THE NOTION OF A CONTINUING OBLIGATION RELATIONSHIP

Abstract

The paper deals with the definition of the concept of a continuing obligation relationship (continuing contract). Crucial for this definition is the notion of a continuing obligation, as well as notions of a continuing act of performance and of consecutive acts of performance. Both the notion of a continuing obligation and the distinction between the consecutive obligations and the performance of an obligation in parts or instalments have been discussed in the paper. Moreover, it differentiates between the contracts for successive delivery, where the repeating of single acts of performance and counter performance at certain time intervals represent partial fulfilment of the contractual obligations, and the contracts for continuous delivery, where the obligation of successive deliveries is a continuing obligation, the scope of which depends on the duration of the contractual relationship. Based on the views developed in German, Austrian and Swiss laws, the conclusion has been drawn that it is adequate for the Croatian law to define continuing obligation relationships as obligation relationships, where the typical main obligation is a continuing obligation, that is, an obligation the subject of which is a continuing act of performance or continuous repeating of single acts of performance. The paper points out the typical continuing obligation relationships and their key distinctive features from obligation relationships that are not continuing obligation relationships, which are referred to as simple obligation relationships.