The Judiciarys Law Journal

The Judiciarys Law Journal

“Theory of Rule of Impossibility of Extension of Arbitration Agreement” in Iranian Law; Emphasis on “Subrogation Theory”

Document Type : Research/Original/Regular Article

Author
Assistant Prof. of Private Law, Department of Law, Faculty of Theology and Islamic Sciences, University of Meybod, Meybod, Iran
10.22106/jlj.2025.2022199.5868
Abstract
“Extension of the Scope of Arbitration Agreements to Third Parties in the General Sense” is one of the controversial topics in the legal world. Some, citing the non-judicial nature of arbitration and the basis of its agreement's effect on the parties' consent, believe that this effect also includes the parties' successors and related third parties. Others, emphasizing that arbitration falls within the scope of the litigation process, believe that judgment is a sovereign matter that is entrusted to the arbitration institution only in certain circumstances, at the discretion of the state. In the present study, using a descriptive-analytical method, in response to the question of whether an arbitration agreement is transferable to others, relevant legal doctrine and statutory provisions are examined, and the views of the two aforementioned groups are compared by identifying the “Concept of Succession and Third Party and Their Independence from Each Other”, “The Basis of Legitimacy and Jurisdiction of Arbitration”, and by citing positive law and judicial precedent, “The Rule of Impossibility of Extending the Arbitration Agreement to Third Parties in The General Sense in Iranian Law” is discovered and inferred; Thus, in addition to the fact that referral to arbitration is a completely exceptional matter, under no circumstances is a broad interpretation of the arbitration agreement possible with respect to the successors of the contracting parties and third parties.
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Volume 88, Issue 128
Spring 2025
Pages 61-87

  • Receive Date 25 March 2024
  • Revise Date 28 September 2024
  • Accept Date 09 May 2025
  • First Publish Date 09 May 2025
  • Publish Date 19 February 2025