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Issuer: Riigikogu Type: act In force from: 01.01.2022 In force until: 27.05.2022 Translation published: 08.01.2022 1 Law of Obligations Act Passed 26.09.2001 RT I 2001, 81, 487 Entry into force 01.07.2002 Amended by the following acts Passed Published Entry into force 05.06.2002 RT I 2002, 53, 336 01.07.2002, in part 01.09.2002, 01.01.2003 and 01.07.2003 consolidated text on paper RT RT I 2002, 60, 374 19.11.2003 RT I 2003, 78, 523 27.12.2003 11.02.2004 RT I 2004, 13, 86 15.04.2004 22.04.2004 RT I 2004, 37, 255 01.05.2004 20.10.2004 RT I 2004, 75, 522 10.11.2004 08.12.2004 RT I 2004, 87, 593 01.01.2005 08.12.2004 RT I 2004, 90, 616 01.01.2005 15.06.2005 RT I 2005, 39, 308 01.01.2006 19.10.2005 RT I 2005, 61, 473 01.01.2006 11.10.2007 RT I 2007, 56, 375 12.12.2007 19.11.2008 RT I 2008, 54, 304 27.12.2008 10.12.2008 RT I 2008, 59, 330 01.01.2009 25.02.2009 RT I 2009, 18, 108 01.05.2009 18.11.2009 RT I 2009, 60, 395 01.07.2010 17.12.2009 RT I 2010, 2, 3 22.01.2010 28.01.2010 RT I 2010, 7, 30 26.02.2010 22.04.2010 RT I 2010, 22, 108 01.01.2011 , enters into force on the date which has been determined in the Decision of the Council of the European Union regarding the abrogation of the derogation established in respect of the Republic of Estonia on the basis provided for in Article 140 (2) of the Treaty on the Functioning of the European Union, Council Decision 2010/416/EU of 13.07.2010 (OJ L 196, 28.07.2010, pp. 24-26). 30.09.2010 RT I 2010, 77, 590 23.02.2011, in part 01.07.2011 17.11.2010 RT I, 06.12.2010, 1 05.04.2011 25.11.2010 RT I, 21.12.2010, 1 31.12.2010 12.01.2011 RT I, 04.02.2011, 1 05.04.2011 20.01.2011 RT I, 04.02.2011, 2 23.02.2011, in part 05.04.2011 and 01.07.2011 09.06.2011 RT I, 29.06.2011, 1 30.06.2011 16.06.2011 RT I, 08.07.2011, 6 18.07.2011 14.11.2012 RT I, 03.12.2012, 1 01.05.2013 20.03.2013 RT I, 05.04.2013, 1 15.04.2013 23.05.2013 RT I, 11.06.2013, 3 01.07.2013 15.11.2013 RT I, 29.11.2013, 1 09.12.2013 Law of Obligations Act Page 1 / 289 12.12.2013 RT I, 31.12.2013, 1 13.06.2014, in part 10.01.2014; the word "vendor" in Chapter 20 of the Act, is substituted by the word "trader" in the appropriate case form 26.03.2014 RT I, 11.04.2014, 1 01.10.2014 19.06.2014 RT I, 29.06.2014, 109 01.07.2014, the titles of ministers replaced on the basis of subsection 107³ (4) of the Government of the Republic Act. 18.02.2015 RT I, 11.03.2015, 1 01.10.2015 18.02.2015 RT I, 12.03.2015, 5 01.07.2015 18.02.2015 RT I, 23.03.2015, 2 01.10.2015 18.02.2015 RT I, 23.03.2015, 3 01.07.2015 10.06.2015 RT I, 07.07.2015, 1 01.01.2016 23.02.2016 RT I, 11.03.2016, 1 21.03.2016, in part 01.07.2016 14.12.2016 RT I, 31.12.2016, 1 10.01.2017, in part 31.10.2018, nine months after entry into force of the implementing regulation of the European Commission (OJ L 6, 11.01.2018, p. 3-25)) specified in Article 3(4) of Directive 2014/92/EU of the European Parliament and of the Council on the comparability of fees related to payment accounts, payment account switching and access to payment accounts with basic features (OJ L 257, 28.08.2014, p. 214-246). 08.02.2017 RT I, 22.02.2017, 1 01.01.2018 14.06.2017 RT I, 01.07.2017, 1 01.09.2017 26.10.2017 RT I, 17.11.2017, 2 27.11.2017 26.10.2017 RT I, 17.11.2017, 3 23.02.2018, in part 03.01.2018. Entry into force 23.02.2018 - changed: enters into force on the date of implementation of Directive (EL) 2016/97 of the European Parliament and of the Council on insurance distribution (recast) (OJ L 26, 2.2.2016, p. 19–59) [RT I, 30.12.2017, 3] – Directive (EU) 2018/411 of the European Parliament and of the Council of 14 March 2018 amending Directive (EU) 2016/97 as regards the date of application of Member States' transposition measures (OJ L 76, 19.3.2018, p. 28-29) – 01.10.2018 15.11.2017 RT I, 07.12.2017, 1 13.01.2018, in part 14.09.2019, i.e. 18 months after the entry into force of the Commission Implementing Regulation specified in Article 98 of Directive 2015/2366/EU of the European Parliament and of the Council on payment services in the internal market, amending Directives 2002/65/EC, 2009/110/EC and 2013/36/EU and Regulation (EU) No 1093/2010, and repealing Directive 2007/64/ EC (OJ L 337, 23.12.2015, p. 35-127).] Commission Delegated Regulation (EU) 2018/389, of 27 November 2017, supplementing Directive (EU) 2015/2366 of the European Parliament and of the Council with regard to regulatory technical standards for strong customer authentication and common and secure open standards Page 2 / 289 Law of Obligations Act of communication, published in the Official Journal of the European Union on 13 March 2018 and entered into force on 14 March 2018. 