"We feel incredibly good. Me and my daughter cannot wipe the smile of our faces. Blær has always been her name but now there has been a vindication and she has cleared the path for future women named Blær", says Björk Eiðsdóttir, mother to Blær.
Blær celebrated the ruling with her friends and family and the following pictures were taken by her mother on this memorable day.
The sign reads: "Congratulations Blær".
Björk Eiðsdóttir gave News of Iceland permission to publish the pictures.