Iraq’s Ministry of Justice has announced a major international legal victory after successfully defending the government in a lawsuit filed in Paris, preventing the state from paying $49 million in compensation to a foreign company.
In an official statement, the Ministry confirmed that the Judicial Court of Paris ruled in favor of Iraq in a case brought by Gulf Falcon Company, which had demanded arbitration and damages over contracts dating back to the year 2000.
⚖️ Case Background
According to Haitham Muhyi Radhi, Director General of the Ministry’s Legal Department, the contracts in question were signed between Gulf Falcon and the Iraqi government to operate in the air transport sector.
However, Radhi explained that “exceptional circumstances and events following 2003” led to the suspension of those agreements.
Years later, Gulf Falcon sought international arbitration, claiming substantial financial losses and demanding $49 million in compensation.
🏛️ Iraq’s Legal Team Prevails
Radhi noted that Iraq’s legal defense team “successfully refuted all arguments presented by Gulf Falcon” before the Paris court. The team provided extensive documentation and legal reasoning to establish that Iraq had acted within its rights under international law and contractual obligations.
The ruling marks the end of a dispute that began in 2023 and reinforces Baghdad’s determination to protect national interests in foreign courts.
📢 Ministry’s Statement
In its official press release, the Ministry of Justice emphasized that this outcome demonstrates “the high competency of Iraqi legal staff in defending the state’s rights and interests in international forums.”
The Ministry reaffirmed its commitment to maintaining strong legal representation for Iraq in all international disputes, especially those involving legacy contracts and post-2003 legal claims.
💬 Significance
This ruling is seen as an important win for Iraq’s legal system and fiscal stability, as it prevents a large financial outflow from public funds.
It also reflects Iraq’s growing ability to navigate international arbitration cases and defend itself effectively against foreign claims, signaling stronger institutional maturity within the country’s justice sector.
