Civil transactions are considered as one of common transactions, which can be established by an agreement between the parties in a specific form. However, when performing such transactions, the parties do not always express their agreement clearly and understandably, leading to many possible disputes. Accordingly, in case the civil transactions content have unclear content and rather unintelligible, what we should do? Readers can refer to the following contents to get a solution when encountering the above situation.
1. Interpretation of civil transactions have unclear content
In cases where a civil transaction is unintelligible and may be understood in different ways, the such transaction must be interpreted in the following order:
- In accordance with the real intention of the parties at the time when the transaction was entered into;
- In a manner consistent with the objective of the transaction;
- In accordance with the customary practice of the place where the transaction was entered into. Practices mean rules of conduct obvious to define the rights and obligations of persons in specific civil relations, forming and repeating over a long time, recognized and applying generally in a region, race, or a community or field of civil.
2. Interpretation of civil transactions for specific cases
Interpretation of contracts
Where a contract contains unclear terms and conditions, the interpretation of such terms and conditions shall be based on the following factors: (i) the wording of the contract; (ii) the mutual intentions of the parties during the process prior to and at the time of establishment and performance of the contract.
- Where the wording of a contract may be interpreted in different ways, such wording shall be interpreted in the way most appropriate to the nature of the contract.
- Where a contract contains a term or wording which is difficult to understand, such term or wording shall be interpreted in accordance with the customary practice of the place where the contract was entered into.
- The terms of the contract must be interpreted in relation to each other so that the meaning of the terms is consistent with the whole content of the contract.
- Where there is a conflict between the mutual intentions of the parties and the wording used in the contract, the mutual intentions of the parties shall be used to interpret the contract.
- Where the party in a powerful position inserts into the contract contents which are disadvantageous to the party in a weak position, the contract shall be interpreted in a manner favoring the party in a weak position.
Interpretation of contents of wills
- Where the contents of a will are unclear and may be interpreted in different ways, the person announcing the will and the heirs must interpret jointly the contents of the will based on the true wishes of the deceased, taking into consideration the relationship of the deceased with the heirs under the will. If such persons fail to agree on the interpretation of the contents of the will, they have the right to request a court for settlement.
- Where part of the contents of a will is not able to be interpreted but the remainder of the will is not affected, only that part which is not able to be interpreted shall not be legally effective.
3. Solutions for the parties to avoid the content of civil transactions have unclear content and may be interpreted in different ways
- It is necessary to determine each party’s intention before establishing a transaction;
- The parties should reach an agreement on the common language;
- The contents should be specific and detailed;
- It is necessary to develop a provision on the interpretation of the transaction when a dispute arises.
Above is the article “Solution in case a civil transaction has unclear or confusing contents”. We hope this article is useful to you.