Iranian Journal of Trade Studies

Iranian Journal of Trade Studies

A comparative Study of the Authorities and Responsibilities of Managers in Non-Commercial Institutions (Non-Profit Organizations) in Iranian and English Law

Document Type : Research Paper

Authors
1 Associate Professor of Guilan University, Rasht, Iran. (Corresponding Author).
2 MA. Student in Private Law, University of Guilan, Rasht, Iran.
Abstract
.
The management is like the executive arm of a legal person to the extent that the implementation of the decisions made by the board of directors and the limits of their authority can justify and ensure the survival of a legal person and its productive or harmful activities. In Iranian law, the management pillar of non-commercial institutions, such as commercial companies, has not been considered by the legislator in relation to the limits of the managers' responsibilities. While in English law, special attention has been paid to the management element, the limits of their authority and responsibilities. Therefore  comparative study of the Iranian and English law can be effective for the amendment of Iranian law or the creation of legal doctrine. The results of the present research show through a library and analytical-descriptive study method that in Iran's legal system, in cases where the special law or statute does not indicate the position of managers and the extent of their authority and responsibilities, it is useful to apply the attorney law in civil law. In English law, the position of managers in relation to the organization and members is based on a type of contractual representation and in relation to the third parties with good faith, is based on the Organ Theory. In this way, all their actions in front of third parties with good faith are valid unless the bad faith of the third party is proven. But in this case, management is responsible for its actions in front of the organization and members.
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  • Receive Date 29 December 2023
  • Revise Date 20 April 2024
  • Accept Date 21 April 2024