The Duty of Good Faith Taken to a New Level: An Analysis of Disloyal Behavior

Journal of Civil Law Studies, Vol. 9, No. 1, 2016

42 Pages Posted: 22 Jun 2017

See all articles by Thiago Sombra

Thiago Sombra

University of Brasília (UnB)

Date Written: October 28, 2016

Abstract

By focusing on improving the role of certain mechanisms for controlling private autonomy under a crisis of liberal values, contract law has reached an objective and straight dimension. The prohibition of disloyal or inconsistent behavior, also known as venire contra factum proprium in Roman Law, constitutes one of the concepts that is renowned for protecting the trust relationship. The prohibition of disloyal behavior lies in avoiding contradictory behaviors regarding previous manifestations of will that are based on good faith and that can cause damages. This article aims to challenge the main reason why disloyal behavior should be limited by good faith in order to promote the legitimate expectations of contractual relationships. This paper first seeks to explain the concepts related to the limits of disloyal behavior in relation to the grounded theory of contracts. It then develops a model in which the theory might be invoked to rectify contradictory conduct. Finally, some cases heard before the Brazilian Federal Supreme Court and Superior Court of Justice are analyzed to demonstrate how good faith can also improve contractual due performance in comparative law.

Keywords: Disloyal behavior, Trust, Good faith, Contract law, Contradicting one's own act, Due performance, Damages, Loyalty

JEL Classification: K10; K23; K15; K32

Suggested Citation

Sombra, Thiago, The Duty of Good Faith Taken to a New Level: An Analysis of Disloyal Behavior (October 28, 2016). Journal of Civil Law Studies, Vol. 9, No. 1, 2016, Available at SSRN: https://ssrn.com/abstract=2964320

Thiago Sombra (Contact Author)

University of Brasília (UnB) ( email )

Campus Universitário Darcy Ribeiro
Asa Norte
Brasília, Distrito Federal 70910-900
Brazil
+556131070724 (Phone)

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