An Exposition of the Saving Contract: Its Nature and Effects Based on Jurisprudential and Legal Sources

Based on the results obtained, it is found that the agreement of two or more people for the purpose of joint use of a product or service in order to reduce cost, if it partakes of the conditions and elements of a contract, is a type of binding contract, which may be labelled as "a contract regarding saving on consumption. The parties are bound to the effects resulting from the contract, and in case of failure to fulfill their obligations, it is possible to oblige the parties to carry out these obligations or to compensate for damages. The savings contract will be terminated in case the goods or services subject to savings are lost, the conditions under which the parties concluded the contract change, or the term of contract expires. According to the subject of this agreement and based on the sources of Iranian law, the agreement on savings is a type of indefinite contract and the appropriate title for it is "consumption savings contract". As a result, due to the contractual nature of the relationship between its parties, for the authenticity of this relationship, there must be the basic conditions for the authenticity of contracts. This agreement is a binding contract, the subject of which is the joint use of goods or services with the aim of obtaining benefits through cost reduction.This contract is one of the indefinites, compensatory and forgiving contracts, and it has the following effects: its identification from a legal point of view causes the recognition of responsibility for the parties and encourages people to use it jointly, the costs incurred and the responsibilities resulting from it are shared. In the relationship between the parties, their responsibility is non-joint and joint and joint and several against the third party. The cost-saving contract is terminated from the date of the loss or damage of the property if the property is completely or partially destroyed, in such a way that the contract cannot be continued. It is also the case if one of the parties or some of them lose the conditions they had at the time of the contract. If there is an option, this contract can be terminated. If this contract is bound by time, it will be dissolved upon the expiration of the contract period.