The U.S. Court of Appeals for the D.C. Circuit recently dismissed a long-running dispute against Russia concerning the library of the Lubavitcher Rebbe (the Library), a collection of books and papers once held by the then-Rebbe of the Chabad Lubavitch movement. Agudas Chasidei Chabad of United States v. Russian Fed’n, 110 F.4th 242 (D.C. Cir. 2024) (Chabad 2024). Brought under what is known as the expropriation exception, 28 U.S.C. § 1605(a)(3), of the Foreign Sovereign Immunities Act (the FSIA), the case has involved Russia’s withdrawal from the case and default, sanctions of $50,000 per day for non-compliance and a judgment of more than $175 million, a retaliatory embargo on cultural property exchange that continues to this day, and multiple appeals.
In the most recent decision, the court of appeals held that the second element of the expropriation exception (what is known as the commercial nexus requirement) was not met and therefore deprived the court of any jurisdiction. Specifically, the D.C. Circuit held that if the defendant is the foreign state, the expropriation exception may only be invoked if the property is physically present in the United States (which the Rebbe’s library is not). The Supreme Court has declined to review two relatively recent cases that reached the same conclusion, it will bear watching of the plaintiffs seek further review now given a circuit split with the 9th Circuit on the issue.
Read More
Topics:
de Csepel,
Immunity from Seizure,
Foreign Sovereign Immunities Act,
Supreme Court,
Agudas Chasidei Chabad,
Russian Federation,
FSIA,
expropriation exception”,
sovereign immunity,
Russian State Library,
Chabad,
Federal Republic of Germany,
Welfenschatz,
D.C. Circuit,
Federal Republic of Germany v. Philipp,
Simon v. Republic of Hungary,
Lubavitcher Rebbe,
Schubarth,
Judge Randolph,
Brett Kavanaugh,
Judge Griffith
In response to the recent request by the Agudas Chasidei Chabad plaintiffs for an interim judgment on the compounding sanctions judgment for the Russian Federation’s refusal to comply with a 2010 judgment to return the ancestral library of the movement’s leader (Rebbe), the United States has filed a statement of position and asked the U.S. District Court to ignore Russia’s willful defiance of that judgment. The statement of position cites some credible post-judgment remedy law, but it is mostly a re-hashing of the previously statement filed by the U.S. which the court declined to adopt when it sanctioned the Russian defendants last year. The U.S. position also continues to argue that letting diplomatic avenues run their course is the prudent move, even though there is not the slightest indication that Russia is paying U.S. diplomats any mind whatsoever. More worriedly, the U.S. asks that the plaintiffs be required to advise the government before taking any further action. It is hard to avoid the irony that the United States is asking for an order that its citizens be required to advise the government of their intent to vindicate their rights against Russia.
Read More
Topics:
Yossarian,
Immanuel Kant,
Foreign Sovereign Immunities Act,
Rebbe,
Agudas Chasidei Chabad,
Catch 22,
Categorical Imperative,
Russian Federation,
FSIA,
Restitution,
IFSA,
Foreign Sovereign Immunities,
Joseph Heller,
Immunity from Seizure Act
