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ARTICLE · 15 JANUARY 2018

Comity And State Compulsion: What Is The Difference And Why Should It Matter?

As the reader probably knows, the US Vitamin C cartel litigation, culminating in a judgment by the 2nd Circuit federal court on 20 September 2016, was a watershed case...

ChinaAntitrust/Competition Law

As the reader probably knows, the US Vitamin C cartel litigation, culminating in a judgment by the 2nd Circuit federal court on 20 September 2016, was a watershed case—not with regard to cartel law, but rather, whether the US courts had jurisdiction under the circumstances.   The 2nd Circuit court overturned the decision of the federal district court by holding that the international law principle of comity prevented the assertion of jurisdiction.  

The purpose of this brief paper is to explain what the concept of comity is, how it differs from the defense of State compulsion, and how Chinese companies, in particular SOEs, may benefit from this knowledge.

Comity is a principle of public international law.  In a legal context, comity traditionally refers to the recognition by the courts of one country (or legal system) of the laws and judicial acts of another, but this concept may also extend to recognition by administrative bodies of enforcement actions taken by

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