Abstract
As the oil contracts are considered as the mean, which is used by foreign oil companies to gain profits
as much as possible thus, the contracted state is aiming to earn the highest possible portion of society
development and prosperity, thereupon those contracts are a fertile field for disputes.
Those contracts are including huge bargains with long execution duration, economic, political and
social conditions may change during the execution time, new abnormal contractual terms and
conditions may rise in such time, from this standpoint, the arising of disputes between one of the
parties to the oil contraction one side who is outside the contract on the other side is possible,especially
since most oil contracts include rights and obligations for others,in addition to the rights and
obligations contained in the national legislation of the producing country, which requires the
development of mechanisms and meansfor how to address and avoid oil contract disputes,the foreign
oil investor,when choosing between alternative places for oil investment, take into account the place
that provides equipment that ensures the implementation of laws, respect for property rights and the
fulfillment of contracts.
