCode,art.452;andUnitedArabEmiratesCivil

Code,art.476.However,theprescriptionperiodforthesecategoriesof

individualsisoneyearintheEgyptian,Iraqi,Kuwaiti,andSyriancivil

codes.SeeEgyptianCivilCode,art.378;IraqiCivilCode,art.431;

KuwaitiCivilCode,art.442;andSyrianCivilCode,art.375.30 SeeCourtofCassation,CaseNo.496/91,JournalofJordanianBar

Association1813(1992).31 Incommercialmatters,theprescriptionperiodistenyears.See

JordanianCourtofCassationCaseNo.2209/2003,AdalehCenter

Publications(November17,2003).

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3.4 CommencementofthePrescriptionPeriodThe

period

of

prescription

runs

from

the

beginning

of

the

first

complete day after the day upon which possession has been

acquired in the case of acquisitive prescription, or after the day

upon which the obligation has matured in the case of liberative

prescription.32The period of prescription is calculatedby days.33

Thus, theperiodcannotbecalculatedbyhoursorminutes,as it is

easytopreserveevidenceofthedateofthetransaction.However,if

it were necessary to prove the hour of the day for purposes of

prescription, innumerable difficulties would arise from the

variationsof

local

times

in

different

countries.

A furtherconsequenceof therule that time isreckonedbydays is

thattheprescriptionperioddoesnotexpireuntilthelastmomentof

thelastdayoftheterm.Accordingly,iftherightofactionhasbeen

acquired on theJuly 20, 1994, prescription does notbegin to run

until the first minute ofJuly 21, 1994, and if the prescription is

fifteenyears,itwillnotbecompleteuntilthelastminuteofJuly21,

2009.Ifthelastdayfallsonalegalholiday,prescriptionaccrueson

theexpirationofthenextdaythatisnotalegalholiday.

InArabcountries twocalendarsare inuse; theArabcalendarand

the Gregorian calendar. Under the Arab Calendar, the year is

shorterthanitisintheGregoriancalendar.Thequestionthatarises

next is according to which calendar the prescription period is

calculated?Inthepast,therehasbeenmuchdoubtuponthispoint.

Arab civil codes are silent on this point.34One reason that could

offeranexplanationforuseoftheGregoriancalendaristhefactthat

ArabcodesmentiontheArabcalendarinfewinstances.Seeingthat

codesrarely

mention

the

Arab

calendar

one

must

conclude

that,

whentheyaresilentastowhichcalendaristobeapplied,theymust

32 SeeEgyptianCivilCode,art.381;JordanianCivilCode,art.454;Syrian

CivilCode,art.378;andUnitedArabEmiratesCivilCode,art.478.33 SeeEgyptianCivilCode,art.380;JordanianCivilCode,art.456;Syrian

CivilCode,art.377;andUnitedArabEmiratesCivilCode,art.480.34 TheYemeniCivilCodeistheonlycodethatexplicitlyreferstotheissue

ofcalendaruse.Theperiodofprescriptioniscalculatedaccordingtothe

ArabcalendaranditsequivalentintheGregoriancalendar.SeeYemeni

CivilCode,art.457.

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mean the Gregorian calendar. This is an application of the rule

expressio unius. 35 But this argument is not enough to justify the

conclusion that theGregoriancalendar is intendedbecause itmay

notbetruethatthemereexpressconferralofarightinonesituationimpliesthedenialoftheequivalentright inothersituations.Other

reasons thatcouldsupport theviewthattheGregoriancalendar is

intendedincludecourtjurisprudence.Courtshaveheldthatincase

of prescription the period shouldbe computed according to the

Gregoriancalendar.36Thelaw,probably,isnowsettledwithregard

to which calendar to use and it is taken for granted that the

Gregoriancalendarisintended.

Arabcivilcodesdonotaddressthecasewherethelaw ischanged

afterprescriptionbegins to run.Thechange in lawmaycause the

suittobebarred.37However,inordertoavoidthisscenario,courts

couldusepartsof the timewhichelapsedunder theoldandnew

laws. Inotherwords, the time theplaintiffhas inwhich to sue is

determined by forming a part of the new time to the old and

multiplying that fractionby the amount of time remaining under

theoldprescriptiveperiodat theeffectivedateof thenewperiod.

The formula advanced above applies equally well to laws that

lengthenorshortentheprescriptiveperiod.

AccordingtothePICC2004,theperiodofprescriptionbeginstorun

on thedayafter theday thecreditorknowsorought toknow the

factsasaresultofwhichthecreditorsrightcanbeexercised.38The

criterion of knowledge shouldbe raised and establishedby the

creditor.On theotherhand,Arabcivilcodespermit theperiodof

prescriptiontorunfromthedaywhentheobligationbecomesdue

forfulfilment.ThewayprescriptioninArabcivilcodescommences

35 Theruleexpressiounius,aLatinmaxim,isacanonofstatutoryinterpretationwhichstatesthattoexpressorincludeonethingimplies

theexclusionoftheother,orofthealternative.SeeReedDickerson,The

InterpretationandApplicationofStatutes234235(1975).36 SeeforexampleCourtofCassation,CaseNo.205/80,Journalof

JordanianBarAssociation337(1991).37 Forexample,if,attheinceptionoftheplaintiffscauseofaction,the

applicableprescriptiveperiodistwoyearsand,oneyearafterthecause

ofactionhasarisen,thelawreducestheperiodtooneyear,arguably

theplaintiffsactionhasbeenprescribed.


