Category: Etc

Liquidation

After dissolution of companies and establishments, the liquidation process should progress accurately and swiftly in accordance with the relevant regulations such as the stipulations of the Commercial Code of Iran, Direct Taxation Act, Social Security and Labor Laws, for settling liabilities, terminating the service of employees, and resolving the problems pertaining to tax, labor and social security.

In light of the aforesaid, liquidation should be performed by the firms with sufficient experience to undertake and manage the task of liquidating Iranian and foreign companies.

 

Investment

In finance, investment is the purchase of an asset or item with the hope that it will generate income or appreciate in the future and be sold at the higher price.

It generally does not include deposits with a bank or similar institution. The term investment is usually used when referring to a long-term outlook. This is the opposite of trading or speculation, which are short-term practices involving a much higher degree of risk.

Generally there are different ways a foreign investor can invest in Iran. The three main schemes are as follows:

– Investment under the Foreign Investment Promotion and Protection Act (FIPPA)

– Investment in the Iranian mainland without the protection of FIPPA

– Investment in or via Free Trade Zones

Contract Law

Contract law is based on the principle expressed in the  Latin phrase pacta sunt servanda, which is usually translated “agreements must be kept” but more literally means “pacts must be kept”. Contract law can be classified, as is habitual in civil law systems, as part of a general law of obligations.

Jurisdictions vary in their principles of freedom of contract. In common law jurisdictions such as the United Kingdom and the United States, a high degree of freedom is expected. This is in contrast to the civil law, which typically applies certain overarching principles to disputes arising out of contract, as in the French Civil Code or the Iranian. Other legal systems such as Islamic law, socialist legal systems, and customary law have their own variations.

Contracts are widely used in commercial law, and form the legal foundation for transactions across the world. Common examples include construction contract, product purchases (with associated warranties of quality), software licenses, employment contracts, insurance policies, real estate deeds to transfer title, professional services, wholesale merchandise supply, and various other uses.