Strategic Studies of Jurisprudence and Law

Strategic Studies of Jurisprudence and Law

Supporting third parties in cases of managers' violations in transactions of joint stock company transactions in Iranian and British law

Document Type : research

Authors
Somayeh Rahmani 1
Mohammad Ali Ahmadipour 2
Habib Ramezani Akerdi 3
1 Ph.D. student of private law, Central Tehran Branch, Tehran, Iran.
2 PhD student of private law, Central Tehran Branch, Islamic Azad University, Tehran, Iran.
3 Department of Law, Faculty of Social Sciences, Imam Khomeini International University (IKIU), Qazvin, Iran.
10.22034/ejs.2023.422973.1596
Abstract
Background and Aims: The rights of third parties in the transactions of joint stock companies are important issues that need to be discussed. The purpose of this article is to examine the protection of third parties in cases of violations of the regulations of joint stock companies in Iranian and British law.
Materials and Methods: This article is descriptive and analytical. The materials and data are also qualitative and data collection has been used.
Ethical Considerations: In this article, the originality of the texts, honesty and trustworthiness are respected.
Findings: Both in Iranian law and in English law, the legislator is committed to protecting the rights of third parties in the transactions of joint stock companies. In the laws of the two countries, the transactions of directors of joint-stock companies with third parties have atiyar. From this point of view, the company's claim that the manager of the company has made transactions with third parties outside of his competence and authority is not accepted.
Conclusion: The guarantee of the implementation of the protection of the rights of third parties is the responsibility of those who authorized such a transaction, which includes the board of directors and the CEO or beneficial managers. They are jointly and severally responsible for the damages.
Keywords
third parties
directors
joint stock company
transactions
damages
Subjects
Strategic Studies of Jurisprudence and Law
Volume 4, special issue - Serial Number 5
Studies of economic jurisprudence
Autumn 2022
Pages 885-902