Contracts with Indian parties are governed by the Indian Contract Act 1872 unless another law is chosen. For Iran-related trade, the payment mechanism, the designated bank, the currency and what happens if a payment channel closes must be written into the contract. Because Iranian judgments cannot be executed directly in India, an arbitration clause with a clear seat and institution is the best protection.
- Document route
- Iranian notary, Ministry of Foreign Affairs legalisation, then Indian mission attestation
- Time difference
- IST is 2 hours ahead of Iran all year
- Core law
- Indian Contract Act 1872
- Foreign awards
- Part II, Arbitration Act 1996
Commercial Contracts from Iran: how it works
We draft and review supply and purchase contracts with Indian parties, focusing on the payment route through designated banks, documentary requirements, sanctions screening, quality and inspection, shipping and insurance, and force majeure if banking channels are interrupted.
We also check whether the goods fall into categories restricted by India's export controls or UN measures, and advise the Indian party or the Iranian party accordingly. Where a dispute arises, we advise on notices, negotiation and arbitration.
For long-term supply relationships, we recommend periodic written reconciliations of accounts, which make later recovery far simpler if the relationship breaks down.
What clients in Iran should know
- Specify the payment bank and what happens if it stops processing.
- Keep documentary proof of each shipment and payment.
- Choose a seat of arbitration acceptable to both sides.
Step by step from Iran
Video consultation
A call at a time that suits Iran, after we have read your documents.
Documents signed in Iran
Iranian notary, Ministry of Foreign Affairs legalisation, then Indian mission attestation
Work in India
Our team files, appears and follows up in India, and shares scans of everything filed.
Result and handover
Certified copies and originals are couriered to you in Iran where needed.
The full guide
This page covers what changes when you are in Iran. For the law, the documents and the step-by-step procedure, read our main page on Commercial Contracts, or see all services for clients in Iran and the Doing Business in India practice area.
Questions from clients in Iran
Can Indian companies lawfully trade with Iran?
Much trade is lawful, but some goods and parties are restricted; we screen each deal.
What if the rupee payment channel stops?
The contract should say how payment will be made instead or how obligations are suspended.
Should we choose arbitration?
Yes, it is usually more enforceable than a court judgment.