The Comparative Analysis of Cases of The Right of Termination Foundation on The Principle of The Autonomy of The Will in Iranian Law and The Convention on The International Sale of Goods
Keywords:
autonomy of the will, right of termination, contract termination, Convention on the International Sale of GoodsAbstract
This study presents a comparative analysis of the legal grounds for establishing the right to terminate a contract foundation on the principle of the autonomy of will in Iranian law and the United Nations Convention on Contracts for the International Sale of Goods (CISG, 1980). Given the exceptional nature of contract termination and the absence of a clear legal foundation for it in both the Iranian Civil Code and the CISG, this research aims to identify the underlying grounds and analyze the legal implications of determining such a foundation. Addressing this issue contributes to the unification of substantive law and the advancement of international trade. The study employs an analytical–comparative approach. It first examines the theoretical foundations of the autonomy of will in both legal systems and then analyzes the provisions establishing the right of termination in the Iranian Civil Code (Articles 399–401, 444, 234–245) and the CISG (Articles 25, 72, 73). Data were derived from legal texts, academic doctrine, and case law. Alternative theories, such as implied conditions and good faith, were also critically evaluated to reinforce the focus on the autonomy of will. In Iranian law, the right to terminate a contract is grounded in the autonomy of will through the option of condition (granting the right of termination to one or both parties, or a third party) and the option of breach of condition (including conditions relating to attributes, results, and acts). Under the CISG, this right arises in cases of potential breach of contract—subject to requirements such as non-performance, fundamental breach, anticipatory breach, notice, and failure to provide assurance—and in the breach of installment contracts (termination of one installment, future installments, or the entire contract). Recognizing this foundation has several legal effects, including the persistence of the right to terminate even after compensation for damages in certain cases, and its survival despite conditions that would otherwise extinguish the option. The principle of the autonomy of will serves as a common foundation for termination in both systems, though it does not encompass all instances in which the right arises. It is recommended that the legal grounds and effects of termination be explicitly defined through legislative reform to enhance legal coherence and promote international trade.
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