Integrating the UNIDROIT Principles of International Commercial Contracts as a source of contract law in Arab Civil Codes

Abstract

© The Author (2017). The UNIDROIT Principles of International Commercial Contracts (PICC) provide a comprehensive set of contract rules that may apply to contract cases irrespective of the legal system; whether it is civil law, common law, Islamic law, or a mixed jurisdiction. In fact, the PICC have had a significant impact on the reform of many contract laws. Most recently, the French Civil Code was amended following many of the principles and rules embodied in the PICC. In this article, I argue that Arab Civil Codes, which mainly follow the French model of codification, may and should utilize the PICC in supplementing the statutory provisions as well as in interpreting them. I also argue that many of the traditional rules of these civil codes should be amended to meet the new developments in modern transactions. I will focus, in particular, on establishing a duty of good faith that is not limited to the performance of the contract but, rather, extends to all phases of the contract: making process, providing for a rule for liability during negotiations, allowing for remedies in cases of detrimental reliance, and interpreting the concept of public order to include principles of international human rights. I will rely on the PICC in introducing these notions to Arab Civil Codes.