CIVIL PROCEDURE - Pleadings - Striking out pleadings or allegations - Grounds - Failure to disclose a cause of action or defence - Lack of jurisdiction

Law360 Canada ( December 4, 2017, 12:37 PM EST) -- Appeal by the defendant, Nevsun Resources, from an order refusing to strike, stay or dismiss the action by the plaintiffs, Araya, Fshazion and Tekle. The plaintiffs were refugees of Eritrea and the defendant was a British Columbia publicly held company. The plaintiffs alleged the defendant entered into a commercial gold mining venture with Eritrean state-owned or state-controlled companies. They alleged that Eritrea, as a rogue state, arranged for building the mine using forced conscripted labour characterized by slavery, coercion, threats of torture, and crimes against humanity. They alleged that the defendant aided and abetted, and/or ordered and solicited, and/or was complicit or acquiesced in the impugned conduct. The plaintiffs commenced litigation against the defendant on their own behalf and on behalf of approximately 1,000 Eritrean nationals forced to work at the mine. The action relied on private torts and breaches of international law. The defendant denied the allegations. It brought a preliminary application to strike, stay or dismiss the claims on jurisdictional grounds, and on the basis the claims were barred by the act of state doctrine, were based on alleged breaches of customary international law that were not justiciable, or failed to disclose a cause of action. The application judge refused the relief sought, citing the uncertain scope and application of the act of state doctrine, and the unsettled nature of the nature and application of customary international law within Canada. The defendant appealed....
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