Courts Can Sanction Foreign Governments: DC Circ.

Law360, New York (March 15, 2011, 4:30 PM EDT) -- In the first case of its kind, the D.C. Circuit said Tuesday that federal district courts have the power to slap contempt sanctions on sovereign nations for discovery violations, ruling against the U.S. government's objections.

A three-judge panel in the U.S. Court of Appeals for the District of Columbia Circuit found that Congress allowed federal district courts to hit foreign governments with contempt orders under the Foreign Sovereign Immunities Act even though the law does not allow for execution of the orders.

The U.S. argued that...
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