The climate loss and damage regime, as the third pillar of climate policy alongside mitigation and adaptation, plays a vital role in delivering climate justice. However, these mechanisms face numerous interconnected challenges, including legal ambiguities in defining 'loss and damage', voluntary and non-binding financial commitments, structural and bureaucratic complexities in institutions like the Green Climate Fund, a vast financial gap (with annual needs estimated at $400 billion to $1.6 trillion dwarfing available resources), and technical obstacles in assessing non-economic losses and slow-onset events. Utilizing a qualitative methodology and documentary analysis, this study investigates these multifaceted challenges. The findings underscore the necessity of transitioning from a charity-based model to a right-duty paradigm. This paper proposes integrated solutions, including establishing binding international legal frameworks grounded in the principle of Common But Differentiated Responsibilities and Respective Capabilities (CBDR-RC), reforming governance structures by streamlining processes and enhancing the meaningful participation of vulnerable countries, diversifying funding sources through innovative financial instruments (such as carbon border taxes), and developing standardized methodologies for loss assessment and climate attribution science. Emphasizing regional application in West Asia and Iran, these recommendations aim to foster a more equitable, efficient, and operational system for addressing climate-related loss and damage.