Thursday, April 26, 2012

Chuidian v. Philippine National Bank case brief, 912 F.2d 1095 (9th Cir. 1990)

Chuidian v. Philippine National Bank
912 F.2d 1095 (9th Cir. 1990)


Procedural History:
Action to determine sovereign immunity.

Overview:

Chuidian (P) sued Daza (D), an official of the Philippine government, after Daza (D) instructed a Philippine bank not to honor a letter of credit issued by the Republic of the Philippines to Chuidian (P). Daza (D) was a member of an executive agency created by the Philippine government after the overthrow offormer President Marcos. When Daza (D) instructed the Bank not to make payment on a letter of credit issued to Chuidian (P) during Marcos’s regime, Chuidian (P) sued. Daza (D) claimed sovereign immunity under the FSIA.

Issue:

-Can foreign officials acting in an official capacity claim sovereign immunity under the Foreign Sovereign Immunities Act of 1976?

Rule:

foreign officials acting in an official capacity can claim sovereign immunity under the FSIA

Analysis:

-Most courts have agreed with this decision. Some courts have denied immunity under the Alien Tort Act if human rights abuses are involved. Before the FSIA was enacted, the State Department decided such issues.

Outcome:

-Foreign officials acting in an official capacity can claim sovereign immunity under the FSIA. No authority supports the continued validity of the pre-1976 common law in light of the FSIA. It is generally recognized that a suit against an individual acting in his official capacity is the practical equivalent of a suit against the sovereign directly.

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