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Contract law

Blank debenture as a means of securing a claim

Blank debentures are one of the instruments for securing monetary claims within the legal system of the Republic of Croatia. A blank debenture is a private document issued by the debtor and certified by a notary public, through which the debtor grants permission to the creditor to collect the owed amount in the event of a failure to fulfill obligations arising from the contractual relationship secured by the debenture. Blank debenture – specifics A blank debenture is a private document certified by a notary public through which the debtor consents to the seizure of all their bank accounts for the purpose of...

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Voidance

According to the provisions of the (Croatian) Law on Obligations, the existence of certain defects of will when entering into a contract causes the legal transaction to be null or void. Voidance is a legal institute which, unlike nullity, does not act under the law itself, because it is necessary to determine the existence of a cause of voidance in court proceedings and to demand the annulment of such a contract. However, the contracting parties are left with the possibility to convalesce such a contract (which is deemed voidable) by taking subsequent actions, which is not possible with annulled contracts. Legitimate...

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Liability for construction contract defects

Building contract is actually a service contract whereby a contactor agrees to deliver building work according to the specific project within a certain deadline and a client agrees to pay a certain price in exchange. Each contract needs to include both subject and price. The subject of a building contract is a construction of certain building on the certain land or performance of other building works. Hereby houses, buildings, bridges, water- gates, tunnels, roads, sewage systems etc. are considered buildings. Common trade works where e.g., no change in the apartment structure was carried out, geological-exploration drilling or some isolation works etc....

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Contract for support until death

By a Contract for Support until Death, one party (the support provider) undertakes to support the other party or a third person (the support recipient) until their death, and the other party undertakes, in return, to transfer all or part of their property during their lifetime. The support provider acquires property or rights that are the subject of the Contract for Support until Death when these properties or rights are transferred in accordance with the law provided in the contract. The Contract for Support until Death is a strictly formal contract, which means that it must be concluded in writing and...

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A lifetime support contract

With the lifetime support contract one party (the support provider) commits to support the other party or the third party (the recipient of the support) until his death, and the other party commits to giving all of its property or a part of it - with the acquisition of the property and rights being delayed until the moment of death of the recipient. Concluding a lifetime maintenance contract A lifetime support contract must be drawn up in writing and certified by a judge of the competent court or confirmed (solemnized) by a notary public or drawn up in the form of a...

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Temporary employment agency and posting of agency workers abroad

Temporary Employment Agency The operation of temporary employment agencies in the Republic of Croatia is regulated by the Labor Law. According to Article 44, paragraph 1 of the aforementioned law, a temporary employment agency is an employer who, based on a worker assignment agreement, posts a worker to another employer (the user) for the temporary performance of tasks. The posted worker is an employee whom the agency employs for posting to the user. The agency may carry out worker postings to users provided that it is registered in accordance with special regulations and entered in the records of the ministry responsible for...

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Changes on the side of the debtor

In the context of legal relationships, changing the subject of the obligation on the part of the debtor can be done in several ways. The obligation of a debtor under a contract can be transferred to a third party – by assuming debt, accessing debt, or assuming fulfillment. Debt assignment and assumption agreement By assuming debt, the acquirer takes the place of the previous debtor, and the latter is released from his obligations. The debt is assumed by a contract between the debtor and the acquierer, if the creditor has agreed to it. So, although the parties to the debt assumption contract...

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Means of Acquisition of Ownership in the Republic of Croatia

There are several ways of acquisition of ownership in the Republic of Croatia, namely: by legal act by judicial decision or decision of another competent authority by succession and by law. For the acquisition of ownership, the general requirements prescribed by the Act on Ownership and Other real Rights must be met – that is, the ability of the property to be the object of ownership, the ability of the acquirer to acquire the right of ownership and a valid legal basis for the acquisition.Depending on means of acquisition (movable or immovable property), also some other specific requirements need to be satisfied. Besides earlier mentioned general...

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