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Pursuant to Article 75 paragraphs 1 & 2 of the Constitution of the Republic of Macedonia,
the President of the Republic of Macedonia and the President of the Assembly of the
Republic of Macedonia issue this
DECREE
FOR PROMULGATION OF
THE LAW ON OBLIGATIONS
The Law on Obligations, adopted by the Assembly of the Republic of Macedonia on its
session held on 20 February 2001, is hereby promulgated.
No. 07-761/1 President of the
20 February 2001 Republic of Macedonia
Skopje Boris Trajkovski
President of the
Assembly of the Republic
of
Macedonia,
Stojan Andov
LAW ON OBLIGATIONS
PART I
BASES OF OBLIGATIONS
(General part)
Chapter I
GENERAL PROVISIONS
Purpose and Contents of the Law
Article 1
This Law shall regulate the bases of obligations, contractual and other types of obligations in the
exchange of goods and services.
Parties of the Obligations
Article 2
Parties of the obligations shall be legal and physical persons.
Freedom to Regulate the Obligations
Article 3
Participants in trade shall freely regulate the obligations in accordance with the Constitution, the
laws and the good customs.
Equality of the Parties of the Obligations
Article 4
The parties in the obligations shall be equal.
The Principle of Consciousness and Honesty
Article5
When establishing obligations and when exercising the rights and obligations arising from those
obligations, the parties shall be bound to abide by the principles of consciousness and honesty.
Prohibition of Abuse of Rights
Article 6
The exercise of a right arising from the obligations which is contrary to the purpose for which it
was established or acknowledged by law, shall be prohibited.
Prohibition to Create and Use a Monopoly
Article 7
When entering into obligations, parties may not establish rights and obligations through which a
monopolistic market position for the benefit of them or for someone else’s benefit shall be created
and used.
Principle of Equal Value of Payment
Article 8
(1) Parties shall base the creating of a two-part contract on the principle of equal value in the mutual
payments.
(2) The cases in which the violations of this principle result in legal consequences are provided by
law.
Prohibition to Cause Damage
Article 9
Each party shall be bound to restrain from action which may cause damage to the other party.
Duty to Perform the Obligations
Article 10
(1) The parties of the obligations shall be bound to perform their obligations and shall be liable for
their performance.
(2) The obligation may be terminated only when agreed so by the parties of the obligation or when
provided so by law.
Behaviour when Performing the Obligations and Exercising the Rights
Article 11
(1) When performing an obligation, the party of the obligations shall be bound to act carefully, as
required in the legal transactions of the kind of obligations involved (carefully as a good
businessman i.e. good host).
(2) When performing an obligation relating to their professional activity, a party of the obligations
shall be bound to act with increased attentiveness, according to the professional rules and customs
(attentiveness of a good expert).
(3) When implementing their rights, a party of the obligations shall be bound to restrain from acts,
which could hinder the performance of the other party's obligation.
Obligations against the Citizens as Consumers and Users of Services
Article 12
In the process of establishing obligations and exercising the rights and obligations resulting from
such obligations, the entities shall be bound (when by performing their business activity, they are
directly providing services to citizens) to regulate and perform their rights and obligations in such a
manner that ensures compliance with the basic rights of consumers and users of services laid down
with this Law, other law and international agreements ratified by the Republic of Macedonia.
Peaceful Resolution of Disputes
Article 13
The parties of the obligations shall endeavor to resolve disputes by conciliation, mediation or in
other peaceful manner.
Self-Regulating Character of the Provisions of this Law
Article 14
Parties may regulate their obligations in a manner different from the one provided for by this Law,
unless otherwise indicated by a certain provision of this Law or from its general meaning.
Application of Fair Trade Customs
Article 15
(1) Parties of the obligations shall be bound to act in the legal trade in accordance with the fair trade
customs.
(2) The customs in trade shall be applicable to obligations when the parties of the obligations have
agreed for such an application, or when the relevant circumstances indicate such intention.
Application of Other Laws
Article 16
Provisions of this Law shall apply to issues of the obligations regulated by other laws, which have
not been regulated by this Law.
Application of Certain Provisions
Article 17
(1) Provisions of this Law applicable to contracts shall be applicable to all types of contracts,
unless it is otherwise explicitly stipulated for commercial contracts.
(2) Commercial contracts within the meaning of this Law shall be contracts signed by trade
companies and other legal persons performing commercial activity, shop owners and other
individuals performing a registered commercial activity, for carrying out the activities whish
represent the subject of their work or are related to those activities.
(3) Provisions of this Law applicable to contracts shall also apply to other legal matters.
Chapter II
CREATION OF OBLIGATIONS
Section 1
CONTRACT
Component 1
1. ENTERING INTO CONTRACT AND MUTUAL ASSENT
When a Contract is Entered Into
Article 18
A contract shall be entered into when the contracting parties have agreed on the essential elements
of the contract.
Compulsory Entering into Contract and Compulsory Content of the Contract
Article 19
(1) When in accordance with the law a party shall be bound to enter into a contract, the other
interested party may request the contract be entered into without delay.
(2) The legal provisions, which, partly or completely, determine the content of the contract, shall
be the constituent parts of those contracts, and they supersede any contrary contract provisions.
Statement of Assent
Article 20
(1) The assent to enter into a contract may be expressed by words, with the usual signs or other
conduct, on the grounds of which one may conclude its existence.
(2) The statement of assent must be made freely and in a serious manner.
Permission and Approval
Article 21
(1) When entering into a contract requires the consent of a third party, such consent may be granted
as permission prior to the entering into a contract, or granted as approval after the entering into a
contract, unless otherwise prescribed by law.
(2) The permission i.e. approval must be given in a form prescribed for the contract it is issued for.
Negotiations
Article 22
(1) Negotiations preceding the entering into a contract shall not be binding and each one of the
parties can cancel them at any time.
(2) The party that negotiated without intending to enter into a contract shall be liable for the
damage incurred in the course of the negotiations.
(3) The party that negotiated with the intention to enter into a contract, but has then canceld that
intention without a justified reason, shall be liable for the damage caused to the other party in the
course of the negotiations.
(4) Unless otherwise agreed, each party shall cover its expenses regarding the preparations to enter
into a contract, and the parties in equal portions shall cover joint expenses.
Time and Place of Entering into Contract
Article 23
(1) A contract shall be deemed as concluded at the moment the when bidder receives the offered
party's statement of acceptance.
(2) A contract shall be deemed to be entered into at the bidder's headquarters i.e. residence at the
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