S. Morteza Shahidi; Ebrahim Abdi-Poor Fard
Volume 6, Issue 2 , March 2018, , Pages 11-24
Abstract
The transactions of physical markets of commodity exchanges in Iran –both “Iranian mercantile exchange” and “energy exchange” which include sale of goods and derivatives as futures and options - consist of spot, credit and short sale and are governed by its ...
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The transactions of physical markets of commodity exchanges in Iran –both “Iranian mercantile exchange” and “energy exchange” which include sale of goods and derivatives as futures and options - consist of spot, credit and short sale and are governed by its specific regulations. Although the mentioned transactions are instances of sale contract and according to Iran’s law the title of goods is transferred when the sale contract is concluded, the obligations derived from them are prior to the transfer of the title of goods. The obligations of parties and liability of broker and principal according to commodity exchanges regulations are studied and analyzed in this article. Principals are engaged indirectly in these transactions, but they also have rights and obligations to the extent that they can preclude the conclusion of contract. In the performance of these specific transactions the main contractual remedy in Iranian law – recession - is missed. Instead of, rescission, termination and compensation are remedies determined by SEO regulations and directives.
