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Big Penalties Loom for Chevron in Ecuador

Author: Michael Orey, BusinessWeek, Published on: 24 August 2009

Sixteen years after it was first filed and seven years after it was tossed out of U.S. courts, an environmental contamination lawsuit growing out of Texaco's oil drilling in Ecuador has become a giant legal and public relations headache for Chevron, which bought Texaco in 2001. The suit was refiled in Ecuador, and a judge there is expected to issue a ruling later this year or early in 2010…Chevron's experience calls into question a near-reflexive response by businesses that are sued in the U.S. over matters involving their operations abroad: They prefer to argue that the claims would best be pursued where the alleged harm occurred. [also refers to Dole, Pfizer]

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Related companies: Chevron Dole Pfizer Texaco (part of Chevron)