Invalidity of Contract

Invalidity Theory: According to some authors in the doctrine and the Swiss Federal Court (Picasso decision of 1988), the contract is invalid for both parties in case of disability. The right to assert this invalidity belongs only to the injured party. If the injured party does not claim this invalidity within 1 year or gives permission to the contract, the contract is considered invalid from the first moment it is made.

Cancellation Theory: According to this, in case of disability, the contract is valid from the beginning. But his will
If the injured party exercises its right of cancellation, the contract will be deemed invalid from the moment it was first made. If the party whose will is injured does not use its right of cancellation within 1 year, it will not be able to use this right again.

Partial Invalidity: According to this view, in case of disability of will, the will of the contract does not bind the injured person. The other party is bound by contract. Again, the right to cancel the contract must be exercised within 1 year. Otherwise, at the end of 1 year, the will will not bind the injured party.

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