Jan. 14 (Bloomberg) — The U.S. Supreme Court gave multinational companies a stronger shield against lawsuits, throwing out a case against Daimler AG over a company unit's alleged collaboration in torture and killings in Argentina.
The justices today said the parent company didn't have enough ties to California to give courts there the authority to hear the case. The ruling, which was unanimous in its outcome, adds to a line of Supreme Court decisions that have cut the options available to people trying to sue multinational corporations in American courts.
Daimler's Argentine Mercedes-Benz unit was accused of collaborating with state security forces during the "Dirty War" from 1976 to 1983. Mercedes-Benz Argentina allegedly identified workers seen as union agitators, knowing security forces would then kidnap, torture and in some cases kill the people. The company denies the allegations.
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