Iraq has secured a major legal victory in Paris, winning a $49 million lawsuit against a foreign company. This outcome prevents the Iraqi government from paying the large compensation.
Gulf Falcon Company filed the lawsuit at the Judicial Court of Paris. The company had demanded arbitration and sought financial compensation from Iraq. Haitham Muhyi Radhi, Director General of Iraq’s Ministry of Justice Legal Department, said the company signed two contracts with Iraq in 2000 to operate the air transport sector.
However, after 2003, exceptional events caused the contracts to cease. Subsequently, Gulf Falcon tried to pursue international arbitration for the $49 million claim. The Ministry of Justice assembled a legal team to counter the claims. They successfully proved Iraq’s legal position and rejected all arguments presented by the company.
This victory, which followed a dispute that began in 2023, demonstrates Iraq’s capability to protect state interests in international courts. It also highlights the expertise and professionalism of Iraqi legal staff. Furthermore, the case reinforces Iraq’s commitment to defending its contracts and sovereign rights abroad.
Officials welcomed the outcome as a confirmation of Iraq’s sound legal framework. They stressed that the country will continue to monitor international cases closely and act swiftly to protect national interests. This win may also boost confidence among foreign investors and partners engaging with Iraq.
Additionally, the Ministry of Justice commended its legal team for their dedication and expertise. Their careful preparation and strategy ensured that Iraq successfully defended its position in an international court.
Iraq’s legal team emphasized the importance of careful contract management and legal preparedness to prevent future disputes. They plan to strengthen mechanisms for addressing potential claims, ensuring that similar challenges are handled effectively.
The Ministry of Justice confirmed that the outcome strengthens Iraq’s position in ongoing and future international disputes. The government remains committed to defending its rights while fostering a transparent and secure environment for foreign cooperation and investment.
