The trade bill is shaking contracts

The trade bill is shaking contracts
  • 2020-06-15
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The Iranian Entrepreneurs' Assembly sent a letter to the Guardian Council warning of the consequences of the implementation of the trade bill.

According to the International Stone Exhibition of Iran, the Iranian Entrepreneurs' Assembly sent a letter to the Guardian Council warning of the consequences of the implementation of the trade bill. The Iranian Association of Entrepreneurs believes that the drafting of a trade bill does not take into account the principles of the general policies of the legislative system, such as the drafting of a law based on the opinions of experts, specialized non-governmental and trade union institutions.

In this letter, the Iranian Entrepreneurs' Association has asked the Guardian Council to review the trade bill, criticizing the text of the bill, such as validating informal procedures, not updating and not using new mechanisms and innovations in the world, and incomplete removal of Pay attention to international law.

The text of the letter of the Iranian Entrepreneurs Association is as follows:

Congratulations to Ayatollah Jannati

Honorable Secretary of the Guardian Council

Greetings and Regards;

After the praise of the Merciful Lord and peace be upon Muhammad (PBUH) and his holy family; His Excellency's attention at the head of the Guardian Council to the issue of supporting productive capital has always hoped to support and facilitate the production of wealth, to understand and advance the Supreme Leader's (Modzaleh Al-Aali) menus in realizing the leap of production and to facilitate the business environment. Your Excellency's emphasis on the need to support endogenous economics as one of the outstanding and transcendent goals of the Islamic Consultative Assembly will certainly further advance the national production environment and clarify the country's economic outlook.

The Iranian Entrepreneurs' Association, made up of the country's leading private sector productive economies, is also actively pursuing a positive business climate, arguing that there is enormous potential in the country's productive economy. Therefore, considering that the members of this forum are large entrepreneurs of Iran's economy, they have identified the obstacles and specialized threats that most national producers face.

Among the threats that are of serious concern is the new trade bill. As you are aware of the general policies of the legislative system by the Supreme Leader of the Islamic Revolution (Modzaleh Al-Ali), especially his emphasis in the form of paragraph 9 on principles such as drafting the law based on the opinions of experts, specialized and trade union institutions and also having The ability to enforce and measure the implementation of the law on the one hand, as well as the wide scope of this law for all business owners and consumers across the country, on the other hand, formulating a law that will strengthen the national productive economy and boost production. It is important and serious, and this is something that has not been properly addressed in the drafting of this bill (study, consultation, and acquisition).

Due to the great importance of the Commercial Bill as one of the main laws and especially its first chapter (Chapter of General Regulations), the Iranian Entrepreneurs Association, with the participation of economists and lawyers active in the country's private sector, trade unions, think tanks and university professors. The first book of this bill has been reviewed many times, the results of which will be summarized as follows.

· Incompatibility or realities of the country's business environment and instead incomplete compliance with international law;

· Not paying attention to solving real problems of traders;

· Ambiguity and interpretability of some articles of the bill and thus shake the implementation of contracts;

· Shaking contracts and restricting the principle of freedom of will in economic relations;

· The ambiguities of the law in many cases are not clear and there is ambiguity about how to deduce it;

· Providing the ground for false claims and thus increasing the risk of entering into negotiations for economic actors;

· Providing the ground for the abuse of the law by legalizing informal and risky procedures;

· Increasing the cost of economic exchanges and reducing the risk-taking of firms to enter into negotiations;

· Validate informal procedures and disrupt the existing judicial procedure in this regard;

· Increasing disputes between the parties to the contract as well as increasing the number of cases entering the courts;

· Not being up to date and not using new mechanisms and innovations in the world

Honorable Secretary of the Guardian Council, what was raised about the trade bill is only a small part of its serious flaws. Although such important laws need to be updated and developed properly, not paying attention to the real need in the realm of law and lack of proper infrastructure can severely affect the country's economy.

In the end, while thanking His Excellency for pursuing the issues of economic activists, the increasing success of you and that honorable council is a matter for the Almighty God and the esteemed Guardian Council is requested to consider the above-mentioned issues in the bill review process.