Britain tries to stop UK firms from being sued in America

The British Government has intervened in the United States justice process to stop United Kingdom companies from being sued in America for alleged human rights violations committed around the world.
The move follows months of lobbying from British business concerned that they may have to pay millions in compensation for the alleged exploitation of Third World countries and their peoples.

One of the first cases to directly benefit from the action will be the oil giant Shell, which is defending allegations that it helped to suppress environmental opposition to its oil projects in Nigeria. The execution of one of the environmental activists Ken Saro-Wiwa on murder charges led to Nigeria's suspension from the Commonwealth. Shell's chairman, Sir Philip Watts, has been at the forefront of a campaign to restrict the use the 200-year-old US law against British companies.
The Government also wants to stop British companies accused of supporting apartheid in South Africa from being sued in the US under the same legislation. The cases have all been brought under the 1789 Alien Tort Act, introduced to provide legal redress for ships captured or destroyed by US pirates.

A British Government amicus brief -- or legal opinion -- filed in the US Federal court argues that the legislation must be neutralised because British companies are facing "large damage claims". Human rights lawyers and environmental groups accused the Government of "hypocrisy".
Simon McRae, of Friends of the Earth, said: "This is the only legislation in the world that holds to account international companies accused of human rights and environmental abuses committed in other countries. It's incredible that the Government now wants to block it. The Government has refused to enact similar legislation in this country so where else can these cases be tried?"

Human rights lawyers said that the intervention amounted to double standards because ministers had refused to make a similar case for the British detainees held in Guantanamo Bay.
Louise Christian, who represents three of the Guantanamo families, said: "We have repeatedly asked the Government to file an amicus in the Supreme Court in support of the detainees but they just keep telling us that it would not be appropriate because negotiations have reached a sensitive stage."

The US case in which the UK has filed its amicus brief involves allegations of human rights abuses in Mexico. In the document, seen by the Independent, the British Government complains that the Alien Tort Act "interferes with the sovereignty of the Government and other sovereign nations by subjecting their nationals and enterprises to risk of conflicting legal commands and proceedings and the costs of defending themselves against private law suits... "
It adds: "This case offers the court a clear opportunity to put to test the mounting international uncertainty surrounding the Alien Tort Statute and thus minimise the potential conflict with other sovereigns that arises from assertion of jurisdiction under that statute."

It also warns that there is a "substantial risk that a broad claim of jurisdiction will disrupt trade and investment in a global economy... and may deter investment in developing countries... " Other documents seen by the Independent show that the British government has also used diplomatic channels to try to restrict the impact of the Alien Tort Act. If the court agrees to limit the impact of the legislation, human rights claims against British companies under the Act will fail.
A Foreign Office spokeswoman said that the Alien Tort Statute had laid dormant until the 1980s and that it was now being put to "erroneous uses".

She said: "There should be no impunity for companies or individuals in human rights cases. We think that if somebody commits a human rights violation then they should held accountable in their own country."
Three years ago US Supreme Court ruled that families of two environmental activists executed by the Nigerians could sue Shell in New York. The case is awaiting a trial date.