April
2003 - Iraq Update: The
recent extensively reported downfall of the Regime in Iraq is expected
to have a dramatic impact on the legal business and commercial environment in
Iraq. The likely liberalization of the Iraqi economy will involve changes and
amendments of major presently applied laws. While
the main laws of general application such as the Civil Code Law No. (40) of
1951, which regulates civil and general contractual transactions are not expected
to be substantially changed particularly since this Civil Code was promulgated
during the monarchy based on Islamic law (Shariah)
and European legal concepts mainly the French laws incorporated into the Egyptian
Civil Code. However,
other important laws regulating specific aspects of business will probably be
revoked and replaced. We provide below our some of the laws that in our opinion
have to be replaced. 1.
The Commercial Agency Law No. (51) of 2000, which provides strict regulation
of agency has to be moderated and practical in line with Middle Eastern Agency
laws. 2. The Central
Bank Law No. 64 of 1976, which provides strict foreign exchange controls that
should be revised. 3.
The Commercial Companies Law No. (21) of 1997, to facilitate companies
registration and the establishment of branches of foreign companies. 4.
Arab Investments Law No. (46) of 1988, to encourage Arab and foreign investments
in development projects. Furthermore,
this web site will continue to provide regular updates on legal and practical
developments on the Iraqi economy. Contact
GLS for further detailed advice on specific aspects of these developments.
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