On July 3, 1988,when the Iran-Iraq war was on the last stage US and Iranian ships were involved in some skirmishes in the Persian Gulf.Iran Air Flight 655 was an Iran Air civilian passenger flight from Tehran to Dubai that was shot down by the United States Navy guided missile cruiser USS Vincennes on 3 July 1988. The attack took place in Iranian airspace, over Iran's territorial waters in the Persian Gulf, and on the flight's usual flight path. The aircraft, an Airbus A300 B2-203, was destroyed by SM-2MR surface-to-air missiles fired from the Vincennes.All 290 on board, including 66 children and 16 crew, died.Under a 1996 agreement at the International Court of Justice Iran sued US, the U.S. agreed to pay Iran $61.8 million.