Study of Compensation (Arsh) in the Law of Iran and the Shiite Jurisprudence and its Difference from Reduction of Price in the international Sale Convention

Transactions as a necessary part of life have been undertaken towards meeting the needs of people since the remote past. Making the exchange and paying the consideration have been among the big concerns of the parties to the contract. Thus different mechanisms based on the customs of each region and the type of the transactions have been provided to compensate the probable imbalance or injustice in certain transactions. The institution of compensation and reduction of price are among these mechanisms dealt with in domestic law and the international sale convention. The present article is an attempt to study and compare these two mechanisms.