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issimplerthanthePICC2004.Arabcivilcodesdonotindulgeinthe

discussionwhether thecreditorhasknowledgeornotofhisright.

Thestartoftheprescriptionperiodisnottiedtodiscoverabilitybythecreditor.

ThePICC2004doesnotstatewhethertheperiodofprescriptioncan

be expressed in hours. Furthermore, when compared with Arab

civilcodes,thePICC2004lacksageneralprovisionforcalculatinga

timeperiod.Forexample,prescriptioninArabcivilcodesdoesnot

begin torununtil the firstminuteof thenextdayuponwhich the

rightofactionhasaccruedandwillnotbecompleteduntilthelast

minuteof

the

last

day.

The

availability

of

such

aprovision

in

the

PICC2004wouldhavebeenjustasappropriateasitisintheArab

civilcodes.

3.5 SuspensionofPrescriptionAccording to Arab civil codes, the presence of lawful excuse

suspendstherunningofprescription.39Morespecifically,Arabcivil

codes enumerate several cases of suspension: absence of creditor,

incapacitysuchasminority,forcemajeure,andrelationshipsbetween

spousesand

parents

and

their

children.

40However,

the

Jordanian

civilcode is theonlyArabcivilcode thatdoesnot list thecasesof

suspension. 41 Thus, the Jordanian civil code adopts a flexible

approach by requiring the presence of lawful excuse without

furtherelaboration.

Absenceofcreditormeans thathe isaway,butstillalive,fromhis

country or place of residence.42 Minority refers to a person not

attaining theageofmajorityor legalage,generallysetaseighteen

39 SeeEgyptianCivilCode,art.382;JordanianCivilCode,art.457;

KuwaitiCivilCode,art.446;MoroccanCivilCodeart.379;andYemeni

CivilCode,art.450.40 Ibid.41 SeeJordanianCivilCode,art.457.SeealsoCourtofCassation,CaseNo.

933/1990,JournalofJordanianBarAssociation1945(1991)(theJordanian

civilcodestatedlawfulexcuseinanopenmannersoastoincludeany

excusethatsuspendsprescription).42 SeeEgyptianCivilCode,art.382;KuwaitiCivilCode,art.446;and

MoroccanCivilCode,art.380.

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years inArabcivilcodes.43Minority isconsideredvalidexcuse for

suspending prescription provided that a representative for the

minor has not been appointed.44 However, the minor does not

appeartobesufficientlyprotectedincaseswheretherepresentativefails to pursue his claim before the period of prescription has

elapsed.Arabcivilcodesshouldprovideforanextensionbywayof

postponementofexpiryoftheperiodofprescriptionnotonlywith

regard to claims held by or against a minor who is without a

representative,butalsowithregardtoclaimsbetweenaminorand

his representative. Force majeure denotes the occurrence of an

unexpected event beyond the creditors control and which the

creditor could not avoid or prevent. Examples of force majeure

include earthquakes, volcanoes, floods, and storms. These threecases of suspension are factbased. Courts in Arab countries will

determine whether these cases meet the lawful excusebar on a

casebycasebasis.

Arab civil codes suspend prescription as between: the spouses

duringmarriage,parentsandchildrenduringminority, tutorsand

minors during tutorship, and curators and interdicts during

interdiction.45 The suspension is made necessary as a matter of

fairness and to maintain stability. As between spouses and as

between parents and their children, the provision encourages

harmonybetweenthemembersofthesespecialrelationships.46The

43 SeeS.E.Rayner,TheTheoryofContractsInIslamicLaw:AComparative

AnalysisWithParticularReferencetotheModernLegislationinKuwait,

Bahrain,andtheUnitedArabEmirates121124(1991)(modernlegal

systemsdesignateaspecificageofmajority.Forexample,theageof

majorityintheKuwaiticivilcodeiseighteenyearswhileitistwenty

oneyearsintheUnitedArabEmiratescivilcode.Ontheotherhand,the

Bahrainilawofcontractdoesnotdefinetheageofmajority).44 SeeEgyptianCivilCode,art.382;KuwaitiCivilCode,art.446;and

MoroccanCivilCode,art.379;andYemeniCivilCode,art.450.45 SeeEgyptianCivilCode,art.382;IraqiCivilCode,art.435;KuwaitCivil

Code,art.336;MoroccanCivilCode,art.378;andYemeniCivilCode,

art.452.SeealsoCourtofCassation,CaseNo.934/1990,Journalof

JordanianBarAssociation1974(1991).46 Thosepartiesarepreventedfromsuingeachotherexceptforafew

enumeratedcauses.Forexample,spousesmaysueeachfordivorceand

causesofactionpertainingtothecustodyofachildoralimonyforhis

support.