06.12.2017 RT I, 28.12.2017, 3 01.07.2018 13.12.2017 RT I, 30.12.2017, 3 03.01.2018 30.01.2019 RT I, 20.02.2019, 2 02.03.2019 13.11.2019 RT I, 04.12.2019, 1 14.12.2019 18.12.2019 RT I, 08.01.2020, 1 17.01.2020 16.12.2020 RT I, 04.01.2021, 2 14.01.2021 14.09.2021 RT I, 21.09.2021, 4 01.11.2021 10.11.2021 RT I, 24.11.2021, 1 01.01.2022, in part 28.05.2022 24.11.2021 RT I, 08.12.2021, 2 01.01.2022 Part 1 GENERAL PART Chapter 1 GENERAL PROVISIONS § 1. Application of Act (1) The provisions of the General Part of this Act apply to all contracts specified in this Act or other Acts, including employment contracts and other multilateral transactions, contracts which are not regulated by law but are not in conflict with the content and spirit of the law, and obligations which do not arise from a contract. (2) If a contract has the characteristics of two or more types of contract provided by law, the provisions of law concerning such types of contract apply simultaneously, except provisions which cannot apply simultaneously or the application of which would be contrary to the nature or purpose of the contract. (3) The provisions of this Act concerning contracts apply to contracts entered into by more than two parties (multilateral contract) unless they are contrary to the nature or purpose of the contract. (4) The law may prescribe that specific rules apply to contracts or other obligations in the case a consumer or a trader is a party to an obligation. [RT I, 31.12.2013, 1 – entry into force 13.06.2014] (5) For the purposes of this Act, a consumer is a natural person who concludes a transaction not related to independent economic or professional activities. [RT I, 31.12.2013, 1 – entry into force 13.06.2014] (6) For the purposes of this Act, a trader is a person, including a legal person in public law, who concludes a transaction which is related to independent economic or professional activities. [RT I, 31.12.2013, 1 – entry into force 13.06.2014] § 2. Definition of obligation (1) An obligation is a legal relationship which gives rise to the obligation of one person (obligated person or obligor) to perform an act or omission (perform an obligation) for the benefit of another person (entitled person or obligee), and to the right of the obligee to demand that the obligor perform the obligation. (2) The nature of an obligation may oblige the parties to the obligation to take the other party’s rights and interests into account in a certain manner. An obligation may also be confined thereto. § 3. Bases for obligation An obligation may arise from: 1) a contract; 2) unlawful damage; 3) unjustified enrichment; Law of Obligations Act Page 3 / 289 4) negotiorum gestio; 5) a public promise to pay; 6) other bases provided by law. § 4. Imperfect obligation (1) An imperfect obligation is an obligation which the obligor may perform but the performance of which cannot be required by the obligee. (2) The following are imperfect obligations: 1) an obligation arising from gambling, except for an obligation arising from gambling or a lottery organised on the basis of a permit; 2) a moral obligation the performance of which complies with public mores; 3) an obligation assumed to secure performance of an imperfect obligation; 4) an obligation which is an imperfect obligation pursuant to law. (3) Anything which has been delivered for an imperfect obligation to be performed shall not be reclaimed. (4) The provisions of law concerning obligations apply to an imperfect obligation unless the application of such provisions is contrary to the nature of the imperfect obligation. [RT I 2004, 75, 522 – entry into force 10.11.2004] § 5. Principle of party autonomy of Act Upon agreement between the parties to an obligation or contract, the parties may derogate from the provisions of this Act unless this Act expressly provides or the nature of a provision indicates that derogation from this Act is not permitted, or unless derogation is contrary to public order or good morals or violates the fundamental rights of a person. § 6. Principle of good faith (1) Obligees and obligors shall act in good faith in their relations with one another. (2) Nothing arising from law, a usage or a transaction shall be applied to an obligation if it is contrary to the principle of good faith. § 7. Principle of reasonableness (1) With regard to an obligation, reasonableness is to be judged by what persons acting in good faith would ordinarily consider to be reasonable in the same situation. (2) In assessing what is reasonable, the nature of the obligation, the purpose of the transaction, the usages and practices in the fields of activity or professions involved and other circumstances shall be taken into account. Chapter 2 CONTRACT Subchapter 1 General Provisions § 8. Definition of contract (1) A contract is a transaction between two or more persons (parties) by which one party undertakes or the parties undertake to perform an act or omission. (2) A contract is binding on the parties. § 9. Entry into Contract (1) A contract is entered into by an offer being made and accepted or by the mutual exchange of declarations of intent in any other manner if it is sufficiently clear that the parties have reached an agreement. (2) Upon acceptance of an offer, the contract is entered into when the acceptance reaches the offeror. In the case of acceptance by an act which is not an express declaration of intent, the contract is entered into as of the offeror becoming aware of the performance of the act unless, by virtue of the offer, practices which the parties have established between themselves or a usage, the contract is deemed to have been entered into as of the performance of the act. Page 4 / 289 Law of Obligations Act
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