Freedom of Contract in General

The Finnish legal system is based on the principle of freedom of contract. Freedom of contract is a prerequisite for sound competition and business. It entails the right to enter into a contract with anyone, decide on the content of the contract and choose the form of the contract.

The freedom of contract principle also leads to a principle, according to which the primary source of law, when examining the legal relationship between the parties, is the contract itself. The primary solution to any issues is therefore found in the contract and not in e.g. legislation. For this reason, it is important to draft the contract carefully.

Freedom of contract is, however, subject to exceptions, e.g. with regard to labour law and consumer sales. There are lots of mandatory provisions so that no exceptions to the provisions may be made by agreement with prejudice to an employee or a consumer. Also in real estate deal [Sale and Other Assignment of Real Estate] there are mandatory provisions, which require e.g. written form and a certificate of notary public.