The ultra vires principle, first developed in English common law, asserts that a legal entity, particularly a company, can only engage in activities, transactions, or legal actions within the scope of Its defined powers, jurisdiction, or specialization, as Pot Holders established by parliamentary legislation.According to this principle, any contracts made outside these powers are deemed null and void.While Iraqi law does not explicitly adopt the ultra vires doctrine, it can be inferred from Article 48(4) of the Iraqi Civil Law No.40 of 1951, which limits the capacity of a juristic person to act within the boundaries set by its memorandum of association and Cat Litter Boxes the law.
This study refers to this implied doctrine as the "doctrine of the object" or "purpose of the establishment" of the company. .