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Question 1Civil Law (Hoghough-e Madani)
Under Iranian civil law, at what age does a person normally reach majority (bolugh va roshd) for purposes of full contractual capacity?
- Eighteen solar years for both boys and girls
- Nine lunar years for girls and fifteen lunar years for boys, subject to proof of growth Correct answer.
- Fifteen solar years for both sexes regardless of gender
- Twenty solar years for both sexes
Explanation
Iranian civil law ties majority to the lunar-year thresholds of nine for girls and fifteen for boys, combined with proof of roshd (growth of reason). Age alone does not confer capacity if growth is not established.
Question 2Civil Law (Hoghough-e Madani)
A contract concluded by a minor who has reached the age of discernment (momayyez) but not majority is best described as:
- Fully binding on the minor without any need for ratification
- Voidable only at the option of the other contracting party
- Absolutely void from the outset
- Valid but non-binding (mowquf) pending ratification by the guardian or the minor upon majority Correct answer.
Explanation
Transactions of a discerning minor are treated as suspended (mowquf), taking effect only upon permission or ratification by the guardian or by the person after reaching majority. They are not automatically void.
Question 3Civil Law (Hoghough-e Madani)
Which of the following is generally required for a valid sale (bey') under Iranian civil law?
- A determinate price and a determinate subject matter, with mutual consent Correct answer.
- Approval of the local notary public
- Presence of two male witnesses at the moment of offer and acceptance
- Written form and registration in the official registry
Explanation
A sale requires mutual consent plus determinacy of both the object and the price; the contract is consensual and generally needs no particular form. Witnesses and notarization are not constitutive elements of validity.
Question 4Civil Law (Hoghough-e Madani)
In a sale, the parties agree that the buyer may rescind within one month if he is dissatisfied with the goods. This arrangement is an example of:
- Khiyar-e ghabn (option for lesion)
- Khiyar-e shart (option stipulated by condition) Correct answer.
- Khiyar-e 'ayb (option for defect)
- Khiyar-e majlis (option of the session)
Explanation
Khiyar-e shart is a rescission right created by an express stipulation in the contract for a fixed period. It differs from options arising by operation of law such as defect or lesion.
Question 5Civil Law (Hoghough-e Madani)
Which of the following is a characteristic of the contract of ejareh (lease)?
- The rent must be paid entirely in advance
- The lessee acquires ownership of the leased property at the end of the term
- The subject matter must be a determinate usufruct (manfa'at) for a determinate period and rent Correct answer.
- The contract transfers ownership of the property to the lessee
Explanation
Ejareh transfers a determinate usufruct for a determinate period in exchange for a determinate rent. Ownership of the property remains with the lessor.
Question 6Civil Law (Hoghough-e Madani)
A gives B a sum of money as a loan (qard) with no interest. Which statement best reflects the legal nature of this contract?
- It is a partnership in which profits and losses are shared
- It is a gratuitous contract creating an obligation to return the equivalent, and any stipulated profit is riba Correct answer.
- It is a commutative exchange in which the borrower owes a profit to the lender
- It is void because loans must be gratuitous and cannot create any obligation to repay
Explanation
Qard is a gratuitous contract under which the borrower must return the equivalent of what was received. Stipulating any increase constitutes riba and is prohibited.
Question 7Civil Law (Hoghough-e Madani)
In the contract of rahn (mortgage/pledge), which of the following is correct?
- The pledged property must be delivered to the creditor or his agent for the pledge to be effective Correct answer.
- The creditor may sell the pledged property without any prior notice upon default
- The pledgor loses ownership of the pledged property immediately upon conclusion
- The pledge is valid only over immovable property
Explanation
Under Iranian civil law, the rahn contract is effective upon delivery of the pledged property to the creditor or his agent; the pledgor retains ownership. The creditor must follow legal procedures to realize the security.
Question 8Civil Law (Hoghough-e Madani)
Which contract is designed to provide security for a debt by transferring ownership of property to the creditor, with the creditor obliged to return it upon repayment?
- Rahn-e thabti
- Ejareh
- Bay'-e shart-e vafa (sale with a right of redemption) Correct answer.
- Rahn
Explanation
Bay'-e shart-e vafa is a sale in which the buyer (creditor) agrees to return the property if the seller repays within a fixed period, functioning as security. It differs from rahn in that ownership actually passes.
