1)   THE GENERAL PRINCIPLE

Generally the burden of proof falls upon the party who substantially asserts the truth of a particular fact. The normal rule is that a defendant is presumed to be innocent until he/she is proven guilty.*

*Article 1257 of the Iranian Civil Code/Article 197 of the Iranian Civil Procedure Code

2)      COMMENCEMENT OF PROCEEDINGS

... is subject to submission of a petition to the courts.*

*Article 48 of the Iranian Civil procedure Code

 

3)      HEARING

The parties may be present at the hearing or just send an essay to the court*.They also may introduce an attorney representing them during the proceedings, but they have to be present at the hearing if necessary at the judge’s discretion**.

*Article 93 of the same

**Article 94 of the same

 

4)      APPOINTING AN ATTORNEY OUTSIDE IRAN

If the power of attorney shall be granted outside Iran, it has to be certified within the Iranian Embassies.

 

5)      TAKING A GUARANTEE FROM NON-IRANIAN NATIONALS

The foreign claimant, at the request of the Iranian party, shall provide an  appropriate guarantee for the compensation of the court charges and attorney fees of the Iranian Party to which he/she may be convicted by the court.

-Exemptions and exceptions to this rule:

a)  If the Iranian party is under no obligation in providing such a guarantee in the country of the foreign national involved;

b)  Claims on commercial documents such as drafts, bills of exchange, cheques;

c)  The claims made by virtue of official documents;

d)  The claims made out of official announcements. (such as objection to registration)

 

6)   JURISDICTION IN COMMERCIAL LITIGATION

Generally litigations shall be taken to the courts within the judicial ambit of the defendant’s domicile. However, in case of commercial litigation, the claimant, unless otherwise agreed in their contract, can initiate proceedings in the court of the place of conclusion or performance of the obligations provided in the agreement.

 

7)      COURT COSTS

The cost of proceedings at initial stage if the amount of the claim is less than 10,000,000 Rials, more than 10,000,000 Rials and at the appeal stage are 1.5%, 2% and 3% respectively, based on the original claim amount.

 

8)      APPEAL

All judgments on financial claims amounting to more than 3,000,000 Rials are subject to appeal. Those residing in Iran can appeal within 20 days from the date of delivery of the initial judgment. The mentioned period for those residing outside Iran is two months.

 

9)      ROGATORY LETTER

Making investigation by Iranian courts at the request of foreign courts and vice versa is practicable only if the rule of reciprocity is applicable between the two countries.

 

10)  RECOGNITION and ENFORCEMENT OF CIVIL JUDGEMENTS OF FOREIGN COURTS

Civil judgments of foreign courts are recognized and enforced in Iran subject to conditions provided for in the respective laws and if the rule of reciprocity is applicable between Iran and the foreign country in this special regard.

 

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