Victims of South Africa's apartheid regime have won the right to seek compensation from some of the world's largest companies, following a landmark decision in the New York Supreme Court last week.
In a case that could have ramifications across the corporate world, the human rights group Khulumani
was told it could proceed with a lawsuit for damages against 23 multinationals, including Barclays, BP, Credit Suisse, Deutsche Bank, Fujitsu and Daimler-Benz. All the firms named are contesting the claims, which could run to billions of dollars.
The companies' lawyers had gone to the state's Supreme Court to block the move with the support of the US administration and the South African Government, but they were defeated - more by default than argument.
Four of the 10 justices had shares in some of the companies, and because one of the other judges was absent, the court was unable to form a quorum. It therefore upheld an earlier appeals court ruling allowing the lawsuit to proceed. Khulumani lawyer Charles Abrahams, who is working pro bono, said: "This is a massive victory for international human rights. This has the potential to change the relationship between states, individuals and multinational corporations with respect to human rights."
Khulumani - named after the Zulu word meaning "to speak out" - has nearly 50,000 members, all of whom suffered harassment, intimidation and violence under apartheid, which was enforced by the South African Government between 1948 and 1994. It is challenging companies it claims gave specific assistance to the military, the police and intelligence agencies during that time by providing finance, oil, weapons and computer technology.
The South African Government is opposed to the lawsuit.
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