Question 9Civil Law (Hoghough-e Madani)
A contract of surety (zeman) under Iranian civil law primarily:
- Adds the surety as a joint obligor while the principal debtor remains liable Correct answer.
- Transfers the debt from the principal debtor to the surety, releasing the debtor
- Is valid only if the surety receives consideration from the debtor
- Requires the creditor to release the debtor before the surety becomes liable
Explanation
Zeman makes the surety liable alongside the principal debtor; the debtor is not released unless the creditor agrees. The surety's liability is accessory to the original debt.
Question 10Civil Law (Hoghough-e Madani)
Under the rule of 'osr va haraj, which of the following best describes its effect?
- The contract is void from the outset if performance is difficult
- The court may rewrite the price of every contract that proves unprofitable
- A party who finds performance inconvenient may unilaterally terminate any contract
- A contract that becomes excessively burdensome to perform may be adjusted or rescinded by the court Correct answer.
Explanation
The principle of 'osr va haraj permits judicial intervention where performance becomes excessively burdensome, allowing adjustment or rescission. Mere inconvenience does not trigger it.
Question 11Civil Law (Hoghough-e Madani)
Which of the following is a requirement for a valid gift (hebeh)?
- The gift must be in writing and registered
- The gift must be accepted by the donee or his representative Correct answer.
- The donor must receive consideration from the donee
- The donor must be insolvent
Explanation
A gift requires offer by the donor and acceptance by the donee or his representative, along with the donor's capacity and ownership of the object. It is gratuitous and needs no consideration.
Question 12Civil Law (Hoghough-e Madani)
In the contract of modarabah (profit-sharing investment), which statement is correct?
- The manager is entitled to a fixed salary regardless of results
- The investor shares in losses in proportion to his capital, while the manager bears no loss
- Profits are shared according to the agreed ratio, and the manager loses only his labor if there is a loss Correct answer.
- The manager guarantees the capital against all losses
Explanation
In modarabah the profit is divided according to the agreed share, while losses fall on the capital provider; the manager loses only his effort, unless he breached his duties.
Question 13Civil Law (Hoghough-e Madani)
A contract in which two or more persons contribute property and share profits and losses is known as:
- Solh
- Joa'leh
- Sherkat (partnership) Correct answer.
- Mozare'eh
Explanation
Sherkat is the partnership contract in which contributions are combined and profits and losses are shared according to the agreement. Mozare'eh concerns agricultural profit-sharing and joa'leh is a reward contract for a task.
Question 14Civil Law (Hoghough-e Madani)
Under Iranian civil law, which of the following is a ground for termination of a contract by operation of law rather than by agreement?
- Talf (destruction) of the specific subject matter before delivery Correct answer.
- Agreement to substitute a new contract
- Mutual consent of the parties to cancel
- Exercise of a contractual option by the buyer
Explanation
Destruction of the specific object of the contract before delivery causes the contract to fall away by operation of law. The other options are consensual modes of termination.
Question 15Civil Law (Hoghough-e Madani)
In the event of a latent defect ('ayb) in the object of a sale, the buyer's primary remedy is:
- Damages only, without any right to rescind
- Rescission of the sale or retention of the object with a proportionate reduction in price Correct answer.
- Automatic termination with no further action required
- Specific performance by the seller to repair the defect
Explanation
Khiyar-e 'ayb entitles the buyer to rescind the sale or to keep the object and claim the difference in price (arch). The choice belongs to the buyer.
Question 16Civil Law (Hoghough-e Madani)
Which of the following best describes the doctrine of 'adam-e nafy-e haraj in relation to contractual obligations?
- It prevents the enforcement of obligations that would cause excessive hardship, allowing judicial relief Correct answer.
- It requires all contracts to be performed in kind regardless of consequences
- It voids every contract containing a penalty clause
- It permits the debtor to escape any obligation he considers unfair
Explanation
The no-excessive-hardship principle allows the court to intervene where performance becomes intolerably burdensome, providing relief such as adjustment or rescission. It does not give a general right to escape obligations.
Question 17Civil Law (Hoghough-e Madani)
In a contract of ejareh, if the leased property is destroyed during the lease term through no fault of the lessee, the lease:
- Is terminated from the time of destruction and the rent is abated proportionately Correct answer.
- Automatically converts into a sale of the destroyed property
- Continues with the lessee still liable for the full rent
- Continues but the lessee may sublet without consent
Explanation
Destruction of the leased property terminates the lease from that point, and the rent is abated for the remaining period. The lessee is not liable for destruction without fault.
