Feasibility of Contractual Liability of Foreign Investment Companies in Iraq

Authors

    Arezoo Malekshah * Department of Law, ST.C., Islamic azad University, Tehran, Iran. a.malekshah@iau.ac.ir
    Ahmad Ommi Department of Law, ST.C., Islamic azad University, Tehran, Iran.
    Salam Rahimeh Ghanem Al-Saedi Department of Law, ST.C., Islamic Azad University, Tehran, Iran.

Keywords:

foreign investment, contractual liability, Iraq, exemption from liability, elements of liability

Abstract

This study aims to provide an in-depth and analytical examination of the various dimensions of contractual liability of foreign investment companies in Iraq. The primary focus is on defining and identifying the constitutive elements of contractual liability, distinguishing it from other forms of liability, and clarifying the mechanisms for adjustment and exemption from such liability within the framework of Iraqi law. A precise understanding of these concepts is essential for sustaining economic and legal relationships between foreign investors and the host government. The research adopts an analytical–descriptive approach grounded in the theoretical foundations of civil and commercial law. Data were collected through the review of Iraqi statutory texts, legal doctrine, and sample investment contracts, followed by systematic legal analysis. The study is organized into two main sections: the first explores the essence of contractual liability (definitions and elements), while the second addresses its adjustment and avoidance (exemptions and external causes). The findings show that the contractual liability of foreign investment companies in Iraq is based on three fundamental elements: breach, damage, and the causal link between them. Breach may arise from failure to comply with technical standards, failure to employ advanced technology, delays in performance, failure to disclose essential information, or failure to train local personnel. Moreover, Iraqi law (e.g., Article 259 of the Civil Code) permits agreements to exempt or adjust liability, except in cases of fraud or willful misconduct. External causes such as the breach of the other contracting party or the act of a third party may also lead to the exclusion of liability. A sound understanding of the concept, elements, and exemptions of contractual liability is vital for establishing a secure and predictable environment for foreign investment in Iraq. By providing a comprehensive legal analysis, this study can serve as a valuable reference for legal scholars, consultants, and policymakers in strengthening Iraq’s legal and economic frameworks and facilitating the attraction of foreign capital.

Downloads

Download data is not yet available.

References

Abd Al-Jawad, A. (2013). Contractual Liability for the Act of Another in the Lease Contract University of Karbala].

Akkoush, H. (1957). Al-Mas'uliyyah al-Madaniyyah fi al-Qanun al-Madani (Civil Liability in the Civil Law). Maktabat al-Qahirah.

Al-'Aboudi, A. (1997). Sharh Qānūn al-Ithbāt al-Irāqī (Commentary on the Iraqi Evidence Law).

Al-Bakri, I. A. M. (2018). Al-Wajiz fi Nazariyat al-Iltizam, Al-Juz' al-Awwal (The Abridged in the Theory of Obligation, Part One).

Al-Dhanoun, H. A. (2006). Al-Mabsūt fi al-Mas'uliyyah al-Madaniyyah (The Comprehensive in Civil Liability).

Al-Dhnaybāt, M. A. M. (2020). Ahkām al-Mas'uliyyah al-Madaniyyah (Rulings of Civil Liability).

Al-Faḍl, M. (1991). Al-Mas'uliyyah al-Qānūniyyah lil-Sharīkāt al-Ajnabiyyah (The Legal Liability of Foreign Companies).

Al-Ghunaymi, M. T. (2002). Al-Wajīz fi al-Tanzīm al-Dawlī (The Abridged in International Organization).

Al-Hakim, A. M. (2012). Al-Mūjaz fi Sharh al-Qānūn al-Madanī al-Irāqī (The Summary in Commentary on the Iraqi Civil Code).

Al-Hasan, B. (2014). Al-Wajiz fi al-Mas'uliyyah al-Madaniyyah (The Abridged in Civil Liability).

Al-Jubouri, K. (2018). Nazariyat al-Iltizām (The Theory of Obligation).

Al-Qasabi, I. a.-D. (1993). Hukm al-Tahkīm al-Ajnabī bayna Mujibāt al-Buṭlān (The Ruling of Foreign Arbitration between Grounds for Annulment). Dar al-Nahḍah al-'Arabīyah.

