Forbes: U.S. May Get Unexpected 'prizes' In Iran War Thanks To Ancient Law
- 26.04.2026, 9:59
The law has not been enforced since World War II.
A blockade against Iran could bring the US unexpected profits and benefits thanks to the so-called Prize Court Act, which hasn't been used since World War II. The nuance, however, is that it is not only the U.S. that could take advantage of such an opportune moment, writes Forbes.
The Prize Vessel Act is a body of maritime law and the law of armed conflict that applies to captured neutral or enemy merchant vessels. The law applies to civilian merchant ships, unlike enemy warships or airplanes, which automatically become war booty upon capture. That said, it only applies during times of armed conflict. As Forbes points out, an example of the law's application is the U.S. seizure of the Iranian ship M/V Touska for violating the U.S. blockade of Iranian ports on April 19.
After seizure, ships may be escorted to a port under the belligerent's jurisdiction for inspection and trial by a prize court. This court will determine whether the hijacking was lawful. If so, the court may recognize the ship and cargo as prize and transfer ownership to the capturing nation.
In the United States, federal district courts have jurisdiction as prize courts, but prize courts have not been established since 1956. If resolution of the dispute is not possible, the state may destroy the prize after taking all possible steps to ensure the safety of the passengers and crew.
The United States may want to make it clear to its adversaries that it will aggressively assert its rights as a belligerent in a naval war. Enforcing the Prize Vessel Act would also send a clear message to neutral merchant ships bound for Iranian ports not to violate the U.S. blockade anywhere in the world.
The Prize Vessel Act could also be a useful tool for the United States in any future conflict with China. China is actively building dual-use merchant ships that can also be used for military purposes. China has the world's largest merchant fleet by tonnage and relies heavily on ocean transportation of energy and materials. Prize laws would allow Chinese merchant ships to be seized wherever they are located, outside of neutral territory.
The revival of prize and extraction laws could also affect the future of the conflict.
According to Forbes, Iran could use the terminology "prize" and "extraction" when intercepting ships, complicating the U.S. information campaign about the legality of its own actions. The use of prize law in the current conflict between the United States and Iran could also open the door for China to use similar laws against the United States in a possible war.