Turkcell contends the 1789 US Alien Tort Act gives it the right to sue MTN in American courts, a stance opposed by MTN. US District Judge Reggie Walton in Washington said Friday that the issue may be settled by the Supreme Court, which heard arguments in a case involving the law October 1.
“Because the plaintiffs here premise jurisdiction in this court under the Alien Tort Statute based on alleged violations of the law of nations that occurred in foreign countries, the Supreme Court’s decision in Kiobel could substantially impact resolution of this case,” Walton said in his two-page order.
Turkcell sued its rival March 28 for $4.2 billion in damages over its loss of an Iranian mobile-phone license that Turkcell was initially awarded. The suit alleges MTN bribed Iranian officials and promised Iran weapons and IAEA votes in exchange for a license to provide wireless service in the Islamic Republic.
Turkcell “believes jurisdiction is clear in the United States courts and for that reason welcomes today’s order as an efficient way for its claims to continue” before the court, the company said in a statement.
MTN said in a statement it expects the Turkcell suit to be “disposed of” after the Supreme Court issues its decision.
The Alien Tort Act is usually cited in human rights and torture cases. The law gives US courts jurisdiction in some instances to consider claims by foreigners for conduct that occurred in another country and was illegal under international law.
The Supreme Court is considering an Alien Tort case brought by a group of Nigerians who claim two units of o “Get Quote” Royal Dutch Shell based outside the US helped their government commit torture and murders in the early 1990s. In Kiobel v. Royal Dutch Petroleum Co., the Shell units argued the Alien Tort Act doesn’t apply to conduct beyond US borders.