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Intel

Case Summary: Supreme Court (Civil Circuit) Contestation 698/2017 (Enforceability of Penalty Clauses in Void Contracts)

The Supreme Court ruled that a contract of sale entered into through fraud and deception using an expired power of attorney is void. Consequently, any penalty clause contained within such a void contract is unenforceable and lacks legal basis. The victim of fraud cannot seek to enforce the terms of a void contract, particularly when the wrongdoer has already been criminally penalised.


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