IRAQ 1 & 2/1990: THE CIVIL

CODE
Foreword
The Civil Code of Iraq was enacted on 18 September 1951,
and came into operation after two years which commenced
running from the date of its promulgation in the Official
Gazette: its provisions have been taken from two sources,
namely the Islamic Shari'a and the Civil Code of Egypt which
copied its provisions from the laws of the West and the
Islamic Sharia." (Excerpt from the Reformation of the Legal
System Law No.35 of 1977).
The first source of this Code has been taken from
'Malallat A1 Ahkam A1 'Adliyya', which was the Civil Code
that was compiled for the Ottoman Empire; it was compiled
and arranged by a commission appointed by the then Prime
Minister of the Ottoman Empire to whom the Commission
submitted its report which inter alia read:
*We have
arranged a 'Maialla' comprising questions and other juristic
matters which are of daily occurrence and thus are needed
mostly; these were compiled from reliable sayings of the
honourable Hanafi authorities...
"The first part is made up of maxims. The second part
of A1 Majalla is made up of the rules compiled by Ibn
Noujaym and other iurists who were of the same school of
thought as him... The Shari'a judges may not render
judgments on the strength of any of these rules except when
they can find an express provision; nevertheless these rules
have overall benefits to control matters: he who has access
to them will decide according to the proofs adduced...by
adopting these rules a person is enabled to apply his
transactions such as is conformant to the honourable
Shari'a, at least in an approximate manner."
This code was written in Turkish and then translated
into the Arabic language. The first part comprised general
maxims, some of which have been copied in the Civil Code of
Iraq, and the second part contains provisions governing
sales, leases, companies, drafts, courts, oaths, etc...
As these maxims and provisions have been taken as stated
above from the sayings (opinions) of famous jurists and the Shari'a

3.4-to
and due to ambiguities it was therefore considered necessary
have

them

explained

by

quoting

the

relevant

opinions

of

noted

jurists. Hence came "Sharh Majallat A1 Ahkam A1 Adliyya", by Salim

Rustum Baz (the Lebanese) from which I have quoted in certain
instances relevant explanations.
In order for this book to be as accurate as possible I had to
do exhaustive research work; I resorted to the Library of Congress
in Washington, D.C., where the staff of the Middle East Legal
Department
Yurguey

afforded

Hakim

me

whose

assistance;
assistance

and

mention

in

painstaking

particular

Dr.

efforts

were

invaluable in assisting me to achieve the relative excellence I

think I have achieved in this work. ,

IRAQ 1 & 2/1990: THE CIVIL CODE

do

not

omit

to

mention

my

wife

whose

forbearance

and

tolerance enabled me to spend nights on end in quest of perfection

and correction of misquotations.
It

was

deemed

useful

to

append

to

this

foreword

few

Articles of A1 Majalla which give an explanation of certain words

as used in the text.
The large number of parentheses in the translation is the
result

of

the

necessity

to

clarify

stylistic

changes.

These

parentheses have been used in order to indicate to the reader that

in these passages the translator has added something that is not
literally found in the Arabic text. They may be disregarded and the
text enclosed therein should be considered an integral part of the
context. In a few cases, however, the words in parentheses serve
another purpose, namely that of explaining the preceding words.

N. Karam 1990

3.4-2

IRAQ 1 & 2/1990: THE CIVIL CODE

Excerpts from "Majallat A1 Ahkam A1 Adliyya"

(The Civil Code of the Ottoman Empire)
Article

103.

obligation

by

(A1
the

Aqd)

Contract

contracting

is

parties

the

undertaking

to

perform

of

an

certain

specified matter; it is the tying of the offer with the acceptance.

Article 104. - (A1 In'iqaad) Clinching is the mutual confirmation
of the offer and the acceptance in a lawful manner the effect of
which appears in their object (cause).
Explanation: That which relates to offer and acceptance in a sale
is the thing sold, the price and the effect which appears in them
is the legal consequence of sale, i.e. establishing ownership of
the thing sold to the purchaser and of the price to the vendor.
Article 108. (Bay1 Sahih) Valid sale is one which is permitted and
it is the sale which is lawful as to its identity and attributes.
Article 109. - (A1 Bay'a A1 Fased) Voidable sale is that which is
lawful as to its cause and not to attributes, meaning that it is
concluded as to its identity and unlawful in regard to some of its
external attributes.
Explanation: What is meant by the legitimacy of the cause is that
it is property which is permitted to be enjoyed (property which is
acquired) and the external attributes are those which are outside
the element of sale which is the offer and acceptance and its
object is the thing sold: a voidable sale is that which insofar as
regards its cause is lawful (legitimate) but not insofar as regards
its

attributes,

such

as

where

the

sale

concerned

an

acquired

(permitted to be enjoyed) property where the price has not been

named; the sale of an acquired (permitted to be

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IRAQ 1 & 2/1990: THE CIVIL CODE

enjoyed) property is valid but because an element voiding it has

occurred which is the ignorance of the price the sale is voided...
this kind of sale implies ownership by receipt except in mortgages
that will be laid down in Article 371 of A1 Majalla.
Article 110.
which

is

- (A1 Bay'a A1 Battel) A void sale is that

not

originally

(initially)

valid,

i.e.

it

is

not

legitimate (lawful) ab initio.

Article 113.

- (A1 Bay'a A1 Nafethe) Effectual (enforce

able) sale is one to which the right of a third party is not

related; it is either binding or not binding.
Article 114. - (A1 Bay'a A1 Lazem) Binding sale is the sale which
is effectual and devoid of any options.
Article 115.

- (A1 Bay'a A1 Ghayr Lazem) Unbinding sale is

the effectual sale which contains (to which is attached) an option.

Article 116. - (A1 Khayar) Option is where either contracting party
has an option as will be detailed in the ad hoc chapter.
Article 117.

- (A1 Bay'a A1 Muttlaq) Definite sale is the

conclusive sale.
Article 119.

- (Bay'a A1 Istighlal) Exploitation sale is

the sale of property with a right of redemption provided the vendor

will have it leased to him.
Article

123.

(Bay'a

As

Salam)

Is

sale

of

thing

to

be

delivered on a future date against immediate oayment of the price.

Explanation:

3.4-4

i.e. payment of the price immediately and

IRAQ 1 & 2/1990! THE CTVTL CODE

enjoyed) property is valid but because an element voiding it

has occurred which is the ignorance of the price the sale is
voided.. .this kind of sale implies ownership by receipt
except in mortgages that will be laid down in Article 371 of
A1 Majalla.
Article 110. - (A1 Bay'a A1 Battel) A void sale is that which
is

not

originally

(initially)

valid,

i.e.

it

is

not

legitimate (lawful) ab initio.

Article 113. - (A1 Bay'a A1 Nafethe) Effectual (enforceable)
sale is one to which the right of a third party is not
related; it is either binding or not binding.
Article 114. - (A1 Bay'a A1 Lazem) Binding sale is the sale
which is effectual and devoid of any options.
Article 115. - (A1 Bay'a A1 Ghayr Lazem) Unbinding sale is
the effectual sale which contains (to which is attached) an
option.
Article 116.

(A1 Khayar) Option is where either

contracting party has an option as will be detailed in the ad

hoc chapter.
Article 117. - (A1 Bay'a A1 Muttlaq) Definite sale is the
conclusive sale.
Article 119. - (Bay'a A1 Istighlal) Exploitation sale is the
sale of property with a right of redemption provided the
vendor will have it leased to him.
Article 123. - (Bay'a As Salam) Is a sale of a thing to be
delivered on a future date against immediate payment of the
price.
Explanation; i.e. payment of the price immediately and
taking (receiving) the thing sold after a certain specified
time.

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IRAQ 1 & 2/1990! THE CTVTL CODE

Article 124. - (A1 Istisna'a) Is a contract with a craftsman

(professional) to manufacture (do) something: the worker is
the manufacturer and the purchaser is the hirer (mustasni1)
and the thing is the product.
Article 125. - (A1 Hulkiyya) Ownership is that which is owned
by a person be it commodities or benefits.
Explanation:

Commodities

such

as

things,

immovables,

and

animals and benefits such as dwelling (habitation). Benefits

were ranked as ownership and not as property because the
ownership

is

that

which

person

can

dispose

of

in

specified manner and property is that which is saved (stored)

to be enjoyed when the need arises (Radd Muhtar) that is
benefits

are

commodities

which

expire

(are

consumed)

and

cannot be stored.
Article 126. - (A1 Hal) Property is that which human nature
tends to have and may be saved (stored) until it is needed,
regardless of whether it is a movable or an immovable.
Explanation: The difference between ownership and property is
specific and general: every property is an ownership and not
every ownership is property because benefits are owned as we
have already said and are not property as they cannot be
stored until needed.
Article 127. - (A1 Mai A1 Mutaqawwim) Is used to mean two
things: the first being: all that which it is allowable to be
enjoyed; and the second as meaning the acquired property:
fish in the sea is not property acquired (Mai Mutaqawwim) but
when it is caught it becomes mutaqawwim by acquisition.
Article 128. - (A1 Manqool) A movable is the thing which may
be moved from one place to another and covers (nuqud) money,
commodities, animals, things that are measured by volume or
by

weight

(as

well

as

accessories of the land).

3.4-5

buildings

and

trees

if

they

are

IRAQ 1 & 2/1990! THE CTVTL CODE

Article 130: - (Nuqud) money, is the plural of (naqd) which

is gold and silver, regardless of whether they are minted or
not.
Article 131. - (A1 ' Arudh) Commodities is the plural of
('ardh) and are other than (nuqud) - gold and silver -,
animals, things that are measured by volume or weight, such
as effects and cloth.
Article 132. - (A1 Muqaddarat) Quantitatives are things the
quantities of which are measured by volume, weight., unit, or
dra'

(a

measure

of

length

equal

to

67

centimetres)

and

includes things measured by volume, weight, unit and dra's.

Article

138.

(Masha'a)

Joint

ownership

is

that

which

contains unparcelled (common) shares.

Article 139. - (Hissa Sha'i'a) Is the share which is applied
to every part of a -jointly owned property.
Article 140. - (A1 Jins) Kind/specie is the thing the units
of which do not contain excessive difference as regards the
purpose for which it is intended.
Article 141. - (A1 Jizaf) En masse (in bulk) is the sale of a
total

(of

things

without

estimation,

or

specifying

the

quantity, volume or count).

Article 145. - (Hal Mithli) Fungibles are that which have a
comparable thing in the market with no significant disparity.
Article

146.

(A1

Queemy)

Things

measured

by

value

are

things the comparable of which does not exist in the Market

or

the

comparable

of

which

exists

in

the

market

with

significant disparity in value.

Article 147. - (A1 Ma'dudat A1 Mutaqariba) Are countables
among

the

individuals

and

units

of

which

there

is

no

disparity in value; all of them are fungibles such as nuts

and eggs.
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IRAQ 1 & 2/1990! THE CTVTL CODE

Article 148. - (A1 Madudat A1 Mutafawita) Countables with a

disparity are countables the individuals and units of which
differ in value; all are non-fungibles, such as water melons
and cantaloupes.
Article 149. - (Rukn A1 Bay'a) The element of sale means its
nature (essence) meaning exchange of property with property
and it is used also to denote offer and acceptance because
they imply exchange.
Article 153. - (Ath thaman A1 Musamma) The price named is the
price which is quoted mutually by the contracting parties at
the time of the sale regardless of whether it corresponds to
its real value or it is less or more than the real value.
Article 154, - (A1 Qima) The value is the real price of a
thing.
Article

159.

(A1

'Ayn)

Is

the

thing

designated

and

identified, such as a house, a horse, a chair, a basket, a

bushel of wheat which are present (at the session of sale);
all of them are ('A'yan).
Article 164, - (Taghreer) Cheating is defrauding, such as
where the purchaser told the vendor: "Your commodity is not

3.4-7

IRAQ 1 & 2/1990: THE CIVIL CODE

worth one thousand, sell it to me for one thousand, you will

be the winner."
Article 165. - (A1 Ghobn A1 Fahesh) Excessive fraud is the
defrauding amounting to one half of one tenth, in (A1 'Arudh)
commodities, and one tenth, in animals, and one fifth or more
in immovables.
Article 166. - (A1 Qadeem) Ancient./old is where there is no
one who knows its beginning.
Article 170. - (Mahal A1 Bay'a) The object of a sale is the
thing sold.
Article 407.

- (Ijara Mungeaza) Present lease, is a

(contract) of lease which takes effect as of the time of the

contract.
Article 408. - (Ijara Mudhafa) Future lease, is a contract of
lease which takes effect as of a certain specified future
time.
Article 412.

(A1 Musta'gear Fihi) Is the property

delivered to a wage-earner (craftsman) for doing the work

undertaken by him pursuant to a contract of lease, such as
where cloth was delivered to a tailor to tailor it and a load
that was given to a porter to move it.
Article 416. - (Adh Dhaman) The warranty is the giving of a
comparable

thing

of

fungible

and

the

value

of

non-

fungible.
Article 4 17.
exploited,

is

- (Mu'ad Li 1istighla1) Designed to be

the

thing

designated

and

identified

to

be

leased, such as inns, houses, baths and shops or immovables

that have been built or purchased for being hired.

3.4-vi i
i

IRAQ 1 & 2/1990: THE CIVIL CODE

Article 616. - (Kafala Bid Darak) Is the warranty of the

price if the thing sold is replevined or the warranty of the
thing sold against defects (Majina' A1 Anhur).
Article 943. - (As Sagheer ghayr A1 Mumayyiz) Irrational
minor is he who does not comprehend the sale and purchase,
i.e. he who does not know that "the sale" deprives one of
ownership and "purchase" is an acquisition of ownership; he
does not differentiate between apparent excessive fraud (such
as deception amounting to 50 per cent) and insignificant
fraud. A minor who differentiates the foregoing is called a
rational minor (Sagheer Mumayyiz).
Article 1270, - (A1 Ardh A1 Mawat) (mawat land) Is that which
is not owned by any person nor is it pasture-land nor an area
from which the villagers or townspeople obtain their
fire(wood) and it is the land which is furthest from the
outermost house of the village, i.e. where the echo of a loud
voiced man cannot be heard when he shouts from the outermost
house lying at the periphery of that village or town.
Article 946. - (As Safeeh) Imprudent is he who improperly
spends his property, or squanders and loses and destroys his
property through excessive improper spending; those who are
careless in taking and giving (trading) and are not aware of
the method of trading and their enjoyment due to their
stupidity and light heartedness are also deemed to be
'imprudent'.
Explanation: The author of "A1 Hindiyya" said that an
imprudent person is he who acts contrary to the incumbencies
of the Shari'a and lets loose his desires, squanders in
spending, and behaves with no apparent object or an object
which is not considered by reasonable people to conform to
religion, such as paying singers...a person who spends all
his property for building places of worship and similar other
things is deemed to be 'imprudent'.
According to "Ad Durr A1 Mukhtar" the squandering of
property is contrary to the norms of the Shari'a and so is
3.4-9

IRAQ 1 & 2/1990: THE CIVIL CODE

good reasoning even when it is spent for charitable purposes

such as where it is spent for building places of worship and
similar things; in such cases an interdiction will be imposed
on him.
Article 1678. - (A1 Mulkiyya A1 Mutlaqa) Absolute ownership
is that which has not been confined to any of the causes of
ownership, such as inheritance and purchase; ownershio which
is confined to one of these reasons is termed "causal
ownership".
Article 1683. - (Tahkeem A1 hal) Making the present state (of
affairs) a legal consequence: (starting from the present
state of a court's finding, meaning making the present
actuality
(as
opposed
to
future)
(findinq)
a
legal
consequence: it is a kind of (Istishab).
(Istishab) Association as explained in At Tahreer is:
"The legal consequence of the permanence of a thing certain
the non-existence of which is not presumed; it has the
meaning of leaving that which existed as it existed."
There was a difference regarding the force of its
proof: some said that it was an absolute proof and some
others denied its strength of proof absolutely; the three
giants, Abu Zayd, Shams A1 A'imma and Fakhr A1 Islam, agreed
that it is proof for rebutting not for replevin; this is the
famous interpretation which has been adopted by the jurists.
Article 1746. - The oath will not be tendered except when it
is called for by the adversary; the iudge may however tender
the oath without a request from the former in four cases:
where a man has claimed and proved a right against a
succession the judge will tender the oath to him to confirm
that he has not received this right himself nor through any
one from the deceased nor did the decedent release his
liability thereon nor did he draw a draft on a third party
and that no one has performed this right and that the
decedent did not have a mortgage against this right: this is
called the oath of Revelation (Istizhar).

