Feasibility of Agreement on Courts Exclusive Jurisdiction in Iranian Law

Nowadays, great importance has been attached to the contractual terms especially the agreement on choice of court in international commercial contracts for possible disputes. Although, considering the party autonomy principle and parties’ interests, the agreement on the court that will have jurisdiction over the case is acceptable and this agreement obviously is valid in some legal systems and also in international instruments, Iranian Law casts serious doubt on it. Lack of certain laws and deficiency of case law in Iran have induced this uncertainty. The confusion in the clause to the exclusion of Iranian courts’ jurisdiction is more serious. This article using descriptive-analytical method and focusing on some Acts and Cases in legal system of Iran indicates that in Iranian Law, the agreement on jurisdiction that introduces the Iranian courts as competent court is acceptable. Accordingly, Iranian Law operates like many other legal systems. Nevertheless, it deals with more restrictions on the exclusion of Iranian courts’ jurisdiction clause. This clause is valid unless the subject of dispute is related to issues that the Iranian courts have exclusive jurisdiction.