The palace was built between 1890 and 1895 after the plans of the French architect Albert Ballu, who also designed the Palace of Justice in Charleroi, Belgium. The interior was decorated by the Romanian architect Ion Mincu. The foundation stone of the palace was laid by the Romanian King Carol I himself in 1890.
The main building of the palace is preceded by an impressive staircase that extends towards the river Dâmbovița. Authorities realised already in 1940 the problem that between the steps and the flow there was not enough space for both cars and pedestrians. On request of King Carol II, the river has been covered with a concrete slab between United Nations Square and the Union Halls. Here appeared a wide boulevard. The slab has been removed after the earthquake in 1986.
After the earthquakes in 1977 and 1986, the Palace of Justice reached a deplorable state and the Romanian dictator Nicolae Ceaușescu decided to demolish it in 1990. Its function was going to be taken by a new building, which had to be built on the site of the Văcărești Monastery, demolished in 1986. After the fall of communism in 1989, the plan of demolition fell too. The building has been saved after the extensive renovations between 2003 and 2006.
Today, the Palace of Justice houses the Court of Appeals in Bucharest, the District Court of the 5th Sector, the Association of Romanian Prosecutors, the National Association of the Romanian Bars and the Bar Association of the Capital.