ICJ Certain Iranian Assets (2023)

Certain Iranian Assets (Islamic Republic of Iran v United States of America) is the International Court of Justice judgment of 30 March 2023 concerning United States measures that exposed assets of Iranian entities to attachment and execution. The case arose under the 1955 Treaty of Amity. It shows how asset-control measures can breach treaty protections for companies and property without establishing a general prohibition on sanctions.

Judgment

The Court's merits judgment held that it lacked jurisdiction over Iran's claims concerning the treatment of Bank Markazi under Articles III, IV and V. On the evidence of its activities in this case, the central bank was not a company within the meaning of the Treaty. This was a limit on the Court's treaty jurisdiction, not a general ruling on central-bank immunity.

For qualifying Iranian companies, the Court found breaches of Article III(1), concerning recognition of juridical status, and Article IV(1), concerning unreasonable measures. The relevant legislation and judicial enforcement disregarded the companies' separate legal personality. The Court also found Executive Order 13599 manifestly excessive in relation to its purpose and therefore unreasonable under Article IV(1).

The Court further found that attachment and execution under the relevant statutory provisions amounted to compensable expropriation contrary to Article IV(2), and that United States measures breached freedom of commerce under Article X(1). It did not uphold every claim. Among the rejected claims were denial of access to courts under Article III(2), restrictions on disposal of property under Article V(1), and exchange restrictions under Article VII(1). Iran had also failed to substantiate the distinct allegation that Executive Order 13599 itself effected a taking of qualifying companies' property.

The United States gave notice of termination of the Treaty on 3 October 2018. Termination took effect one year later, on 3 October 2019. The Court continued to adjudicate the existing case and award compensation for established breaches. Because the Treaty was no longer in force, however, it rejected Iran's request for cessation of those treaty breaches.

Reparation phase

The Court held that the United States must compensate Iran for injury caused by the established violations. It reserved the amount for a further phase, at either party's request, if no agreement was reached within 24 months. The order of 25 February 2026 records that the parties had not reached agreement and fixes 25 November 2026 for Iran's memorial and 25 August 2027 for the United States counter-memorial, solely on compensation. As at 16 October 2026, this remains the latest development listed on the public docket; no quantum judgment is listed. Filing deadlines do not establish that an amount has been determined or paid.

Significance

The judgment is narrower than a ruling that sanctions or terrorism-related judgment enforcement are generally unlawful. It turned on particular treaty rights, entities and jurisdiction. It nevertheless demonstrates that asset-control policy can generate international responsibility when domestic measures disregard corporate separateness or breach treaty protections. Bank Markazi's exclusion also shows why the jurisdictional instrument and the entity's actual activities matter; it does not resolve the legality of central-bank asset measures under every other rule of international law.

Reading discipline

Three distinctions prevent overstatement. Jurisdiction over a claim is separate from success on the merits. A breach concerning an Iranian company is separate from the treatment of Bank Markazi. A finding that compensation is owed is separate from determination and payment of a final amount. The Court assessed United States conduct against the Treaty of Amity; it did not act as an appellate court reversing domestic terrorism judgments. The result must therefore be read by entity, treaty article and remedy, rather than as a single verdict on all Iranian frozen assets.

See also

Asset freeze · Central-bank asset freeze · Treaty of Amity (1955) · ICJ Alleged Violations of the 1955 Treaty (Iran v US, 2018) · Judicial review of sanctions

Sources

1. International Court of Justice, *Certain Iranian Assets (Islamic Republic of Iran v. United States of America)*, Judgment, 30 March 2023, I.C.J. Reports 2023, p. 51, especially paragraphs 32, 47 to 54, 150 to 159, 184 to 192, 208, 223 and 224 to 236.
2. International Court of Justice, *Certain Iranian Assets*, Order, 25 February 2026, compensation proceedings.
3. International Court of Justice, case 164 docket, checked 16 October 2026.