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• W314177625 abstract "BRICE M. CLAGETT* Enactment of the Cuban Liberty and Democratic Solidarity Act (Helms-Burton Act or Act)' created a firestorm of controversy between the United States and many other nations, including its major trading partners.2 Title III of the legislation-as has become celebrated and, in some circles, notorious-creates a federal cause of action, on behalf of U.S. citizens whose property was confiscated without compensation by Cuba, against those who traffic in that property.3 Several governments-notably Canada, Mexico, and members of the European Union, whose corporate citizens are the principal traffickers-have denounced the legislation as an exercise of extraterritorial jurisdiction that violates customary international law.4 These governments apparently see nothing wrong with permitting-even encouraging-their nationals to use and profit from property that rightfully belongs to others. The United States not only commands the moral high ground on this issue; it also has the better legal argument. Indeed, the trafficking states seem highly vulnerable to the charge that it is they, not the United States, who are committing international delinquencies. Enactment of Title III can be questioned on political and tactical grounds. From a legal standpoint, however, the position of the opposing governments-and of their many advocates in the United States-is fundamentally unsound. Although the right to bring lawsuits has been suspended, it could be activated, as long as Title III remains in force, at any sixmonth interval either by the current president or by his successor? Liability has attached and continues to accrue. The traffickers realize their vulnerability. Thus, even in suspense, Title III is serving its primary purpose, which is not to spawn lawsuits but to dissuade those tempted to deal or invest in property in Cuba confiscated from U.S. nationals.6 I. CUSTOMARY INTERNATIONAL LAW A. The Background and the Problem The genesis of Title III is found in two episodes separated by a generation. The first was the massive confiscations of property by the Castro regime in the early 1960s, which were unlawful on several different grounds and for which no reparation has been made.7 More recently, the collapse of the Soviet Union and the resulting termination of Soviet aid to Cuba created severe economic and financial problems for the regime.8 In response, Cuba has solicited foreign investment in commercial enterprises.9 Such investment frequently involves property that was confiscated from U.S. nationals, third-country nationals, or Cubans, many of whom have since become U.S. citizens.lo A post-Castro government will have to deal with claims by both categories of U.S. nationals, as well as claims by confiscation victims who remain in Cuba or have become naturalized in other countries.11 The principal techniques available for making reparation are restitution in kind and monetary compensation, both of which have been adopted to varying degrees and in various combinations in countries emerging from totalitarian rule.l2 Another possible method is substitution, by which a government conveys to the claimant property similar in nature and value to the confiscated property or issues vouchers that entitle the claimant to acquire property of his choice.13 A post-Castro government will face staggering problems in attempting to do justice to the prior regime's victims while reviving the economy from the wreckage in which Castro will likely have left it. The claims of pre-confiscation U.S. nationals alone as certified by the Foreign Claims Settlement Commission (FCSC or Commission), including only simple interest at a modest rate, now total more than $6 billion.l4 Any just solution will necessarily involve a large measure of restitution or substitution, as the payment of full monetary compensation to all claimants would extend far beyond Cuba's resources.15 B. …" @default.
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• W314177625 date "1996-01-01" @default.
• W314177625 modified "2023-09-24" @default.
• W314177625 title "The Controversy over Title III of the Helms-Burton Act: Who Is Breaking International Law-The United States, or the States That Have Made Themselves Co-Conspirators with Cuba in Its Unlawful Confiscations?" @default.
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