Characteristics of the Call of Option

Call of option is a pre-contract which paves the way for conclusion of the contract in future. This contract originates from economic needs and in the financial markets of the world; and it is these very economic needs and ought's which determine many of its characteristics, rules, and principles governing it. Given the developing motion of the Iranian financial markets, characteristics of this contract should be known.Commitment to sell or purchase some item by one of the parties and production of some option for the other party as well as payment to acquire such an option have made this kind of contract an unrivalled arrangement with its own rules. This is an arrangement whose similar can be found in no one of the various contracts mentioned in the Civil Law. Given the numerous objections and suspicions posed against this contract as well as incorrect description provided for it by some authors, and since in spite of mentioning the call of option, the Law of Iranian Negotiable Exchange has not described the nature and characteristics of this contract,the present study tries to discuss the most important characteristics of the call of option, and provide replies for objections and suspicions posed against it.