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U.S. Court Rejects Human Rights Lawsuit Against Daimler
The U.S. Supreme Court has ruled that Daimler AG cannot be sued in California for alleged human rights abuses in Argentina, Reuters reports.
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The U.S. Supreme Court has ruled that Daimler AG cannot be sued in California for alleged human rights abuses in Argentina, Reuters reports.
The unanimous decision ends a lawsuit against the company that claims it violated the rights of union activist workers at its Mercedes-Benz assembly plant in Argentina 40 years ago.
The decision is the latest to limit the ability of plaintiffs to use American courts to sue multinational companies. The Supreme Court ruling says a company cannot be sued in the U.S. unless it does substantial business there.
The court pointed out that neither Daimler nor its U.S. subsidiary are incorporated in California. One justice said the case should be rejected because it "involved foreign plaintiffs suing a foreign defendant based on foreign conduct."
The American high court made a similar decision last year involving a group of Nigerians who sued Royal Dutch Shell plc in a New York court for aiding police in a crackdown on protesters in Nigeria in 1992-1995.
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