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96

suspensionsasbetweentutorsandminorsduringtutorshipandas

between curators and interdicts during interdiction reflect the

legally unequal positions in which these parties stand in theirrelationships.

ThesuspensionofprescriptioninArabcivilcodespresupposesthat

the period has alreadybegun to runbutan excuse appeared that

prevents its continuation. Furthermore, the suspension of

prescription presupposes that the period has notbeen completed,

otherwise there is no suspension. The period of prescription

remainssuspendedaslongasthereisabsenceofcreditor,minority,

orforce

majeure.

Once

the

lawful

excuse

ceases

to

exist,

the

period

of

prescriptionbegins to runagainbyadding thepreviousperiod to

the new one.47In other words, the time during which the lawful

excuse existed does not count for the computation of the

prescriptionperiod.

The PICC 2004 recognizes three grounds of suspension: force

majeure, death, and incapacity.48In a manner similar to Arab civil

codes,forcemajeure refers to an impediment which isbeyond the

creditors control and which the creditor could neither avoid nor

overcome. However, the impact of this cause of suspension isdetermineddifferentlyinthePICC2004fromthatintheArabcivil

codes. The PICC 2004 provides that the period of prescription issuspended so as not to expirebefore one year after the relevant

impedimenthasceasedtoexist.ThePICC2004triestomitigatethe

influenceofthiscauseforsuspensionontherunningoftheperiod

of prescription for, as a result of the PICC 2004 language, only

impedimentsthathaveoccurredwithinthelastyearoftheperiodof

prescriptionaretakenintoaccount.Toputitdifferently,thereisno

reason to take into account events which have arisen, and fallen

away,wellbeforetheendoftheperiodofprescription,i.e.,atatime

when the creditor still had ample time to pursue his claim.

Otherwise, the computation of periods of prescriptions wouldbe

renderedunreasonablydifficult.Moreover, itappearsunnecessary

to accord to the creditor the full year after the impediment has

47 SeeJordanianCivilCode,art.457(2).


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ceased to exist as most of the impediments coveredby the PICC

2004lastonlyforashortperiodoftime.

ThePICC2004alsoconsidersincapacityanddeathasothercauses

forsuspension.49Thesamerulesofforcemajeureapply inthesetwo

causes. Similarly, the additional oneyear period in case offorce

majeureapplies.Theonlyspecialrulewhichappliestothecasesof

incapacityanddeathconcerningtheendofthesuspensionwhereby

arepresentativefortheincapacitatedordeceasedpartyoritsestate

has been appointed; or a successor has inherited the respective

partysposition.However,thePICC2004doesnotaddresstheissue

when the incapacity ends without a representative having been

appointed.

TherulesofArabcivilcodesconcerningforcemajeureandincapacity

seemsimilartotherulesofthePICC2004.Forexample,Arabcivil

codes and the PICC 2004 use the term incapacity in abroader

manner to includenotonlyminoritybutalso insanity,negligence,

prodigalspendthrift,physicaldisability,anddeathsickness.

3.6 InterruptionofPrescriptionWhile there are cases that suspend prescription, there are other

cases that lead to the interruption of the prescription period. 50Admission of debt on the part of the debtor and instituting of

49 Ibid,art.10.8(2).50 TheBookofRulesofJustice,knowninArabicasMajalla,influencedthe

draftingofArabcivilcodes.Chapter2oftheBookofRulesofJustice

dealswiththecausesforinterruptionoftheperiodoflimitation.For

example,ifacourtactionisbrought,theperiodisinterrupted.SeeLaw

intheMiddleEast:OriginandDevelopmentofIslamicLaw292296,305305

(MajidKhadduri&HerbertJ.Liebesnyeds.,1955)(TheBookofRulesofJusticewasaproductoftheOttomanreformmovementandwasbased

ontheHanafischooloflaw.ItcodifiedtheIslamicprincipleswhich

servedasthecivillawoftheOttomanEmpireandthentheArab

countries).SeeCourtofCassation,CaseNo.325/1972,Journalof

JordanianBarAssociation1527(1972)(Accordingtoarticles1660,1663,

and1666oftheMajalla,causesofsuspensionofprescriptionare:

minority,insanity,absence,negligence,andforcemajeure.Ontheother

hand,causesofinterruptionare:admissionofthedebtand

commencingoflegalproceedings).SeealsoCourtofCassation,Case

No.340/1972,JournalofJordanianBarAssociation1549(1972).