3.4-10

IRAQ 1 & 2/1990: THE CIVIL CODE

REFORMATION OF THE LEGAL SYSTEM LAM NO.35 OF 1977

BXCERPT FROM THE REFORMATION WORK PAPBR
Chapter 2 - The Civil Legislation
The civil legislation in Iraq includes a combination of rules
taken from various sources differing in spirit and trend. All
of them, however, although of different scopes, must rest on
the
basis
and
must
endeavour
to
achieve
comparable
objectives.
To get in line with the philosophy and obiectlves of
the July Revolution of 1968 the object of the civil
legislation must be the support of socialist understandings
and assertion of the socialist moral values in enforcing
and interpreting legal ties. All this necessitates the
/
laying down of legal rules and provisions which will secure
the gradual transformation of the legal relations within the
framework of individuals to the 'socialist framework'. The
formulation of such rules and provisions necessitates careful
consideration of the existing civil legislation which unveils
many weaknesses engulfing our legal 'civil' life insofar as
regards the objectives and contents of this legislation.
Due to the multilateral aspects of the legal 'civil'
life the legislation governing it varies according to its
varied aspects: some of it regulates the rights in rem and in
personam, within the framework of the Civil Code, and others
lay down the procedures of legislation.
In the following we shall cover in succession the Civil
Law and the Civil Procedure:
Clause 1 - The Civil Code
The Civil Code of Iraq was enacted on 18 September 1951, and
came into operation after two years from the date of its
promulgation in the Official Gazette: its provisions have
been taken from two sources namely the Islamic Shari'a and
the Civil Code of Egypt which copied its provisions from the
laws of the West and the Islamic Shari'a.

3.4-11

IRAQ 1 & 2/1990: THE CIVIL CODE

The legislator was not successful in many cases in

merging harmoniously the provisions taken from the aforesaid
two sources or in selecting the best of them; also its
incapacity to keep abreast of the requisites of the present
state is quite evident.
Reformation
of
the
Civil
Code
necessitates
the
introduction of radical changes to rules which must respond
to the progress and philosophy of the economic and social
revolution and satisfy the requirements of development and
the building up of the socialist society.
Whereas the rules of this Law are contained in two
sections, namely the rights in personam (obligations) and the
rights in rem, it is therefore appropriate to deal in the
first place with the rights in personam and then with the
rights in rem where it is desired to reform the Civil legal
life.
(1) Rights in Personam
The rights in personam which are contained in the first part
of the Civil Code of Iraq contain two subjects, namely the
theory of obligations and the nominate contracts; in order to
support socialist understanding and to keep in line with the
economic and social development in the country it would be
necessary to introduce radical amendments to the provisions
of obligations and nominate contracts based on the following:
- The interests of society which are represented in the
State must be given priority over those of individuals who
are represented in the principle of sovereignty of the will
in enforcing and interpreting the legal relationships and
consequently reducing the differences between the relations
of the public law and those of the private (specific) laws
which find their roots in liberal capitalist thought.
- Viewing obligations as being relations between two
parties does not bar the change of either or both of them and
will respond to the prerequisites of the economic and social
development and satisfy the National Development Plan.

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IRAQ 1 & 2/1990: THE CIVIL CODE

- Laying down the rules which regulate the contracts of

execution of the National Development Plan and the extent of
the obligations and the rights resulting theref rom.
- Simplifying the form to such extent that will secure
public interest but does not neglect (overlook) the origin of
rights; this is needed because the formalities of executing
contracts result in the neglect of the private rights
provided that non-adoption thereof does not cause prejudice
to public interest.
- In
drawing
up
contracts
attention
must
be
concentrated
on
balancing
the
rights
and
obligations
resulting therefrom and voiding that which violates them and
on the permissibility of amending the contract by the
judiciary as would achieve this balancing and bar the
disposal of disputed rights in order to render justice, avoid
domination, and curb the thorn of the sovereignty of will
within the framework of contractual relationships where it
has become a source for exploitation.
- In order to protect the weak party in a contractual
relation, believing that the State has a duty to exercise
control over legal relations and in order to remedy the
inadequacy
of
the
contractual
responsibility
in
guaranteeing (securing) the rights of the insured party the
legal relation must prevail over the contractual relation.
- Extension of the cases of nullity as a penalty within
the scope of the defects of consent with a possibility of
coupling the judgment with another penalty such as damages,
if -justifiable; this should be done to prevent exploitation
bv the strong party of the contract of the weak party and to
do away with the causes and appearances of exercising
pressure in executing contracts.
- Accepting that nullity may not be the only just
(fair) penalty where the contract has violated a rule of
public law related to the content of the contract, the
judiciary must be enabled to review this content and add to
or delete therefrom in such manner which renders the contract
subject to public law one of the basic rules of which is
giving predominance to the interest of the public sector and
3.4-13

IRAQ 1 & 2/1990: THE CIVIL CODE

the prerequisites of the national development over other

interests.
- Reviewing the rules governing nominate contracts and
laying down rules which will secure that the provisions
thereof are comparable with the requisites of the era because
some contracts of which detailed provisions have been laid
down have been frozen as a result of the change of the
economic and social conditions for which specific provisions
have been enacted which conflict with the provisions of the
Civil Code such as the contract of lease; and because the
provisions governing some of the contracts which were
compatible one quarter of a century ago with the social and
economic conditions of Iraq and have come into prominence at
present and are playing a significant role in the economic
development and the development plan, the treating of their
provisions requires close attention and precise detailing
which will make them conform to the requisites of the
development such as insurance policies and craftsman's
contracts.
- Regulating the contracts of oublic works, the
undertaking of public utilities and the contracts of supply
and craftsmanship in a manner which includes such provisions
of form and positivity as will conform to their significance
in execution of the National Development Plans.
- Non-contractual
responsibility
in
the
field
of
production and the production services and in case of damage
resulting from things which due to their nature are dangerous
- such as mechanical machinery and electric and hydraulic
power - must rest on the element of injury alone and the
element of fault must be excluded from the bases of
responsibility,
i.e.
on
the
basis
of
bearing
the
consequences.
- Responsibility for a third party's action must be
based on the element of damage based on the idea of liability
so that the master will be responsible for the damage caused
by his followers (employees) and will be vested with the
right of recourse against his follower if the damage was
caused wilfully or through his gross fault; every person who

3.4-14

IRAQ 1 & 2/1990: THE CIVIL CODE

is bound legally or by agreement to exercise control over

someone who is in need of being controlled due to his
incapacity or his physical or mental condition will be
responsible to pay damages for the injury which such person
has caused to a third party; if however the injury was caused
by a person who needs to be controlled or if it was
impossible to obtain damages from the person responsible the
court may order the person who has caused the injury to pay
fair compensation with due observation of the situation of
the litigants.
- Protection of persons who suffer injuries as the
provisions of non-contractual responsibility are inadequate
to remedy the damage suffered by them through social
securities which thing confirms the duty of the State to care
for and remedy the grievances of the citizens.
- Include in the Civil Code special provisions for
protection of the copyright of literature, arts, and science;
the rights of discoveries and inventions; for the regulation
of good exploitation thereof in a manner which secures the
moral and material interests of the author, discoverer, and
the inventor and achieves the objectives of society in
building up socialism.
~ To use specimen contracts as a means to exercise
control over the administration and to protect the rights of
the citizens.
- Enact a special law laying down the rules of proof
which embraces form and positivity.
(2) Rights in Rem
The part of the Civil Code of Iraq dealing with the primary
rights in rem rested on glorifying private ownership as it
considered the right of ownership to be preventive,
comprehensive, and permanent which allows the owner absolute
disposal of that which he owns in specie benefit and
exploitation; this right is not restricted except as regards
that which causes excessive harm to the neighbour or involves

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IRAQ 1 & 2/1990: THE CIVIL CODE

an impermissible use of the right but did not concentrate on

that which relates to public interest in this respect.
Special
care
was
given
to
the
protection
and
confirmation of the vast ownerships and the semi-feudal
system and failed to restrict the volume of ownership in any
way.
In the part dealing with secondary rights in rem the
overall provisions originated from a clear trend which
favoured the interest of the credit over that of the debtor
and gave preference to capital over labour.
All the foregoing however does not conform any more to
the policy and objectives of the Revolution; based on the
economic social and political development in Iraq it is
imperative to define the basic rules in the part of the Code
dealing with rights in rem and then define the objectiveness
which it is desired to achieve.
(a) The basic rules
Whereas the authority of the Revolution has rejected the
semi-feudal capitalist system and adopted the social system
the rights in rem must be based on the following basic rules:
- The
socialist
system
aims
to
eradicate
the
exploitation of man by man and the conflict of the interests
of
the
individual
and
of
society;
and
whereas
the
relationships resulting from ownership are reflected on the
relations of production in all fields it is therefore
imperative to achieve and consolidate the equality of rights
and obligations among the interested parties as regards
rights in rem and to establish the principle of cooperation
and mutual help as a significant basis of the rules and
provisions concerning ownership which must be included in the
Civil Code.
- When exercising the rights of ownership citizens must
observe public interest and that exercising the same for an
object which is to the prejudice of the society and
individuals will be deemed impermissible and the result
obtained thereby does not vest a right unto the defaulter to
enjoy such result.

3.4-16

IRAQ 1 & 2/1990: THE CIVIL CODE

- The development of the economy in the socialist

system depends on advance planning which is practised by the
State in the various sectors; this will consequently be
prejudicial to the relationship of ownership and the
resulting personal relations which are regulated in the Civil
Code; based on the foregoing the realisation of the plans and
objectives of the National Development Plan is considered to
be a basis for the legal regulation of the rights and duties
resulting from ownership; the planning decisions will
therefore be paramount among the justifications of the arisal
of these rights and duties; the proprietors (owners) shall
also achieve the requisites

W:

3.4-17

IRAQ 1 & 2/1990: THE CIVIL CODE

for the National Plan and co-ordinate their activities with

its obiectives.
- Ownership is an economic notion (concept); therefore
the content and character of the right of ownership will be
determined and will change in accordance with the development
of the economic relations of society and the development
plans and may consequently take different forms and the use
and disposal thereof will take forms and contents which will
be different from those which existed or that which results
therefrom.
(b) The general objectives
According to the new perspective of the Socialist Revolution
the general objective of the Civil Code will change such as
it will become an effective tool in the development and the
building of the new society; this will reflect on ownership
and the other rights in rem as follows:
- Ownership is a social function: the Civil Code must
therefore specify the social function of every kind of
private ownership of the means of production and the
violation of the conditions laid down in the law for
exercising this social function will result in reconsidering
the right of the owner thereof by the State and determining
transference thereof to whoever is capable to perform this
social function.
- In case of conflict regarding ownership or the
enjoyment thereof public interest will prevail over private
interest.
- The ownership of the State must be considered as
being the leading form of public ownership on the road to
building socialism where private ownership must conform to
the prerequisites of the stages of building socialism.
- Widening the scope of oublic ownership to include and
protect the property of the State, the co-operatives and the
social institutions; this will entail determining the scope
of private ownership of the means of production, the
regulation of the use of the means of production which the

3.4-18

IRAQ 1 & 2/1990: THE CIVIL CODE

law allows to be owned by individuals, and the restriction of

the disposal by individuals of the property which as far as
society is concerned has a historic significance.
- Set down the rules which regulate immovable and
movable property, the products of the public co-operative and
mixed sectors and of the projects of the private sector which
are included in the National Development Plan.
- Regulation of the investment of the property of waqfs
(dedications) within the comprehensive framework of planning
in accordance with the most modern scientific systems in
order to transform it into an effective tool in the National
Development Operation.
- The rights of private ownership of the means of
production do not vest a right in the owner thereof to
destroy them or change their characteristics for other than
the purpose for which intended except within the limits set
down in the law.
- Permissibility of converting private ownership into
public or co-operative ownership against compensation and the
impermissibility of the reverse action except in accordance
with the rules which regulate the immovable and movable
property and products.
- Banning the appropriation of public property through
acquisitions or time limitations; banning the appropriation
by individuals of the sources of power such as the sources of
water and irrigation works.
- Banning the arisal of private ownership of immovables
through contiguousness.
- Revision and regulation of the rights of servitude
such as sinking drainage and passage as will conform to the
capacity of ownership as a social function.
- Confine pre-emption to cases of absolute joint
ownership other than in the agricultural lands.
- Restrict the right of ownership to full ownership
concerning agricultural lands and making it closer to the
right of disposal of Amiri lands because the ownership as a
social function of the agricultural lands is represented in
using them for agricultural purposes and no other and when
3.4-19

IRAQ 1 & 2/1990: THE CIVIL CODE

they forfeit their capacities as agricultural lands due to a

cause beyond the control of the owner thereof ownership
thereof reverts to the State where the owner will be
compensated either in specie or in cash as may be necessary;
failure to cultivate the land irrespective of its kind not
due to a force majeure or violation of the rules and
requisites of the Development Plan will be deemed to be
disruption
of
the
social
function
which
necessitates
reviewing the title of its ownership after the pattern of the
rules of exhaustion (disintegration) of the Amiri lands.
- Setting down the conditions for conveyance of the
ownership of agricultural lands by mutual consent or by the
rule of the law which must concentrate on the ability of the
assignee to perform the social function of that which
devolves upon him within the limits of his capacity to
exploit and in accordance with the requisites of building
socialism.
- Set down a maximum holding of a family tied with the
carrying on of the profession of farming.
- Liquidation of the ownership and right of disposal of
"absent" owners who are not professional farmers or those who
do not do work as actual farmers.
- Reduce the many kinds of land which have been copied
in the civil law from previous laws some of which have been
inherited from the Ottoman era and co-ordinate their
provisions such as will bestow the right of enjoyment as a
significant means of production in the agricultural sector.
- Cancel the rectification of the kind of agricultural
Amiri lands and liquidation of the right of emphyteusis in
all the agricultural lands.
- The ineffectuality of any disposal which gives rise
to rights over an agricultural land which may lead to
forfeiture thereof by the actual farmer or disrupt its
farming.
- Set a limit to the susceptibility of partitioning of
the jointly owned agricultural land which coincides with the
requisites of each kind of the Development Plan in the
various areas.

3.4-20

IRAQ 1 & 2/1990: THE CIVIL CODE

- Cancel the right of precedence in Amiri lands.

- Enact a legislation pertaining to the ownership
disposal and enjoyment of the agricultural lands which will
codify its provisions which are still scattered in several
laws.
- Collect and co-ordinate the provisions concerning
agricultural laws such as will be in harmony with projects of
the other sectors which are connected with the National
Development Plans in order to secure expediency.
- Cancel the possessory mortgage over movable property
because of the adequacy of the authentic mortgage in the
progress of the socialist transformation in the rural areas.

3.4-21

IRAQ 1 & 2/1990: THE CIVIL CODE

PREAMBLE
(1) Iraq has achieved its renaissance at the beginning of this
century which resulted in increased feelings of the
necessity to update many laws in order to keep abreast of
the growing movement of dealings and to adjust to the new
situations within its scope; it was thus incumbent to
include in such amendments the rules of financial dealings
of the Civil Code which is a constitution for special
dealings and a cover for the general rules falling within
its scope.
(2) It was for the foregoing reasons that a consensus was
reached in the past 15 years to the effect that the said
law must be updated. Relentless efforts were made in this
direction; the first serious endeavour resulted in the
establishment of a commission in 1933 which was followed by
the constitution of another commission in 1936; the latter
commission's work was restricted to preparing a preliminary
bill concerning the rules governing sale contracts; the
moving in that direction had to stop but the idea behind it
did not relent and the thought of continuing this work was
not interrupted. In 1943 the present commission was set up
under the chairmanship of H.E. Dr. Abder Razzaq Ahamd As
Sanhuri; it took the commission three years to complete the
work.
(3) In preparing this bill, the commission hoped in particular
to collect and codify the scattered rules which are in
force
for
the
time
being
and
do
away
with
the
inconsistencies of the sources from which these rules had
been taken.
It will, on the one hand, be noted that the rules of
the Civil Code of Iraq are not coherent and organised in
one comprehensive code, because they were scattered in
different areas: some of the overall rules governing
contracts have been taken from A1 Majalla and the
provisions governing ownership and other rights in rem were
taken from A1 Majalla and the Land Law; the rules of

3.4-23

IRAQ 1 & 2/1990: THE CIVIL CODE

securities were taken partly from A1 Maialla and a number

of specific legislations; what is more important is that
the rules which are deemed as basic to the Civil Code such
as the rules concerning interest, compensation (damages),
cases

of

rights,

acquisition

have

been

of

possession

included

with

the

and

the

rules

of

privileged
execution

taken from the Civil Procedure Law and the Execution and
Magistrates'

Courts

Laws;

Islamic

jurisprudence

is

the

direct source of the rules concerning waqfs and personal

status matters.
(4) It goes without saying that the dispersal of the rules of
the

Civil

Code

in

this

manner

is

prejudicial

to

the

consistency, co-ordination and continuity of these rules.