Question 18Civil Law (Hoghough-e Madani)
Which of the following statements about the contract of solh (settlement) is correct?
- Solh can both settle disputes and serve as an independent contract creating obligations Correct answer.
- Solh may only be used to settle existing disputes and cannot create new obligations
- Solh requires the approval of a court to be valid
- Solh is void if the parties do not specify the underlying dispute
Explanation
Solh is flexible: it may resolve an existing dispute or operate as an independent transaction creating new rights and obligations. It does not require court approval.
Question 19Civil Law (Hoghough-e Madani)
A person who takes possession of another's property in good faith and later learns of the true owner's claim must:
- Return the property but keep all profits earned at any time
- Compensate the owner for the value of the property only if he sold it
- Retain the property until compensated for improvements only
- Return the property and account for profits from the date he learned of the claim Correct answer.
Explanation
A good-faith possessor is generally not liable for profits before notice, but after learning of the owner's claim he must return the property and account for subsequent profits.
Question 20Civil Law (Hoghough-e Madani)
Which of the following is an example of ghabn (lesion) giving rise to rescission?
- A sale with a long payment period
- A sale concluded during a religious festival
- A sale at a price slightly below market value
- A sale of goods at a price grossly disproportionate to their value, exploiting the other party's need Correct answer.
Explanation
Ghabn arises where there is a gross disparity between price and value, often coupled with exploitation of the other party's necessity. Minor price differences do not trigger the option.
Question 21Civil Law (Hoghough-e Madani)
Under Iranian civil law, the transfer of a debt (hawaleh) requires:
- No consent at all, as it operates automatically
- Only the consent of the transferee
- The consent of the debtor, the creditor, and the transferee Correct answer.
- Only the consent of the creditor
Explanation
Hawaleh involves a tripartite arrangement and requires the consent of the transferor (debtor), the creditor, and the transferee. It is not a unilateral act.
Question 22Civil Law (Hoghough-e Madani)
Which of the following contracts is classified as 'eyn (transferring ownership of a specific thing) rather than 'manfa'at (usufruct)?
- Mozare'eh
- Ejareh
- Estej'ar
- Bay' Correct answer.
Explanation
Bay' (sale) transfers ownership of the object itself, whereas ejareh, mozare'eh, and estej'ar concern usufruct or labor. This distinction matters for the classification of contracts.
Question 23Civil Law (Hoghough-e Madani)
In the contract of joa'leh, the obligation of the reward (ja'el) arises:
- Only upon completion of the specified task by the worker Correct answer.
- Only if the worker is an employee of the ja'el
- Only if the task is completed within one month
- Upon conclusion of the contract regardless of performance
Explanation
Joa'leh is a reward contract in which the reward becomes due only when the specified result is achieved. It is a result-based, not effort-based, arrangement.
Question 24Civil Law (Hoghough-e Madani)
Which statement correctly describes the effect of a condition (shart) in a contract that is contrary to the object of the contract?
- The condition is valid and overrides the contract
- Both the condition and the contract are void in every case
- The condition is void but the contract remains valid, provided the condition is not a material inducement Correct answer.
- The contract is voidable at the option of the party who imposed the condition
Explanation
A condition contrary to the object of the contract is generally void, while the contract itself remains valid unless the condition was the material inducement for the transaction.
Question 25Civil Law (Hoghough-e Madani)
Which of the following is a correct statement about the contract of mozare'eh?
- The contract is void unless the crop is sold in advance
- The farmer and landowner share the crop according to an agreed proportion Correct answer.
- The landowner bears all losses and the farmer receives a fixed wage
- The farmer acquires ownership of the land at the end of the term
Explanation
Mozare'eh is an agricultural profit-sharing contract in which the crop is divided between landowner and farmer in an agreed ratio. The farmer does not receive a fixed wage.
Question 26Civil Law (Hoghough-e Madani)
Under Iranian civil law, which of the following is a valid subject matter (mowzu') for a contract of sale?
- A thing that is forbidden by law to be sold
- A thing that is owned by a third party
- A thing that is owned by the seller and can be delivered Correct answer.
- A thing that is not yet in existence but will certainly exist in the future
Explanation
For a sale to be valid, the object must be owned by the seller, be capable of delivery, and be lawful to sell. A thing owned by a third party or a thing whose sale is legally prohibited cannot be the subject of a valid sale.