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judicial proceedings on the part of the creditor interrupt the

running of the prescription period. The difference between

suspension and interruption of prescription is in computing theprescriptionperiod. In case of suspension, once the lawful excuse

forsuspensionceases toexist, theperiodofprescriptionbegins to

runagainbyaddingthepreviousperiodtothenewone.Incaseof

interruption, thepreviousperiodofprescriptionwillnotbe taken

into account when calculating time. 51 Rather, the period of

prescription willbe renewed as if the previous period had never

existed.

Arabcivil

codes

provide

that

the

debtor

sexplicit

or

implicit

admission of the right of the creditor interrupts the prescription

period. 52 The texts of Arab civil codes did not condition the

admission of the debt on the occurrence of a certain event or

passage of time. To the contrary, admission of the right of the

creditorwasused inabsolute terms.Hence,admissionof thedebt

canbe madeby the debtor at any time and during any stage of

courtaction.Oncethedebtoracknowledgestherightofthecreditor

willingly, he cannot withdraw his acknowledgement.

Acknowledgementof

the

debt

interrupts

the

period

of

prescription

andanewperiodwillcommence.

Explicit or implicit admission of the right of the creditor canbe

expressedbyanymode.Thecourtwilldeterminewhetherthere is

anexplicit or implicitadmissionofdebtbasedon the factsof the

case in question. For instance, courts have found that the debtor

could admit a debt by writing a statement to that effect,

acknowledging the debt orally, presenting a surety or mortgage,

partiallypaying thedebt,and invokinga setoff.53However,court

51 SeeJordanianCourtofCassationCaseNo.2365/2005,AdalehCenter

Publications(April2,2006).52 SeeEgyptianCivilCode,art.384;IraqiCivilCode,art.438;Jordanian


art.382;SyrianCivilCode,art.381;UnitedArabEmiratesCivilCode,

art.483;andYemeniCivilCode,art.453.53 ForexamplesonthejurisprudenceofJordaniancourtsseeCourtof

Cassation,CaseNo.236/82,JournalofJordanianBarAssociation996

(1982),CourtofCassation,CaseNo.811/90,JournalofJordanianBar

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caseshavenotaddressedwhetherasettlementofferissufficientto

acknowledgeadebt,andthusinterruptsprescription.

ThePICC2004alsoprovidesthatanacknowledgementoftheright

of the creditor on the part of the debtor interrupts prescription.54

Theacknowledgementoftherightof thecreditor leads torenewal

of the period of prescription. In other words, any previous

prescriptionperiodwillnotbecountedincaseofinterruption.

Inadditiontoadmissionofdebtonthepartofthedebtor,Arabcivil

codes provide that instituting a judicial action or any judicial

measure leads to the interruption of the prescription period. 55

Prescription is interruptedwhen thecreditorcommencesanaction

againstthe

debtor

in

acourt.

According

to

Arab

civil

codes,

the

action that interrupts prescription isjudicial action only. Claims

madeoutofcourtdonotconstituteaninterruption.56Althoughnot

defined,any judicialmeasuremay include theserviceofprocess.

Forexample,ifactioniscommencedinanincompetentcourt,orin

an improper venue, prescription is interrupted only as to a

defendantservedbyprocesswithintheprescriptiveperiod.

ThepositionofArabcivilcodesshouldbeclarifiedwithrespectto

the duration of interruption of prescription while an action is

pending before the court. Arab civil codes should provide that

interruption of prescription resulting from the filing of a suit in

court continues as long as the suit is pending. When a suit filed

within theprescriptiveperiod isdismissedongroundsother than

lackofjurisdiction,thefilingactsasacontinuousinterruptionuntil

Association896(1992),CourtofCassation,CaseNo.1730/1994,Journalof

JordanianBarAssociation2776(1996),JordanianCourtofCassationCase

No.273/2000,AdalehCenterPublications(October26,2000),and

JordanianCourtofCassationCaseNo.3058/2006,AdalehCenterPublications(February2,2007).

54 SeeUNIDROIT,supranote20,atart.10.4(1).55 SeeEgyptianCivilCode,art.383;IraqiCivilCode,art.437;Jordanian



art.484;andYemeniCivilCode,art.453.56 However,theMoroccancivilcodeistheonlycodethatallowsclaimsto

bemadeoutofcourt.SeeMoroccanCivilCode,art.381.Thus,

accordingtotheMoroccancivilcode,anactofmediationthrougha

thirdpartyinterruptsprescription.

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the suit is dismissed. Upon dismissal a new prescriptive period

begins to run. A different situation obtains, however, when a

plaintiff abandons, voluntarily dismisses, or fails to prosecute thesuit at the trial. In any of these instances, interruption shouldbe

considered as never occurred. The terms abandonment and

failurehavenotbeendefinedbythecodesorcourtsjurisprudence.