The effect of the foregoing is not restricted to the many
difficulties

which

researcher

encounters

in

quest

of

legal rules but extends beyond that to complicating these

rules and closing the doors of their many aspects which
thing is prejudicial to the stability of the rights and
transactions.
(5) It is noted on the other hand that the aforementioned rules
have been taken from various sources: some of them were
taken from the Islamic jurisprudence and some were taken
from the Islamic jurisprudence as legislated in A1 Majalla
and still other parts have been taken from the old Ottoman
laws. These laws in turn have been derived in particular
from the French laws and the local usage. In keeping with
developments it was necessary to enact a great number of
the specific legislations concerning certain matters of the
Civil

Code

which

have

been

taken

from

these

and

other

sources. Having been taken from various sources these rules

have

not

been

co-ordinated

with

the

matters

which

are

closely related and regulate these rules.

(6) The foregoing resulted in two things: the first is the
impossibility of deriving general rules which will dominate
the whole of the Civil Code, such as the general theory of
obligations; these rules have their significance

3.4-24

not only as being a reference for a judge who is unable to

adjudicate a matter, but also as being a guide for the
legislator to help him set down the specific legislations;
the other matter is that the rules of the Civil Code of
Iraq are devoid of the meaning of homogeneity which meaning
cannot

be

made

available

by

way

of

comprehensive

coordination which will keep the general principles stuck

together and polish the detailed provisions as will tighten
their interconnections and place them in the appropriate
place within these origins. This co-ordination cannot be
achieved so long as the activity of the legislation remains
dispersed

and

protracted

without

being

restricted

to

aspects or branches thereof.

(7) The

legislator

has

paid

special

attention

to

these

two

aspects: he made sure that the scattered provisions of the

Civil Code are codified together whereby most of the rules
scattered here and there were placed in their proper place.
The most salient example in this regard is placing the
provisions of the Land Law and those concerning securities
in rem at one level with the other provisions concerning
ownership
efforts

to

and

rights

in

co-ordinate

rem;

the

the

legislator

provisions

also

contained

made

therein

harmonising the provisions that have been derived from the

Islamic jurisprudence and those derived from other sources
and in doing these two objects have been realised, namely
first,

making

way

for

overall

provisions

in

which

are

concentrated general theories, and secondly, which is the

more significant, paving the way for the Arab Civil Code.
(8) The countries of the Arab East are divided in two groups:
one group which still relies mainly on the orovisions of
"Majallat A1 Ahkam A1 Adliyya" such as Iraq, Palestine and
Transjordan; and the other group which has adopted the
modern legislation which countries enacted legislations and
quoted from the laws of the West particularly the laws of
France, such as Egypt, Syria, Lebanon, Tunisia and Morocco.
Each one of these two groups

clings to its procedure where the former retains the old

and connects it with the causes of life and advancement and
the latter denies its past and does not take benefit of the
wealth of the Islamic jurisprudence. It was considered
convenient to make the legislation an example of the civil
legislation which must prevail in the Arab countries; it
was thus made a homogeneous thing which brings together
rules which have been copied from the Islamic Shari'a and
rules which have been copied from the West; constituting it
in this manner will strengthen the co-ordination of these
two sources: it will have enough scope to face modern
civilisation situations and will spur the efforts to make a
comparative study of the Islamic jurisprudence which
rejuvenates and enables it to keep abreast of these
situations.
(9) When the Islamic jurisprudence has been revived as
aforesaid it will pave the way for "The Arab Civil Code";
there is no doubt that this jurisprudence will become a
source full of life and movement and will be worthy of
being a basis on which will rest a most modern civil
legislation. Although such legislation is at present a mere
wish it will nevertheless pave the way for achieving this
wish through the best and most effective means.
(10)
The provisions contained in this legislation have
been taken from the Egyptian legislation, which is in its
totality a selected number of rules which settled in the
most developed legislations of the Western World, and from
the Islamic Shari'a. The majority of these provisions do
not fall within the perimeter of any specific school of
Islamic thought; the legislator spared no effort in
coordinating the provisions which have been taken from its
two basic sources - the Islamic Shari'a and the laws of the
Western World - all of which have been merged together as
one integral unit concealing the duplicity and disparity of
the sources: in the coercion in exercising a right and
other theories the legislator brought together harmoniously
the Islamic and Western jurisprudences which thing made

IRAQ 1 & 2/1990: THE CIVIL CODE

possible the merging of many applications from Majallat A1

Ahkam A1 Adliyya and the works of the moslem jurists in
general terms as well as the Western legislations; thus the
esteem of the Islamic jurisprudence retains itself and the
causes remain connecting the past, the present and the
future.
(11)
As to the arrangement and classification the
legislation has adopted the pattern of the Egyptian
legislation and opened up with a preliminary title composed
of two sections, namely: one section given to the personal
rights and another section devoted for the rights in rem.

(1) The Preliminary Part

(12)
This Part has been arranged on the pattern of
comparable modern legislations showing the origins of Iraqi
Law and determining the rule pertaining to the conflict of
laws as regards time and place. After that it covered the
two basic elements of the right, i.e. personal and
property. It did not overlook determining the theory of the
exercise of a right as a general theory covering all the
aspects of the law - material and personal; this general
situation was preferred rather than leaving it as a mere
application of the theory of unlawful acts.
The sources of the law are the legislation, then
usage, then the Islamic jurisprudence without being
restricted to one specific school of thought, and lastly
the rules of equity; these are the formal sources which are
assisted by two sources of interpretation, namely the
Islamic jurisprudence and the judiciary of Iraq and of the
foreign countries the laws of which are comparable to the
laws of Iraq.
(13)
The conflict of laws as regards time was
determined that the effect of the legislation does not rest
on the past as this is an essential rule which has been
adopted by all laws; separate rules were laid down for the
conflict of laws as regard place which has become known as

IRAQ 1 & 2/1990: THE CIVIL CODE

"The Private International Law"; these rules contained

solutions for disputes arising from personal status,
obligations, contracts, rights in rem and the procedure;
these rules have been copied from the most modern Western
legislation; there is no doubt that the regulation of the
conflict of laws - in its two aspects - fills a great gap
in the present law.
(14)
The Preliminary Part also covered natural and
juristic persons; as regards the former the law dealt with
its four basic elements - nationality, the family, the
domicile and the name - and as regards the latter the law
enumerated both public and private juristic persons and
moved therefrom to deal with society for which it laid a
definition and left the matter of the constitution and
method of winding them up to the specific legislation which
regulates them; then the legislator moved to deal with
foundations and laid down the rules needed for the
establishment thereof as well as the rules governing their
winding up and control thereof: the foundations is a new
regulation introduced in the legislation and in many cases
it substitutes waqf and is more preferable in serving the
objects for which they are established to achieve.
(15)
The Preliminary Part divided things and property
into the known divisions; special attention was paid to the
division of a right into rights in personam and rights in
rem which division is basic in a country which in addition
to the Islamic jurisprudence adopts the laws of the West.
Section (i) Rights in Personam
Obligations and nominate contracts
(16)
In Book I of this section the legislation
formulated a general theory for obligations which theory
does not exist in A1 Majalla although it occupies the top
place in all the modern legislations. This theory was taken
from the provisions of A1 Majalla and from the

3.4-28

IRAQ 1 & 2/1990: THE CIVIL CODE

Islamic jurisprudence in general and to a great extent from

the Egyptian legislation. These provisions treated the
origins of obligations which are the contract, the
individual will, unlawful acts, gain without cause and the
law. In treating these sources co-ordination was made
between the Islamic jurisprudence and the laws of the West
in such manner which made the Islamic jurisprudence to
match these laws to a great extent.
(17)
The legislation then dealt with the effects and
description of obligations, such as conditions, term, joint
liability and indivisibility; it adopted alongside the
joint liability determined in the laws of the West the
theory of the joint debt, the latter theory being taken
from the Islamic Shari'a; it then dealt with assignment of
obligations and covered the assignment of debts, which is
taken from the Islamic jurisprudence, the assignment of
rights which has been copied from the laws of the West thus
making the integration of the two assignments complete;
then it dealt with the provisions concerning the lapse
(extinguishment) of the obligation regardless of whether
the extinguishment was by discharge or by that which is
equivalent to discharge such as revival, set off or merger
of liability or by release of liability, impossibility of
enforcement or prescription; in all the foregoing it was
possible for the Islamic Shari'a to match the laws of the
West.
(18)
The legislation then moved to establishing
obligations and followed in doing so the suit of the laws
of the West and provided that the writing is the origin
(fundamental) and not the evidence; part of the provisions
of the Majalla was adopted which render the matter of
establishing something automatic where the judge has no
hand in it and there is no control over him; there is no
doubt that the legislation has realised extensive reforms
in this Part that was badly needed by justice.
(19)
In Book II, the legislation treated the nominate
contracts dividing them into five categories, namely:

3.4-29

IRAQ 1 & 2/1990: THE CIVIL CODE

contracts

concerning

benefits,

contracts

of

ownership,

guarantee

(warranty)

is

work

contracts

concerning

aleatory

contracts;

and

specific

to

the

latter

kind

of

contracts; Islamic jurisprudence matched perfectly with the

laws of the West insofar as regards nominate contracts; it
is

well

relevant

known

that

provisions

this
with

jurisprudence

great

sets

simplicity

down

and

the

allocates

special care for it. Thus the legislation was able without
much

effort

to

jurisprudence
formulated

find

from

without

abundant
which

materials

these

deviating

from

in

contracts
the

the

Islamic

have

general

been

rules

of

obligations and without conflicting with the principles of

the laws of the West, regardless of whether the contract
concerned

ownership,

such

as

sales,

donations,

partnerships, loans and compositions, or benefits such as

leases and loaning without consideration or work, such as
work contracts, agency and deposit; the legislation did not
introduce

many

provisions

to

the

warranty

contract

but

generally abided by the rules of the Islamic jurisprudence;

it however introduced new provisions in life annuities and
insurance policies.
Section (ii) Rights in Rea: Ownership and Securities
(20)
Part III contains two books: one dealing with
ownership and the principal (primary) rights in rem and the
other with securities which are the rights in rem.
(21)
The provisions concerning ownership were laid
down in detail marking its scope and restrictions and
expressed its kinds; joint ownership was dealt with at
length in particular; the causes of acquiring ownership
were then provided for: it could be acquired by acquisition
ab initio and by reason of death, by inheritance and by
wills; it could be acquired among living persons by
contiguousness, pursuant to contracts, by pre-emption and
possession; pre-emption was given special attention by
laying down the provisions governing it, its procedure, and

3.4-30

IRAQ 1 & 2/1990: THE CIVIL CODE

the

time

limits

concerning

it

such

as

will

secure

the

stability of dealings and avoid the evils of surprises; it

also laid down a detailed theory concerning possession, its
elements

and

conditions

and

the

effects

resulting

therefrom. In all the foregoing the legislation coordinated

the

provisions

of

the

Islamic

jurisprudence

and

the

principles of the laws of the West and copied a great deal

from the Egyptian Law.
(22)
from

Regarding the rights in rem which are derived

ownership

and

legislation

discussed

the

rights

of

disposal, emphyteusis and usufructs, as well as the right

of user of habitation and of surfacing (musataha) which is
a right in rem which is acquired by the lessee pursuant to
a long contract of lease, the rights of servitudes for
which a general theory was laid down and copied from the
Egyptian Law.
(23)

The

last

Book

of

the

legislation

covered

the

securities in rem, i.e. authentic and possessory mortgages

and privileged rights.
The

authentic

mortgage

was

so

formulated

as

to

coordinate the provisions of the local (national) law and

the provisions of the Egyptian Law and thus introduced many
amendments in favour of the real estate trusts in Iraq; as
regards the possessory mortgage the legislation coordinated
the provisions of A1 Majalla and those of the Egyptian Law;
as to privileged rights renovation is more apparent where
the Iraqi legislation followed the suit of the Egyptian
Law.
The simplification of the provisions of the securities
in rem the real estate trust in Iraq has become guaranteed
in a manner which conforms to the requirements of modern
civilisation and compares with the laws of the .West.

3.4-31

IRAQ 1 & 2/1990: THE CIVIL CODE

LAW NO.40 OF 1951

THE CIVIL CODE
We hereby order
Parliament:

the

promulgation

of

the

following

law

which

has

been

passed

by

PRELIMINARY PART
Chapter 1 - Application of the Law
Article 1 - (1) The legislative provisions shall apply to all matters covering these
provisions in letter trend and content.
(2) In the absence of any applicable legislative provisions in the law the court
shall adjudicate according to custom and usage; in the absence of custom and usage in
accordance with the principles of the Islamic Shari'a which are most consistent with
the provisions of this Law but without being bound by any specific school of thought;
and otherwise in accordance with the laws of equity.
(3) The court shall in all the foregoing be guided by the adjudication determined
by the judiciary and jurisprudence in Iraq and then of the other countries the laws of
which are proximate to the laws of Iraq.
Article

2,

Where

there

is

provision

no

independent

judgment

(ijtihad)

is

permissible.
Explanation

according

to

Majallat

A1

Ahkam

A1

Adliyya,

by

Salim

Rustom

Baz:

"Linguistically 'ijtihad' (independent

judgment

in

legal

or

theological

question,

based

on

the

interpretation

and

application of the four 'Usui' (elements) as opposed to the 'taqleed' (tradition)) is

the making of an effort to obtain that which is intended (Hindiyye); according to the
Shari'a 'ijtihad' is the making of an effort by a jurist to obtain a Shari'a rule, its
basis being Islam, reason, maturity and the jurist being highly apprehensive by natural
disposition and learned in the Arabic language knowing and having a comprehensive mind
of the Book of God as regards the rules and thoroughly familiar with A1 Hadith
(prophetic tradition) - be it text ascription, abrogated to supersede another tradition
and abrogated - and thoroughly familiar with analogy (qiyass): all these qualifications
will render a legist absolute i.e. giving independent judgments on all rules; but a

3.4-1

IRAQ 1 & 2/1990: THE CIVIL CODE

legist of one rule to the exclusion of another rule must know all that which relates to
that rule only (Radd Muhtar).
"The

meaning

of

this

Article

is

that

it

is

not

permissible

to

make

an

independent judgment in respect of a Shari'a case in respect of which there is a

provision (rule) because the making of an independent judgment will be where there is
no provision in respect thereof, for example there is a provision (in the Book)
prohibiting injustice (oppression) and gambling where it is not permissible to allow
them..."
Article 3. - That which has been established contrary to analogy cannot be used as
analogy for other matters.
Explanation according to Majallat A1 Ahkam A1 Adliyya by Salim Rustom Baz: "The sale of
that which does not exist is not permissible therefore forward buying leases and
fabricated

contracts

are

not

permissible

according

to

analogy

because

the

object

thereof is something nonexistent at the time of concluding the contract but owing to
exigencies forward buying and leases were permitted by provision by application of
legal

discretion

in

legal

decision

and

the

transaction

of

fabrication

through

dealings and consensus; where a person has sold a thing pretending it is his own
property in the presence of one of his relations who kept silent the case which was
brought thereafter by the latter (claiming the thing) will not be heard: as this is
contrary to analogy it will not be used as analogy."
Article 4, - (1) In case of conflict the impediment shall have precedence over that
which is requisite.
Explanation according to Baz:
"For this reason no person
may dispose of his property if a third party's right is related thereto or if it will
cause apparent damage to his neighbour: e.g. in the former case if the mortgagor has
sold the mortgaged property without permission of the mortgagee such sale will be
subject to being authorised (allowed) by the mortgagee because the mortgage is the
property of the mortgagor which renders the sale effectual, but the mortgagee's right
is related to the mortgage and is thus a bar (an impediment) to the sale taking
immediate effect thus the impediment is taking precedence; the same thing applies where
the lessor has sold the rented property without taking leave from the lessee; an
example of the second case is where the upper level belongs to one person and the lower
level belongs to another person and neither of them may demolish or do anything (carryout any works) to his property which will cause damage to the other without his

