مجلة تطوير العلوم الاجتماعية
Volume 18, Numéro 1, Pages 206-216
2025-12-25

The Penalty Clause In Civil Law Between The Autonomy Of Will And The Judge’s Authority To Modify The Contract

Authors : Amriou Djaouida .

Abstract

The penalty clause is a tool to determine the compensation between the parties in the event of a breach of contract. The research aims to clarify the judge's authority to modify or cancel the penalty clause to strike a balance between respecting the will of the parties and protecting contractual fairness. We found that the judge's authority to increase the penalty clause should not be limited to the case of fraud or gross error, but should be extended to the case of trivial error. We also concluded that an objective criterion should be established to determine the judge's intervention in determining the penalty clause.

Keywords

penalty clause ; contractual compensation ; autonomy of will ; judge’s authority ; contractual equilibrium