Court: American Victims of Terror Can Confiscate $9 Million From Iran

American victims of Iranian-backed terror attacks can seize Iranian bank accounts in order to pay off more than $9.4 million in damages awarded to these victims, according to a recent ruling by a California-based U.S. Court of Appeals.

The court ruled late last week in a landmark decision against appeals by the Iranian government. The ruling paves the way for other U.S. terror victims to sue the Islamic Republic for terror acts, according to the court ruling.

The case concerned a 1997 suicide bombing in Israel that wounded several American citizens. Iran was found guilty of sponsoring the terror attack and was initially held liable for it by a U.S. court in 2013.

Iran appealed that decision, which ordered the country to pay $9.4 million in damages, arguing that the assets in question could not be touched due to a 2012 Obama administration order blocking access to Iranian property and other interests held in the United States.

The appeals court rejected this argument on Friday, ruling that Iran no longer has legal immunity in these types of cases. The decision sets the stage for U.S. terror victims to finally receive compensation from Iran, which is expected to again appeal the judgment.

The case is also being viewed as a potential shot at Obama administration efforts to rebuild diplomatic ties with Tehran. The administration has given Iran more than $150 billion in economic sanctions relief despite efforts by U.S. lawmakers to block the release until Iran pays U.S. victims of terrorism.

Iran has refused to pay out more than $43 billion in damages awarded by U.S. courts as the result of some 50 separate cases.

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