Saturday, December 29, 2007

Judgment Against Holy Land Foundation and Others Reversed By 7th Circuit

In Boim v. Holy Land Foundation for Relief and Development, (7th Cir., Dec. 28, 2007), the U.S. 7th Circuit Court of Appeals reversed a lower court's award of $156 million in damages against four defendants, including the Holy Land Foundation (a large Muslim humanitarian relief organization) which allegedly contributed funds to Hamas. The suit was brought under 18 USC 2333-- a statute that permits recovery of treble damages by victims of international terrorism. The suit was filed by the parents and estate of David Boim who was murdered on the West Bank outside of Jerusalem by gunmen apparently connected with Hamas. The court remanded the case saying that plaintiffs need to prove a causal connection between defendants' conduct and the murder:
Permitting liability to be imposed on a defendant based solely on proof that the death of David Boim was a foreseeable result of the defendant’s conduct, without proof that the conduct actually was a cause of the death, would give section 2333 a far broader sweep than traditional tort principles would allow. The actual use to which the funds ... was put would be irrelevant. This would transform the doctrine of proximate causation from a principle that limits tort liability into one that expands liability, essentially rendering a defendant who intended to aid Hamas’s terrorist activities strictly liable for all foreseeable injuries even if that defendant’s aid actually did nothing to enable the terrorism and the injuries it inflicted....
Today's Springfield (IL) State Journal-Register reported on the decision.