Judicial Loss in Iran 's Legal System

Abstract

Judicial loss is a legal concept of a hypothetical nature that, upon realization, fundamentally transforms the effects of a contract. Judicial loss occurs in cases where the property has not been physically or materially destroyed but cannot be returned in its original form due to inaccessibility. In civil law, claims for equivalent property or monetary value are possible only when the property is genuinely lost, and access to its original form is impossible. Articles 311 and 323 of the Civil Code, in the context of usurpation, address this issue.

In certain court rulings, the concept of judicial loss has been expanded to include instances such as changes in the nature of the property, its transfer to another person via an official deed, or the inaccessibility of the property. These differing interpretations and extensions of judicial loss have led to varying judicial practices in recognizing and applying this concept. This article examines the concept of judicial loss by drawing on jurisprudential and legal principles, with an emphasis on achieving unified judicial practices and preventing conflicting rulings.