Question 27Civil Law (Hoghough-e Madani)
In Iranian civil law, when a contract is concluded with a condition (shart) that is not contrary to the object of the contract and is not unlawful, what is the general effect of that condition?
- The condition gives the obligated party an option to rescind the contract at will
- The condition is automatically void and the contract remains valid
- The condition invalidates the entire contract
- The condition is binding and must be performed by the obligated party Correct answer.
Explanation
Under the general rules of contracts, a condition that is lawful and not contrary to the nature of the contract is binding (lazem) and the obligated party must perform it. If the condition is invalid, it does not necessarily invalidate the contract unless it was the main purpose.
Question 28Civil Law (Hoghough-e Madani)
Which of the following is a characteristic of the contract of ejareh (lease) under Iranian civil law?
- The lessee must return the exact same property at the end of the lease
- The lessee becomes the owner of the leased property at the end of the term
- The lessee is entitled to the usufruct (manfa'a) of the property for a specified period in exchange for rent Correct answer.
- The lessor transfers ownership of the property to the lessee immediately
Explanation
Ejareh is a contract by which the lessor grants the lessee the right to use the property (usufruct) for a specified period in exchange for rent. Ownership of the property remains with the lessor.
Question 29Civil Law (Hoghough-e Madani)
Under Iranian civil law, which of the following contracts is considered a unilateral contract (eqd-e yek-tarafeh)?
- Partnership (mosharekat)
- Lease (ejareh)
- Sale (bey')
- Gift (hebeh) Correct answer.
Explanation
A unilateral contract creates an obligation for only one party. In a gift, only the donor is obligated to transfer the property, while the donee receives it without a corresponding obligation. Sale, lease, and partnership are bilateral or multilateral contracts.
Question 30Civil Law (Hoghough-e Madani)
In a contract of sale, if the seller delivers a thing different from what was agreed upon, what is the buyer's primary remedy under Iranian civil law?
- The buyer has the option to rescind the contract (khiyar-e tabay'oz) Correct answer.
- The buyer can only claim a reduction in price
- The buyer has no remedy and must keep the thing
- The buyer must accept the substitute and claim damages
Explanation
If the seller delivers a thing other than the agreed object, the buyer has the option of rescission (khiyar-e tabay'oz) and may reject the substitute. This option allows the buyer to cancel the contract.
Question 31Civil Law (Hoghough-e Madani)
Under Iranian civil law, which of the following is a requirement for the validity of a contract of surety (zeman)?
- The surety must obtain the creditor's consent
- The surety must be capable of paying the debt Correct answer.
- The surety must have the debtor's consent
- The surety must be a relative of the debtor
Explanation
For a surety to be valid, the surety must be legally capable and financially able to pay the debt. The consent of the creditor is not required for the conclusion of the surety contract, although the creditor may refuse to accept the surety.
Question 32Civil Law (Hoghough-e Madani)
In the contract of rahn (pledge), if the pledgor delivers the pledged property to the pledgee, what is the nature of the pledgee's possession?
- The pledgee has the right to sell the property without court order
- The pledgee becomes the owner of the property
- The pledgee holds the property as a trustee (amin) and is not liable for its loss without fault Correct answer.
- The pledgee is liable for any loss of the property even without fault
Explanation
In rahn, the pledgee is considered a trustee (amin) over the pledged property. Therefore, the pledgee is not liable for its loss or damage unless caused by the pledgee's fault or negligence.
Question 33Civil Law (Hoghough-e Madani)
Which of the following best describes the concept of 'ghabn' (lesion) in Iranian civil law?
- A disparity between the price and the value of the object that is so great that it is unacceptable to custom Correct answer.
- A defect in the object of sale that reduces its value
- A mistake in the identity of the object of the contract
- A delay in the performance of contractual obligations
Explanation
Ghabn refers to a significant disparity between the agreed price and the fair value of the object, such that it is considered unacceptable by custom. It can give rise to the option of rescission (khiyar-e ghabn) if the disparity is excessive.
Question 34Civil Law (Hoghough-e Madani)
In a contract of modarabah, if the mudarib (manager) makes a profit, how is the profit distributed?
- The entire profit belongs to the mudarib
- The profit is divided between the rabb-ul-mal and the mudarib according to the agreed ratio Correct answer.
