The Legal Characterization of the Obligations of the Parties to Electronic Banking Payment Cards (Issuer, Consumer, and Merchant) and the Scope of Liability Arising Therefrom: A Comparative Analytical Study Between Iraqi and Iranian Legislation

Abstract

This study aims to propose ways for regulation of the subject of Internet banking fee cards – the issuer (the bank or other financial institution), the services (the card owner), and the vendor (the card accepting entity) by conducting an approximate comparative analysis of the Iraqi and Iranian legislations. I formulate the research question based on the fact that despite the increasing use of photoelectric payment cards in investment and commercial activities, the alternative liabilities of the subjects of fee card relations are not explicitly enough formulated, leading to controversial cases of technical errors, misusing, privacy violation, and delays. Using the method of comparison of the relevant regulatory legal acts of the countries, I reveal the factors that affect the subjects of fee card relations. The results of the research show that the Iranian law is more detailed in terms of regulating and supervising the activities of the issuer and detailing the kinds of criminal liability. Iraqi law, in its turn, lacks the detailed formulation of the rules on the responsibilities of the subjects of fee card relations and the ranges of their liabilities, which needs to be improved by legislative acts.