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Asta Dambrauskaitė

Abstract

The article analyzes the position of contract law in various European countries in regard to the cases of simulated contracts. By concluding such contracts, parties either do not wish to create any legal effects or they prefer to hide the real pursued effects under the apparent contract. Although the term “simulation” is not used in the Civil Code of the Republic of Lithuania, the conclusion is made that Lithuanian law recognises the classical concept of simulation that is recognised by the traditions of continental law. Simulation under Lithuanian civil law comprises cases of purely fictitious juridical acts, situations where the apparent contract hides another agreement, as well as cases of apparent contracts concluded with a fictitious party (“straw man” cases).

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Section
Articles