Iran's Administrative Court of Justice annuls Competition Council ruling on car pre-payment calculation

The General Board of Iran's Administrative Court of Justice has annulled Competition Council ruling No. 473 and its later amendments governing how car pre-payments are calculated in pre-sale schemes. Competition Council spokesperson Sepehr Dadjoo Tavakoli confirmed the ruling on Wednesday, August 19, 2026 (28 Mordad 1405), according to IRNA as carried by Donya-e-Eqtesad.

Under the annulled rule, the amount a buyer paid at registration was treated as a fixed share of the car's price, with only the price difference on the remaining share collected at delivery; for example, on a 1-million-toman car, a 500,000-toman down payment counted as a fixed 50 percent share. With the ruling struck down, the calculation will now be based on the car's price at the scheduled payment and delivery date rather than at registration. Dadjoo Tavakoli said the Competition Council had defended its rule in earlier proceedings but will comply with the court's final decision.