Court Dismisses Antitrust Class Action Lawsuit Against Foreign Petroleum Companies

Challenges to foreign governments' conduct do not belong in the courts

WASHINGTON, D.C. — The U.S. Chamber of Commerce's National Chamber Litigation Center (NCLC) today applauded the decision by a federal district court in Texas to dismiss a series of class action lawsuits claiming antitrust violations by foreign state-owned petroleum companies. The case, In re: Refined Petroleum Products Antitrust Litigation, was decided on January 9, 2009.

"The court rightly recognized that these lawsuits have no place in the judicial system because they interfere with foreign policy," said Robin Conrad, executive vice president of the National Chamber Litigation Center, the Chamber's public policy law firm.

The plaintiffs in three consolidated class action lawsuits asked for tripled damages, claiming that foreign state-owned petroleum companies conspired with Oil and Petroleum Exporting Countries (OPEC) in violation of American antitrust laws. In dismissing the litigation, the court agreed with the Chamber that the political issues raised by the plaintiffs are not appropriate for judicial review.

In its amicus brief challenging the class action lawsuits, the Chamber also expressed its concern that allowing the lawsuits to proceed would seriously damage American business both at home and abroad.

"In this troubled economy, the last thing we need is to scare off foreign investors who are worried that they will be dragged into American courts by frivolous class action lawsuits," Conrad said. "We also don't want to give foreign countries an excuse to retaliate against American companies operating abroad."

NCLC is the public policy law firm of the U.S. Chamber of Commerce that advocates fair treatment of business in the courts and before regulatory agencies.

The U.S. Chamber is the world's largest business federation representing more than 3 million businesses and organizations of every size, sector, and region.

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