3.4-2

IRAQ 1 & 2/1990: THE CIVIL CODE

permission; there is however an exception to this rule: where a co-owner of a jointly

owned house is absent the other co-owner who is present may dwell therein as in this
case the residence of one partner is the requisite thing and the impediment from
residence is the share of the absent partner: therefore the requisite thing has been
given precedence over the impediment."
(2) If the impediment has ceased that which had been prohibited will be reestablished (revived) but that which has lapsed shall not be revived.
Explanation of Majallat A1 Ahkam A1 Adliyya by Salim Rustom
Baz: Matters which branch from this maxim are that where

the

grantee

has

added

something to the thing granted the grantor is barred from revoking the grant; but if
the said increase has ceased the grantor will be re-eligible to revoke (the grant)
(Durar); also where a person has discovered an old defect in the thing he had purchased
he may restitute it to the vendor but if a defect has occurred while the thing
purchased

was

in

the

possession

of

the

purchaser

restitution

on

account

of

the

occurring defect is barred; but if the defect that has occurred has ceased to exist the
right of restitution is regained by the purchaser, because if the impediment has ceased
that which has been prohibited is revived; also if a woman has married and forfeited
her right to nursing (bringing up) a child; but if she is separated (by divorce) her
right is revived because of the cessation of the impediment (i.e. marriage) (Tahtawi);
also where a person has purchased an imperfect thing and then mortgaged and delivered
it to the mortgagee the right to rescind the sale is barred by reason of the imperfect
condition of the thing sold as the mortgagee's right is connected with the thing sold
but if the purchaser has paid the vendor's debt and lifted (purged) the mortgage the
right to revoke the sale is revived (as in Majma' al Anhur) because when the impediment
has ceased, which is the mortgage, that which has been prohibited has been revived,
i.e. the right of revocation; also if the evidence of a blind person has been rejected
because of the blindness and the minor for being of minor age and if later on the blind
regained his sight and the minor attained majority and gave evidence once more such
evidence will be admitted.
Article 5. - The change of provisions (rules) to conform to changing times is not
denied.
What is intended here is that the rules which have their bases in custom and usage and
not in texts and proofs will

3.4-3

IRAQ 1 & 2/1990: THE CIVIL CODE

change with the change of customs and usages on which they

had been based. The ancient jurists judged that if a person
has purchased a house and viewed one of its rooms his option
to viewing has lapsed because the rooms of houses during
their epoch used to be built on the same pattern; when the
times

changed

and

houses

began

to

be

built

in

different

patterns and sizes it became necessary that all the rooms

must be viewed so that the option of viewing will lapse; it
was considered that the usurper must not be liable on the
benefits of the thing usurped but when the jurists noticed
the greed of the people to acquire the property of waqfs and
orphanages they made independent judgments (fatwa) that such
persons would be liable on the profits of such properties so
that the property of waqfs and orphans will be safeguarded
(protected).
Article 6. - The lawful permissibility negates liability: he
who exercises his right lawfully shall not be liable on the
damages resulting therefrom.
Explanation of Majallat Al Ahkam Al Adliyya by Salim Rustum
Baz: "If a man has sunk a well in his property wherein the
animal of another person has fallen and perished the person
who sunk the well shall not be liable for anything.
"Similarly

if

an

agent

(authorised

to

sell)

has

concluded a mortgage for the price of the property which he

had sold on credit and the property mortgaged perished the
agent shall not be liable; also where a person has rented a
house and sank a well in the leased property where a third
party suffered injury; if the sinking was with permission of
the landlord no liability will accrue which thing would be as
though the landlord had sunk the well himself; but if the
sinking was not with the permission of the landlord, the
lessee will be liable, etc..."
Article 7. - (1) He who impermissibly exercises his right
shall be liable.

IRAQ 1 & 2/1990: THE CIVIL CODE

(2) The exercise of a right becomes impermissible in the

following cases:
(a) where such exercise is intended to cause injury to
a third party;
(b) where the benefits sought from such exercise are
insignificant

such

as

it

will

not

at

all

be

proportionate to the injury caused thereby to a

third party;
(c) where the benefits to be obtained are unlawful.
Article

8.

The

warding

off

(prevention)

of

evil

is

more

deserving (meritorious) than yielding benefits.

Where an evil and an interest (benefit) are in conflict,
warding

off

the

evil

will

have

precedence

because

the

legislator gives more attention to the prohibitions than to

the

commandments

(Ashbah).

The

following

stems

from

this

rule: a man will be barred from disposing of his property if

such disposal causes great injury to his neighbour because
warding off the evil from his neighbour has priority over
yielding benefits for himself.
Article

9,

In

the

absence

of

provision

in

the

law

otherwise the time limits will be calculated according to the

Gregorian Calendar.
Section (1) - Conflict of laws in application
(1) Conflict as to time
Article 10.

- The law shall not be operative except from

the time when it becomes effective: it shall not be applied

to previous facts except where there is a provision in the
new law to the contrary or where the new law relates to
public order or morality.

3.4-6

IRAQ 1 & 2/1990: THE CIVIL CODE

Article 11. - (1) The new provisions (legislation) concerning

(legal)

capacity

shall

apply

to

all

persons

who

fulfil

(satisfy) the conditions prescribed in said provisions.

(2) Where a person who had the (legal) capacity in
accordance

with

former

provisions

becomes

of

diminished

capacity pursuant to new provisions the change of capacity

shall not have effect on his previous disposals.
Article

12.

(1)

The

new

legislation

concerning

time

limitations (prescription) shall operate from the time of

operation thereof in respect of every unexpired prescription;
the

former

provisions

shall

however

apply

in

respect

of

matters concerning the commencement of running, cessation,

and interruption of the prescription in respect of the period
which preceded the coming into effect of the new provisions.
(2) Where the new provisions prescribe a shorter period
of prescription than that of the former provision the new
time limitation shall operate as of the time of operation of
the new provision even where the former time limitation had
begun

to

run

prior

to

that;

where

however

the

remaining

period of the time limitation provided for in the former

provision is shorter than that prescribed in the new law the
prescription will end by the lapse of the said remaining
period.
Article 13, - The proof which has been established in advance
shall be subject to the provisions which had been operative
at the time of establishing such proof or at the time when it
was possible or incumbent to establish such proof.
(2) Conflict as to Place
(a) International conflict as to the judicial jurisdiction
Article 14. - An Iraqi national shall be tried before the
courts of Iraq in respect of the rights owing from him even
those which have been created abroad.
Article 15. - The foreigner shall be tried before the courts
of Iraq in the following cases:
3.4-7

IRAQ 1 & 2/1990: THE CIVIL CODE

(a) when he is in Iraq;

(b) where

the

litigation

is

in

respect

of

right

concerning a real estate existing in Iraq or a

movable

which

existed

in

Iraq

at

the

time

of

commencement of the proceedings;

(c) where the subject of the adjudication is a contract
which has been executed in or must be executed in
Iraq

or

where

the

litigation

concerns

an

event

which took place in Iraq.

Article 16. - Judgments rendered by foreign courts shall not
be executory in Iraq unless they have been deemed to be
enforceable in accordance with the rules laid down in the law
enacted in this respect.
(b) International conflict as to legislative jurisdiction
Article 17. - (1) The laws of Iraq shall be the authority
which regulates the relationships when it will be required to
regulate such relationships in a case concerning the conflict
of laws in order to determine the law which must be applied.
(2) The law which however determines whether the thing is an
immovable or a movable is the law of the state
wherein such thing lies.
Article 18. - (1) Capacity shall be governed by the law of
the state of which the person (individual) is a national.
(2) In cases of pecuniary transactions and the effects
of which will, be due in Iraq where one of the parties is a
foreigner of diminished capacity due to a cause which is not
apparent and cannot easily be detected by the other party,
the foreigner shall however be deemed as far as concerns such
transaction to be of full capacity.
Article 19.

- (1) Regarding the positive (fundamental)

conditions of validity of the marriage reference shall be

made to the (national) law of each of the spouses; but the
marriage
3.4-8

of

two

foreigners

or

foreigner

and

an

Iraqi

IRAQ 1 & 2/1990: THE CIVIL CODE

national shall be deemed to be valid as to form if it had

been effected in accordance with the form which is prescribed
in the law of the country wherein it had been effected or
where the forms prescribed in the national law of each of the
spouses has been observed.
(2) The law of the state to which belongs the husband at
the time of concluding the marriage (contract) shall apply to
the

effects

resulting

therefrom

inclusive

of

the

effect

concerning property.
(3) In cases of divorce, separation, and repudiation the
national law of the husband at the time of the divorce or at
the commencement of the proceedings shall apply.
(4) The

law

of

the

father

shall

apply

to

matters

concerning Shari'a adoption and natural guardianship and all

the duties between fathers and children.
(5) The law of Iraq shall only be applied in the cases
provided for in this Article where either spouse is an Iraqi
(national) at the time of concluding the marriage (contract).
Article 20. - Matters concerning selected guardianship, and
other regulations laid down for the protection of persons
having no legal capacity or are of diminished capacity and
those absent shall be subject to the law (of the country) to
which such persons belong.
Article 21. - The law of the person from whom the alimony is
due shall be binding on him.
Article 22. - The matters of inheritance shall be governed
by the national law of the de cujus at the time of his death
subject to the following:
(a) the difference of the nationality does not bar the
inheritance of movable and immovable property; an
Iraqi (national) will not be inherited except by a
foreigner the law of whose country provides for
inheritance by an Iraqi (national) from such
foreigner;

3.4-9

IRAQ 1 & 2/1990: THE CIVIL CODE

(b) the property of a foreigner who has no successor

which lies in Iraq will pass to the State of Iraq
even where the law of such foreigner provides
otherwise.
Article 23. - (1) The (national) law of the de cujus at the
time of his death will apply to wills (testaments).
(2) The laws of Iraq shall apply as regards the
validity of a will concerning immovable property lying in
Iraq which is owned by a deceased foreigner and to the mode
of conveyancing such property.
Article 24. - Matters concerning ownership, possession, and
other

rights

conveyancing

in

rem

such

and

rights

in

by

particular

virtue

of

the_

method

contract

of

through

inheritance (succession) in pursuance of a will and otherwise

shall be governed by the law of the location wherein lies
such movable property at the time of occurrence of the event
which gave rise to the acquisition
or loss of the right shall apply.
-Article 2 5. - (1) The contractual obligations shall be
9overne<5 by the law of the state wherein lies the domicile
f the contracting parties if they have a common domicile;
where they have different domiciles the law of the state
within

which

the

contract

was

concluded

will

be

applied

unless the contracting parties have agreed (otherwise) or

where

it

would

be

revealed

from

the

circumstances

that

another law was intended to be applied.

(2)

The

law

of

the

site

of

the

immovable

shall

be

applied in respect of contracts which have been concluded in

respect thereof.
Article 26. - The form of contracts shall conform to the law
of the state wherein they have been concluded.
Article 27.
3.4-10

- (1) Non-contractual obligations will be

IRAQ 1 & 2/1990: THE CIVIL CODE

governed by the law of the state wherein the act giving rise
to the obligation took place.
(2) The provisions of the preceding paragraph shall not
however

apply

in

regard

to

obligations

arising

from

an

unlawful act (tort) to events which take place abroad and are
lawful in Iraq even when they are considered as unlawful in
the country wherein they had occurred.
Article 28. - The rules of competence (of courts) and all
questions of procedure shall be governed by the law of the
state wherein a suit is initiated or the proceedings have
been commenced.
Article 29. - The provisions of the preceding Articles shall
not be applied where there is a provision otherwise in a
specific law or in an international convention which is in
force in Iraq.
Article 30,
- In the absence of a provision in the
preceding Articles concerning cases of conflict of laws the
principles of the private international law which are most
commonly known (prevalent) shall be applied.
Article 31. - (1) Where it has been determined to apply a
foreign law the positive laws thereof shall be applied to the
exclusion of the provisions relating to private international
law.
(2) Where this foreign law is one of a state having
several legal systems the law of such state will determine
which of these systems must be applied.
Article 32. - The provisions of a foreign law as prescribed
in the preceding provisions may not be applied if they are
inconsistent with the public order and morals of Iraq.
Article 33. - (1) The court shall determine the law which
must

be

applied

in

the

case

of

person

of

unknown

nationality or persons who are proved to be multinationals

(having plural nationalities).

3.4-11

IRAQ 1 & 2/1990: THE CIVIL CODE

(2) The law of Iraq shall however be applied in respect

of

persons

who

are

deemed

in

Iraq

to

be

of

the

Iraqi

nationality and are at the same time deemed by one or more

foreign

countries

to

be

nationals

of

such

foreign

country(ies).
Chapter 2 - Persons
Section (i) - Natural persons
(1) Commencement and Termination of a Personality
Article 34.

(1) The personality of a human being

commences at birth and ends with his death.

(2) The rights of pregnancy (a child en ventre de sa
mere) shall however be determined in the Law of Personal
Status.
Article 35. - Births and deaths shall be established by the
ad hoc formal registers; in the absence of such proof or
where it has been revealed that the particulars appearing in
the registers are incorrect any other way may be used to
establish the same.
Article 36. - (1) He who is absent and it is not known
whether he is alive or dead will be adjudged upon application
being filed by an interested party to be missing.
(2) The rules pertaining to a missing person shall be
subject to the Law of Personal Status.
(2) Characteristics of the Personality
Article 37. - The Iraqi nationality will be regulated by a
specific law.
Article 38. - The family of a person is made up of his
relatives; those who are united by a common ancestry will be
deemed to be relatives.
Article 39,

3.4-12

- (1) Direct lineal relationship is the

IRAQ 1 & 2/1990: THE CIVIL CODE

connection

between

the

ancestors

and

the

descendants

(branches); collateral relationship is the link (bond) among

persons who are of a common ancestry where none of them is
the descendant (branch) of the other.
(2) When computing the degree of direct relationship
each branch of the family will in ascendancy be deemed to be
one

degree

excluding

the

ancestor;

when

calculating

the

degree of the relation of collaterals the degrees will be

counted in ascendancy order from the branch to the common
ancestor and then in descendancy order to the other branch
and every branch will be deemed a degree excluding the common
ancestor.
(3)

The relatives of either spouse will be deemed

to be relatives of the other spouse in the same line and of

the same degree.
Article 4 0. - (1) Every person shall have a name and a
surname; the surname of a person will devolve by the rule of
the law upon his children.
(2) A special legislation shall regulate the method of
acquisition and of change of surnames.
Article 41. - Every person whose right to use his name was
contested without justification by a third party as well as
every person whose surname was unlawfully assumed by a third
party may demand cessation of this violation and may claim
compensation

where

he

has

suffered

injury

as

result

person

thereof.
Article

42.

domicile

is

the

place

wherein

normally takes permanent or temporary residence? a person may

have more than one domicile.
Article 43. - (1) The domicile of a missing minor and of
other interdicted persons is the domicile of those acting for
them.
(2)

The

minor

who

has

been

permitted

to

carry

on

commerce may however have a specific domicile in respect of

3.4-13

IRAQ 1 & 2/1990: THE CIVIL CODE

the business and transactions which the law considers him

qualified to carry out.
Article 44. - The place wherein a person carries on a trade
or craft is deemed to be his domicile concerning the business
related to said trade or craft.
Article

4S.

(1)

An

elected

domicile

may

be

taken

for

performance of a certain specified legal act.

(2) A domicile elected for implementation of a legal
act

will

be

the

domicile

with

regard

to

all

that

which

relates to this act including the proceedings of execution

(forcible enforcement) save express provision confining this
domicile

to

certain

business

to

the

exclusion

of

other

businesses.
(3) An elected domicile may not be established except in
writing.
Article 46. - (1) Every person who has attained the age of
majority,

enjoys

his

mental

faculties,

and

has

not

been

interdicted shall have full capacity to exercise his civil

rights.
(2) Persons who lack or are of diminished capacity shall
be subject to the provisions concerning guardianship and
curatorship in accordance with the conditions and rules laid
down in the law.Section (ii) - Juristic persons
(1) General Provisions Article 47. Juristic persons are:
(a) The State.
(b) The

administrations

and

the

public

institutions

which by virtue of the law are granted a juristic

personality independent of the State's personality
in accordance with the conditions laid down herein.

3.4-14

IRAQ 1 & 2/1990: THE CIVIL CODE

(c) The districts, municipalities, and villages which

are granted by the law a juristic personality in
accordance with the conditions laid down therein.
(d) Religious

sects

(denominations)

which

the

law

grants a juristic personality in accordance with

the conditions laid down therein.
(e) Dedications (waqfs).
(f)Commercial

and

civil

companies

except

those

of

which have been excluded by a provision in the

law.
(g)Societies
which
have
been
incorporated
accordance with the provisions of the law.

in

(h)Every group of persons or combination of property

which is granted a juristic personality by the
law.
Article

48.

(1)

Every

juristic

person

shall

have

representative to express its wish.

(2) A juristic person shall enjoy all rights other than
those inherent in the nature of the natural person to the
extent determined in the law.
(3) A juristic person has its own patrimonium.
(4) A juristic person has the capacity of payment within
the limits set down in its deed of incorporation and which
are prescribed in the law.
(5) A juristic person has the right of litigation.
(6) A juristic person has a domicile which is deemed to
be in the place wherein lies its head office (administrative
centre); the companies which have their head offices abroad
and have business in Iraq their head office in regard to the
bylaws

will

be

deemed

to

be

the

place

wherein

lies

its

business management in Iraq.

