DOI: https://doi.org/10.36719/2663-4619/114/171-175
Narmin Sadigova
Baku State University
Master student
https://orcid.org/0009-0003-6860-0264
sadiqovanarmin07@gmail.com
Freedom of Contract and Grounds for its Restriction
Abstract
In modern times, it is almost impossible to regulate civil, commercial, labor, and other similar relations without contracts. In order to establish contracts, which serve as the primary regulatory mechanism for rights and obligations, the law grants legal subjects (natural and legal persons) a fundamental right known as contractual freedom. However, like other rights and freedoms, contractual freedom is not absolute: in certain cases, it is subject to some restrictions and prohibitions. The main objectives of these restrictions are to prevent abuse, protect the weaker party in the contract, ensure public order, maintain stability in civil transactions, and so on. In reality, as seen, these limitations serve to protect the rights and interests of both contracting parties and to safeguard contractual freedom itself. Therefore, if the parties violate the mandatory legal requirements while entering into a contract, courts reviewing disputes between them, typically, deem the contract wholly or partially unlawful and declare it invalid. (An invalid contract does not create any legal consequences). This article analyzes the concept of contractual freedom, its elements, the grounds for its restriction, and the regulation of these issues under Azerbaijani legislation.
Keywords: freedom of contract, the elements of freedom of contract, restrictions, standard terms, balancing freedom and regulation