Examining How to Solve the Problems Related to the Application of Conflicting Laws in Foreign Trade Through the Application of Lex Mercatoria

Document Type : Scientific Research

Authors

1 Ph.D. Student, Department of Law, Najaf Abad Branch, Islamic Azad University, Najaf Abad, Iran.

2 Assistant Professor Department of Law, Farahan Branch, Islamic Azad University, Farahan, Iran

Abstract

How to administer contracts concluded in foreign trade, especially in relation to determining the appropriate law for managing disputes, has always been one of the challenging issues of contract law, which has been the subject of many discussions among jurists for decades. Examining the international commercial arbitration procedure shows that there are two important options for managing such contracts, which are the application of conflict resolution rules, which often lead to the application of a specific national law, and the other option is Lex Mercatoria, or transnational commercial law, which the main feature of its principles and rules is that it does not belong to a specific legal system, and in other words, its constituent principles and rules are extraterritorial. In this research, while analyzing the problems related to the application of conflict resolution rules in contracts concluded in international trade, we will show how to solve these problems through the application of Lex Mercatoria. The discussions raised in this article show that due to the many problems related to the application of national conflict resolution law, Lex Mercatoria can be a more efficient option for managing contracts concluded in foreign trade.

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References

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