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ARTICLE · 10 MARCH 2020

SCC Decision In Nevsun A Warning For Canadian Companies Operating Overseas

Borden Ladner Gervais LLP
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In its February 28, 2020 decision Nevsun Resources Ltd. v. Araya, the majority of the Supreme Court of Canada (the Court) dismissed a motion ...

CanadaLitigation, Mediation & Arbitration

In its February 28, 2020 decision Nevsun Resources Ltd. v. Araya, the majority of the Supreme Court of Canada (the Court) dismissed a motion to strike a proceeding started against Nevsun Resources Ltd. (Nevsun) for actions that took place in Eritrea, opening the door for litigation in Canada to hold corporations civilly liable for breaches of international human rights law. This decision has important implications for Canadian companies operating in foreign jurisdictions.

Background

Nevsun brought a motion to strike pleadings filed in British Columbia by three Eritrean workers who claim they were conscripted through their military service to work at Nevsun's Bisha mine in Eritrea, which is operated under a joint venture with an Eritrean state-owned enterprise.

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