InamannersimilartoArabcivilcodes,thePICC2004providesthat

the commencementof legalproceedings interrupts the runningof

theperiodofprescription.57Nonetheless, incomparisonwithArab

civil codes, the PICC 2004 allows insolvency proceedings and,

wherethe

debtor

is

an

entity

that

is

in

the

course

of

being

dissolved,

dissolution proceedings to interrupt prescription. 58 Additionally,

thePICC2004containsadetailedprovisionontheeffectofarbitral

proceedings on the running of prescription which is very closely

modelledon theoneconcerningjudicialproceedings.59Alternative

disputeresolutionmechanisms,also,havetheeffectofinterrupting

prescription. 60 The rules of judicial proceedings and arbitral

proceedings are applicablemutatismutandis to alternative dispute

resolution.

In contrast with the PICC 2004, Arab civil codes do not coverarbitration proceedings and alternative dispute resolution

proceedings.Thereasonforthisstateofaffaircouldbethat,atthe

time Arab civil codes were written, arbitration and other dispute

resolution mechanisms did not take ground on a large scale.61In

57 SeeUNIDROIT,supranote20,atart.10.5(1)(a).58 Ibid,art.10.5(1)(b)&(c).59 Ibid,art.10.6.

60 Ibid,art.10.7.61 SeeCharlesN.Brower&JeremyK.Sharpe,InternationalArbitration

andtheIslamicWorld:TheThirdPhase,97AmericanJournalof

InternationalLaw643,644648(2003)(InmuchoftheArabregion,

arbitrationhaslongbeenviewedwithscepticism,ifnotwithhostility.

InmanyIslamicstates,lawsweresimilarlynonexistentordeficientwith

respecttoenforcementofarbitralawards).SeealsoFaisalKutty,The

ShariaFactorinInternationalCommercialArbitration,28LoyolaofLos

Angelesinternational&ComparativeLawReview565,592(2006)

(alienationanddistrustofarbitrationwerereinforcedbyseveral1960s

internationalarbitrationdecisions).

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sum, the PICC 2004 provides much more comprehensive

interruptionprovisions.

3.7 MiscellaneousProvisionsThereareseveralpointsofdeparturebetweenArabcivilcodesand

the PICC 2004. These points concern pleading of prescription,

renunciation of prescription, retroactive effect of prescription and

accessoryclaims,andmodificationoftheprescriptionperiod.

3.7.1PrescriptionMayBePleadedAtAnyStageoftheProceedings

Arabcivilcodescontainsanarticlewhichdeclares that thepleaof

prescriptionmaybesetupatanystageof thejudicialproceedings

andmayevenbepleadedforthefirsttimeinthecourtofappeal.62Justificationforthisrulecanbebasedonthefactthatprescriptionis

initsnatureaperemptoryexceptionandcanbemadeatanystage

of the proceedings. But a party will not be allowed to plead

liberativeprescriptionwhenthecircumstancesclearlyshowthathe

has renounced thatplea.63There isnocorrespondingarticle in the

PICC2004.

3.7.2TheCourtCannotExOfficioGiveEffecttoPrescription

Considering that the rules of prescription arebased upon public

order, itmightappearatfirstsightthatcourtsoughttobeentitled

to find that a right hadbeen lostby the expiration of the legal

period, although this was not pleadedby the party who would

benefitby the prescription. But further consideration shows that

62 SeeEgyptianCivilCode,art.387;IraqiCivilCode,art.442;Jordanian


art.372;SyrianCivilCode,art.384;UnitedArabEmiratesCivilCode,art.488;andYemeniCivilCode,art.455.TheCourtofCassationin

JordandeclaredthatprescriptioncannotbepleadedbeforetheCourt

forthefirsttime.PrescriptionmustbepleadedfirstbeforetheCourtof

FirstInstanceortheCourtofAppeal,andonlythenitcanbepleaded

beforetheCourtofCassation.SeeCourtofCassation,CaseNo.

456/1994,JournalofJordanianBarAssociation1948(1995).63 SeeEgyptianCivilCode,art.387;IraqiCivilCode,art.442;Jordanian



art.488;andYemeniCivilCode,art.455.

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suchaconclusionwouldbehighlyinequitable.Thedebtormaynot

wishtoevadepayinghisdebtthoughhehasalegalexcuseandthe

lawquiterightlyrespectsthisscruple.Arabcivilcodesprovidethatcourts cannot ex officio give effect to prescription. 64 Liberative

prescriptionextinguishes the obligation if the debtororany other

interested party invokes prescription. A surety or a codebtor, for

example, may plead the prescription. Thebenefit of prescription

existsinfavourofthesepersonseachofwhomhasaproperrightof

hisown,distinctfromtherightoftheprincipaldebtororoftheco

debtorrespectively.

3.7.3RenunciationofPrescription

Arab civil codes contain several articles on the matter of

renunciation of prescription while the PICC 2004 has no

equivalents. Arab civil codes deal more fully with this matter

compared with the PICC 2004. From the outset, it must be

remembered that acknowledgment differs from renunciationboth

in substance and in effect. An acknowledgment interrupts

prescriptionanderadicatesthetimethathasaccrued,sothatanew

prescriptiveperiodbeginstorun.Renunciation,ontheotherhand,

ismadeaftertheprescriptionhasaccrued,andobliteratestheeffect

of the prescription that has accrued. For this reason, the rules

relative to renunciation are more stringent than those relative to

acknowledgment.

