Contract Law in Malta

Malta’s Civil Law is based on the Roman legislation and encompasses the most important provisions related to the rights of individuals. Among these, is also the right to enter into various types of contracts. The Maltese civil legislation covers the following types of contracts:

• -          marriage contracts;
• -          services contracts;
• -          quasi-contracts;
• -          general contracts;
• -          contracts of pledge;
• -          contracts related to real estate property.

The Contract Law in Malta is divided into chapters in the Civil Code, each chapter dedicated to a certain type of contract. An interesting fact is that the Maltese contract legislation has a chapter dedicated to gambling contracts. Our lawyers in Malta can offer additional information on the Contract Law.

Agreements under the Maltese Contract Law

According to the Contract Law in Malta, a contract is agreement between at least to parties, individuals or companies, which creates obligations for each parties. Contracts can also be signed in case of dissolution of certain understandings. The contract legislation also stipulates that agreements can be concluded in a written or an oral form, however, nowadays most agreements, especially those concluded between Maltese companies are written.

The Maltese contract legislation is very strict about the mental capacity of individuals of entering agreements, and specifies that a contract becomes invalid if the agreement is concluded with a disabled individual.

Validity of contracts in Malta

The Maltese Contract Law provides for the following elements to attest to the validity of any type of agreement:

• -          the intellectual capacity of the parties;
• -          the consent of the parties entering the agreement;
• -          the fact that the contract must have an object;
• -          the contract does not breach any law.

Contracts in Malta can be subject to various conditions. The law also stipulates that conditions can be different based on when it becomes enforceable. Also, the conditions depend on the type of contract the parties have signed. It must be taken into account that other laws, such as the Commercial or the Employment Law, also contain specific provisions on the contracts related to these areas of the law.

For complete information on the Contract Law, please contact our attorneys in Malta.