The Trump administration is bringing back a centuries-old legal tradition that would allow it to more easily seize Iranian oil tankers and sell off their assets. The move revives prize law — a set of rules that lets military forces capture enemy vessels during conflict — and it's been so long since the U.S. used it that officials admit they're navigating unfamiliar territory.
What Is Prize Law and Why Now?
Aaron Reitz, the U.S. Attorney in the Houston-based Southern District of Texas, confirmed to Fortune that the revival is underway. Prize law is an ancient body of maritime law — already codified in statute but dormant for generations — that sets the rules for how captured vessels and their cargo are handled during military conflict.
According to Bloomberg Law, the U.S. aims to revive this Civil War-era legal approach to claim Iranian oil as prize. The strategy would streamline the process of seizing tankers and selling their assets, cutting through red tape that has slowed previous enforcement efforts.
How the Legal Revival Works
Reitz explained the rationale in a statement: "Our national security interests may require the United States military to seize vessels or cargo supporting the enemy during military conflict. If that happens, our federal courts must be ready to adjudicate the disposition of these captured vessels and cargo."
"Prize law is an ancient body of maritime law—already codified in statute but which we are now reviving—that sets the rules for how se..." — Aaron Reitz via Fortune
The Justice Department is preparing to activate this long-dormant maritime war court to streamline military capture of Iranian oil tankers, according to reports on X. The goal is to have federal courts ready to handle cases involving captured vessels quickly and efficiently.
Why the Séance Comment Matters
The headline quote — "we'd have to conduct a séance" — captures just how long it's been since the U.S. actively used prize law. This isn't a routine legal update; it's a revival of a framework that most modern lawyers have never encountered in practice.
- Prize law dates back centuries and was last actively used in the Civil War era
- The legal framework is already in U.S. statute but has been dormant for generations
- The revival targets Iranian oil tankers specifically, aiming to seize and sell their assets
- Federal courts in the Southern District of Texas would handle the adjudication
Our Take: A Bold Move With Big Implications
To put it plainly, this is a significant escalation in how the U.S. handles Iranian oil shipments. Reviving prize law isn't just a technical legal maneuver — it's a signal that the administration is willing to use every tool available to disrupt Iranian oil revenue.
The fact that officials openly joke about needing a séance shows how unusual this move is. It's been so long since prize law was used that there's genuine uncertainty about how it will play out in modern courts. That uncertainty cuts both ways: it could give the U.S. a powerful new enforcement mechanism, or it could create legal headaches that slow down the very seizures it's meant to speed up.
For readers, the key takeaway is this: the U.S. is serious about going after Iranian oil tankers, and it's willing to reach deep into legal history to do it. Whether this revival works as intended — or gets bogged down in the courts — will be worth watching closely.
