Legal Interest’s Pivotal Role in Ensuring the Fulfillment of the Obligation

Abstract

The present study aims to highlight the issue of legal interest within the Jordanian legal framework and the extent of its compatibility with human rights considerations. It explores the various sources of legal interest, including the Jordanian Civil Law, the Ottoman Murabaha system, the Central Bank Law, the Jordanian Code of Procedure, and the Jordanian Trade Law. The study examines the absence of an explicit provision on legal interest in the Jordanian Civil Code and emphasizes the need for its inclusion. The study reveals that while legal interest is allowed in principle, there is no explicit provision in the Jordanian Civil Code. The research findings emphasize the need for an explicit provision in the Civil Code to regulate legal interest, granting discretionary authority to the court while ensuring it does not exceed the maximum limit of 9%. This approach would prevent excessive interest charges, promote fairness, and address potential exploitation. The recommendation seeks to organize legal interest provisions in a detailed and precise manner to ensure clarity and protect the rights of the parties involved. The researcher recommends granting discretionary authority to the court to estimate legal interest within the limit of 9%.