Yaiguaje continues; SCC considers leave to appeal application

American lawyer, Steven Donzinger, the directing mind of international (American, Canadian, Chilean, Argentine) litigation looking to enforce a $9.5 billion Ecuadorian judgment against Chevron Oil, has now appealed against an American federal court judgment that enjoined enforcement of that judgment in the US and sought a stay against the first instance court order.

American observers are speculating how their federal court findings, including the conclusion that the Ecuadorian judgment was fraudulent, findings that Donzinger was responsible for the submission of false evidence, co-option of the Ecuadorian Court, judicial bribery and coercion, will affect further proceedings in Canada.

Chevron’s application for leave to appeal Yaiguaje v. Chevron Corporation, 2013 ONCA 758 to the Supreme Court of Canada has been before a panel of the court comprised of Justices LeBel, Wagner and Karakatsanis since February 24. The Ontario court decision has allowed the plaintiff’s attempt to collect $18.9 billion from Canadian affilitiates of Chevron here to continue.

Donzinger’s commentary on the merits as part of his stay brief is aggressive, direct, and clear and leans entirely on the technical aspects of the US court’s jurisdiction and RICCO statute which had given rise to the 497 page adverse decision.

An American firm is suggesting, “In view of the opposite directions that courts in Canada and the United States seem to be heading on jurisdictional questions concerning corporations with complex structures, plaintiffs seeking to enforce on foreign judgments may well be seen heading north with increasing frequency in the future. – See more at: http://www.csrandthelaw.com/2014/02/yaiguaje-v-chevron-blurring-the-lines-between-parents-and-subsidiaries-in-ontario/

In the meantime, Chevron has commenced action in Gibraltar against an important financial backer of the Donzinger litigation In Bloomberg Businessweek, [http://www.businessweek.com/articles/2014-03-18/chevron-sues-an-online-p... Chevron “… shows it intends to punish those who aided Steven Donziger’s Ecuadorian oil pollution case…”