The United States Court of Appeals for the Second Circuit Rejects Aiding and Abetting Liability for Civil Damage Claims Under the Anti-Terrorism Act

February 20, 2013

The United States Court of Appeals for the Second Circuit issued an opinion on February 14, 2013, holding that the civil liability provision of the Anti-Terrorism Act of 1990, 18 U.S.C. § 2333(a) (the “ATA”) does not permit secondary liability against foreign banks or other defendants on an “aiding and abetting” theory. The decision is significant because it is binding precedent in New York, where most cases against foreign financial institutions are brought. Previously, lower courts in New York had been divided on the question of whether the ATA permitted aiding and abetting liability.

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