Review article

Duty of care in fulfilling obligations

Mladen Pavlović ; Sud časti pri HGK

Abstract

In creating contractual obligations and the rights emerging from these relations, those involved in Croatia often behave as if those principles apply to someone else and not to them. Such irresponsible behaviour gives rise to many legal consequences which do not only affect the participants, but also the whole of society which in turn causes many harmful consequences.
This paper analyses some of the fundamental principles applicable which are mutually correlated regarding their application to the contractual obligations in which people participate of their own accord. Those principles, as regarded by some, are not only a domestic product, but have arisen from international commercial theories and practices and the necessity of their strict application for the regular transactions of goods and provision of services amongst partners.
It is necessary to adhere to the principles of conscionability and good faith as the fundamental and most important principles in legal transactions. The duty to fulfil obligations, as have been contracted, is the basic presumption for mutual trust and further cooperation amongst partners. Furthermore, duty of care with which the implementation of such tasks is approached must be appropriate given the type of contractual relations and, in particular, given the profession which is exercised in certain activities. Therefore, professional principles of certain professions must not be overlooked, neither should the legal customs and practices that participants have developed, and the application of which is loaded with legal presumptions. Without such behaviour there is neither security nor prosperity in domestic or international business transactions.
Furthermore, conscionability and integrity in creating and fulfilling obligations, duty to fulfil obligations and legal consequences for failing to do so and adequate duty of care in legal transactions with an emphasis on the application of principles of the profession, customs, that is, commercial customs and practices which participants have developed in contractual relations to date, with special examples from court practice, are also all analysed.

Keywords

conscionability and integrity; fulfilling obligations; duty of care in fulfilling obligations; professional principles; customs; commercial customs and internal practices

Hrčak ID:

124137

URI

https://hrcak.srce.hr/124137

Publication date:

27.6.2014.

Article data in other languages: croatian

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