Formation of e-Contracts Under Iranian Electronic Commerce Act

Abstract

The time and place of formation of a contract comprise significant legal effects under the law of contracts. In case of electronic contracts, the determination of time and place of dispatch and receipt of an electronic message plays a significant role to determine the time and place of formation. The Electronic Commerce Act of Iran provides a number of provisions concerning the formation stage. The modification of the dispatch and receipt provisions has a significant impact to fulfill the present legal-commercial demands in line with new technologies. This paper aims to provide legal recommendations for amending the time and place of dispatch and receipt rules of an electronic message. We used the analytical-comparative method to the principles and legal effects of formation under the Iranian Electronic Commerce Act. The results conclude that the dispatch and receipt principles have some defects and silence features. Moreover, the related provisions are not adequate to address legal issues arising from new technologies like internet.

Keywords: Iran, Electronic Commerce law, Electronic Contract, Dispatch and Receipt, Electronic Message