Palestine seeks Supreme Court freeze on $655 million terror judgment

• The Palestine Liberation Organization has asked the Supreme Court to freeze a $655.5 million judgment for U.S. families of terror attack victims.
• Enforcement of the judgment could destabilize government services and jeopardize regional security, according to Palestinian officials.
• The case has its roots in the Anti-Terrorism Act and subsequent legislation setting conditions for when Palestine can be sued via the Anti-Terrorism Act.

"This 'would plunge the Palestinian economy into a deep recession including a sudden dramatic increase in the already high unemployment rate, and failure of critical social services,' which 'would likely fuel anger and frustration, and could lead to widespread violence in the West Bank' and harm 'the security situation of neighboring Israel, Jordan and Egypt — key U.S. allies,'

The Palestine Liberation Organization has asked the Supreme Court to freeze a $655.5 million judgment for U.S. families of terror attack victims, warning that enforcement could destabilize government services and jeopardize regional security. The judgment stems from claims brought by the families of U.S. nationals killed in terror attacks in Israel between 2001 and 2004, which was originally thrown out in 2016. However, an appeals court reinstated the award based on a lower court's decision that Palestinian officials could be brought into American courts to defend personal injury suits brought by victims of terror attacks. The Palestine Liberation Organization is now challenging this decision, arguing it violated constitutional limits on finality and due process.

The case has its roots in the Anti-Terrorism Act, which was enacted to allow U.S. nationals who were victims of terrorism to sue foreign governments for damages. However, Congress later passed the Anti-Terrorism Clarification Act, setting conditions for when Palestine can be sued via the Anti-Terrorism Act. The Supreme Court upheld this law in a unanimous decision last year, ruling that Palestinian officials could be brought into American courts to defend personal injury suits brought by victims of terror attacks. The latest development in the case is the PLO's emergency application to the Supreme Court to freeze the $655.5 million judgment pending their certiorari petition.

The potential destabilization of the Palestinian economy and government services is a pressing concern, with officials warning that enforcement of the judgment could plunge the country into a deep recession, increase unemployment rates, and lead to widespread violence in the West Bank. The situation is further complicated by the ongoing humanitarian crisis sparked by the latest Israel-Palestine conflict, which has left many Palestinians without basic necessities. Compliance officers and lawyers advising clients with assets in Palestine should monitor the Supreme Court's decision on this matter, as a potential $655 million judgment could have far-reaching implications for regional security and stability.

Lawyers advising clients with assets in Palestine should monitor the Supreme Court's decision on this matter, as a potential $655 million judgment could destabilize the Palestinian economy and impact government services. Compliance officers may also need to review their organization's exposure to potential terrorism-related liabilities.

Source: Original reporting via Courthouse News Service