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Vacated Default Judgment Against Foreign Sovereign
Default judgments against foreign sovereigns are especially disfavored, the United States District Court for the District of Columbia explained in a 20-page memorandum opinion on December 28, 2009. In Reuven Gilmore et al. v. Palestinian Interim Self-Government Authority et al., docket number 01-853, the court examined the default of the Authority in case alleging acts of terrorism.
The sovereign suffered a default but after consultation with the United States Department of State understood that such complaints deserve a proper response, and it launched its defense. The Authority is not recognized by the United States as a sovereign nation, but they maintain diplomatic relations.
Therefore, the court decided to apply the precedential reasoning from Practical Concepts, Inc. v. Republic of Bolivia, 811 F.2d 1543, 1551 n. 19 (D.C. Cir. 1987), to the instant case. An important factor for the leniency afforded the Authority is its accommodation of plaintiffs in certain regards to mitigate undue hardship to them. -- Clemens Kochinke, partner, Berliner, Corcoran & Rowe, LLP, Washington, DC.
Tue, / Embassy Law Link