^{page 525 note 1} 27 L.S.I. 117: Performance in good faith. 39. An obligation or right arising out of a contract shall be fulfilled or exercised in customary manner and in good faith.

Scope of application. 61. (a) The provisions of this Law shall apply where no other application. Law contains special provisions regarding the matter in question.

(b) The provisions of this Law shall, as far as appropriate and mutatis mutandis, apply also to legal acts other than contracts and to obligations not arising out of a contract.

^{page 525 note 2} Negotiation in good faith. 12. (a) In negotiating a contract, a person shall act in customary manner and in good faith.

(b) A party who does not act in customary manner and in good faith shall be liable to pay compensation to the other party for the damage caused to him in consequence of the negotiations or the making of the contract, and the provisions of sections 10, 13, and 14 of the Contracts (Remedies of Breach of Contract) Law, 1970, shall apply mutatis mutandis.

^{page 529 note 1} See above p. 525, n. 2.

^{page 530 note 2} See above p. 525, n. 1.

^{page 530 note 3} See South Helton Coal Co. v. Haswell, Shotton, and Easington, Coal and Coke Co. [1898] I Ch. 465.

^{page 530 note 4} See Keco Industries Inc. v. United States 492 F. 2nd 1200 (1974); King v. Alaska State Housing Authority, Alaska 633, P. 2nd 256.

^{page 531 note 5} See Contracts (General Part) Law, 1973, sec. 26.

^{page 531 note 6} Mivnei Peles v. Nahariah et al. (1982) (II) 36 P.D. 472, 475, per Barak J.

^{page 531 note 7} Anonymous Company v. Ministry of Defence and another (1980) (III) 34 P.D. 706, 717 per Barak J.

^{page 531 note 8} Ibid.

^{page 532 note 9} See Lugasi v. Ministry of Communications (digest, supra at p. 524).