Anglo-Iranian Oil Co. Case (United Kingdom v. Iran)
United Nations International Court of Justice
1952 I.C.J. 93 (1952)
- Written by Matthew Celestin, JD
Facts
The Anglo-Iranian Oil Company (AI) was incorporated in the United Kingdom (UK) (plaintiff). In 1933, AI entered a concession agreement with Iran (defendant) in which Iran granted AI the exclusive 60-year right to mine oil in Iran in exchange for money provided by the UK government. In 1953, Iran passed a law to nationalize its oil industry and establish a state-owned oil company. AI objected and sought to arbitrate pursuant to the concession agreement’s arbitration clause, but Iran refused to arbitrate. The UK government sued Iran in the International Court of Justice (ICJ), seeking damages and lost profits. However, Iran asserted that the court lacked jurisdiction because Iran hadn’t explicitly consented to its jurisdiction. The UK government argued that Iran had consented to the court’s jurisdiction because Iran had previously entered into a treaty with the UK, agreeing to treat UK citizens according to international laws.
Rule of Law
Issue
Holding and Reasoning (Holmes, J.)
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