Explanation of Article 524
The article clarified the effect of guardianship on the guardian in terms of his obligations and rights. It determined that the guardian is obligated to preserve the disputed property, manage it, and provide an account of it. He is entitled to claim the agreed-upon fee or a reasonable fee, and he has the right to retain the property until he receives his fee and expenses. He is also entitled to compensation for any damage he suffers due to the disputants' failure to deliver the property to him.
The guardian is obligated to preserve and manage the property with the care of an ordinary person. If the guardian is an expert, he is required to exercise the care of an ordinary person. If he is not an expert, he must exercise the care he would use in preserving his own property.
The guardian is required to provide an account of the guardianship to the disputants at the agreed-upon time or at the time determined by the court. If no agreement is reached, he must provide an account of the guardianship upon the termination of the guardianship contract or upon the request of the disputants.
The guardian is entitled to claim the agreed-upon fee or a reasonable fee if he is paid for the guardianship. If the guardian is not paid for the guardianship, the disputants are not obligated to pay him a fee.
The guardian has the right to retain the property until he receives his fee and expenses. This right is subject to the provisions of Article (404) of the general rules, which require that the right claimed by the guardian be due and that there be no legal impediment to this retention.
The guardian is entitled to compensation for any damage he suffers due to the disputants' failure to deliver the property to him.
For example, if the disputants agree on the guardianship of a property and one of them refuses to deliver the property to the guardian, this disputant is liable for the damage suffered by the guardian as a result, such as the loss of an opportunity, loss of profit, or incurred loss.
What is stated in this article is an application of the general rules in this system and is not of public order; therefore, it is permissible to agree on what contradicts it. It is permissible to agree that the guardian guarantees what is destroyed without negligence or fault on his part or increases his responsibility. It is also permissible to agree to exempt him from liability for his mistake or increase his responsibility, unless it is due to fraud or gross negligence.
If the guardian is an expert, he is required to exercise the care of an ordinary person. If he is not an expert, he must exercise the care he would use in preserving his own property.
What is stated in this article regarding the guardian's obligation to preserve, manage, and return the property with its yield is considered an original obligation arising from the guardianship contract. This obligation differs from the obligation of an agent or a depositary, as each has its own specific rules. The guardian is obligated to execute the guardianship contract according to the agreed-upon terms, the nature of the guardianship contract, and customary practice. What is stated in this section is an application of the general rules in this system and is not of public order; therefore, it is permissible to agree on what contradicts it. It is permissible to agree that the guardian guarantees what is destroyed without negligence or fault on his part or increases his responsibility. It is also permissible to agree to exempt him from liability for his mistake or increase his responsibility, unless it is due to fraud or gross negligence.
If the disputed property requires management, the guardian is obligated to manage it.
Related To
Article 524
A receiver may recover any expenses he incurs in the performance of his task to the extent accepted by custom.