Deadlines at Iran’s Administrative Justice Court: What Executives Should Know

Companies in Iran face many administrative decisions each year: rulings of tax dispute boards, municipal Article 100 commissions, the Social Security Organization or labour dispute boards. The Administrative Justice Court (Divan-e Edalat-e Edari) hears complaints against these decisions, but some complaints are subject to statutory deadlines; once missed, the route to challenge is effectively closed.

What the Court hears

Under Article 10 of the Law on the Organisation and Procedure of the Administrative Justice Court, its jurisdiction falls into three main categories:

• Complaints against decisions and actions of government bodies, municipalities and their officials
• Challenges to final rulings of specialised administrative tribunals, such as tax boards, municipal commissions and labour and social security boards (only on grounds of breach of, or conflict with, laws and regulations)
• Employment claims by government employees

Applications to annul government regulations are heard by the Court’s General Board.

Deadlines

Under Article 16 of the same law, the deadline to challenge a final ruling of a specialised administrative tribunal is three months for persons resident in Iran and six months for those resident abroad, from the date the ruling is served. Complaints against administrative decisions and actions (the first category) follow a different rule, but delay usually makes the claim and any compensation harder to establish. Because the law has been amended in recent years, deadlines and conditions should be checked against the current text for each case.

Practical points for companies

• Record the date of service: many rulings are now served electronically. Assign someone to track notices and log their dates.
• The Court does not rehear the merits: when reviewing tribunal rulings, it generally examines only breaches of law and procedural defects. The substantive defence must be made, with full evidence, at the commission or board stage.
• Ask for an interim order if needed: filing a complaint does not by itself suspend the decision. Where it is urgent, an interim order must be requested.
• Damages follow a separate route: once the Court has confirmed a breach by the authority, the amount of compensation is determined by the general courts.

Read more about our administrative and public law practice.

This note is general information and is not legal advice on any particular matter. To discuss your situation, request a consultation.