Forms of the law to regulate the August line of security in Iraq (analytical study)

Abstract

    Letters of Guarantee are one of the most important banking methods because of their role in internal and external commercial transactions as one of the most important instruments of banking confidence because they have advantages that are not available in other warranties. Despite the importance of the letters of guarantee, it is noticeable that there are many legal issues surrounding the practical and practical aspects of this type of guarantee in Iraq because of the multiplicity of legal relations that arise on its occasion. The study included a description of these problems regarding the issuance and validity of the letter of guarantee, the purpose of its issuance, its duration and extension, and the fulfilment of its value to the beneficiary, through the analysis of legal texts, judicial decisions and relevant jurisprudence.
    Among the findings we have reached through the study, the practical reality has proved to be problematic in the application of some provisions of the Iraqi Trade law regarding letters of guarantee, including: the beneficiary finds himself bewildered when submitting the claim to the legal entity, in two cases, the first one, Letters issued in a branch are subsequently closed. The second is the letters issued in a branch but the extension of their duration is in the