Introduction

Judicial precedent plays a critical role in understanding how Kuwaiti courts apply the law to cases involving embezzlement, inheritance fraud, and breach of fiduciary duty. These rulings help define the boundaries of lawful behavior, especially in cases involving family members, power of attorney, and estate management. This article reviews notable decisions by the Kuwaiti judiciary on these topics.

Legal Background

Kuwaiti law criminalizes embezzlement and inheritance misuse under the Penal Code and the Personal Status Law. Relevant articles include:

• Article 240: Criminal breach of trust
• Article 241: Abuse of entrusted financial authority (by employees or fiduciaries)
• Article 249: Unauthorized use of legal power (including power of attorney)
• Inheritance and guardianship laws: Require full disclosure and court-supervised distribution of estates

Key Judicial Precedents

1. Concealment of Estate Assets by an Heir

In a case decided by the Court of Cassation, one heir failed to disclose a deceased parent’s real estate assets during probate proceedings. The court held that this act constituted a breach of trust and imposed restitution and civil damages. The judgment emphasized the obligation of all heirs to act in transparency and good faith.

2. Misuse of Power of Attorney to Transfer Property

Another precedent involved a son using a PoA to transfer his father’s house into his own name while the father was incapacitated. The court ruled that the transaction was invalid and fraudulent, even though the PoA was still technically valid at the time. The judgment cited abuse of authority and ordered reversal of the title and compensation to other heirs.

3. Withdrawal from Joint Bank Account Post-Death

In a case involving siblings, one heir withdrew large amounts from a joint bank account after the father’s death. The court found that even though the heir had access, the funds were considered part of the estate and must be divided by law. The withdrawal was deemed an illegal act of inheritance misuse and resulted in a criminal conviction.

4. Forgery of Heir Certificate

A forged “حصر ورثة” (Certificate of Heirs) presented in court was discovered during property registration. The offender was sentenced for document forgery and attempted fraud. The case reinforced the importance of official documents and the penalties for fabricating legal records in estate matters.

Legal Principles Affirmed by Courts

• No heir may act individually on estate assets before final court approval
• A power of attorney does not grant ownership rights or inheritance privileges
• Concealment of assets is punishable by both criminal and civil courts
• Victims are entitled to restitution, compensation, and reallocation of shares

What These Rulings Mean for You

If you are involved in an inheritance dispute or suspect embezzlement of family property, these rulings provide powerful legal precedent to support your case. Whether you are challenging misuse of authority or claiming your rightful share, referencing past judgments can greatly strengthen your legal position.