The Legal Characterization of Bank Account Opening Contracts in the (My Acount) Project: An Analytical Study in Light of the Provisions of the Iraqi Civil law

Abstract

This study examines the legal characterization of bank-account opening contracts concluded within the framework of the Hisabi (“My Account”) banking project in the Kurdistan Region of Iraq. It identifies the nature of the legal relationship arising between the bank and the account holder and distinguishes it from the institutional relationship connecting the governmental entity with the participating banks. The significance of the study lies in the fact that an account designated for the receipt of salary payments does not merely serve to safeguard funds; it is also associated with the crediting of salaries, the facilitation of withdrawals and transfers, the issuance of payment instruments, the operation of electronic channels, the disclosure of transactions, and the protection of data. Accordingly, it is insufficient to subsume such an account automatically under the legal model of a civil deposit, loan, or agency contract. Rather, its actual economic and legal function must be considered, together with the totality of the reciprocal obligations arising between the parties.

The study concludes that the account-opening contract under the Hisabi project constitutes a composite, innominate banking contract, combining the legal effects of a cash deposit, a loan, a current account or payment account, the execution of the customer’s instructions, and electronic payment services. The research employs an analytical-foundational approach to examine legal texts and general rules, while utilizing a descriptive method to present available official data regarding the project and account-opening procedures, and an inductive method to derive the legal characterization that best aligns with the account's practical function. The study is divided into two sections: the first addresses the conceptual and institutional framework of the account-opening contract within the "Hisabi" project, as well as the contract's essential elements and components; the second examines potential legal characterizations, identifies the most plausible composite characterization, and analyzes the implications of this characterization for rights, obligations, liability, and the relationship with the government entity. The research concludes with a summary of findings and recommendations.