Article 49. - (1) The legal regulation of foreign juristic
persons
3.4-15

companies,

societies,

or

otherwise

shall

be

IRAQ 1 & 2/1990: THE CIVIL CODE

governed by the law of the state within which lies their

actual head office.
(2)

Where

foreign

juristic

person

has

however

commenced its main activity in Iraq the Iraqi law shall apply
thereto.

(2) Societies

Article 50. - (1) A society is a group having a permanent

capacity and is formed of several natural or juristic persons
for other than yielding profit.
(2) The specific legislation will regulate the method
of creating and winding up societies.
(3) Foundations
Article 51, - The foundation is a juristic person which is
created by allocating property for in indefinite term for a
philanthropic,

religious,

scientific,

technical,

or

sports

activity without the intent of deriving material gain theref

rom.
Article 52. - (1) The creation of a foundation shall be by an
authenticated deed or by will.
(2)

This

deed

or

will

shall

be

deemed

to

be

the

constitution of the foundation and must contain the following

particulars:
(a) the purpose for which the foundation has been
created;
{b) the name of the foundation and its seat which must
be in Iraq;
(c) an exact and detailed description of the funds
allocated to the foundation;
(d)

a scheme for the management of the foundation.

Article 53.

3.4-16

- (1 ) The creation of a foundation shall in

IRAQ 1 & 2/1990: THE CIVIL CODE

regard to the founder's creditors and heirs be deemed to be a

grant or will (testament).
(2)

Where

the

foundation

has

been

created

to

the

detriment of their creditors' heirs rights (interests) they

may commence the proceedings which are determined in the law
concerning grants and wills.
Article 54. - Where the foundation has been created by an
authenticated deed the person who has created it may revoke
the creation thereof by another authenticated deed up to the
time of completion of its registration in the Court of First
Instance.
Article 55. - (1) The registration of a foundation shall be
effected upon application being filed by the founder, the
first manager or the authority concerned with the Control of
Foundations.
(2) The authority concerned with Control of Foundations
shall take action as may be necessary for the registration to
be effected as soon as it has become aware of founding the
foundation.
Article 56.

- (1) Foundations which are intended for

realisation of public interest may upon filing an application

be deemed to be a public interest by a Royal Wish (Irada)
approving the bylaws (constitution) thereof.
(2) The Royal Irada may provide that the foundation be
excluded (exempt) from the restrictions of capacity.
(3) The Royal Irada may also impose the taking of
measures concerning control, such as the appointment of one
or more managers from the government authority or the taking
of any other action as will be deemed necessary.
Article

57.

(1)

The

State

is

vested

with

right

of

exercising control over foundations.

(2) The authority which will exercise control over the
foundation will be named in the Royal Irada.

3.4-17

IRAQ 1 & 2/1990: THE CIVIL CODE

Article 58. - The foundation managers shall as and when they

receive
a
request
from
the
authority
concerned
with
exercising control provide it with the budget and annual
accounts of the foundation together with all the supporting
documents within one month from the date of liquidation of
the accounts of the year.
Article

59.

The

Court

of

First

Instance

within

the

jurisdiction of which lies the seat of the foundation may

order that the following proceedings be taken if the Control
Authority has filed an application to that effect in the form
of an action:
(a) dismissal of the managers who have been proved to
be negligent or who have failed (to perform their
duties)

and

who

obligations

have

imposed

failed

by

the

to
law

perform

the

or

the

by

constitution of the foundation as well as those who

utilise the assets of the foundation in matters
which are incompatible with the objects (purposes)
or intentions of the founder of the foundation and
those who have in the performance of their duties
committed a gross fault;
(b) amend the management system of the foundation or
reduce

or

prescribed

cancel
in

or

the

change

the

incorporation

stipulations
deed

of

the

foundation where it is necessary to safeguard the

assets of the foundation or to achieve the object
for which the foundation has been created;
(c) abolition of the foundation if it has reached such
a state as it would be impossible to achieve the
object for which it has been created or where the
realisation of such object has become impossible or
incompatible with the law or the public order and
morality;
(d) cancellation

of

the

business

performed

by

the

managers beyond their powers (ultra vires) or in

violation of the law or of the constitution of the
foundation;
3.4-18

in

such

case

the

proceedings

for

IRAQ 1 & 2/1990: THE CIVIL CODE

cancellation will be commenced within two years

from the date of the action being contested; the
action of cancellation may not be brought against
a bona fide party who has acquired rights on the
basis of such act.
Article 60. - (1) Having rendered judgment cancelling the
foundation the court shall appoint liquidators and determine
the fate of the assets which remain after the liquidation in
accordance with the provisions of the constitution of the
foundation.
(2) Where it is impossible to transfer the assets to
the party to whom they should pass or where such party has
not

been

designated

(named)

in

the

constitution

of

the

foundation the court will determine the fate of the assets

which shall as much as is possible be nearest to the object
stipulated in the constitution deed of the foundation.
Chapter 3

- Things, Property, and Rights

Section (i) - Things

Article

61.

(1)

Everything

which

by

its

nature

or

in

pursuance of the law is not excluded from dealings may be the

object of pecuniary rights.
(2) Things which by their nature fall outside the ambit
of dealings are those which no one may claim sole possession
thereof; things which in pursuance of the law are excluded
from the ambit of dealings are those which may not be the
object of pecuniary rights under the law.
Article 62. - (1) The immovable (realty) is every thing which
is fixed so that it would be impossible to move or convert it
without

causing

damage

thereto

such

as

land,

buildings,

plantations), bridges, dams, mines, and other real estate

things.
(2)
converted

3.4-19

A movable is anything which can

without causing damage thereto

be moved and
and includes

IRAQ 1 & 2/1990: THE CIVIL CODE

currency (nuqud), commodities (arudh)1, animals, and things

that can be measured by volume or weight and other movable
things.
Article 63. - A movable which is placed by its owner in an
immovable owned by him with intent to serve or exploit such
immovable is deemed to be an immovable.
Article 64.-

( 1 ) Fungibles are things which may be

substituted one for the other when making a payment; they are
normally (customarily) assessed in dealings among people by
number, measure, volume, or weight.
(2) All other things are non-fungibles.
Section (ii) - Property and rights
Article

65.

Property

66.

Pecuniary

is

every

right

having

material

value.
Article

rights

are

either

in

rem

or

in

personam.
Article 67. - (1) A right in rera is a direct power over a
specified thing vested by the law in a certain specified
person.
(2)

right

in

rem

is

either

primary

or

secondary

(accessory).
Article 68. - (1) The primary rights in rem are: the right of
ownership of disposal usufruct user residence

1 "Arudh": see the Foreword for an explanation of this word.

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IRAQ 1 & 2/1990: THE CIVIL CODE

'Musataha'1 servitude constituting waqfs and long term leases.

(2) Secondary (accessory) rights in rem are: the right
of authentic mortgages, possessory mortgages and privileged
rights.
Article 69. - ( 1 ) The right in personam is a legal bond
between

two

persons:

debtor

and

creditor,

where

the

latter claims from the former to transfer a right in rem or

to carry out or abstain from carrying out an act.
(2) An obligation to convey property whatever may be its
object - cash fungibles or non-fungibles - is deemed to be a
right

in

personam;

an

obligation

to

deliver

certain

specified thing is also deemed to be a right in personam.

(3) The expressions "obligation" and "debt" will have
the same meaning as the expression "right in personam".
Article 70. - (1) Intangible property is that which relates
to a non-material thing such as copyright - the rights of
inventors and artists.
(2)

The

provisions

of

specific

laws

shall

apply

in

respect of the rights of authors (copyright), inventors, and

artists and of trade marks and other intangible property.
Article 71. - (1) The immovables and movables of the State
and of the public juristic persons which are in fact or
pursuant to the law allocated for a public utility are deemed
to be public property.
(2) This property is not alienable, attachable, nor may
be appropriated by time limitation.
Article 72. - Public property will forfeit its status by
termination of its allocation for public benefit (utility);

1 This is the right to establish buildings constructions or

trees on the land which belongs to another person
(surfacing ).

IRAQ 1 & 2/1990: THE CIVIL CODE

the allocation is determined in pursuance of the law de facto

or

by

termination

of

the

object

for

which

it

had

been

allocated for public benefit (utility).

PART I - RIGHTS IN PERSONAM (OBLIGATIONS)

BOOK 1- OBLIGATIONS IN GENERAL
Title 1 - The Origins of Obligations

Chapter 1 - Contracts
Article 73. - A contract is the unison of an offer made by a
contracting party with the acceptance of another party in a
manner which establishes the effect thereof in the object of
the contract.
Article 74. - A contract is valid where it is in respect of:
(1) commodities

movables

or

immovables

for

appropriation by sale against a consideration or

without consideration (gifts) to be kept as deposit
or for consumption by utilisation (loans);
(2) the benefits of commodities for utilisation against
a consideration (rent) or without consideration (on
loan);
(3) a certain specified act or service.
Article 75. A contract is valid if it is in respect of any
other thing the undertaking of which is not forbidden by law
or which is not to the prejudice of public order and morals.
Article 76. - (1) Contracts - nominate or otherwise - shall
be governed by the general rules comprised in this chapter.
(2) The rules peculiar to some civil contracts will be
determined by the provisions laid down in the relevant
chapters; the laws of commerce will determine the rules
pertaining to commercial contracts.
Section (i) - The elements of a contract

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IRAQ 1 & 2/1990: THE CIVIL CODE

(1) Mutual Consent

First: The Existence of Consent (Form of Contract)
Article 77.
- (1) Offer and acceptance are every two
expressions (words) used customarily for the creation of a
contract; whichever expression is made first is an offer and
the second is the acceptance.
(2) Offer and acceptance will be in the past tense and
may be in the future tense and may be in the form of an order
where immediate execution (performance) is intended.
Article 78. - A contract will be concluded by a future tense
(form) which has the meaning of only a promise and will be
considered binding where the same was the intention of the
contracting parties.
Article 79. - As the offer and acceptance may be oral they
may be by correspondence and by a sign which is in common
usage even when it is not from a dumb person as well as by
actual exchange denoting mutual acceptance and by any other
method (way) the circumstances of which leave no doubt as to
indicate mutual acceptance.
Article 80. - (1) The display of goods with a price shown on
them is deemed to be an offer.
(2) Publishing, advertising, and listing prices of
current dealings as well as every other statement concerning
offers or calls addressed to the public or to individuals
shall not be deemed in case of doubt to be an offer but will
be deemed an invitation to negotiate.
Article 81 . - (1) Ho statement will be attributed to a
silent

person

but

silence

in

the

course

of

need

for

expression will be deemed to be an acceptance.

(2) Silence is deemed in particular to be an acceptance
where there are previous dealings between the contracting
parties and the offer was related to said dealings or where
the offer proved to be to the benefit (advantage) of the

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IRAQ 1 & 2/1990: THE CIVIL CODE

person to whom it was addressed; similarly the silence of a

purchaser after having received (taken delivery of) the goods
purchased will be an acceptance of the conditions set down in
the list of prices.
Article 82. - The contracting parties have an option after
the offer until the end of the session; where the offeror has
withdrawn his offer before the acceptance has been expressed
or where either contracting party utters a saying (statement)
or makes an act (gesture) which indicates rejection the offer
will be void and any acceptance uttered thereafter shall be
disregarded.
Article 83. - Repetition of the offer before the acceptance
nullifies the first (offer) and the second offer will have
effect.
Article 84. - The offeror who has set a time limit for his
offer

will

be

bound

by

his

offer

until

such

time

limit

expires.
Article 85, - for a contract to be concluded the acceptance
by the other party must conform to the offer made.
Article 86. - (1) The acceptance conforms to the offer where
both parties have agreed on the essential matters in respect
of which they had negotiated; but an agreement on some of
such matters will not be sufficient (adequate) to
bind both parties even where such agreement has been reduced
into writing.
(2) Where both parties have agreed on all the essential
matters of the contract and reserved detailed matters to be
agreed upon later on but had not stipulated that the contract
will not be concluded in case where an agreement in respect
oE said matters is not reached the contract will be deemed as
having been completed (concluded); if a dispute shall arise
in respect of the matters which had not been agreed upon the

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IRAQ 1 & 2/1990: THE CIVIL CODE

court will decide them in accordance with the nature of the

subject and with the provisions of the law usage and equity.
Article 87. - (1) Save express or implied agreement or a
legal provision otherwise contracting between absent persons
will be deemed to have taken place in the place where and at
the time when the offeror becomes aware of the acceptance.
(2) It will be assumed that the offeror had become
aware of the acceptance in the place and at the time of his
arrival thereto.
Article

88.

Contracting

by

telephone

or

by

any

other

similar way will be deemed as having taken place between two

persons present insofar as relates to time and between two
absent persons inasmuch as relates to place.
Article 89. - A contract will not be concluded in auctions
except by the award (of the contract); a bid is vitiated by a
higher bid even when the latter is void or by closing the
bidding (auction) before it has been awarded to any person
without in all of the foregoing prejudice to the provisions
of the other laws.
Article 90. - (1) Save provision otherwise, where the law has
imposed

certain

form

for

the

contract

it

will

not

be

concluded until such form has been satisfied.

(2) Any amendments to the contract must also satisfy
such form.
Article 91 - (1) A preliminary agreement pursuant to which
both

parties

or

either

party

undertake(s)

to

execute

in

future a certain specified contract shall not be valid unless

the essential matters of and the time limit for execution of
the contract to be executed have been stipulated.
(2) Where the law has prescribed a certain form for the
contract such form shall also be observed in the preliminary
agreement which contains a promise to execute this contract.

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IRAQ 1 & 2/1990: THE CIVIL CODE

Article 92. - (1) Save where the agreement has stipulated

otherwise the earnest money is deemed to be proof that the
contract has become final and may not be repudiated.
(2) Where both parties have agreed that the earnest
money is a penalty for repudiation of the contract each party
is

vested

with

right

of

repudiation:

the

payer

who

repudiates will forfeit the earnest money and the receiver

who repudiates will pay double the amount thereof:
Second: Validity of the Mutual Consent
Significance of the contract
Article
conclude

93.
a

Every

person

has

the

contract

unless

the

law

(legal)
has

capacity

determined

to
his

incompetence or restricted it.

Article 94. - A minor, insane person, or mentally retarded
person are interdicted ipso facto.
Article 95. - The court shall interdict a rash (imprudent)
and retarded person; the interdiction will be promulgated
(declared) in the prescribed ways.
Article 96. - The disposals of an irrational minor are null
and void even when they have been sanctioned by his guardian.
Article 97. - (1) Disposals by a rational (prudent) minor
will be deemed to be valid if they are totally to his benefit
even where his guardian has not permitted or allowed the
disposals; a minor's disposals will not be valid when they
are not wholly to his benefit even when the disposals have
been permitted or allowed by his guardian; disposals which
are at the same time beneficial and detrimental will be
concluded subject to allowance by the guardian within the
limits which are ab initio permissible for such disposals.
(2) The age of rationality (prudence) is seven full
years.

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IRAQ 1 & 2/1990: THE CIVIL CODE

Article 98. - (1) The guardian may pursuant to leave from the
court hand over to a rational minor who has completed 15
years of age a sum (quantity) of his (the minor's) money
(property) and give him permission to use it in trading in
order to test (his ability to trade); such permission will be
either limited or unlimited.
(2) Where the guardian who has given permission to the
minor has died or been discharged (from guardianship) his
permission will not be invalidated (voided).
Article 99. - A minor who has been granted permission (to
dispose) will as much as regards the disposals falling within
the scope of the permission have the same status as that of a
person who has attained the age of majority.
Article 100. - The guardian may interdict a minor who has
been

given

permission

and

revoke

the

permit

where

the

interdiction must be made in the same manner as that for

granting the permission.
Article 101. - (1) Where the guardian has refrained from
granting permission (to the minor) the court may grant the
rational minor permission and the guardian may not thereafter
interdict (the minor).
(2)

After

having

granted

permission

the

court

may

reimpose the interdiction on the minor.

