It was a historic win on a controversial case. In October 2009, the British government - with the approval of parliament - slapped sanctions on an Iranian commercial bank, Bank Mellat. The Bank then took the government to court.
After several failed appeals, it took the case to the highest court of the land - the Supreme Court, which issued a judgment on the issue on Wednesday morning.
Inside the court, judges ruled in favor of Bank Mellat and said the restrictions placed against it must be squashed. They said that the Iranian bank had been singled out, and that the treasury’s actions were neither proportionate nor rational. They also said the treasury should have given Bank Mellat notice before applying the restrictions, something they did not do. If they have the information given to parliament would have been different. They called it a ‘demonstrably unfair procedure”.
The case was controversial because it was the first time the Supreme Court heard evidence in a secret sitting. These controversial behind closed door sessions were introduced in April - and have been slammed by rights groups including Liberty.
Giving their verdict, Supreme Court judges also heavily criticized the secret hearing. They said it had no point - and included no significant information of use.
The Bank Mellat lawyers say that the bank will now claim costs and possibly compensations. They hope the verdict is the start of a new page.
The win in the UK echoes the verdict in a European court that EU sanctions on Bank Mellat are illegal. The EU is, however, appealing that decision.