Biden Administration Urges Supreme Court Review in Terrorism Funding Lawsuit Against Pharma Companies

The Biden administration has urged the U.S. Supreme Court to reconsider a ruling involving 21 pharmaceutical and medical equipment companies accused of funding terrorism in Iraq, resulting in the deaths and injuries of American service members. 

The U.S. Justice Department, speaking on behalf of the White House, filed a request with the justices on Tuesday, citing a precedent set in a previous case involving Twitter, which they believe undermines the plaintiffs’ claims under the federal Anti-Terrorism Act.

Reuters report noted that hundreds of American service members and civilians affected between 2005 and 2011 initiated the lawsuit in 2017 in a Washington, D.C., federal court. 

The defendants, including companies like AstraZeneca Plc AZN, Pfizer Inc PFE, GE Healthcare USA, a unit of GE Healthcare Technologies Inc GEHC, Johnson & Johnson JNJ, and F. Hoffmann-La Roche RHHBY, allegedly engaged in corrupt practices to secure medical-supply contracts with a militia group called Jaysh al-Mahdi, backed by Hezbollah, which purportedly controlled Iraq’s health ministry.

Under the Anti-Terrorism Act, the lawsuit seeks unspecified damages, providing a legal avenue for Americans affected by acts of international terrorism. 

Despite the allegations, the accused companies have maintained their innocence, urging the Supreme Court to review the case following a favorable ruling by the U.S. Court of Appeals for the District of Columbia Circuit last year.

The companies highlighted their stance on the matter, expressing approval of the Justice Department’s filing. 

The Supreme Court’s decision in a previous case involving Twitter, now known as X, established a precedent regarding aiding and abetting claims under the Anti-Terrorism Act. 

Service members involved in the lawsuit argued that the companies’ actions, unlike Twitter’s alleged inaction, constituted knowing support to terrorists, thus warranting liability under the Act.

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