Section 500: To bear compensation for failure to fulfil obligation

1) If a person bound to fulfill any obligation fails to fulfill it or delays its fulfillment, and thereby a loss or damage is caused to any other person in any manner, such a person shall bear compensation for the actual loss or damage so caused.

2) If a person bound to fulfill any obligation does not fulfill it by fraud or does any act knowingly or recklessly, thereby any loss or damage is caused in any manner; such a person shall bear compensation for the loss or damage so caused.