- The entire profit belongs to the rabb-ul-mal (investor)
- The profit is donated to charity
Explanation
In modarabah, the profit is shared between the investor and the manager according to the ratio agreed upon in the contract. If no ratio is agreed, the contract may be void.
Question 35Civil Law (Hoghough-e Madani)
Under Iranian civil law, what is the effect of a condition (shart) that is contrary to the object of the contract?
- The condition is void and the contract remains valid
- The condition is valid and the contract is void
- The condition is void and the contract is also void Correct answer.
- The condition is valid and the contract is valid
Explanation
A condition that is contrary to the object of the contract is invalid and renders the contract void. For example, a condition in a sale that the seller retains ownership after delivery is contrary to the nature of sale and invalidates the contract.
Question 36Civil Law (Hoghough-e Madani)
In the contract of joa'leh, when does the obligation to pay the reward (ja'el) arise?
- Upon the completion of the specified task by the worker Correct answer.
- Upon the request of the worker
- Upon the payment of a deposit by the worker
- Upon the conclusion of the contract
Explanation
Joa'leh is a contract in which one party promises a reward for the performance of a specified task. The obligation to pay the reward arises only when the task is completed by the worker.
Question 37Civil Law (Hoghough-e Madani)
Which of the following statements about the contract of solh (settlement) is correct under Iranian civil law?
- Solh can only be used to settle financial disputes
- Solh is invalid if it involves a future obligation
- Solh requires the consent of a third party
- Solh is a contract that can be used to settle any dispute or to create a new obligation Correct answer.
Explanation
Solh is a flexible contract that can be used to settle disputes or to create new obligations. It is not limited to financial disputes and can cover various matters.
Question 38Civil Law (Hoghough-e Madani)
In a contract of mozare'eh (sharecropping), how are the profits from the agricultural produce divided?
- The entire produce belongs to the landowner
- The produce is divided equally between the landowner and the farmer regardless of agreement
- The entire produce belongs to the farmer
- The produce is divided between the landowner and the farmer according to the agreed share Correct answer.
Explanation
In mozare'eh, the landowner provides the land and the farmer provides labor and expertise, and the produce is divided between them according to the share agreed in the contract.
Question 39Civil Law (Hoghough-e Madani)
Under Iranian civil law, which of the following is a ground for termination of a contract by operation of law (enhelal-e qahri) rather than by the option of the parties?
- Mutual consent of the parties (eqaleh)
- Impossibility of performance due to an external cause Correct answer.
- Exercise of the option of condition (khiyar-e shart)
- Exercise of the option of defect ('ayb)
Explanation
Impossibility of performance due to an external cause (qohr-e qahri) leads to the automatic termination of the contract by operation of law. The other options involve the exercise of a contractual or legal option by the parties.
Question 40Civil Law (Hoghough-e Madani)
In the context of Iranian civil law, what is the effect of 'osr va haraj' (hardship) on contractual obligations?
- It automatically terminates the contract
- It allows the judge to adjust the contract or terminate it if performance becomes excessively burdensome Correct answer.
- It has no effect on contractual obligations
- It gives the debtor an unconditional right to rescind the contract
Explanation
The rule of 'osr va haraj (hardship) allows the judge to intervene when performance of a contract becomes excessively burdensome due to unforeseen events. The judge may adjust the contract or terminate it to prevent injustice.
Question 41Civil Procedure (Ayin-e Dadresi-e Madani)
Under the Iranian Code of Civil Procedure, which court has general jurisdiction to hear civil claims that are not expressly assigned to another court?
- The court of the defendant's domicile Correct answer.
- The court of the plaintiff's domicile
- The court where the property is located
- The court where the contract was signed
Explanation
The general rule of territorial jurisdiction assigns civil claims to the court of the defendant's domicile; other fora apply only where the Code provides a special rule. This reflects the principle that a defendant should not be forced to litigate away from home absent a specific exception.
Question 42Civil Procedure (Ayin-e Dadresi-e Madani)
A statement of claim is filed that omits the defendant's residential address and the relief sought. What is the correct procedural consequence?
- The court transfers the file to the public prosecutor
- The court dismisses the case on the merits
- The court returns the claim to the plaintiff to complete the missing particulars Correct answer.
- The court issues a summons and the defect is cured at the first hearing
Explanation
A claim must contain the required particulars, including the parties' identification and the relief sought. Where these are missing, the court does not register the claim for hearing but returns it so the defects can be remedied.