Al-Sanhouri, A. R. (2009). Al-Wasīṭ fi Sharh al-Qānūn al-Madanī, Al-Juz' al-Awwal (The Mediator in Commentary on the Civil Code, Part One).

Al-Sarrāf, A. (1995). Al-Mas'uliyyah al-'Aqdīyah 'an Fi'l al-Ghayr (Contractual Liability for the Act of Another). Dar al-Kitāb al-'Arabīyah.

Al-Shahāwi, Q. A. F. (2005). Al-Nazariyyah al-'Ammah lil-Mas'uliyyah al-Madaniyyah (The General Theory of Civil Liability).

Āmir, A. R. (1979). Al-Mas'uliyyah al-Madaniyyah (Civil Liability). Dar al-Ma'arif.

Bertrand, G. (1982). Al-Nazariyyah al-'Ammah lil-Mas'uliyyah al-Ta'aqudiyyah (The General Theory of Contractual Liability).

Fathi, I. (2004). Arkān al-Mas'uliyyah al-'Aqdīyah (The Pillars of Contractual Liability).

Fillali, A. (2002). Iltizāmāt al-'Amal al-Mustaḥaqq lil-Ta'wīd (Obligations of Compensable Work).

Hanan, O. (2022). The Scope of Contractual Liability for Tourism Companies. Journal of Legal and Social Sciences, Algeria.

Hiyawi, A. I. (2003). Foreign Investment Contracts.

Issa, H. M. (2010). Al-Nizām al-Qānūnī li-'Uqūd Naql al-Tiknulūjiyā (The Legal System of Technology Transfer Contracts). Dar al-Mustaqbal.

Ja'far, M. H. (2011). Mas'ūliyyat al-Muqāwil al-'Aqdīyah 'an Fi'l al-Ghayr (The Contractor's Contractual Liability for the Act of Another). Al-Mu'assasah al-Hadīthah lil-Kitāb.

Jamal al-Din, M. (1978). Al-Wajīz fi al-Nazariyyah al-'Ammah lil-Iltizām (The Abridged in the General Theory of Obligation).

Khalil, Y. A. H. (2010). Al-Nizām al-Qānūnī li-'Uqūd al-Tiknulūjiyā (The Legal System of Technology Contracts).

Marqus, S. (1997). Al-Wāfī fi Sharh al-Qānūn al-Madanī fi al-Iltizāmāt (The Comprehensive in Commentary on the Civil Law on Obligations).

Muhyi al-Din, R. (2009). Ṭuruq Khaṣkhaṣat al-Marāfiq al-'Āmmah (Methods of Privatization of Public Utilities).

Mustafa, A. H. (1991). Aqd al-Muqāwalah (The Contract of Enterprise/Contracting).

Mustafa, I. a.-D. (1972). Al-Taḥkīm al-Tijārī al-Dawlī (International Commercial Arbitration).

Nasr al-Din, M. (1998). Al-Nazariyyah al-'Ammah lil-'Uqūd (The General Theory of Contracts).

Sharaf al-Din, A. Al-Tabī'ah al-Qānūniyyah bayna Rabb al-'Amal wal-Muqāwil (The Legal Nature between the Employer and the Contractor). Ain Shams University.

Tayeh, S. A. S. (2005). Nazariyat al-Iltizam (The Theory of Obligation). Dar al-Ma'arif.

Zaki, M. J. a.-D. (1978). Al-Wajīz fi Nazariyat al-Iltizām (The Abridged in the Theory of Obligation). Cairo University Press.

Downloads

Additional Files

Published

2026-04-01

Submitted

2025-06-01

Revised

2025-10-11

Accepted

2025-10-18

Issue

Section

Articles

How to Cite

Malekshah, A., Ommi, A. ., & Rahimeh Ghanem Al-Saedi, S. (2026). Feasibility of Contractual Liability of Foreign Investment Companies in Iraq. Interdisciplinary Studies in Society, Law, and Politics, 1-10. https://journalisslp.com/index.php/isslp/article/view/390

Similar Articles

11-20 of 88

You may also start an advanced similarity search for this article.