Commercial judiciary is considered one of the fundamental pillars in enhancing the investment environment and achieving legal stability in the economic field. In Iraq, commercial courts were established to provide a specialized legal environment for resolving commercial and investment disputes, ensuring the swift adjudication of cases and boosting the confidence of both local and foreign investors in the legal system.

The commercial court has specified powers and jurisdiction according to the prevailing laws, making it the competent authority to adjudicate cases of a commercial nature.

First: Definition of the Commercial Court

The commercial court is a specialized court that addresses commercial and investment disputes, adjudicating cases arising between companies or between traders concerning commercial transactions.

This court was established in Iraq under the Higher Judicial Council's statement No. 14 of 2017, based on Article 29 of the Judicial Organization Law No. 160 of 1979, in response to the need for specialized judiciary that contributes to the swift resolution of commercial disputes and supports the business environment.

Second: Jurisdiction of the Commercial Court in Iraq

1. Subject Matter Jurisdiction

The commercial court is competent to consider cases arising between traders or companies or financial institutions, including:

• Disputes related to commercial contracts, such as sale agreements, partnerships, and commercial contracts.
• Disputes between commercial companies, including disagreements related to management, liquidation, or bankruptcy.
• Cases related to investment, including disputes arising from investment licenses or investment contracts in accordance with the Iraqi Investment Law.
• Disputes related to commercial papers, such as checks, promissory notes, and bills of exchange.
  Claims arising from banking transactions and commercial financing.
• Disputes concerning commercial agencies and franchising.
• Cases of unfair competition and protection of intellectual property rights of a commercial nature.

2. Territorial Jurisdiction

• The jurisdiction of the commercial court is established in the location where the company's headquarters are situated, the place of contract execution, or where the commercial dispute occurs.
• In cases of disputes between foreign companies and Iraqi investors, the jurisdiction may lie with the commercial court in Baghdad or any other commercial court designated by the relevant laws.

Third: Litigation Procedures Before the Commercial Court

The commercial court is characterized by flexible procedures compared to civil courts, with some of the key litigation steps being:

1. Filing a lawsuit by one of the disputing parties along with supporting documents for the claim.
2. Conducting legal notifications to ensure the presence of the other party.
3. Holding trial sessions and hearing arguments, which may require expert reports if the dispute is technical or financial.
4. Issuing a ruling in accordance with Iraqi laws, with the possibility of appeal to the Commercial Cassation Court.

Fourth: The Importance of the Commercial Court in Supporting the Economy and Investment

• Achieving prompt justice by accelerating litigation procedures in commercial cases.
• Enhancing confidence in the business environment, encouraging both foreign and local investors to invest in Iraq.
• Providing specialized judiciary capable of understanding the legal complexities in commercial and investment matters.

Conclusion

The commercial court in Iraq is considered an important legal tool in developing the business environment and boosting investor confidence in the judicial system. Through its broad jurisdiction and specialized procedures, this court contributes to creating a stable legal climate that supports economic development, attracts investments, and protects commercial rights in accordance with best legal practices.

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