Set-off as a way of ending obligations

Abstract

In this work the authors analyzed set-off as one of the most common and most significant way of ending obligations in our legal system. The most important and in practice the most common way of ending obligations is their fulfillment. However, in contemporary times, which are characterized by great development and growing complexity of economic relations, it often happens that two parties at the same time have both debts and claims against each other, while difficulties in a form of economic crisis and lack of available money often makes fulfilling of obligation difficult and sometimes even impossible, so setoff imposes itself as an important and common way of ending obligations. These are the reasons why we are analyzing set-off in this paper, with the special emphasis on the prerequisites for its occurrence, its effect, forms of set-off, and also cases in which set-off is excluded, all together supported with examples from a case law.

Keywords

• obligations
• ending
• claim
• reciprocity
• case law