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Legal News: US Supreme Court Denies Sovereign Immunity Defence to Israeli Company

On April 22, 2003 the United States Supreme Court handed down its decision in Dole Food Co. v. Patrickson and Dead Sea Bromine Co., Ltd. v. Patrickson, 2003 U.S. LEXIS 3242 (Nos. 01-593 and 01-594, Apr. 22, 2003) in which the U.S. high court ruled that Dead Sea Bromine Co. was not entitled to assert the defence of sovereign immunity in a mass tort litigation against international bromine producers whose products allegedly resulted in the sterilization of thousands of banana plantation workers around the world.

Zell, Goldberg attorneys had assisted plaintiffs' Texas counsel in their attempt to persuade the Government of Israel to intervene with the former government company's management, to refrain from invoking Israel's sovereign immunity in collaboration with the defendant bromine producers, in order to cause the plaintiffs' suits to be removed to US federal court where they would be subject to dismissal on the grounds of forum non conveniens.

The decision of the U.S. Supreme Court in the Dole Foods and Dead Sea Bromine cases confirmed the position taken by ZGC attorneys in their discussions with Israeli Ministry of Foreign Affairs, namely that Dead Sea Bromine as a second-tier subsidiary was not cloaked with sovereign immunity under international and US law, and that in any case the company had been privatized at the time the US lawsuits were filed and therefore was not a government instrumentality for purposes of the US Foreign Sovereign Immunity Act.

For further details of these cases, contact us at info@fandz.com.

 

 

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