Civil Transactions Law (contracts dated before 1 June 2026) · Federal Law 5 of 1985
Article 296
Section 4: The construction of contracts > Chapter Three: Acts causing harm
This law is repealed. The article applies to contracts dated before 1 June 2026; later contracts fall under the 2025 Civil Transactions Law.
English translation
Any condition purporting to provide exemption from liability for a harmful act shall be void.
Official translation, as published by the portal.
Official Arabic text
يقع باطلاً كل شرط يقضي بالإعفاء من المسؤولية المترتبة على الفعل الضار.
What it means when you sign
This article makes void any condition that aims to exempt a person from liability arising from a harmful act. It is a single short rule: such a condition has no effect.
When you are about to sign a contract, this article means that a clause saying one party will not be responsible for harm it causes may be void. That includes broad exclusions such as a statement that a party accepts no liability for any damage, loss or injury arising from its acts. The article speaks of liability arising from a harmful act, so the clauses to look at are the exclusion of liability, disclaimer and indemnity clauses, and wording like not responsible for any loss. A clause that tries to remove responsibility for harm caused by one's own act may run into this article, whatever heading it appears under in the contract. It is worth reading these clauses closely, since the contract may still contain them even though they may have no effect.
In Fahm reports this article usually sits under: Risky commercial terms
Related articles
- Article 295This article is about how compensation for a harmful act is set.
- Article 297This article explains the relationship between civil liability and criminal liability.
- Article 106Cited in Fahm reportsThis article says that a person who uses a right in an unlawful way is held liable for it.
- Article 264This article is a single short rule: what is known and accepted as the custom between merchants is treated as if it had been stated as a condition between them.
- Article 265Cited in Fahm reportsThis article sets out how a contract is interpreted.
- Article 266Cited in Fahm reportsThis article has two parts.