Municipalities, as non-governmental public institutions within Iran’s public law system, play a pivotal role in providing public services, urban development, and realizing citizens’ rights. These institutions are responsible for planning, managing, and implementing urban policies, and as intermediaries between the government and the people, they have a direct link to the quality of urban life and citizen satisfaction. This research, using a review and analytical approach, examines the legal status and duties of municipalities within the framework of the country’s laws and regulations. The findings indicate that, in addition to their service-oriented duties, municipalities have an effective role in promoting transparency, accountability, and adherence to citizen rights. Through efficient management, citizen participation, and scientific planning, they can facilitate the realization of social justice and sustainable urban development. However, legal limitations and a lack of coordination among executive bodies pose challenges to the optimal performance of municipalities