Research and development in criminal law and criminology

Research and development in criminal law and criminology

The Constituent Elements of the Broker’s Breach of Trust in Iranian Law: A Study with Emphasis on Article 349 of the Commercial Code and Article 56 of the 2024 Draft Commercial Bill

Articles in Press

Document Type : Original Article

Authors
Ahmed Rahimi 1
Muhammad Ibrahim Shams Natri 2
Alireza Aalipanah 3
1 PhD student in Criminal Law and Criminology, Farabi University, Tehran
2 Professor, Faculty of Law, Farabi College, University of Tehran
3 Assistant Professor, Shahid Beheshti University
10.22034/jclc.2026.2079357.1295
Abstract
Abstract

The offense of a broker’s breach of trust, recognized as a specific crime within commercial relations, is provided for in Article 349 of the Iranian Commercial Code and Article 56 of the 2024 Draft Commercial Bill. Despite the significance of this offense in safeguarding intermediary commercial relationships, the precise scope of its constituent elements and the effectiveness of the current criminal policy remain ambiguous and contested. The central inquiry of this study is to delineate the essential elements of this offense and to assess the effectiveness of its current criminalization in light of recent developments in Iranian commercial law, using a descriptive–analytical method. The findings indicate that the broker’s breach of trust possesses a legal nature distinct from the general offense of breach of trust, being grounded in a professional fiduciary duty arising from contractual and customary relations between the broker and the principal. The results further reveal that although the 2024 Draft Commercial Bill has taken a positive step toward reforming the type of criminal sanctions, it still contains shortcomings with respect to the inclusion of non-pecuniary interests, the liability of the other party to the transaction, and the gradation of penalties proportionate to the harm caused. The paper concludes with recommendations for legislative reform and directions for future research. Moreover, by distinguishing the legal, material (actus reus), and mental (mens rea) elements of the offence, the study shows that the criminal conduct may encompass the appropriation, use, or destruction of property and documents entrusted within the scope of brokerage activity, and that its realization requires proof of general criminal intent as well as an intent to cause harm or to obtain an unlawful benefit. An examination of judicial practice and doctrinal opinions likewise offers criteria for identifying the notion of “entrustment” and for delineating the boundaries of professional trust.



Keywords:Broker’s Breach of Trust; Criminal Protection; General Breach of Trust; Article 349 Commercial Code; 2024 Draft Commercial Bill.
Keywords
Broker&rsquo
s Breach of Trust؛ Criminal Protection؛ General Breach of Trust؛ Article 349 Commercial Code؛ 2024 Draft Commercial Bill

Subjects

 
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Research and development in criminal law and criminology

Articles in Press, Accepted Manuscript
Available Online from 01 January 2026