US Revives Prize Courts to Seize Iranian Oil Tankers

The US Justice Department is reviving an old maritime war tribunal to simplify the seizure of Iranian oil tankers as American prizes, according to three individuals with knowledge of the plans.

This move aims to reinforce the blockade against Iran and help cover expenses tied to the conflict. The DOJ will use a rarely used branch of maritime law called prize courts, which were common in naval warfare during the 18th and 19th centuries but have seen little use since World War II.

Aaron Reitz, the US attorney based in Houston whose office is collaborating with department leadership on this effort, verified that the DOJ is currently resurrecting prize courts. He stated that national security could require the US military to take control of vessels or cargo aiding the enemy during wartime, and that federal courts must be prepared to handle the fate of such captured assets.

The proposals for reviving prize courts have not yet been finalized, but they would give federal prosecutors a more direct route to claim oil and other cargo captured from enemy or neutral ships as US-owned. Once seized, those goods would be auctioned off, with the revenue going to the treasury.