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Parliament should allow producers and private sector activists to use legal representation


According to Fars News Agency’s economic correspondent, the Supreme Council of Iranian Employers’ Associations sent a letter to MPs emphasizing the need to legalize the use of legal representatives for producers and private sector activists by approving a plan to facilitate the issuance of business licenses. The text of this letter is as follows:

in the name of God

Distinguished Members of the Islamic Consultative Assembly

In recent years, the Supreme Leader has chosen the slogan of the year, emphasizing national production and increasing economic performance, which shows the special importance to domestic entrepreneurs and the country’s economic future. Reducing production costs and improving the business environment are among the most important requirements for supporting and disrupting production, and the Islamic Consultative Assembly can play an effective role in this regard.

Pursuant to Article 32 of the Code of Civil Procedure, private enterprises are prohibited from nominating a legal representative to pursue legal proceedings in the courts and are somehow required to hire a lawyer in their litigation. Private companies are barred from nominating a legal representative, while state-owned enterprises and institutions can nominate a legal representative for their judicial affairs.

Due to the monopoly in the legal services market, the cost of using a lawyer for private businesses is very expensive, so that many lawsuits are pursued due to their risk, especially for small and medium industries, which account for 92% of the country’s industries. They are not cost-effective and ultimately lead to the abandonment of financial demands and the weakening of the business environment. It should be noted that out of every twenty court cases, only one lawyer case has only one lawyer case.

Two factors: the high cost of hiring a lawyer and the accumulation of claims that are not worth pursuing due to the high cost of advocacy.

Therefore, in a corrective action, by amending Article 32 of the Civil Procedure Code, it is possible to introduce a legal representative from private enterprises such as enterprises and government institutions to the courts, which will significantly reduce the costs of entrepreneurship.

In this regard, in July 1998, more than 2,000 producers had written a letter to the then Speaker of the Islamic Consultative Assembly requesting the amendment of Article 32 of the Code of Civil Procedure, but during these two years, no attempt was made by MPs to address the concerns of producers. . In this regard, Ayatollah Ra’isi, during his tenure as head of the judiciary, met with economic activists in 1998 and agreed to allow the introduction of a legal representative for private companies.

But now that a plan to facilitate the issuance of some business licenses is being approved, a number of members of the Islamic Consultative Assembly are trying to legalize the use of legal representation for private sector activists, as producers have been waiting for many years.

Therefore, the members of the Islamic Consultative Assembly are sincerely requested in a revolutionary action, by approving the possibility of using a legal representative under the plan to facilitate the issuance of some business licenses, to remove a very big obstacle in front of the producers.

End of message /

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