Contracts Under Qatari Law

Over time a number of customary practices regarding entering into contracts have evolved in Qatar. These practices include such things as initialling or stamping each page of a contract. However, under Qatari law, these practices are not strictly necessary and do not affect the creation of a contract or its enforceability. Entering contracts in Qatar generally is governed by the Civil Code Law No. (22) of 2004 (the "Civil Code").

Form

The Civil Code provides that consent is not required in any specific form for a contract to be concluded, unless otherwise stipulated by law. The Civil Code further provides that the contracting parties are free to agree on a specific form for their contract, and where they have agreed on the specific form, neither party may claim the existence of the contract if it is not in the agreed form without the consent of the other party.

While the purpose of this article is to look at the formalities of entering into contracts, it should be noted that a contract may come into being in the absence of signing a formal written contract. Civil Code Article (65) makes clear for example that willingness to be bound by a contract may be expressed "orally or in writing or by a commonly used sign or by some effective exchange that indicates mutual consent or by adopting any other position in respect of which the circumstances of the situation leave no doubt as to its indication of the true intentions thereof" (unofficial translation).

In some circumstances it may even be possible for silence to be construed as acceptance of a contractual offer. It is therefore important for a party not to do anything that may be construed as willingness unless communication of such willingness is intended. Of course, the reason why parties ordinarily choose to execute an agreement in a formal manner is to manage the timing at which such willingness is communicated – and to minimise evidential issues regarding the existence of such willingness and the subject matter thereof (ie, the rights and obligations under the contract).

Date

The Civil Code provides, that a contract will typically be concluded once an offer is accepted. Although contracting parties have the liberty to agree otherwise (eg, that certain offers will be deemed to be accepted unless specifically rejected), persons entering into a contract are not at liberty to backdate a written contract to a date before the contract has been signed. However, that does not mean that an...