Evaluating the FIDIC's termination for convenience clause in general condition under common law in Iranian civil law system for costruction contracts

The Iran civil code is based mainly on the Egyptian Civil Law (ECL), which is itself derived from two principal sources like French civil law and Islamic law. On the other hand the general conditions of contracts published by the Fédération Internationale des Ingénieurs-Conseils or International Federation of Consulting Engineers (FIDIC), which based on common law principles and this standard form of contract, have been applied in large construction projects in Iran. Due to the Iran legal system is rooted in civil law, FIDIC forms of contract may face serious challenges. This research, through a comparative method, has analyzed the Egypt Civil Code (ECC) and Iran (as two members of the Islamic legal system) for better decisions in FIDIC-based contracts. Our study offers some strategies for modification of the FIDIC 1999 Red Book [FIDIC (CONS)] and also Iran Civil Code for construction contracts, which are associated with the termination for convenience clause. Therefore, with a better understanding of the termination for convenience by the employer clause, which has referred to in many contractual claims in arbitration centers and courts, can be prevented disputes. Moreover, this study is useful for other Middle East countries because most of them follow the civil law jurisdictions.