Criminal law and Criminology Studies

Criminal Protection of Commercial Trust: An Analysis of the Offence of Non-Disclosure of Conflict of Interest by a Broker

Document Type : Research Paper

Authors

Ahmad Rahimi 1
Mohammad Ebrahim Shams Natri 2
Hassan Aalipour 3
Alireza Aalipanah 4

1 PhD student in Criminal Law and Criminology, Farabi Faculty, University of Tehran

2 PhD student in Criminal Law and Criminology, Farabi Faculty, University of TehranMember of Faculty of Law Faculty of Farabi School of Tehran University

3 Member of Faculty of Law Faculty of Farabi School of Tehran University

4 Faculty member, Faculty of Law, Shahid Beheshti University

https://doi.org/10.22059/jqclcs.2026.403584.2046
Abstract
Abstract
This study employs a descriptive–analytical method and library-based sources to examine the criminal protection of commercial trust through an analysis of the offence of non-disclosure of a broker’s conflict of interest under Article 346 of the Commercial Code, with reference to Article 54 of the 2024 Draft Commercial Code. It seeks to clarify the protected legal interest and the conditions governing criminal liability. The findings demonstrate that the protected value is commercial trust and the preservation of the broker’s financial impartiality. Commercial trust is conceived not merely as the personal confidence of one contracting party, but as an institutional foundation of intermediary market relations, the impairment of which may undermine the integrity and efficiency of commercial transactions. The criminal conduct consists of an omission-failure to disclose a benefit or share to an uninformed party. Accordingly, neither criminal fraud nor actual harm is required; the offence is therefore classified as a formal (conduct-based) crime. However, liability requires the broker’s knowledge of the relevant benefit or share and intentional concealment (general intent). Criminal responsibility arises upon the conclusion of a valid and legally effective transaction. Although the exclusion of punishment where the transaction fails or is declared void accords with the principles of strict interpretation and minimal criminal intervention, it may weaken deterrence and encourage risk-taking behavior regarding the duty of disclosure

Keywords

Commercial trust
impartiality
conflict of interest
criminal protection
brokerage
Draft Commercial Code 2024
Subjects

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