World Bank Can Be Sued: NPR

The US Supreme Court, in a 7-1 ruling, ruled that international organizations can be sued when overseas development projects bring harm to local communities. A group of farmers and fishermen in Gujarat, India, filed the lawsuit in 2015 after a coal-fired power plant came on line and contaminated local water sources despite promises of environmental protections. The decision in Jam v. International Finance Corporation “overturns a decades-old presumption dating to the founding of the World Bank in 1945 – that the IFC, a Washington, D.C.-based branch of the World Bank Group that finances private-sector projects in developing countries, and other bank-affiliated organizations are fully immune from such suits,” reports Tim McDonnell for NPR. A 1945 law granted immunity, but Congress later approved the Foreign Sovereign Immunities Act, allowing lawsuits against foreign governments to proceed “when the plaintiff's claim relates to the government's financial activity.” Monetary damages have not been determined. Still, the decision is a step toward greater accountability for governments and international groups and a warning about neglecting small communities when it comes to environmental protections, security and human rights. – YaleGlobal