AccordingtoArabcivilcodes,noonecanrenouncebyanticipation

hisrighttoclaimbyprescription.65Apersonmayrenouncearight

to claimby prescription after it hasbeen acquired. As hasbeen

explained, the rulesofprescriptionarebaseduponconsiderations

of public policy. It is in the public interest to fix a period withinwhich actions maybebrought and to declare that if no action is

broughtwithin the statedperiodall rights shall thenbedefinitely

determined.Thispurposeof the lawwouldbedefeated ifpersons

64 Ibid.65 SeeEgyptianCivilCode,art.388;IraqiCivilCode,art.443;Jordanian



art.487;andYemeniCivilCode,art.456.

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were allowed to deprive themselvesby agreement of the right to

claim the benefit of prescription. It would become common for

creditorstoinsertconditionsthattheirrightsofactionshouldnotbe

prescribedatall.

Therenunciationofprescriptioniseitherexpressortacit.66Thelaw

doesnotmandatethatrenunciationshallbemadeinanyparticular

form,and, therefore,according to thegeneralprinciples, itmaybe

inferredfromanyconductonthepartofthepersonentitledtoclaim

prescription, which clearly indicates his intention to renounce the

benefitof theprescriptionwhichhasbeenacquired inhis favour.

Butthereisalwaysapresumptionoffactagainstamangratuitously

abandoningaright,and,therefore,thecourtwillnotbeentitledto

find that therehasbeena tacitrenunciationunless this is theonly

reasonable inferencewhichcanbedrawn from the factsproved.If

his conduct, although suggestive of renunciation, is, nevertheless,

reasonably capable of another explanation, he should have the

benefitofthedoubt.

It is not possible to lay down the general rules as to what will

amount to tacit renunciation. The question is one which depends

upon the facts of each particular case. Among the facts to be

consideredwillbethepleadingsintheaction,but,asstatedearlier,thepleaofprescriptiondoesnotneedtobesetupatfirst,andthe

factthatthedefendantfirstpleadsotherdefences,suchasthenon

existence of the debt, does not in itself amount to a tacit

renunciationof theright topleadprescriptionata laterstage.The

debtor may not have known that he was entitled to the plea of

prescription, or he may have had conscientious scruples against

relyingupona technical ruleof lawso longashe thought thathe

might succeeduponothergrounds.67Atany rates, the facts relied

66 SeeJordanianCivilCode,art.464;andUnitedArabEmiratesCivil

Code,art.488.67 Thefollowingareexamplesoffactsfromwhichtacitrenunciationmay

beinferred.Thepaymentofadebt,whichisprescribed,raisesastrong

presumptionofrenunciationoftheprescription.Additionally,a

paymentonaccountisatacitrenunciationofprescriptionofthewhole

debt,unlessthedebtordeclaresatthesametimethatheonlyadmits

liabilitytotheextentoftheamount,whichhepays.An

acknowledgmentoftheliability,apromisetopaythedebt,arequestto

beallowedtime,thegivingorofferingofasecurity,aclaimthatthe

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upon must be subsequent to the date when prescription was

acquired, for, otherwise, they wouldbe unavailing. They might

amount toarenunciationof theperiodofprescription,whichhadalreadyrun,butnomore.

Renunciationisthevoluntaryabandonmentofaright,andaperson

cannotrenouncearightunlessheknowsthatitexists.68However,it

doesnotfollowfromthisthatadebtorwhohaspaidadebtagainst

whichhemighthavepleadedprescription,canrecoverwhathehas

paid by proving that he was ignorant of his right to claim

prescription. The debtor has made a voluntary payment in

dischargeof

an

obligation,

and

what

the

creditor

has

received

was

legallydue tohim.Thedebtwasnotextinguished ipsojureby the

lapseoftheprescriptiveperiod;itmighthavebeenextinguished if

thedebtorhadinvokedprescription,butashedidnotdoso,there

wasa subsistingdebt,notanaturaldebtbutacivildebt,and the

paymentaccordinglywasnotacaseofpaymentofsomethingnot

due,norwasitapaymentinerrorofanaturalobligation.Theright

ofrepetition,therefore,doesnotexist.

Renunciation of prescription is a unilateral act which does not

requireacceptancetobeeffective.Fromthisprincipleitfollowsthatthe renunciation of the claim does not constitute alienation.

Althoughtherenunciationisnot,strictlyspeaking,analienation,it

isadangerousact.Ifitdoesnotmakethepersonpoorer,itprevents

himfrombecomingricher,ashewouldhavebeenifhehadavailed

himselfofhisrighttoclaimtheprescription.Accordingly,theright

to renounce isgivenonly topersonshavingcapacity toalienate.69

So, in Arab law, minors and interdicted persons, or their tutors

actingalone,cannotrenounceaprescription.The renunciation of liberative prescription does not have effect

against the creditors of a personboundby an obligation, if such

debthasbeenpaidbycompensation,anagreementtosubmittoa

compromise,arefactsfromwhichrenunciationwillinferredunlessthe

debtorreservedhisrights.68 SeeJordanianCivilCode,art.463.

