An obligation ceases only if it was tied to the personal characteristics of one of the contracting parties or the personal abilities of the debtor.¹⁹⁷

Each of these ways of terminating an obligation is specifically regulated in the OZ and can affect the rights and obligations of parties in debtor relationships.

It is important for parties to understand their rights and obligations upon the termination of an obligation, ensuring fairness and security in contractual relationships.

Exercise:

A, as a borrower, owes B (the lender) €500. A passes away.

• Has the debtor’s obligation ceased?
• Can B demand that A’s heirs settle the debt?¹⁹⁸