An analysis of international instruments and contemporary legal systems confronted by challenges in judicial proceedings and international arbitrations due to the existence of pre-contractual negotiations in contractual interpretations

Document Type : Original Article

Authors

1 PhD in private law from Pantheon Sorbonne University. Assistant Professor at Azad University of Science and Research

2 PhD candidate of Public Internationa Law in Shahidbeheshti University and Attorney at Law

Abstract

The conclusion of contracts either in domestic or international sphere is based on parties’ exchange of opinions about contractual matters before conclusion namely as pre-contractual negotiations. The effects of parties’ mutual intention on the definitions of words and phrases in their contracts would be found in the pre-contractual negotiations. The main problematic of this paper is the admissibility of the pre-contractual negotiations in domestic courts and international arbitral tribunals as evidence in contractual interpretation by judges or arbitrators. This is generally accepted in international trade, and stipulated in soft instruments relating to international trade law. But the contemporary legal systems are not harmonized in this matter. As a result, there will be problems not only in the domestic jurisprudence but also in the choice of law matters in international commercial arbitrations. Iran legal system is silent on this matter. This paper analyses the challenge of the admissibility of the pre-contractual negotiations with consideration about international trade systems reactions on the matter, so that the paper tries to present an innovative concept in Iran legal literature, hoping to be codified and harmonized legislative and judiciary system.

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Articles in Press, Accepted Manuscript
Available Online from 09 March 2024
  • Receive Date: 17 July 2020
  • Revise Date: 27 January 2024
  • Accept Date: 09 March 2024