The Anglo-Iranian Oil Dispute 1932-1033 (United Kingdom v. Iran) Case

was a dispute between the UK and Iran, in which the UK alleged that cancellation of the DArcy concession by Iranian Government counter to a convention agreed upon by the Anglo-Persian Oil Co and Iran and International agreements too. British the government espoused the claim on behalf of APOC and brought the dispute before the Permanent Court of International Justice at the Hague, asserting that it regarded itself "as entitled to take all such measures as the situation may demand for the Company's protection." At this point. The Court cannot accept the view that the contract signed between the Iranian Government has a single the purpose of regulating the relations between the Government and the company in regarding to the concession. It does not regulate in any way the relations between the two Government.After the dispute between the two countries was taken up at the Hague, the Czech Foreign Minister who was appointed mediator put the matter into abeyance to allow the contending parties to attempt to resolve the dispute. Ironically, Reza Shah who had stood firm in demanding the abolishment of the DArcy concession suddenly acquiesced to British demands, much to the chagrin and disappointment of his Cabinet. A new agreement with the Anglo-Persian Oil Company was agreed to after Sir Cadman visited Iran in April 1933 and was granted a private audience with the Shah. A new Agreement was ratified by Majles on May 28, 1933 and received Royal assent the following day which granted the Anglo-Iranian Oil Co. a 60-year license to mine oil in 100,000 square miles (260,000 km²) of Iran in return for a percentage royalty. The 1933 agreement does not provide Iranian Interests and extended the life of the DArcy concession by an additional thirty-two years, negligently allowed APOC to select the best 100,000 square miles, the minimum guaranteed royalty was far too modest, and in a fit of carelessness the company's operations were exempted from import or customs duties.