Iran sues US over re-imposition of sanctions following JCPOA exit

The International Court of Justice (‘ICJ’) in the Hague has been hearing evidence in Iran’s lawsuit against the US for the re-imposition of sanctions following the US’s exit from the Joint Comprehensive Plan of Action (‘JCPOA’) on 8 May. In its application, Iran states that through its decision ‘to reimpose in full effect and enforce’ sanctions against Iran, Iranian companies and its people, the US ‘has violated and continues to violate multiple provisions of the 1955 Treaty’. This refers to the Treaty of Amity, Economic Relations and Consular Rights, an infrequently used legal instrument setting out the legal framework for bi-lateral relations between the two countries, entered into when Iran was under the rule of the Shah.

The US is urging the ICJ to dismiss the lawsuit, with US State Department legal adviser Jennifer Newstead arguing that Iran’s appeal based on the 1955 treaty is a stalling tactic.

‘Iran is endeavouring to use the procedures of the Treaty of Amity to enforce rights that it claims under an entirely different (agreement) that specifically excludes judicial remedies,’ she said.

US Secretary of State Mike Pompeo has released a statement calling the claim ‘meritless’ and ‘an attempt to interfere with the sovereign rights of the United States to take lawful actions, including re-imposition of sanctions, which are necessary to protect our national security. The proceedings instituted by Iran are a misuse of the Court.’

Iran is arguing that the US sanctions should be suspended until the case is heard in full – which could take years – an outcome which has been robustly rejected by US lawyers. A provisional ruling of the ICJ is expected in around a month. Although the ICJ is the supreme United Nations court and its decisions are binding, it lacks the means to enforce its judgments and its rulings have been ignored by countries including the US and Iran in the past.