Article VII: On Transaction

1160. Transaction is an onerous agreement by which a litigated and uncertain matter is settled between the parties. It is a most apt means for ending quarrels; for "a lean transaction is better than a rich sentence."⁰¹

Let it be noted: 1. Transaction can be made both in judgment and outside it; but for its essence a doubtful matter, or an uncertain lawsuit, is required. Hence a transaction does not have force if it is made by those ignorant that the matter has already been judged, or if it is admitted concerning a lawsuit which was brought only by calumny.

2. Concerning his own things anyone can transact who is capable of contracting; but for it are required those conditions which in Law are found established for alienation (cf. the things said n. 871, II).

3. A transaction duly concluded has great force: it cannot be attacked further, neither on account of lesion nor on account of ignorance of Law, even if by chance documents are found from which it would be established that the matter had certainly belonged to one party which transacted.

But if an error has happened in calculation, the error indeed is corrected, but the transaction subsists.

4. Sometimes, however, a transaction can be rescinded if the error is either in the person or in the controverted object, or if deceit or force has intervened. Moreover, it is null if it was based on false documents.