Conceptual Compensation In The Egyptian Civil Code

The Egyptian Civil Code (the "ECC") stipulated compensation as an alternative way of performing contractual obligations, namely in both cases of delay or non-performance (the "Breach") of such obligations.

The general rules of contractual compensation, according to the ECC, is that it may be claimed after the debtor is legally summoned by the creditor to perform his contractual obligations. The compensation then shall be determined by Judge, equivalent to the harm affected the creditor. Harm here refers to the physical harm, which includes the incurred loss and the missed profits that the debtor should have expected at the time of the contract's creation; in addition to any emotional harm that affects the creditor from the debtor's Breach of obligations.