Economic Balance of The Contract

Abstract

Legal principles play a critical role in the contract's economic balance and the financial cost's stability by respecting the contractors' well as the basis of the contract's binding force, which is essential for the economic balance of the agreement and strength of the economic cost. Nonetheless, this will stand in the way of the involvement of the legislator and the judiciary in the economic imbalance of the contract, which would otherwise interfere in favor of the weak party under the principles of fairness required by the warranty. Moreover, if the economic equilibrium is out of balance, it affects whether or not the contract is carried out. Therefore, the attainment of justice demands compliance with economic balance and compliance with the contractual legal balance under this principle.