Restoring the financial balance of administrative contracts in light of the current global crisis

Abstract

Administrative contracts play a significant role in the economic and administrative life of the state due to their impact on the interests of individuals, both public and private. The recognition of the administration's authority to amend the terms of the contract and to increase or decrease the obligations of the contractor by its unilateral will must be matched by a corresponding right for the contractors, which is to grant them financial rights equal to the increase in their obligations. Justice necessitates that there be a balance between the burdens borne by the contractor with the administration and the benefits they receive, a concept referred to as "the financial balance of the contract." The importance of this balance emerges during the contract formation stage or during its execution to combat the imbalance that leads to serious damages, including harm to contractual justice and the risk of contract termination, resulting in instability in transactions within the state. Therefore, the issue of restoring the financial balance of the disrupted contract has become a necessity that strongly imposes itself in our current society, which is characterized by inequality between the parties to the contract due to the prevailing

economic and social conditions in Libya.