Document Type : Research Article
Author
Assistant Professor of Private Law, Research Institute for Culture and Communication, Allameh Tabataba'i University, Tehran, Iran
Abstract
Termination of a contract has effect for the future, and the contract remains valid until a cause for its termination occurs. Therefore, upon the exercise of termination, the contract is dissolved from that time onward, and the effect of termination does not extend retroactively to the past. Nevertheless, the parties to a contract may consider their interest to lie in the dissolution of the contract from the very first day and agree that, in the event of termination, the contract shall be dissolved ab initio (from the beginning). There is disagreement regarding the possibility of accepting such an agreement in jurisprudence and law, and its rulings, effects, and exceptions have not been properly clarified. It is necessary to determine whether it is possible for the termination of a contract to have retroactive effect by agreement of the parties, and subsequently to specify its rulings and effects. In this article, library sources have been used with an analytical-descriptive method and through a comparative study of the subject, it was concluded that it is possible to extend the effects of contract termination retroactively. The rulings, effects, and exceptions of this matter have also been examined and explained.
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Main Subjects
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