Section 36 of the Nordic Contract Acts and its Effects on Nordic Contract Law

Abstract

The shift of paradigm initiated by Sec. 36 of the Nordic Contracts Act 

In the mid-1970’s, an important legislative change took place in the Nordic countries: Denmark (1975), Sweden (1976), Finland (1982), Norway (1983), and Iceland (1986) enacted similar provisions in Sec. 36 of their Contracts Acts. Under this new provision agreements or other legal dispositions may be modified or set aside, in whole or in part, if their enforcement would be “unreasonable or contrary to fair dealing”.