Compensation for Loss of Potential Benefits Due to Loss of Opportunity to Conclude a Contract in Void Transactions

R, S; Khakzad Arablou, Sayyad

doi:10.22034/jlvi.2025.2041418.1245

Compensation for Loss of Potential Benefits Due to Loss of Opportunity to Conclude a Contract in Void Transactions

Document Type : aa

Authors

S R ¹

sayyad Khakzad Arablou ²

¹ .

² judge

10.22034/jlvi.2025.2041418.1245

Abstract

Calculating damages from harmful actions is a complex legal challenge. Iranian law, guided by the “no harm” rule and full compensation, seeks complete restoration of losses. A key issue arises when a transaction is later deemed void: the obligee loses the chance to enter a valid contract and the potential benefits they could have gained.While compensation for lost benefits is accepted when a valid contract is breached, disagreement exists when the contract was fundamentally void. The core of this debate lies in interpreting compensation.Iran’s Supreme Court addressed this in Unified Procedure Rulings 733 and 811, aiming to compensate for lost opportunity and expected benefits. Though seemingly aligned, the rulings differ significantly. Ruling 811 implicitly accepted compensating for the lost opportunity to contract and resulting potential profits, calculating damages based on estimated transaction benefitsHowever, given that this type of loss is considered lost potential profit, the widespread acceptance of such damages in Iranian law remains a matter of dispute and debate.

Keywords

Compensation for damage

loss

death of opportunity

corrupt transaction

possible benefits

ب) منابع انگلیسی

Ø Bray, Samuel L., Remedies (2019), in Oxford Handbook of New Private Law (Andrew Gold, John C.P. Goldberg, Daniel B. Kelly, Emily L. Sherwin, & Henry E. Smith eds., 2019), Notre Dame Legal Studies Paper, available at: https://papers.ssrn.com (last visited on 22/09/2024).

Ø The UNIDROIT Principles of International Commercial Contracts (2016) (UPICC).

Ø https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3358925.

Ø https://rrk.ir/Laws/ShowLaw.aspx? Code=23551.