CHAPTER 11 CONTRACTS FOR DONATION

Article 185 A donation contract refers to a contract whereby the donator presents gratis its property to the donee, and the donee expresses the acception of the donation.

Article 186 The donator may rescind the donation before transferring of the rights of the donated property.

Where the donation contract is of such nature as for public welfare or moral obligation in providing disaster or poverty relief, or the donation contract is notarized, the provisions of the preceding paragraph shall not be applied.

Article 187 If the donated property needs to go through such formalities as registration according to law, the relevant formalities shall be completed.

Article 188 In case of a donation contract being of such nature as for public welfare or moral obligation in providing disaster or poverty relief, or that the donation contract is notarized, if the donator does not deliver the donated property, the donee may request for the delivery.

Article 189 Where, due to the deliberate intention or gross fault of the donator, destruction or losses are caused to the donated property, the donator shall be liable for damages.

Article 190 The donation may be subject to collateral obligations.

Where the donation is subject to collateral obligations, the donee shall perform the obligations in accordance with the terms of the contract.

Article 191 Where the donated property has defects, the donator shall not bear any liability. In case of a donation subject to collateral obligations, if the donated property has defects, the donator shall bear the same liability as a seller within the limit of the collateral obligations.

Where the donator does not inform of the defects intentionally or insures that there is no defect, thus causing losses to the donee, the donator shall be liable for damages.

Article 192 Where the donee is under any of the following circumstances, the donator may rescind the donation:

(1) seriously infringing upon the donator or his/her close relatives;

(2) not performing the obligation in respect of supporting the donator;

(3) not performing the obligation agreed upon in the donation contract.

The right of the donator to rescission shall be exercised within one year as of the date when he knows or ought to know the rescission reasons.

Article 193 In case of the donee's illegal acts resulting in the death of the donator or the loss of the donator's civil of capacity conduct, the heir or statutory agent of the donator may rescind the donation.

The right to rescission of the heir or statutory agent of the donator shall be exercised within six months as of the date when he knows or ought to know the rescission reasons.

Article 194 Where a person having the right to rescission rescinds the donation, the person may request the donee to return the donated property.

Article 195 Where economic conditions of the donator is strikingly deteriorating, which seriously affects his/her production and business operations or the family life, the donator may no longer perform the donation obligation.