Article 102. - The natural guardian of a minor is his father
then

his

father's

guardian,

his

sane

(of

sound

mind)

grandfather, the grandfather's guardian, the court, or the

selected guardian appointed by the court.
Article 103. - (1) Where the father and grandfather have
disposed of the minor's property for the comparable value or
a little less (insignificant fraud)1 the contract will be
valid and will be performed.
1 "Ghobn Yasseer" is that which in commodities ('arudh) does
not amount to one half of one tenth, in animals less than one
tenth and in immovables less than one fifth. (Majallat A1
Ahkam A1 'Adliyya.)
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IRAQ 1 & 2/1990: THE CIVIL CODE

(2)

But

if

they

are

known

for

their

misbehaviour

(maladministration) the judge may restrict or cancel their

guardianship.
Article 104. - In the case of a deaf and dumb, blind and
deaf, or blind and dumb person who by reason of his infirmity
is unable to express his intention the court may appoint for
him and fix the dispositions of a selected guardian.
Article IPS, - (1) Management contracts of a minor's property
which are concluded (issued) by the guardian are valid and
effectual

(performable)

even

when

they

contain

little

(insignificant) lesion (unfairness); management contracts are

in

particular

the

leases

for

term

not

exceeding

three

years, the work of safekeeping and

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IRAQ 1 & 2/1990: THE CIVIL CODE

maintenance,

the

collection

of

rights,

the

discharge

of

debts, the sale of agricultural crops, the sale of perishable

movables and spending on the minor.
(2) As to such other disposals which do not fall within
the limits of management such as the sale of other than the
aforementioned, loans, mortgages, composition, partition of
jointly owned property and investment of money will not be
valid except pursuant to and in the manner set down in a
permit issued by the court.
Article 106.
completed.

The

age

of

majority

is

eighteen

years

Article 107. - A mentally retarded person has the same status

as that of a rational minor.
Article 108. - A completely insane person has the status of
an irrational minor; disposals by a partially insane person
made while he was in a state of full perception are like the
disposals made by a sane (of sound mind) person.
Article 109, - An interdicted imprudent1 person is as far as
dealings are concerned like a rational minor; the guardian of
an imprudent person is the court or its appointed guardian
only

and

his

father,

grandfather,

and

their

appointed

guardians are not vested with a right of guardianship over

him; the disposals of an imprudent person which took place
prior

to

imposition

of

the

interdiction

are

like

the

disposals of a person who is not interdicted save where the

disposal was through cheating by way of collusion with the
person

with

whom

the

disposal

was

made

(assignee)

in

anticipation of the interdiction.

1 "As Safeeh" (imprudent) is one who squanders and spends his

property contrary to the requisites of the Shari'a and good
judgment even when this is done for acts of benevolence such
as building places of worship and comparable things where an
interdiction will be imposed on him. (Ad Durr A1 Mukhtar)
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IRAQ 1 & 2/1 990: THE CIVIL CODE

(2) The wills of an imprudent person (safeeh)1 devising

one third of his property is valid.
(3) Where the imprudent has become prudent (rational)
the court will revoke the order of his interdiction.
Article 110.- A mentally retarded person has the same
status as that of an imprudent person.
Article 111. - The laws and regulations shall set down the
procedure

to

be

followed

in

matters

of

interdiction,

management, exploitation, and disposal of the property of

interdicted

persons

as

well

as

matters

concerning

the

guardianship - natural or selected - and curatorship.

Defects of the will (intention)

Duress

Article 112. - (1) Duress is the illegal forcing of a person

to do an act against his free will.
(2) Duress

is

coercive

if

it

is

threat

of

an

impending great danger such as the annihilation of a life, or

the

affliction

of

injury

on

member

(of

the

body),

or

violent beating, or causing grave damage to property; it will

not be coercive where it is a threat to causing lesser danger
than

the

depending

aforementioned
on

the

such

as

circumstances

imprisonment

and

(conditions

surrounding)

beating

persons.
(3) The

threat

to

cause

injury

to

the

parents,

the

spouse, or an unmarried relative on the maternal side as well

as the threat of inflicting injury to honour will be
deemed to be duress which depending on the circumstances of
the case will be either coercive or non-coercive.
1 "As Safeeh" (imprudent) is one who squanders and spends his
property contrary to the requisites of the Shari'a and good
judgment even when this is done for acts of benevolence such
as building places of worship and comparable things where an
interdiction will be imposed on him. (Ad Durr A1 Hukhtar)
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Article 113. - In order to adduce duress the person making

the threat must be capable of executing his threat and the
coercee must fear the execution of the threat such that he is
led to believe that the object of the threat will be executed
if he has failed to the act the subject matter of the threat.
Article

114.

Duress

differs

according

to

the

different

conditions of age, weakness, office held, social standing of

the

person,

and

the

degree

significant,

insignificant,

severity and weakness - of influence on and sufferance by the

person from imprisonment and beating.
Article

115.

contract

is

not

performable

which

is

executed under any kind of a valid duress.

Article 116. - A husband has influence on his wife: if he
coerced

(forced)

her

by

beating,

for

example,

or

by

forbidding her from visiting her parents in order to abandon

her

dowry

which

she

did

such

abandonment

shall

not

be

performed nor his liability thereon will be released.

Mistake
Article 117, - (1) Where there is a mistake in a contract
concerning the object which has been named and indicated
(described) the contract will where the kind differed to be
related to the object named and will be voided because of the
non-existence thereof; where the kind corresponded (is the
same) but the description differed the contract will if the
latter is the desired (object) relate to that which has been
indicated (described) and will be concluded because the
object is existing but will be subject to the approval of the
contracting party.
(2) It this stone has been sold as being emerald but
turned out to be glass the sale is void; but where said stone
was sold at night and described as being red emerald but the
colour turned out to be yellow, or where a cow was sold as
being milky and it turned out to be otherwise the sale will
be subject to the approval (allowance) of the purchaser.
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IRAQ 1 & 2/1 990: THE CIVIL CODE

Article 118.
-1 An assumption the falsity of which is
apparent is of no (legal) consequence; a contract will not be
performed if:
(i) there is a mistake as to the.quality (the
description) of the thing which in the view of the
contracting parties is or must be considered
essential due to the circumstances in which the
contract had been concluded and to the good faith
that must be expressed in dealings;
(ii) there is a mistake as to the identity or any of
the capacities of a party which thing was the sole
or main cause (object) for the contracting.
Article 119. - A party to a contract who has committed a
mistake may not invoke it except where the other party had
committed the same mistake or had knowledge thereof or could
have easily detected (discovered) the mistake.
Article 120. - A mere mistake of calculation or a material
(clerical) mistake will not affect the effectuality of the
contract in which case the mistake must be rectified.
Fraudulent Misrepresentation with Lesion

Article 121. - (1) Where a contracting party has made False

representations to the other party and it was established
that the contract contained grievous damage the contract will
be subject to the approval of (be allowed by) the aggrieved
party; where the party who exercised the gross deceit has
died the case of fraudulent misrepresentation will pass to
(be brought against) his heirs.

1 If a person assumed that he has a debt to pay and did

actually pay it but later it transpired that he is not
indebted (to the payee) he will recover that which he had
paid. Also where a surety has paid the sum of the debt
(assuming it to be still due) which had already been paid or
waived by the principal; the payer will claim the sum he had
paid. (Sharh Majallat A1 Ahkam al Adliyya)
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(2) Fraudulent misrepresentation is deemed to be the

failure to elucidate (state clearly) in the contracts of the
trust where caution must be exercised against ambiguity by
elucidation

such

as

cheating

in

contracts

of

resale

with

profit, at cost-sharing and at a discount or loss.

Article 122. - Where the fraudulent misrepresentation was by
other than the contracting parties the contract will not be
suspended

except

where

it

has

been

established

to

the

aggrieved party that the other contracting party was at the

time of execution of the contract aware or it was easy for
him to be aware of this misrepresentation.
Article 123, - A contracting party who has been the subject
of fraudulent misrepresentation may claim damages if he has
only suffered little (insignificant) injury (lesion) or if he
suffered
a
grievous
injury
(lesion)
where
the
misrepresentation (deceit) was unknown to the other party and
it was not easy for the latter to know it or where the thing
had been consumed prior to becoming aware of the injury or
had perished or suffered a defect or undergone an essential
change where in all cases the contract will be effectual.
Article 124. - (1) Mere injury does not bar enforcement of
the

contract

insofar

as

the

injury

was

not

coupled

with

deceit.
(2) The contract shall be null and void if however the
injury

was

grievous

and

the

injured

party

had

been

interdicted or where the injury was sustained by the property

of the State or waqf.
(3) Injury (lesion) may not be adduced in respect of a
contract which was concluded by way of a public auction.
Article

125.

Where

advantage

was

taken

of

the

need,

rashness, or urge (craving), inexperience, or weal perception

(apprehension) of a contracting party where the contract has
resulted in grievous injury to him he may within one year
from the time of the contract demand reduction of the injury

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IRAQ 1 & 2/1 990: THE CIVIL CODE

to a reasonable degree; if the disposal made by him was

gratuitous he may during said time limit revoke it.
(2) Object and Cause
Article 126. - Every obligation which has resulted from the
contract

must

susceptible

have

of

an

object

(acknowledges)

attached
its

legal

to

it

which

consequence;

is
the

object may be property be it an object of material value, a

debt, a benefit, or any other pecuniary right; it may also be
work (to be done) or abstention from doing work.
Article 127. - (1) If the object of the obligation is an
absolute impossibility (something in itself impossible) the
contract is void.
(2) If the obligation is impossible for (as much as
concerns) the debtor which impossibility in itself is not
absolute the contract is valid and the debtor is obligated to
pay damages because he has failed to perform his undertaking.
Article 128. ( 1 ) The object of the obligation must be
designated

in

manner

which

negates

excessive

ignorance

regardless of whether the designation was by pointing out the

object or its specific place if it is present (available) at
the

time

of

the

contract

or

by

stating

its

distinctive

features and quantity if it is quantitative1 or in such other

way which negates excessive ignorance; mentioning the kind
rather

than

the

quantity

and

description

will

not

be

adequate.
(2) It would however be adequate if the object is known
to the contracting parties where the need does not arise for
describing and identifying it in another manner.
(3) Where the object has not been designated in the
aforementioned manner the contract is null and void.

1 Quantitatives are things the quantities of which are

measured by volume weight unit (count) or dra' (measure of
linear length equal to 67 cms).
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Article

129.

(1)

The

object

of

the

obligation

may

be

nonexistent at the time of contracting if it is obtainable in

future and has been designated (described) in such a manner
negating excessive ignorance and fraud.
(2) An agreement with regard to the succession (estate)
of a living person is void.
Article 130. - (1) The object of the obligation must not be
legally banned nor must it be to the prejudice of public
order and morals as otherwise it would be null and void.
(2) The following are particularly deemed to be inter
alia of public order: the provisions concerning personal
status such as capacity and inheritance as well as the
provisions
concerning
conveyances
and
the
proceedings
(procedure) needed for disposing of waqfs (dedications), of
immovables and of the property of interdicted persons of
waqfs and of the State and the laws of mandatory pricing and
the other laws which are in exceptional circumstances enacted
(to satisfy) the needs of consumers.
Article 131. - (1) The contract may be linked (coupled) with
a stipulation which confirms or is compatible with its
object or is in consonance with custom and usage.
(2) The contract may also be linked (coupled) with a
stipulation which is beneficial to either contracting party
or to a third party provided it is not legally prohibited or
prejudicial to the public order and morals as otherwise the
stipulation will be revoked and the contract will be valid
save where the stipulation was the motive for the contracting
in which case the contract will also be void.
Article 132. - (1) The contract shall be null and void if the
contracting party has assumed an obligation without a cause
or for a cause which is legally prohibited or is in violation
of public order and morals.
(2) It will be presumed that every obligation has a
lawful cause even where the cause has not been mentioned in
the contract unless proof is established otherwise.
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IRAQ 1 & 2/1 990: THE CIVIL CODE

(3) Until the contrary has been established the cause

mentioned in the contract is deemed to be the real cause.
(3) Valid and Void Contracts
Article 133. - (1) A valid contract is a lawful contract in
essence and attributes which is concluded by parties of full
capacities

and

has

an

object

susceptible

of

its

legal

consequence and a lawful cause and its attributes are valid

(proper) free of any defects.
(2)

If

suspensive

the

valid

condition)

contract
it

is

will

be

not

suspended

due

for

(has

immediate

performance.
Article 134.contract

is

mistake,

or

(1) Where a conditional1 (suspended)

concluded
Eraud

the

due

to

an

contracting

interdiction,
party

may

duress,

revoke

the

contract alter cessation of the interdiction of the duress of

revelation of the mistake or of unveiling the deception; he
may also validate (allow) the contract; iE the contract is
revoked he may revoke the disposals oE the transferee and
have restituted to him the commodity wherever he may find it
even where it has changed hands; where the commodity (thing)
has perished while in possession of the transferee the latter
shall be liable on the value thereof.
(2)

The

contracting

or

the

deceived

party

has

the

option if he so wishes to claim from the other party or from

the person who exercised the^ duress or the deception; iE
either of the latter two had paid the claim he may claim that
which he had been paid from the other contracting party;
there is no liability on a contracting party who has been the
subject of duress or misrepresentation if he had under duress

1 A conditional contract is an executory contract the

performance of which depends upon a condition. It is not
simply an executory contract, since the latter may be an
absolute agreement to do or not to do something but it is a
contract whose very existence and performance depend upon a
contingency. (Black's Law Dictionary, 1979 edition.)
3.437

IRAQ 1 & 2/1990: THE CIVIL CODE

or deception received the consideration which perished while

in his possession without encroachment on his part.
Article 135. - (1) He who has disposed of the property of
another without his permission, his disposal is concluded
subject to validation by the owner.
(2) The validation by the owner will be tantamount to ar
procuration (power of attorney) and the consideration will be
claimed from the uncommissioned agent if he had received it
Erom the other contracting party.
(3) The disposal of the uncommissioned agent will be
null and void if the owner has not validated it; if the other
contracting
party
had
paid
the
consideration
to
the
uncommissioned agent he may claim from him; if the
consideration has perished while in possession of the
uncommissioned agent without encroachment on his part and if
the other contracting party has paid the consideration
knowing him to be uncommissioned no recourse may be had
against him for anything thereoE.
(4)
Where the uncommissioned agent had delivered
the
object of the contract to the person with whom he had
concluded the contract and it perished while in his
possession without encroachment on his party the owner may
claim the value thereoE from whomever oE them he wishes to
claim; iE he has opted to claim Erom either of them his right
to claim Erom the other will prescribe (lapse).
Article 136. - (1) Validation oE a suspended (conditional)
contract

is

either

express

or

implied

and

is

based

on

(attributed to) the time oE concluding the contract; it is a

condition that the person who has the power of validation (of
the contract) must be present at the time of issuance of
(concluding) the contract; it will not be a condition that
the contracting parties or the original owner or the object
of

the

contract

validation.

3.4-38

be

present

(exist)

at

the

time

of

the

IRAQ 1 & 2/1 990: THE CIVIL CODE

(2) The

option

of

validation

or

revocation

must

be

exercised within three months and if during this time limit

no sign has been made to indicate the wish to revoke the
contract it will be deemed effectual.
(3) If the cause of suspension was due to diminished
capacity

the

said

time

limit

begins

from

the

time

of

cessation of this cause or Erom the time when the guardian

becomes

aware

of

issuance

(origination)

of

the

contract;

where the cause for the suspension was because of duress,

mistake, or deception (fraud) the time limit begins to run
Erom the time when the duress has ceased, or the mistake has
been revealed, or the deception unveiled; where the cause oE
the

suspension

was

due

to

absence

of

authority

over

the

object of the contract the time limit begins from the day on
which the owner becomes aware of the issuance (origination)
of the contract.
Article 137. - (1) A void contract is that which due to its
cause (origin) is not valid as to its essence or as to its
attributes regarding some of its external Eeatures.
(2) A contract will be void if there is a defect in its
constituent elements such as where the offer and acceptance
have been exchanged by parties who are not legally competent
to conclude contracts or where the object is not performable
(susceptible of its legal consequences) or where the cause is
unlawful.
(3) The contract will also be void if some of its
features (attributes) are defective such as when the object
of

the

contract

is

of

excessive

ignorance

or

where

the

contract does not conform to the form imposed by the law.

Article 138. - (1) A void contract will not clinch nor will
it be performable (connote legal consequences) ab initio.
(2) If
reinstated

the
in

contract

the

is

positions

voided
which

the

parties

existed

prior

will

be

to

the

contract; and if such reinstatement is impossible damages

equivalent to the loss may be awarded.