Question 43Civil Procedure (Ayin-e Dadresi-e Madani)
Which document must accompany a statement of claim to commence proceedings before the court?
- A notarized statement of the witnesses
- The documents on which the claim relies Correct answer.
- A power of attorney from the defendant
- The plaintiff's tax clearance certificate
Explanation
The plaintiff must attach the documentary evidence supporting the claim so the court can assess it and the defendant can respond. Witness testimony is offered later, and no tax or defendant-side document is a precondition to filing.
Question 44Civil Procedure (Ayin-e Dadresi-e Madani)
In civil proceedings, what is the general rule on the burden of proof?
- The defendant must disprove the plaintiff's allegations
- Each party must prove the facts on which it relies Correct answer.
- The court must investigate and gather evidence on its own initiative in every case
- The burden shifts to whichever party filed second
Explanation
The general principle is that each party bears the burden of proving the facts it asserts; the plaintiff proves the basis of the claim and the defendant proves any defense. Courts do not ordinarily assume the parties' evidentiary burden.
Question 45Civil Procedure (Ayin-e Dadresi-e Madani)
A defendant who believes the court lacks territorial jurisdiction must raise the objection at what stage?
- At any time before the final judgment
- In the first hearing or in the answer, before defending on the merits Correct answer.
- Only in an appeal after judgment
- Only after the plaintiff has presented all evidence
Explanation
A jurisdictional objection is a procedural defense that must be raised at the outset, in the first hearing or answer, before entering a defense on the merits. Raising it later is generally barred as untimely.
Question 46Civil Procedure (Ayin-e Dadresi-e Madani)
Which of the following is a characteristic of a provisional attachment order (ta'min-e dalil or ta'min-e khosumat) in Iranian civil procedure?
- It replaces the need for a statement of claim
- It is issued to preserve the subject matter or evidence pending final judgment Correct answer.
- It finally determines the merits of the claim
- It can only be issued after a final judgment
Explanation
Provisional measures are interim in nature: they preserve evidence or secure the claim so that the final judgment is not rendered illusory. They do not decide the merits and presuppose a claim.
Question 47Civil Procedure (Ayin-e Dadresi-e Madani)
When is a default judgment (hekmat-e gheyabi) rendered?
- When the plaintiff withdraws the claim
- When the court finds the claim unfounded
- When the parties agree to refer the dispute to arbitration
- When the defendant fails to appear or fails to submit a defense despite proper service Correct answer.
Explanation
A default judgment is issued against a party who, having been duly served, does not appear or does not answer. Because it is rendered in absentia, the Code grants the absent party a special right to challenge it.
Question 48Civil Procedure (Ayin-e Dadresi-e Madani)
A party who was absent from the proceedings and against whom a default judgment was entered may, in principle, seek which remedy?
- A request for retrial based on newly discovered evidence
- Objection to the default judgment (vakhesh be hekmat-e gheyabi) before the issuing court Correct answer.
- An administrative complaint to the Ministry of Justice
- A direct appeal to the Supreme Court without any prior step
Explanation
The Code provides a specific remedy allowing the absent party to object to a default judgment before the court that issued it, which then re-examines the case. This is distinct from ordinary appeal or retrial.
Question 49Civil Procedure (Ayin-e Dadresi-e Madani)
A plaintiff sues a defendant domiciled in Tehran but files the claim in a court in Shiraz, where the disputed movable property happens to be. The defendant objects. How should the court rule?
- The objection succeeds because the general rule assigns the claim to the defendant's domicile court Correct answer.
- The objection fails because the plaintiff may choose any court
- The objection fails because movable property may be attached anywhere
- The objection succeeds only if the property is worth more than the claim
Explanation
For ordinary claims, jurisdiction lies with the court of the defendant's domicile; the mere presence of movable property elsewhere does not create a special forum. The objection is therefore well-founded.
Question 50Civil Procedure (Ayin-e Dadresi-e Madani)
Two parties agree in writing that any dispute between them will be heard by a specific court other than the court of the defendant's domicile. What is the effect of such an agreement?
- It is effective only if approved by the public prosecutor
- It is generally effective as a valid prorogation of jurisdiction between the parties Correct answer.
- It transfers the case automatically to arbitration
- It is void because jurisdiction cannot be chosen by agreement
Explanation
Parties may, within the limits set by the Code, agree on a competent court, and such an agreement binds them. It does not, however, convert the dispute into an arbitration.