The Foundations and Features Governing Arbitration by Iran Chamber of Cooperative
Ahmad Alavi, Mohammad Esmail Daemi
Arbitration is one of the most important dispute resolution mechanisms. It may be either voluntary or mandatory. The main goal of this article is to examine mandatory arbitration in the Iranian cooperative sector. Since arbitration has been defined as a special and private proceeding, nowadays arbitration, particularly its mandatory type, appears frequently in various fields, laws and regulations such as the Law of the Cooperative Sector of the Economy of the Islamic Republic of Iran, enacted in 2014. This law refers to mandatory arbitration in Note 14 of Article 57 and stipulates that an arbitration clause shall be included in the articles of association of the chambers of cooperative. Mandatory arbitration under the Law of the Cooperative Sector of the Economy of the Islamic Republic of Iran is based on resolving controversies and therefore, it is solely targeted at establishing compromise and reconciliation between the parties. Dispute settlement, establishing equity and justice, non-judicial and cost-free resolution of disputes, and maintaining order in the community and the interests of the parties can be recognized as the foundations governing arbitration under the Law of the Cooperative Sector of the Economy of the Islamic Republic of Iran.