Illegality and Immorality in Contracts: Towards European Principles

Abstract

This paper discusses the provisions on immorality and illegality of contracts in the Draft Common Frame of Reference (DCFR). After a sketch of the development of the relevant preceding rules contained in the Principles of European Contract Law (PECL), the paper addresses the infringement of fundamental principles and mandatory rules in light of Article II.-7:302 DCFR. It is then discussed to what extent the PECL and DCFR may serve as a model for the further harmonisation of the topic, possibly in a European Civil Code.

Keywords: European private law, contract law, European civil code, illegality, immorality