213 U.S. 347, 29 S.Ct. 511, 53 L.Ed. 826
Link to full case: https://supreme.justia.com/cases/federal/us/213/347/case.html
Facts: Before P corp was formed, D, went to measures in order to prevent competition and monopolize the banana trade. P had a banana plantation in Panama (under control of Unites States of Columbia), and built a RR which would be the only means of exportation. Basically, with D's interference and instigation,events led to Costa Rica holding lands which P's RR was going through.
Plaintiff argued that as a result of defendant's acts it had been deprived of the use of a plantation and a railway and that the plantation and supplies had been injured.
Plaintiff also alleged a wrongful conspiracy resulting in driving plaintiff out of business.
Holding: Court said that a conspiracy in the United States to do acts in another jurisdiction did not draw to itself those acts and make them unlawful, if theywere permitted by the local law. Although the acts were illegal in the United States, they were permitted by the local law in the foreign jurisdiction at issue.
Notes for American Banana Co. v. United Fruit Co.