A Look at Contractual Compensation in the Practice of the Iran-United States Claims Tribunal

The principle of full compensation for damages is an accepted tenet in law, requiring that all damages incurred by the injured party be compensated. This study examines the methods of contractual compensation in the Iran-United States Claims Tribunal. First, the concept of the principle of contractual compensation and its conditions are discussed in various conventions and international legal documents. Given that the Tribunal represents one of the largest case- specific international arbitrations, its opinions and rulings can significantly influence or, at the very least, elucidate the practical aspects of arbitration within the realm of international law. This paper presents the rulings of the Tribunal, with a focus on decisions related to contract termination, reasonable compensation, and outstanding invoices. The findings indicate that in most cases, the Tribunal has awarded interest for damages and has followed a monetary approach to compensation.