Act of state doctrine


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Act of state doctrine

This doctrine says that a nation is sovereign within its own borders, and its domestic actions may not be questioned in the courts of another nation.

Act of State Doctrine

A doctrine stating that each sovereign state has complete control over the laws within its own borders and that its acts cannot be questioned in the courts of another state. This is important to economics and trade because it means that investors in one country cannot sue to force a company or the government in another country to take an action favorable to them; they must go through the domestic courts for redress. While international agreements and conventions temper the act of state doctrine, it remains important.
References in periodicals archive ?
theory that the Act of State doctrine forbade it from allowing these
Moreover, they argued that the district court should dismiss the complaint pursuant to the act of state doctrine, the doctrine of foreign sovereign compulsion, and/or principles of international comity.
antitrust law to conduct involving foreign commerce, the Foreign Trade Antitrust Improvements Act, foreign sovereign immunity, foreign sovereign compulsion, the act of state doctrine, and petitioning of sovereigns, in light of developments in both the law and the Agencies practice; and
(50) Additionally, the Court held that the Republic of Iraq is responsible for the Hussein Regime because the Regime had the authority to act for the state of Iraq, relying on case law that involves the act of state doctrine, which stipulates that the United States will not make judgments on acts done by a foreign state within their own territory.
This Part explores the history of foreign sovereign immunity and the act of state doctrine, both of which arose out of the law of nations' understanding of a sovereign's "perfect rights." Although head of state immunity and the act of state doctrine in positive federal law can both be traced to Chief Justice Marshall's opinion in The Schooner Exchange, (35) they are now distinct concepts.
Two principles derived from traditional general law--the act of state doctrine and head of state immunity--illustrate these points.
* Act of State Doctrine: In Banco Nacional de Cuba v.
The district court granted the defendants' motion for dismissal under the act of state doctrine and political question doctrine, finding that the complaints involved decisions of the Organization of the Petroleum Exporting Countries (OPEC) and the defendants' involvement in such decision making.
No statement of interest was issued but a Texas lower court in 2009 ruled against a class action versus OPEC producers, saying the lawsuits were barred by the act of state doctrine, which bans judgements that interfere with how sovereign nations control their natural resources.
By Notice of Motion filed on 17 June 2009, the Commonwealth sought and was granted (with the consent of Mr Habib) a full hearing before the Full Court of the Federal Court in order to determine the Court's jurisdiction to hear such matters in consideration of the act of state doctrine. (13) The following question was placed before the Full Court, pursuant to s 25(6) of the Federal Court of Australia Act 1976 (Cth) and O 50 r 1 of the Federal Court Rules 1979 (Cth):
which courts were denied jurisdiction by the act of state doctrine. (67)
Under the act of state doctrine, the court could not accept this