The breach of the nuclear deal would eventually lead to the reimposing of U.N. sanctions lifted under the deal.
Hours after European allies Britain, France and Germany formally accused Iran of violating the terms of its 2015 nuclear deal to curb its nuclear programme, Iran hit back saying the usage of dispute mechanism is a legally baseless and strategic mistake.
"The usage of the dispute mechanism is legally baseless and a strategic mistake from a political standpoint," Iran Foreign Minister Mohammad Javad Zarif said, according to the Fars news agency.
Iran, which denies its nuclear programme is aimed at building a bomb, has gradually rolled back its commitments under the accord since the United States quit. It argues that Washington's actions justify such a course.
European allies Britain, France and Germany on Tuesday formally accused Iran of violating the terms of its 2015 nuclear deal to curb its nuclear programme.
The European allies said they were acting to avoid a crisis over nuclear proliferation adding to an escalating confrontation in the Middle East.
However, Russia, another signatory to the pact, said it saw no grounds to trigger the mechanism and Iran dismissed the step as a "strategic mistake."
The European allies said they still wanted the nuclear deal with Tehran to succeed and were not joining a "maximum pressure" campaign by Washington which pulled out of the deal in 2018 and reimposed economic sanctions on Iran.
The countries triggered the deal's "dispute mechanism," which amounts to formally accusing Iran of violating the terms of the agreement.