Federal jury clears Chevron of Nigeria abuses

A federal jury has cleared Chevron Corp. of responsibility for any human rights abuses during a violent protest on a company oil platform in Nigeria a decade ago. The verdict on Monday was a setback for human rights activists hoping to jump-start the use of a centuries-old law allowing foreigners to file lawsuits in U.S. courts alleging international law violations, often for alleged human rights abuses on foreign soil. Niger Delta villagers injured in the 1998 demonstration sued San Ramon-based Chevron in San Francisco federal court nearly 10 years ago after the Nigerian military killed two protesters occupying the oil platform. The villagers had been protesting the company's alleged pollution of local fishing grounds and farms. On Monday, jurors unanimously backed Chevron's claims that the Nigerian government was responsible for the violent response. Chevron said its workers were held hostage for days and that protesters were rioting and threatening troops. The company said after the verdict that it had "requested the rescue as a reasonable response to a dangerous invasion" and that the demonstration turned violent only after protesters attacked the military. The company said the protesters held more than 100 of its workers hostage for three days and negotiation failed. The villagers' lawyers argued that the villagers were peaceful and preparing to leave when they were attacked. They said they planned to appeal the verdict. Jurors left the courthouse without commenting. Human rights groups had hoped the case would be the first successful use at trial of the Alien Tort Claims Act, adopted in 1789 as part of the original laws that created the federal judicial system. The act gathered dust for nearly 200 years, with only three known cases even brought to a U.S. court through 1980. A lawsuit invoking the Alien Tort Claims Act never has won at trial, though several have been settled before they reached a jury. "It could become a major way for communities to hold companies accountable for their actions overseas," said Lisa Calvano, an assistant professor at Temple University's business school. "There is very little now to hold multinationals accountable for overseas actions." Yahoo Inc., for instance, settled such a lawsuit last year accusing it of illegally helping the Chinese government jail and torture two journalists. The lawsuit proved to be a public relations nightmare for Yahoo, which declined to disclose the settlement details. Business organizations such as the U.S. Chamber of Commerce and the National Association of Manufacturers have decried the growing popularity of these lawsuits and have called on the U.S. Supreme Court to take up one of the cases to clarify and narrow the scope of the law, which critics say is bad for business and international diplomacy. "The fear is that companies will be held to different standards around the world," said Quentin Riegel, deputy general counsel of the National Association of Manufacturers. The association has filed friend-of-the-court briefs in two such cases this year and five since 2002, urging courts to toss out the lawsuits. "In light of the jury decision absolving Chevron for the acts of the Nigerian military, multinational companies the world over should be breathing a sigh of relief," said Jonathan Drimmer, a lawyer who wasn't involved in the Chevron case but has represented corporations in similar cases. Still, Drimmer noted Chevron had to endure 10 years of litigation, attorney fees and bad publicity before prevailing Monday. Human rights organizations said they were disappointed with the verdict but claimed a small victory because the case went to trial. "We are hopeful that the legacy of this important case is that Chevron will change its behavior in the places where it operates," said Richard Herz, an attorney at EarthRights International, which helped represent the Nigerian villagers suing Chevron.