U.S. Chamber Announces Opposition to Paez Judicial Nomination

WASHINGTON, D.C. – The United States Chamber of Commerce today announced its opposition to the elevation of district court judge Richard Paez to the 9th Circuit Court of Appeals. The 9th Circuit Court reviews federal court decisions in California, Arizona, Washington, Oregon, Idaho, Nevada and Montana.

In taking the unusual step of opposing a judicial nominee, Chamber senior vice president Lonnie Taylor said, "Judge Paez' lower court rulings demonstrate an alarming degree of judicial activism that must not be rewarded."

Taylor specifically cited Paez' ruling in John Doe I v. Unocal, saying the decision "represents an unconstitutional judicial intrusion into foreign policy with dangerous implications for the U.S. economy and world markets."

In the Unocal case – which concerns the construction of an offshore drilling station and natural gas pipeline – Judge Paez held that U.S. companies doing business overseas were liable for the actions of foreign governments. The ruling opened the door to environmental activists and others to use similar class action lawsuits as an avenue of attack on disfavored business projects, Taylor charged.

"Judge Paez' ruling, if upheld, could cripple international commerce and establish a far-reaching precedent of holding U.S. companies hostage to the actions of foreign governments," said Taylor.

Improving the ability of American businesses to compete in the global marketplace is a top priority of the Chamber. As part of the Chamber's efforts to advance free trade, it will oppose any attempts to undermine international competitiveness. The U.S. Chamber notified Senators of its opposition to Judge Paez in a letter yesterday.

The U.S. Chamber of Commerce is the world's largest business federation representing more than three million businesses and organizations of every size, sector and region.

# # #

00-35