Short answer

An advance is payment on account; earnest money confirms a contract and carries special consequences. Its description must be read with the whole agreement. Not every advance is automatically earnest money.

Practical example

A buyer pays to reserve an apartment. Without an earnest-money arrangement, prepayment alone does not establish a right to double repayment.

What to do

Record purpose, underlying transaction, deadline and liability in writing. Check preliminary contract form. If the deal fails, establish cause and fault; earnest-money rules do not automatically apply to advances.

Legal basis

Georgian Civil Code — Articles 327, 421–423. Checked on 28 October 2026. The outcome depends on the contract, facts and evidence.

YURFIRMA can review your documents and help prepare the appropriate demand or agreement. Contact us.

Please note

This is general information and does not replace a legal assessment of your specific case. The current law and the relevant facts are checked again when you seek advice.