69 Ibid.

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105

renunciation hasbeen made to prejudice their rights.70There is a

question which may arise in regard to the right of creditors. Do

creditorsneedtoprovethattherenunciationbytheirdebtorwasin

fraud of their rights? Or is it sufficient to prove that therenunciation was to their prejudice? The renunciation of

prescriptionisaspecialkindofabandonmentofarightastowhich

the creditors must prove both facts, viz., that it was to their

prejudice, and that it was in fraud of their rights. If the debtor

renouncesthebenefitingoodfaithandhonestly,hiscreditorshave

noremedy.However,accordingtoArablaw,creditorsdonotneed

toprovefraud,buttheymustprovethattherenunciationcauseda

prejudice. It will generallybe easy for them to prove prejudice

ratherthanfraud.

3.7.4RetroactiveEffectofPrescriptionandAccessoryClaims

Prescriptionrulesareremedial innatureandassucharegenerally

accorded retroactiveapplication.Arab lawspresume that thedebt

was discharged at the date when prescriptionbegan to run. The

presumptionofretroactivityisjudiciallycreated;itisnotbasedona

legislative provisions. Indeed, retroactivity seems contrary to the

rule which provides that no legal provision has retroactive

application unless it is expressly so stated. 71 At any rate,

prescription has a retroactive effect in favour of the persons

benefitedbytheexpirationofaprescriptiveperiod.

Furthermore,inthecaseofliberativeprescription,thedebtorisnot

onlyfreedfromtheobligationtopaythecapitalsumbutalsofrom

that to pay the interest, and other claims of an accessory nature,

whichhadbeen running.72Thisprovision isbasedon the fact that

thepolicyobjectivespursuedby the lawofprescriptionwouldbe

underminedif

the

creditor

could

still

demand

payment

of

interest

70 Ibid.71 SeeElEhwany&Ibrahim,supranote2,at2527.72 Thenonhearingofthecaseforarightduetoprescriptionshallresultin

thenonhearingofacaseforitsaccessorieseveniftheperiodof

prescriptionprecludingthehearingofthecasefortheseaccessoriesbe

notcomplete.SeeEgyptianCivilCode,art.386;IraqiCivilCode,art.

441;JordanianCivilCode,art.462;KuwaitiCivilCode,art.451;

MoroccanCivilCode,art.376;SyrianCivilCode,art.383;andUnited

ArabEmiratesCivilCode,art.486.

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106

andanyotheraccessoryorancillaryclaims thatmayhavebecome

dueonaclaimforwhichtheperiodofprescriptionhasrunout;for

thedebtor, inorder todefendhimself,might thenbe forced togointothemeritsoftheprincipalclaimitself.

There is no corresponding article to accessory claims in the PICC

2004. However, the PICC 2004 deal with the prescription of

accessory claims in the commentary on article 10.2.73There is no

obvious reasonas towhy thedraftsmenof thePICC2004didnot

writeaspecificandseparateprovisiononaccessoryclaims.

3.7.5ModificationofthePrescriptionPeriod

Modification of the legal period of prescription is expressly

prohibitedby Arab civil codes.74As such, an agreement that the

right of action shall prescribe in ten years instead of fifteen years

willbenullandvoid.Theprohibitionagainstmodifyingtheperiod

of prescription extends toprolongation as well asabridgement of

theperiod.

TheprovisionsoftheArabcivilcodes,whichlaydowntheperiods

of prescription, are undoubtedly based upon public policy. But

althoughpublicpolicyrequiresthattherightofactionshallexpirewithin a certain period, it is not equally clear that public policy

requires thatacreditorshallenjoyarightofaction for thenormal

period. If the creditor chooses to agree that unless hebrings his

action within a certain period, which is shorter than the delay to

whichhewouldotherwisebeentitled,thereisnothinginthiswhich

is contrary to public policy. There are certain cases in which an

agreementtoprolongtheprescriptiveperiodoughttobesustained.

Ifacontractor, forexample,agrees that insteadofbeing liable for

ten years he will be liable for twenty years for defects in the

building,thisissurelyintheinterestofpublicpolicy.

ThePICC2004isnotthesameasArablaws.ThePICC2004hasan

express declaration allowing modification of the prescription

73 UNIDROIT,PrinciplesOfInternationalCommercialContracts320322(2004).

74 SeeJordanianCivilCode,art.463.SeealsoCourtofCassation,CaseNo.

182/1984,JournalofJordanianBarAssociation1380(1984).

