Some Arab legislation pursues arbitration as a single machinery to resolve disputes arising in the stock markets. This includes the Temporary Law for Stock Markets of Iraq No. (74) issued in 2004, which dealt with arbitration as a key access to resolve disputes in the Iraqi Stock market. This trend has been addressed by the Arbitration Rules of Procedure of Iraqi Stock Market in 2008; the legislature believed in arbitration as a best approach to settle disputes which could arise either between brokers or between them and the dealers. This regulation raises several questions such as: is the nature of arbitration which depends on the will of the parties optional, or it is mandatory based on the will of legislator himself? To which extent will it harmonize with laws and the Constitution? Hence, we attempt to shed light on the essence of arbitral act in the Iraqi Stock Market- in addition to the decisions of arbitral committee- is it a judicial or administrative or arbitrational nature? As well dealing with the nature of the committee itself, and indicating the role of will of the parties in determining the legal nature of arbitration. Ultimately, we can determine two trends to explain forming the arbitral committee in the stock market: first we can say that the committee is made up by a decision from the administrative authority. The second trend leaves this question to the parties themselves. The Iraqi legislature has adopted a different approach to both; it had distinguished between transitional phase, where the arbitration belongs to the staff of market or to the authorized members in the exchange hall. Second, the Board of Governors forms that committee. Consequently, the arbitral act in our model has a special nature, because the arbitration in disputes among dealers does not include the agreement or the judiciary. Also, the freedom of the will of parties has a dual nature; optional as for disputes between members and customers, and compulsory disputes among the members themselves.
Jalal, Nasser and Yahya, Zaala Said
"The Legal Nature of Arbitration Disputes in the Iraqi Market for Securities: A Comparative Study.,"
Journal Sharia and Law: Vol. 2014:
59, Article 2.
Available at: https://scholarworks.uaeu.ac.ae/sharia_and_law/vol2014/iss59/2