Judgment No. 9509970909100541, dated 2017/01/25, rendered by Branch Three of the Supreme Court of Iran, concerns the legal limitations on the acquisition of immovable property by foreign nationals and raises significant legal issues. In the present case, although the plaintiff initially appeared to have entered into a sale agreement concerning a parcel of land, it subsequently became apparent that the transaction had in fact been made for an Afghan national. The trial court, relying on witness testimony and an expert opinion regarding the authenticity of the signature and fingerprint, established the occurrence of the transaction. Nevertheless, considering the plaintiff’s lack of legal interest, the court dismissed his claim and admitted the third-party claim. The Third Branch of the Supreme Court, referring, inter alia, to the purchase of the property for a foreign national, quashed the judgment on the ground of insufficient investigation and remanded the case for further proceedings. This article examines the reasoning of the judgment and analyzes the legal consequences of entering into a transaction in the name or on behalf of a foreign national, as well as the validity of the regulations governing the acquisition of immovable property by foreign nationals...