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IRAQ 1 & 2/1990: THE CIVIL CODE

(3) A person of diminished capacity shall not however be

bound where the contract has been voided on grounds of his
incapacity to repay except such benefit which he had obtained
by reason of performance of the contract.
Article 139. - Where a part of the contract is void that part
only will be void and the remaining part of the contract will
remain valid and be considered as an independent (separate)
contract unless it is revealed that the contract would not
have been concluded without the part which has been voided.
Article 140. - where a void contract contains the elements of
another contract it will be valid and be considered to be the
contract the elements of which have been fulfilled if it is
revealed that the contracting parties had the intention to
execute this contract.
Article 141. - Where a contract is void every interested
party may invoke nullity and the court may of its own accord
adjudge nullity and the nullity will not be revoked
(annulled) by validation.
Section (ii) - The effects of a contract
(1) The Binding Effect between the Contracting Parties
Article 142. - (1) The effects of a contract shall apply to
the contracting parties and to their universal successors
without prejudice to the rules of succession (inheritance)
save when it is revealed from the contract or the nature of
dealings or from the provisions of the law that this effect
will not be transferred to the universal successors.
(2) Where
rights

in

transferred

res
to

the

contract

related
a

to

singular

has
a

created

thing

successor

obligations

and

which

thereafter

was

such

obligations

and

rights will be transferred to this successor at the same time

as that of transference of the thing where said obligations
and rights are of the prerequisites thereof and the singular

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IRAQ 1 & 2/1 990: THE CIVIL CODE

successor was aware of the same at the time when the thing
passed to him.
Article 143. - It is a requisite in commutative contracts
that the parties establish their respective titles to the
things (commodities) being exchanged and it is an obligation
on each party to deliver his own property the object of the
exchange to the other party.
Article 144,- A commutative contract concerning the
benefits of things (commodities) creates an obligation on the
alienator (the person who holds the right of disposal over
the thing) to deliver it to the beneficiary who is also under
an obligation to deliver the consideration of the benefit to
the owner of the thing.
Article 145. - A contracting party is under an obligation to
perform his obligation (under the contract) whatever may be
the object of the contract.
Article 146. - (1) Where a contract has been performed it is
legally binding and neither party may revoke or amend it
except

pursuant

to

provision

in

the

law

or

by

mutual

consent.
(2)

Where

however

as

result

of

exceptional

and

unpredictable events of a general nature the performance of

the

contractual

onerous

on

the

obligation
debtor

has

such

not

as

become

will

impossible

threaten

him

but
with

exorbitant loss the court after balancing the interests of

the parties may if it would be equitable reduce the onerous
obligation to a reasonable limit; every agreement otherwise
shall be null and void.
Article 147. - (1) Where a fictitious (imaginary) contract
has been executed the creditors of the contracting parties as
well as the singular successors who are bona fide may invoke
the fictitious contract and may also establish the fictitious
nature of the contract which injured them and may invoke the
veiled contract.
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IRAQ 1 & 2/1990: THE CIVIL CODE

(2) If the interests of the parties are in conflict

where some invoked the overt (fictitious) contract and the
others invoked the veiled (covert) contract the former will
have priority.
Article 148, - (1) A covert (veiled) contract is effective
between the contracting parties and the universal successors;
the overt (fictitious) contract shall not have any effect
among them.
. (2) Where the contracting parties have veiled a real
contact by an overt contract the real contract will be valid
if it has fulfilled the conditions of its validity.
Article

149.

The

fictitious

nature

of

disposals

(alienations) made on a real property may not be contested

after they have been entered in the registers of the Real
Estate Registration Department.

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IRAQ 1 & 2/1990: THE CIVIL CODE

Article 150. - (1) The contract must be performed according

to its contents and in a manner which conforms to the norms
(requirements) of good faith.
(2) The contract does not bind the contracting party as
regards its express conditions only but also as regards those
which are in accordance with the law, custom, and equity
deemed to be requisites thereof depending on the nature of
the obligation.
Article 151. - (1) A person who has promised to procure a
third party to perform an obligation will not in so doing
bind such third party but binds himself and must compensate
the person with whom he had concluded the contract if the
third party has refused to bind himself; he may thereafter
relieve himself of the compensation by himself performing the
obligation which he had promised if he is capable of
performance without injuring the creditor.
(2) But where the third party has approved the promise
his approval will not produce its effects except from the
time of expressing it unless it would be revealed that he
intended impliedly or expressly that the approval will take
effect from the day on which the promise had been made.
Article 152, - (1) A person may undertake by contract in his
own name to perform obligations which he stipulates for the
interest (benefit) of a third party if in performing these
obligations he has a personal, moral, or material interest.
(2) Save where otherwise agreed this stipulation vests
unto the third party a direct right against the obligee and
may claim performance thereof; the obligee may invoke
(adduce) against the third party the defences which arise
from the contract.
(3) The person who made the undertaking may also claim
performance of the stipulations he had made in favour of the
third party unless it would appear from the contract

IRAQ 1 & 2/1990: THE CIVIL CODE

that the third party is the only person who may claim
the performance of such stipulation.
Article 153. - (1) The stipulator but not his creditor or
heir

may

declares

revoke
his

wish

the
to

stipulation
the

before

stipulator

the

or

beneficiary

the

undertaker

(obligee) to have the benefit of the stipulation save where

the revocation is not contrary to the obligations contained
in the contract.
(2) In the absence of an express or implied agreement
to

the

contrary

obligee's

the

liabilities

revocation
vis-a-vis

shall
the

not

relieve

stipulator;

the
the

stipulator may subrogate the first beneficiary by another

beneficiary and may also reserve for himself the benefit of
the stipulation.
Article 154. - Where there is a stipulation for the benefit
of a third party the beneficiary may be a future person or
party ( institution) and may also be a person or party who
has not been designated ( identified) at the time of the
contract provided such person or party is identifiable at the
time when the contract produces its effects.
(2) Interpretation of the Contract
Article .155. - (1) In contracts, intentions and meanings
must be implied and words and forms (constructions) must be
disregarded.
(2) Basically words imply the reality; but if the truth
is impossible they will imply the metaphor.
Explanation as appearing in Majallat A1 Ahkam A1 Adliyya:
Paragraph (1) means that the contracts which are based on
objects and intentions and not on words, such as sales,
leases, and drafts will be interpreted according to the
intentions (of the parties) and the meanings and the words
will be disregarded:
that is why redemption sales are
considered to be mortgages in spite of the fact that they are
concluded by uttering the word "sale" where the intention is
3.4-44

IRAQ 1 & 2/1990: THE CIVIL CODE

not to convey to the purchaser the title of the object of the

sale as the intention is to secure the debt. The following
branch from this rule: where a man said: "I donate this house
against this suit of yours"; it has been considered by
consensus that it is a sale because the significance here is
for the meaning and not the words (Durr Montaqa). Also a
guarantee stipulating discharge of the debtor's liability is
a draft and the draft stipulating non-discharge of the
doctor's liability is a security (guarantee); a grant with a
stipulation to pay a consideration is a sale which is
susceptible of the preemption right; lending for a specified
term against a certain fee (rent) is a lease (Ashbah); a
guardianship during the life of the constituent is an agency
and the appointment of an agent after the death of the
constituent is a guardianship (Bzaziyyeh). There are however
exceptions to this rule such as where a man who intended to
donate his property said: "I have sold you this property
without a price": the word "sold" in this case is not voided
and is not taken to be a gift even where the person who made
the statement intended it to be a gift (Ashbah).
Paragraph (2): Verity (truth) reality is the antithesis
of metaphor and the use of the word to denote the meaning
which it conveys such as "lion" is used to denote a beast of
prey and "hand" is meant to be that part of the human body
known as such. A metaphor is used to denote other than the
true meaning of a word if there is a context to indicate that
the true meaning is not intended. Thus words imply verity
(truth) reality, i.e. a word must not imply a metaphor if it
can be interpreted into its true meaning: if a person
bequeathed to X's son the grandson will not be included in
the bequest if X has a son of his own but if he does not have
his offspring the bequest passes to the son's son; the
opinion differed as regards a daughter's son. What branches
from this rule is where a
person said:

"This house is for X"; this would be an

admission of title to the house to X even where that person

has claimed that it is his dwelling place his claim will not
be admitted (Ashbah).
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IRAQ 1 & 2/1990: THE CIVIL CODE

Article 156. - The truth is left out (disregarded) where

custom indicates otherwise.
Explanation according to Majallat A1 Ahkam A1 Adliyya: "For
example: a man who asked his servant to fire the lamp did not
mean to burn the lamp; what he actually meant was to light a
candle which is within the lamp; the usage being in that area
to say fire the lamp; so the true meaning of fire is left out
(disregarded)

because

usage

indicates

that

fire

means

sparking the light of the candle within the lamp."

Article

157.

Implication

is

disregarded

vis-a-vis

declaration.
Explanation according to Majallat A1 Ahkam A1 Adliyya: "That
is if implication conflicts with a declaration (express
utterance) the latter will be considered and the former
disregarded: where A made an offer granting 3 a thing; if B
takes delivery of the thing in the session of the grant he
would have acted validly even where the donor did not permit
him to take delivery of the thing as taking delivery is
implied from the offer of the donor; but if the donor forbade
B from taking delivery and B took delivery of the thing his
action will be void because the donor uttered express words
(declared) forbidding B from taking delivery of the thing:
thus a declaration voids implication. Also if A and B claimed
having purchased a thing from C but did not give the date of
the purchase or gave the same date who of the two has
possession of the thing will be deemed to be the purchaser
because possession is proof (by implication) of the purchase;
but if B for instance gave an

3.4-46

IRAQ 1 & 2/1990: THE CIVIL COOS

earlier date of purchase than that of A his proof will be

admitted because the precedence of the date proves expressly
his title. Where however action has been taken in pursuance
of implication such as when A heard that an uncommissioned
agent has sold his property he claimed the price from him:
this claim is deemed to be an implied validation of the sale
(Durr Mukhtar); if he thereafter revoked expressly the sale
made by the uncommissioned agent the revocation shall have no
effect."
Article 158. - It is more appropriate to construe rather than
discard words; but where this is impossible they will be
disregarded.
Explanation as appearing in Majallat A1 Ahkam A1 Adliyya:
"This means that so long as the words uttered by a person of
sound mind can be construed into their real or metaphoric
meanings they will not be disregarded e.g. where A who has no
children of his own (but has grandchildren) constituted a
waqf of his property in favour of his children: as A has no
children of his own the metaphoric meaning of the word
'children' will be construed, i.e. his grandchildren; this is
better than disregarding the words constituting the waqf
(Ashbah)."
"The second part of the text complements the first
section thereof: where A has admitted to his wife who is
older than him and comes from another well-known family that
she is his daughter; his admission cannot in this case be
construed into its real meaning because the wife is older
than him and comes from a well-known family nor can his
admission be construed into a metaphor (i.e. being a will)
because she is his heir and a will made in favour of an heir
is invalid; his admission will therefore be disregarded."
Article 159. - Naming some of that which is indivisible is
like naming the whole (of the thing).

IRAQ 1 & 2/1990: THE CIVIL CODE

Explanation according to Majallat A1 Ahkam A1 Adliyya:

"A
pardon accorded to the murderer of the de cujus by one of his
heirs or a composition made with him against a consideration
will extinguish the punishment where the right of the other
heirs will pass to the Diyya (blood money) out of which the
debts of the victim will be paid and his will executed (A1
Qurawi from Tatarkhana); according to "A1 Qinya" if the heir
of a murdered person dropped one half of the punishment the
entire punishment will be dropped because the punishment is
indivisible: but where A and B killed C and the heirs of C
pardoned one of the killers they can still kill the other;
also where A killed B and C and the heir of B pardoned A the
heir of C can still kill A (khaniyyeh). The right of preemption lapses by delivery of the entirety of the thing sold;
the right of pre-emption will also be voided by delivery of
part of the thing sold: where the pre-emptor has abandoned
his right of pre-emption to one half of a house and claimed
exercising pre-emption on the other half his claim will
become void because in waiving his right on one half of it he
has forfeited that right: the right of pre-emption is
indivisible de facto as the pre-emptor is invested with the
entire right of pre-emption which has passed to the purchaser
- through the purchase - who has become the owner of the
entirety of the thing sold because the transaction of sale
cannot be divisible (Hajma' A1 Anhur). But naming some of a
divisible thing is not like naming the whole thing, e.g. A
who stood surety for half of the debt of B will not be deemed
as having stood surety for the entire sum of the debt because
a debt is divisible; similarly if a creditor relieved his
debtor of one half of the debt the debtor's liability has
been discharged in respect of one half of the debt only."
Article 160. - That which is general will operate according
to its generality (without restrictions) save where implied
or express proof is established.
Explanation according to Majallat A1 Ahkam A1 Adliyya: "An
agent (attorney) who is authorised to sell pursuant to a
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IRAQ 1 & 2/1990: THE CIVIL CODE

general power of attorney may sell the property of his

principal for the price - large or small- he deems
appropriate; but where the principal has fixed for the agent
a certain price (for sale) the latter may not sell at a
lesser price because the restriction is stipulated (in the
power of attorney) and thus may not be violated; similarly
where a man appointed an agent to buy for him a certain
specific thing without mentioning (fixing) a price the agent
may buy such thing for a comparable price or at a slightly
higher price but not for an excessively higher price and if
he did he will be deemed as having made the transaction for
his own account; the reason being that in spite of the fact
that the power vested in him is general it is impliedly
restricted to not buying at an excessive price."
Article 161. - Describing that which is present is null
(ineffectual) and that which is absent (not present at the
session) is effectual.
Explanation according to A1 Majalla: "It is to be noted that
knowing the consideration is a condition in contracts which
represents an exchange of properties such as sales and
leases, the consideration (of the exchange) will be known by
pointing it out by a sign to a thing present or in case of an
absent thing by naming and describing it in such manner which
distinguishes it from other things: the identification of
things of the same kind by a sign (indication) is more
expressive than describing and naming it; but as to things of
different kinds the matter is reversed i.e. identification of
the consideration through describing and naming is more
expressive than by identifying by a sign. Where the sign is
coupled with naming of the same consideration which is of the
same kind as the thing named but differs as to description
only the latter will be void and the sign (indication) is
valid.
"For example: if the vendor who wishes to sell a white
horse present in the session said: 'I have sold to you this
brown horse' and pointed at it and the purchaser accepted the
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IRAQ 1 & 2/1990: THE CIVIL CODE

sale the transaction will be valid and the description will

be null and void. But where the thing indicated (pointed out)
is not of the same kind as the thing named (designated) but
of a different kind the thing named (designated) will be
considered and the indication is null and void in which case
the sale will be void. If a man pointed at a precious stone
as being emerald but it turned out to be glass the sale is
null because of the difference in kind (Ashbah (abridged))?
in Ad Durr A1 Muntagua it is stated in case of difference as
to the kind (of the thing) the thing named (designated) will
be considered if the parties did not know that the thing
which was pointed out is not of the same kind as that of the
thing named (designated); but if they had been aware of this
fact the thing indicated will be considered: if a man said:
'I have sold to you this donkey' and pointed out to a slave
standing between them the sale has been concluded in respect
of the slave. If the thing sold has not been pointed out but
was identified by naming and description only the description
will be considered such as when a man has sold a mare not
present (at the session) and described it as being white but
in fact it was brown the sale will not be concluded, but the
correct thing is that the sale has been concluded but is not
executory;

also

where

sale

took

place

at

night

of

precious stone as being red emerald and later appeared to be

yellow emerald the sale is valid and the purchaser will have
an option."
Article

162.

An

affirmative

answer

is

deemed

to

have

contained the facts stated in the question.

Explanation according to A1 Majalla:
"For example if the
judge asked the defendant saying:
'The plaintiff claims
from you 1,000 dinars being so and so; what do you say?' If
he said 'Yes' he would have admitted his indebtedness of
1,000 dinars; similarly if the judge asked the defendant
saying:
'Don't you owe the amount claimed by the
plaintiff?' A 'yes' answer will be deemed as having 'Yes I
owe the amount claimed' (Durr Mukhtar)."

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IRAQ 1 & 2/1990: THE CIVIL CODE

Article 163.

