Abstract
Open contracts are agreement whereby parties of the contract can insert terms and conditions in the contract, delete them, or revise them. Some contracts for the supply of goods or construction are examples of such contracts. One party (usually a contractor or seller) can have many initiatives by increasing and decreasing the price or by changing elements of the contract. Certainly, there are many reasons, motives, and important goals in creating this type of conventions and its acceptance by the legal community. Discovery of these reasons and the goals leads to fundamental changes and definition of this type of contract could be a major driver of reform in Iranian contract laws, as Iranian community prefers to use example or pre-specified forms of contracts. Therefore, referring to the Principles of European Contract Law and implementation of the legal provisions, legal doctrines, and jurisprudence, presentation of new concepts such as open contract as well as analysis of its nature, validity, and effects leads to establishment of grounds for accepting new contractual frameworks and its localization of contractual rights in Iran because it has been rejected due to traditional perspectives. It may result in legislation to pave the way for solving many legal problems in specialized issues such as oil contracts. In this regard, in addition to genealogy of open contract, this article aims to examine its types and its effects legally in the laws of countries like Iran and European countries.
Highlights
Development and expansion of trade in domestic and international level, problems in this regard, especially in the context of continuous contracts such as contractual obligations that their implementation and conclusion requires a relatively long time, possibility of changes in social conditions, inflation, lack of accessories to fulfil the obligation or impossibility of determining the price due to economic fluctuations, the famous vote on March 13, 1916 by the French government in case the municipality of Bordeaux and Gas Company are reasons and examples for the ncecessity to predict a way to revise contracts
In terms of its concept, open contract is established due to an agreement by two wills to create a legal effect in which parties can be silent according to their demands and interests and assign determination of some specific conditions to future
After evaluation of the positive and negative effects of open contract, it can be said that the traditional approach, which stresses on the strength and stability of contracts and the security of legal relations, requires determination of all contents at the time of conclusion of the contract
Summary
Development and expansion of trade in domestic and international level, problems in this regard, especially in the context of continuous contracts such as contractual obligations that their implementation and conclusion requires a relatively long time, possibility of changes in social conditions, inflation, lack of accessories to fulfil the obligation or impossibility of determining the price due to economic fluctuations, the famous vote on March 13, 1916 by the French government in case the municipality of Bordeaux and Gas Company are reasons and examples for the ncecessity to predict a way to revise contracts These problems and consequences has led to emptiness and extreme need of oil and petrochemicals merchants and companies to new and advanced procedures and rules like developed countries. Some supplies of goods or construction contracts, which are concluded in open-end forms, are examples of this type because one party (contractor or seller) have much freedom with reducing of increasing price through changing other contractual elements; in this manner, he creates a formalist way to shirk some responsibilities
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