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107

period.75Parties can agree to extend the prescription period to a

maximum of fifteen years. 76 In other word, it is permissible to

extend theperiodofprescriptionprovided that itdoesnotexceed

the maximum limit set as fifteen years. Parties can also agree toshorten the prescription period to no less than one year or four

years. 77 These limitations on the maximum prolongation and

minimum abridgement provide parameters within which parties

canmanoeuvre.Arabcivilcodesshould follow theexampleof the

PICC2004insettingparametersforprolongationandabridgement

instead of outright prohibition. By setting such parameters, Arab

civilcodesgrantfreedomtothepartiesifthereisanyreasontogive

longerorshorterdelayandbythesametokenthecodesachievethe

publicpolicygoalsintended.

4 ConclusionTheconceptofprescriptionhadbeenrecognisedbystatutesinArab

countries.Partiescannotcontractoutofthisbydenyingthelapseof

aperiodof time.Courtswould invalidatesuchaprovisionon the

groundsthatitcontravenespublicpolicy.Also,thePICC2004rules

recognised prescription as a mode of extinguishing an action to

enforceaclaimofright.Asamatteroffact,prescription(chapter10)

hasbeenaddedtotheexistingchaptersoftheUNIDROITPrinciples1994.

As faras thegeneralprinciples contained inArabcivil codesand

the PICC 2004 are concerned, there is a considerable degree of

similarity.Forexample,theprescriptionrulesofboththePICC2004

and the civil codes ofArab countriesare foundedupon the same

considerations of public policy. Sometimes the same concept is

implementedbymeansofadifferenttechnique.Someprovisionsin

thePICC

2004

find

equivalents

in

Arab

civil

codes;

and

even

where

therearedifferencestheyare,predominantly,ofatechnicalnature.

For instance, the PICC2004 employs the term limitationperiods

while Arab civil codes generally use the term prescription. The

differenceinterminologyispracticallyirrelevant.

75 SeeUNIDROIT,supranote20,atart.10.3(1).76 Ibid,art.10.3(2)(c).

77 Ibid,art.10.3(2)(a)&(b).

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108

Arabcivilcodescover thegeneral lawofcontractandobligations

while the PICC 2004 relate only to commercial contracts.Considering their different natures, thus herein lies significantdifferences between the two instruments. Depending on the

transactiongivingrisetotheclaim,aclaim inArabcivilcodescan

bebarred after anywherebetween one and fifteen years. On the

other hand, prescription periods in the PICC 2004 run between

threeyearsandtenyears.Inaddition,thewayprescriptioninArab

civilcodesrunsissimplerthanthePICC2004.Arabcivilcodesdo

notindulgeinthediscussionwhetherthecreditorhasknowledgeor

not of his right.The start of theprescription period is not tied to

discoverabilityby the creditor. Moreover, the rules of Arab civilcodes concerning cases of suspension are different. For example,

when compared with the PICC 2004, Arab civil codes do not

addressdeathasacauseofsuspension.

ThePICC2004hasnoprovisionscorrespondingtotheprovisionsin

Arab civil codes which relate to pleading and renunciation of

prescription. The PICC 2004 is not the same as Arab laws

concerning modification of the prescription period. In an express

manner,the

PICC

2004

permits

modification

of

the

prescription

period. On the other hand, Arab civil codes prohibit such a

modification.

Thepurposeofthecomparativeexercisedoneinthisarticlewasto

providefeedbackastowhereprescriptionrulesfoundinArabcivil

codesstandincomparisonwithrecentandimportantinternational

legal instruments. As explained earlier, Arab civil codes and the

PICC2004wrestlewith thesameconcept,prescription, inmoreor

lessthesameterms.However,thevalueofstudyingthePICC2004

alongwithArabcivilcodeswasevengreaterbecausetheydodiffer.

Whenoneconfrontsasolutiontoalegalissue,hehasatendencyto

assume it is the right one. However, when he is confronted with

two solutions, he finds that these two solutions can complement

eachother.

Certainprescriptionprovisions inArabcivilcodesareunclearand

antiquated. It isnotproposedhere thatprescription laws inArabcountries be the same as in the PICC 2004. Rather, the law of

prescriptionin

the

PICC

2004

can

act

as

areference

for

Arab

civil

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codes. Forexample, onematter that requires change inArab civil

codes is the multiplicity of prescription periods. Arab civil codes

canadoptthesingleperiodsystemfoundinthePICC2004.Thelaw

shouldbe clarified with respect to the durationof interruption ofprescription while an action is pendingbefore the court. Besides

judicial proceedings, arbitral proceedings and other alternative

dispute resolution mechanisms should have the effect of

interrupting prescription. Moreover, Arab civil codes could be

modified to provide flexibilityby permitting modification of the

prescription periodby the agreement of the creditor and debtor.

Therevisionsaddressthedemandsofamodernsocietywithvastly

improvedmeansof communications.Arabcountries can reconcile

between their civil codes and more recent international legalinstruments,suchasthePICC2004,withoutjeopardisingtheirown

traditionsandvalues.


Prescription in Arab Civill Codes and the Unidroit Principles Of

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