Ethical Analysis of Leasing Liquidation in Iranian and French Law

In general, any form which causes the invalidity of a contract and if its' continuing legal effects will be stopped, the contract is considered as dissolved. Whether the contract is necessary or permissible, owned or covenant, is exchanged or gratuitous and is related to real persons or legal entities. In this meanwhile, lease contracts as gratuitous and purchase contract considers as such contracts which the legal effects of dissolution returns to it. This article intends to carry out a comparative study to determine the approach of Islamic republic of Iran and France's Civil Code about the dissolution cases of the lease by utilizing a qualitative approach that is based on gathering information from library resources. Findings from this study indicated that from the perspective of legal sources, we can invalid the agreement between the landlord and tenant and order to its dissolution through some forms of dissolution, including termination, nullity and also the lease termination. Also, in the civil law of Iran, contract lease is a customary contract. Therefore, at the time of the conclusion of the contract, the value of the procured profits must be determined and specified; despite of the French legal system which considers the contract lease to be a covenant. It is not possible to determine the term indefinitely; in this case, the contract lease is null and void.