Validity of Open Contract in International Trade Law

  •  Abdorreza Shojaei    


Open contracts are agreement whereby parties of the contract can insert terms and conditions in the contract, delete them, or revise them. Some contracts for the supply of goods or construction are examples of such contracts. One party (usually a contractor or seller) can have many initiatives by increasing and decreasing the price or by changing elements of the contract. Certainly, there are many reasons, motives, and important goals in creating this type of conventions and its acceptance by the legal community. Discovery of these reasons and the goals leads to fundamental changes and definition of this type of contract could be a major driver of reform in Iranian contract laws, as Iranian community prefers to use example or pre-specified forms of contracts. Therefore, referring to the Principles of European Contract Law and implementation of the legal provisions, legal doctrines, and jurisprudence, presentation of new concepts such as open contract as well as analysis of its nature, validity, and effects leads to establishment of grounds for accepting new contractual frameworks and its localization of contractual rights in Iran because it has been rejected due to traditional perspectives. It may result in legislation to pave the way for solving many legal problems in specialized issues such as oil contracts. In this regard, in addition to genealogy of open contract, this article aims to examine its types and its effects legally in the laws of countries like Iran and European countries. 

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