- (1) That which is current as custom and

usage is like that which is stipulated; that which is implied

by usage is like that which is stipulated.
(2) What is current among traders is like that which
has been stipulated among them.
(3) What is impossible customarily (in common practice)
is like that which is truly (de facto) impossible.
Explanation according to A1 Majalla: "Section (1) of this
Article is divided into two sections:
(i) 'That which is
current as custom and usage is like that which is
stipulated.' Example: where a person sent his son to a weaver
to be trained in weaving but neither party stipulated a fee;
when the boy learned the trade the master claimed the
training fees from the father and the latter claimed wages
for his son; reference in such case will be made to custom
and usage in the village and will be applied: if it is in
favour of the master he will receive his fees but the father
will receive wages for his son if this is the custom. Section
(ii) of this paragraph reads: 'That which is implied by usage
is like that which is stipulated'. Example: A person who has
rented a room in a house in pursuance of an open end
(unrestricted) contract pursuant to which the lessee can put
his luggage and dwell therein and may not use the room
contrary to the prevailing custom; if he was a smith he
cannot carry on his trade in that room because 'what is
implied by custom is like that which is implied by
stipulation.' Similarly an agent who was constituted to sell
pursuant to a general procuration may not sell upon credit
for a long unfamiliar (not current) term in spite of the fact
that the principal has not cautioned him to sell in said
manner.
"Section (2) of Article 163 provides:

'That which is

common knowledge (current) among traders is like that which

is stipulated among them'.
"For example where a person has purchased a thing from
the market place for a certain specific price where no date
for payment of the price or the postponed payment has been
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IRAQ 1 & 2/1990: THE CIVIL CODE

fixed, the current custom among them will apply in such case
as for instance where it is the custom to pay all or part of
the price every Friday it will have to be observed.
"Section (3) of Article 163 provides:
impossible
which

is

customarily
truly

(de

(in

common

facto)

'What is

practice)

impossible.'

is

like

that

Impossibility

is

either real or customary; the first is the impossibility of a

thing

through

necessity

because

it

is

unreasonable,

e.g.

where a man admits to an older person that he is his son;

impossibility is customary if the thing is impossible through
custom only both of which are the same. Where a man who is
known to be poor claims huge sums from a third party alleging
that he had loaned them to him in one payment at a time when
he did not inherit or gained by any other way money his claim
will

not

be

heard

because

such

thing

is

customarily

impossible and is therefore like that which is impossible in

actual fact (de facto) (Durr Mukhtar)."
Article 164. - (1) Custom be it universal or specific is a
rule (to establish a shari'a rule).
(2) The usage common among people is proof which must
be observed (admitted).
Explanation according to A1 Majalla:

"(1) Custom means

reasonable matters that recur among people of sound mind and

are established in the minds of people: the origin of this
rule

is

the

saying

of

the

Prophet:

'That

which

Moslems

consider to be good is good with God (Ashbah)'. The following

branch from this rule: in the case of sale of an ass without
stating at the time of the sale whether or not the saddle was
included reference will be made to custom and usage in that
respect to determine whether or not the saddle is included in
the sale. It is to be noted however that in the absence of a
stipulation

custom

is

made

rule

but

where

provision

exists custom will be disregarded.

"(2) This section is a branch of the preceding section:
A person who seeks help from a third party to sell his goods
will have to pay the fees for such help to the third party if
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IRAQ 1 & 2/1990: THE CIVIL CODE

it is customary in dealings of the market people that such

action is remunerable (Aziziyyeh). Also constitution of a
waqf in respect of a movable is valid if this is the usage in
that place (area) (Ghorar) such as constitution of a waqf in
respect of books and money."
Article 165. - Custom will be considered (to be effectual) if
it is in continuous practice or predominantly widespread;
that which is predominantly widespread and not scarce will be
considered (effectual) (taken into consideration).
Explanation according to A1 Majalla: This Article is divided
into two sections. The first: according to usage a tailor who
is hired (to make a suit) will supply the needle and the
threads, a scribe (writer) when hired will have to supply the
pen and the ink, and the fodder of an animal will have to be
provided by the lessor even where the lessee had not offered
to it food which led to its starvation: the latter shall not
be liable; if both parties agreed that the fodder of the
animal is to be provided by the lessee the contract of lease
is void but the contrary is true where a wet nurse is hired
with an undertaking to provide her with food and clothing
where the contract is valid on grounds of usage (ashbah).
Both clauses of this Article rest on the conditions of custom
which is made into a rule to establish a shari'a rule: one of
its conditions is that it must be predominant, continuous and
widespread; that was why the jurists estimated the age of
maturity at 15 years when children mostly attain maturity;
the exception to this rule is scarce and not regarded; that
was why they estimated the age of nursing at seven years for
a male minor and nine for a female minor because they allowed
a male minor to stay with his mother until he would be able
to do without her, i.e. when he would be able to eat and
drink

without

entrusted

to

needing
the

care

help
of

and
her

the

female

mother

until

minor
she

to

be

becomes

attractive; whereas this state is not consistent as much as

regards children, time, and place the jurists have fixed an
age which is applicable in most cases, i.e. seven years for a
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minor male and nine for a minor female as aforesaid; this

must be considered to be the legal opinion as stated in
Majma' A1 Anhur and other books because these are predominant
ages at which children are able to part from their mothers;
exceptions to this rule are rare and thus are disregarded.
There is however another condition which must be satisfied,
i.e. the custom; one other condition must also be satisfied
that custom was current prior to occurrence of the event; the
usage prevalent thereafter will not be regarded (Ashbah).
Article 166. - Doubt will be construed to the benefit of the
debtor.
Article 167. - (1) In contracts of adhesion the acceptance
will be confined to the mere submission to a draft (pre)
contract

(avant

contrat)

formulated

by

the

offeror

in

specific form beforehand which is not negotiable inasmuch as

the offer is concerned.
(2) With a contract of adhesion which has been concluded
which contained arbitrary conditions the court
may amend or relieve the adhering party of the obligation to
perform these conditions in accordance with the principles of
equity; every agreement otherwise will be null and void.
(3) The ambiguous terms of a contract of adhesion may
not

be

interpreted

(construed)

to

the

prejudice

of

the

interest of the adhering party even where he is the creditor.

(3) Contractual Responsibility (Warranty of the Contract)
Article 168. - If it is impossible for the obligee of a
contract to perform his obligation specifically he will be
adjudged to pay damages for non-performance of his obligation
unless
he
establishes
that
the
impossibility
of
the
performance was due to a cause beyond his control; the
adjudication will be the same if the obligee has delayed (was
late in) the performance of his obligation.

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Article 169. - (1) If the compensation (damages) has not been

estimated in the contract or in a provision of the law it
will be assessed by the court.
(2) The damages shall be in respect of every obligation
which

arises

from

the

contract

be

it

an

obligation

of

conveyance of property, a benefit or any other right in rem,

or an obligation to do or to abstain from doing an action and
includes the loss of and the lost profit suffered by the
creditor on account of loss of or delay in receiving the
right provided that this was a natural result of the failure
of or delay by the debtor to perform the obligation.
(3) Where the debtor had not committed cheating (fraud)
or a grievous fault the compensation may not exceed the loss
suffered or the amount of the lost profit which had been
normally anticipated at the time of the contracting.
Article 170. - (1) The contracting parties may fix in advance
the value of the damages (compensation) by a stipulation in
the contract or in a rider (subsequent agreement) in which
case the provisions of Articles 168, 256, 257 and 258 must be
observed.
(2) The contractual damages will not accrue (be due) if
the debtor has established that the creditor did not suffer
any damage; the (value of the) compensation may be reduced if
the debtor has established that the assessment was excessive
or that part of the original obligation has been performed;
any agreement which is contrary to this paragraph shall be
null and void.
(3) Where

the

damage

has

exceeded

the

sum

of

the

compensation agreed (contractual damages) the creditor may

not claim more than said value unless he has established that
the debtor has committed deception or a grievous fault.
Article 171. - Where the object of the obligation is a sum of
money which was known at the time the obligation arose and
the debtor delayed the payment thereof he shall be obligated
to pay to the creditor by way of damages for the delay a
legal interest at the rate of four per cent in regard to

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civil matters and five per cent in respect of commercial

matters; this interest will commence from the date of filing
a judicial claim in respect thereof if the agreement or the
commercial

usage

has

not

fixed

different

date

for

the

running of the interest save in all cases where the law has
provided otherwise.
Article

172.

(1)

The

contracting

parties

may

agree

on

another rate of interest (other than those mentioned in the

preceding Article) provided it shall not exceed seven per
cent; where the parties had agreed on a higher rate (of
interest) it shall be reduced to seven per cent and the
surplus which has been paid must be refunded.
(2) Every commission or benefit (advantage) of whatever
kind stipulated by the creditor such as when it is added to
the agreed interest will exceed the aforementioned maximum
rate will be deemed to be covert interest and is reducible if
it has been established that said commission or benefit had
no consideration represented by an actual service which the
creditor would have rendered nor by a lawful benefit.
Article 173. - ( 1 ) In order for the interest - legal or
contractual - to fall due the creditor will not be required
to establish that he has suffered injury as a result of the
delay.
(2)

The creditor may claim a complementary compensation

to be added to the legal or contractual interests if he has

established that the damage which exceeds the interests was
due to cheating or gross fault committed by the debtor.
(3) But where the creditor when claiming his right has
caused the lengthening of the duration of the dispute through
his

fault

the

court

may

reduce

the

interests-

legal

or

contractual - or will not adjudge the payment thereof at all

in respect of the period of the lengthening of the dispute
without justification.
Article 174.

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outstanding interest and in no case may the total of the

interest received by the creditor be more than the principal
sum without in all cases prejudice to the commercial rules of
custom and usage.
Article 175. - The legal rate of the commercial interest
charged

on

current

accounts

will

vary

according

to

fluctuations of the local market applicable; capitalisation

(the method of computing compound interest) is effected on
current accounts according to the commercial usage.
Article 176. - The Gregorian Calendar will be adopted when
computing interest.
Section (iii) - Dissolution of the contract
(1) Rescission
Article

177.

(1)

In

bilateral

contracts

binding

both

parties if either party has failed to perform his obligations

under

the

contract

the

other

party

may

after

service

of

notice (formal summons) demand rescission of the contract and

where necessary claim damages; the court may however accord
the debtor a further time limit (to pay) and may also reject
the application for rescission if that which has not been
performed by the debtor is trivial in terms of the total
obligation.
(2) Where the tenant has abstained from paying the rent
due for payment under the contract of lease the lessor may
rescind (the contract of) lease; where the hirer (employer)
has

abstained

from

payment

of

the

wage

due

for

payment

pursuant to a contract of work the wage-earner may demand

rescission of the contract; the vendor or the purchaser may
demand rescission of the contract of sale if the other party
has

failed

to

pay

that

which

is

due

from

him

under

the

contract; the right of rescission of a contract may also be

established on the basis of a defect without the need for a
stipulation in the contract.

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Article 178. - It may be agreed that the contract will be

deemed

rescinded

ipso

facto

without

need

for

judicial

judgment in case of non-performance of the obligation arising

therefrom;

this

agreement

shall

not

waive

the

service

of

notice (formal summons) except where the contracting parties

had agreed expressly that the notice would not be necessary.
Article 179.
- (1) Where the object of a commutative
contract has perished while it was still in the possession of
its owner the contract is rescinded regardless of whether the
perishing as due to his act or to a force majeure where it
would be incumbent on him to restitute the substitute of that
which he had received to its owner.
(2) Where the thing sold perishes while still in
possession of the vendor before it has been received by the
purchaser it will be the property of the vendor and the
purchaser is not liable on anything.
Article 180.
- If a commutative contract concerning
financial (pecuniary) things is rescinded or repudiated the
obligation resulting therefrom will lapse in which case it
would not be necessary to deliver the exchange substitute
stipulated in the contract and if it had been delivered it
must be restituted; where the restitution is impossible he
will be condemned to pay compensation.
(2) Rescission by Mutual Consent
Article 181.

- After having concluded a contract the

contracting parties may rescind it by mutual consent.

Article 182. - (1) The thing the subject matter (object) of
the contract must at the time of rescission by mutual consent
be existing and in the possession of the contracting party.
(2) In case of a sale the thing sold must be existing
and in possession of the purchaser even where some of the
thing sold has perished rescission by mutual consent of the
remainder will be valid to the extent of its share of the
price; but the perishing of the price shall not constitute an

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impediment

to

the

validity

of

the

rescission

by

mutual

consent.
Article 183. - Rescission by mutual consent as regards the
contracting

parties

is

tantamount

to

repudiation

and

as

regards a third party it is tantamount to a fresh contract.

Chapter 2 - Unilateral Hill

Article

184.

(1)

unilateral

will

does

not

bind

its

initiator except in the cases where the law provides to that

effect.
(2) The provisions applicable to a contract shall apply
to a unilateral will except those of which relate to the
necessity of the existence of two concordant wills to create
an obligation.
Article 185. - ( 1 ) He who has promised a consideration
(wage/fee/remuneration)

to

whoever

performs

certain

specified act will be obligated to give the consideration to

any person who has performed said act even where he had
performed it without having regard to a promise.
(2) Where the promisor has not fixed a time limit for
performance of the act he may revoke his promise provided
that such revocation shall not have any effect on the right
of whoever has performed the act before revocation of the
promise.
(3) The

claim

of

the

consideration

shall

lapse

if

proceedings have not been commenced within six months from

the date of proclaiming (declaring) the revocation.

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Chapter 3 - Unlawful Acts

Section (i) - Responsibility for personal acts
(1) Unlawful Acts against Property
Damage (Harm/Injury)
Article 186, - (1) A person who wilfully or by trespassing
has directly or indirectly caused damage to or decreased
the value of the property of another person shall be liable.
(2) Where two persons - a perpetrator and an abettor are involved (in committing the damage) the one who acted
wilfully or by encroachment shall be liable; where both are
liable the liability will be joint and several.
Article 187. - (1) A person who without (lawful) right has
demolished

an

immovable

belonging

to

another

person

the

latter is vested with an option: either to leave the rubble

to the former and claim from him the value thereof standing
(built up) as well as reparations for the other injuries; or
deduct

the

value

of

the

rubble

from

the

value

of

the

immovable standing (built up) and in the latter case take the
rubble and claim from him the balance (difference in value)
and reparations for the other injuries.
(2)

But

where

the

perpetrator

(destroyer)

has

reinstated the immovable to its original state which existed

before

the

demolition

and

paid

reparations

for

the

other

injuries his liability will be discharged.

Article 188. - A person who without lawful cause has cut a
tree in the garden of another person the owner (of the tree)
has an option: either to claim the value of the tree standing
and reparations for the other injuries and leave (give) the
tree cut to the perpetrator; or to deduct the value of the
cut tree from its value when standing and take the cut tree

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IRAQ 1 & 2/1990: THE CIVIL CODE

and claim the remaining balance and reparations for the other
injuries.
Article 189. - A person who has cheated another person shall
be liable on the damage (injury): if a person told the market
people,

"This

minor

is

my

son

sell

him

goods

as

have

permitted him to deal in trading" and it later transpired

that the boy is the son of another person, the market people
may claim from him the price of the goods sold to that boy
and damages for the other injuries.
Article 190. - (1) A person who has damaged the property of
another person alleging that it is his own property shall be
liable on that which he has damaged.
(2) If however the damage was permitted by the owner
the perpetrator will not be liable.
Article 191, - (1) A minor - rational or irrational - or any
one having his status who has damaged the property of a third
party will be liable from his own funds (property).
(2) Where it was impossible to obtain the reparations
from

the

assets

perpetrator)

of

be

he

he
an

who

has

imprudent

done

the

damage

(irrational)

(the

minor

or

insane - the court may order the natural guardian the curator
or the selected guardian to pay the sum of the reparations
who may have recourse for the sum paid against he who has
committed the injury (perpetrator).
(3) In assessing the fair reparations for the damage the
court

must

take

into

consideration

the

situations

of

the

litigants.
Usurpation
Article 192. - The property usurped must be restituted in
kind to its owner at the place wherein it was usurped if it
is existingif the owner of the property has casually met the
usurper who had with him the usurped property at a different
place he may if he so wishes have the property restituted in
that place, but if he demands restitution at the place of
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usurpation

the

expense

of

moving

it

and

the

costs

of

providing for its restitution will be borne by the usurper

which thing will be without prejudice to reparations for the
other injuries.
Article 193. - The usurper will be liable if he has expended,
destroyed, or lost the property usurped or where it has
perished totally or partially without encroachment on his
part.
Article 194. - (1) If the thing usurped has changed while in
possession of the usurper the usurpee may if he so wishes
recover the thing usurped in kind and claim reparations for
the other damages or leave (abandon) the thing usurped and
claim reparations from the usurper.
(2) The usurper who has changed the thing usurped in
such a manner which changed its name (nomenclature) will be
liable and will keep the thing; he who has usurped the wheat
of a third party and sowed it in his land will be liable for
the wheat and will keep the crop.
(3) Where the usurper has changed some description of
the thing usurped by adding to it something from his own
property the usurpee will have the option if he so wishes to
give the usurper the value of the addition and take back the
thing usurped in kind and claim the other reparations or to
abandon the thing and claim from the usurper.
Article 195. - If after the usurpation the value of the thing
usurped

has

diminished

(depreciated)

the

usurpee

has

no

alternative but to accept it in its existing state without

prejudice to his right to reparations for the other injuries;
the usurper shall however be liable if through his act or use
the thing usurped has depreciated.
Article

196,

The

accessories

of

the

thing

usurped

are

deemed to be usurped like it and the usurper shall be liable

if they have perished even without encroachment on his part.

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Article 197. - Where the thing usurped is an immovable the

usurper is under an obligation to restitute it to the owner
together with the comparable (true) rent; the usurper shall
be

liable

if

the

immovable

has

suffered

damage

or

has

depreciated even without encroachment on his part.

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