Chapter 26. Termination of obligations.

Article 407. Grounds for termination of obligations.
1. An obligation is terminated in full or in part on the grounds provided for by this Code, other laws, other legal acts or an agreement. 2. Termination of an obligation at the request of one of the parties shall be allowed only in cases provided for by law or by contract.

Article 408. Termination of an Obligation by Performance
1. Proper performance shall terminate the obligation. 2. The creditor, accepting performance, is obliged, upon the demand of the debtor, to issue him a receipt in the receipt of the performance in full or in the relevant part. If the debtor has issued a debt document to the creditor to certify the obligation, the creditor, accepting the execution, must return this document, and if it is impossible to return, indicate this in the receipt issued to them. The receipt may be replaced by an inscription on the returned debt document. The finding of a debt document with the debtor shall certify, unless otherwise proved, the termination of the obligation. If the creditor refuses to issue a receipt, return the debt document or mark the receipt of the impossibility of his return, the debtor has the right to delay the execution. In these cases, the lender is considered late.

Article 409. Retreat.
By agreement of the parties, the obligation may be terminated by providing in return for the execution of compensation (payment of money, transfer of property, etc.). The size, terms and procedure for granting compensation shall be established by the parties.

Article 410. Termination of the obligation by offset.
An obligation is terminated in full or in part by offsetting a counter-claim for a homogeneous claim, the term of which has come or the term is not specified or determined by the moment of demand. For the offset is enough statements of one side.

Article 411. Cases of inadmissibility of offsetting.
Not allowed offset requirements: if at the request of the other party the limitation period is applied to the request and this period has expired; about compensation for harm caused to life or health; for the recovery of alimony; about life content; in other cases provided by law or contract.

Article 412. Set off upon assignment of a claim.
In the event of the assignment of the claim, the debtor is entitled to set off against his claim of the new creditor his counterclaim to the original creditor. The offset is made if the claim arose on the basis that existed at the time of receipt by the debtor of the notification of the assignment of the claim, and the period for the claim came before its receipt or this period was not specified or determined by the moment of demand.

Article 413. Termination of the obligation by the coincidence of the debtor and the creditor in one person.
The obligation is terminated by the coincidence of the debtor and the creditor in one person.

Article 414. Termination of Obligation by Novation.
1. An obligation shall be terminated by agreement of the parties to replace the original obligation that existed between them, another obligation between the same persons providing for another object or method of performance (novation). 2. A novation is not allowed in respect of obligations to compensate for harm caused to life or health, and to pay alimony. 3. Novation terminates additional obligations related to the original, unless otherwise provided by agreement of the parties.

Article 415. Forgiveness of a debt.
The obligation shall be terminated by the release by the creditor of the debtor from the obligations lying on it, if this does not violate the rights of other persons with respect to the property of the creditor.

Article 416. Termination of an Obligation by Impossibility of Fulfillment.
1. An obligation is terminated by the impossibility of performance if it is caused by a circumstance for which neither of the parties is responsible. 2. If it is impossible for the debtor to fulfill the obligation caused by the guilty actions of the creditor, the latter shall not have the right to demand the return of the obligation performed by him.

Article 417. Termination of an obligation on the basis of an act of a state body
1. If, as a result of issuing an act of a state body, the fulfillment of an obligation becomes impossible in full or in part, the obligation is terminated in full or in a relevant part. The parties that have incurred losses as a result of this are entitled to claim their compensation in accordance with Articles 13 and 16 of this Code. 2. If the act of the state body on the basis of which the obligation ceases, is recognized invalid in accordance with the established procedure, the obligation is reinstated, unless otherwise follows from the agreement of the parties or the substance of the obligation and the performance has not lost interest for the creditor.

Article 418. Termination of the obligation by the death of a citizen.
1. An obligation shall be terminated by the death of the debtor, if the performance cannot be made without the personal participation of the debtor or the obligation is otherwise inextricably linked to the identity of the debtor. 2. The obligation is terminated by the death of the creditor, if the performance is intended personally for the creditor or the obligation is otherwise inextricably linked with the identity of the creditor.

Article 419. Termination of an Obligation by Liquidation of a Legal Entity
The obligation is terminated by the liquidation of a legal entity (debtor or creditor), unless the law or other legal acts impose the obligation of the liquidated legal entity on another person (on claims for compensation for harm caused to life or health, etc.).

<< Chapter 25 TKRF Back to table of contents Chapter 27 TKRF >>