
Contract termination (faskh)
Termination of a contract arises where the contract is valid but one party has the power to end it under a legal right or contractual clause. Breach alone does not always create a right of termination; the source of that right must be established in the law or the contract.
Request a consultationContract termination (faskh)
Termination of a contract arises where the contract is valid but one party has the power to end it under a legal right or contractual clause. Breach alone does not always create a right of termination; the source of that right must be established in the law or the contract.
Important points in contract review
Point 1
The complete contract, addenda and relevant clauses
Point 2
When the obligation arose, its due date and evidence of performance or non-performance
Point 3
Correspondence, messages, formal legal notices, payment receipts, and delivery documents
Point 4
Security, agreed sums for breach, termination rights and dispute-resolution clauses

Importance of a careful contract review
Choose the legal characterisation from the actual contract and evidence. Similar-looking cases may require different solutions, particularly for termination, nullity, compelling performance and damages.
Related topics
Right-to-terminate clauses and automatic-termination clauses
The difference between a contractual right of termination and a condition that terminates the contract upon its occurrence.
Compelling performance of contractual obligations
Follow up on the implementation of an obligation that has become due and the obligor has refused to perform it.
Claiming agreed sums for breach and contractual damages
Reviewing the agreed-sum clause, breach and availability of contractual damages.
Judicial invalidation and nullity of contracts
Reviewing missing conditions for validity and distinguishing nullity from termination, automatic termination and termination by mutual agreement (eqāleh).
Relevant legal sources
Iranian Civil Code («قانون مدنی»)
Iranian Code of Civil Procedure («قانون آیین دادرسی دادگاههای عمومی و انقلاب در امور مدنی»)
This list identifies the principal legal provisions relevant to the page. The applicable law and amendments must be checked against the dates, subject matter and circumstances of each case.
The official texts and latest amendments are available in the National Database of Iranian Laws and Regulations.
Frequently asked questions
Methods of contact
For legal advice or follow-up on a case, contact us using one of the methods below.