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Chuidian v. Philippine National Bank

    Brief Fact Summary. The instruction Daza (D) gave a Philippine bank, which was “not to a letter of credit issued by the Republic of the Philippine to Chuidian (P) was the basis for Chuidian (P) suit against Daza(D).

    Synopsis of Rule of Law. As contained in the Foreign Sovereign Immunities Act of 1979 (FSIA), foreign officials who are acting in an official capacity can claim sovereign immunities.

    Facts. After President Marcos was overthrown in Philippine and the establishment of an executive agency by the Philippine government, Daza (D) was a member of the agency. The suit Chuidian (P) filed against Daza (D) was based on the instruction Daza (D) gave to the Bank not to honor payment on a letter of credit issued to Chuidian (P) during Marcos regime. Daza (D) however claimed sovereign immunity under the FSIA.

    Issue. As contained in the Foreign Sovereign Immunities Act of 1979, can foreign officers who are acting under official capacities claim sovereign immunities?

    Held. As contained in the Foreign Sovereign Immunities Act of 1979, can foreign officers who are acting under official capacities claim sovereign immunities?

    Discussion. This decision has been accepted by most courts. Based on the involvement of human abuses, some courts have denied immunity under the Alien Tort Act. The State Department had the responsibility of deciding such issues before the FSIA  was enacted.


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