did Nigeria act ethically in asserting the doctrine of sovereign immunity?

Social Psychology (10th Edition)
10th Edition
ISBN:9780134641287
Author:Elliot Aronson, Timothy D. Wilson, Robin M. Akert, Samuel R. Sommers
Publisher:Elliot Aronson, Timothy D. Wilson, Robin M. Akert, Samuel R. Sommers
Chapter1: Introducing Social Psychology
Section: Chapter Questions
Problem 1RQ1
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did Nigeria act ethically in asserting the doctrine of sovereign immunity?
Ethical
Ethics Case
54.5 Ethics Case While Nigeria, an Afri-
can nation, was in the midst of a boom
period due to oil exports, it entered into $1 billion
of contracts with companies in various countries to
purchase huge quantities of Portland cement from
those companies. Nigeria was going to use the cement
to build and improve the country's infrastructure.
Several of the contracts were with U.S. companies,
including Texas Trading & Milling Corporation (Texas
Trading). Nigeria substantially overbought cement,
and the country's docks and harbors became clogged
with ships waiting to unload. Unable to accept delivery
Notes
1. The Charter of the United Nations was entered October 24,
1945, and it was adopted by the United States on October
24, 1945 (59 Stat. 1031, T.S. 993, 3 Bevans 1153, 1976
Y.B.U.N. 1043).
of the cement it had bought, Nigeria repudiated many
of its contracts, including the one with Texas Trad-
ing. When Texas Trading sued Nigeria in U.S. District
Court to recover damages for breach of contract,
Nigeria asserted in defense that the doctrine of sover-
eign immunity protected it from liability. Has Nigeria
acted ethically in asserting that the doctrine of sov-
ereign immunity relieves it of its contract liability?
Who wins? Texas Trading & Milling Corp. v. Federal
Republic of Nigeria, 647 F.2d 300, 1981 U.S. App.
Lexis 14231 (United States Court of Appeals for the
Second Circuit)
2. 301 U.S. 324, 57 S.Ct. 758, 1937 U.S. Lexis 293 (Supreme
Court of the United States).
3. 28 U.S.C. Sections 1602-1611.
Transcribed Image Text:Ethical Ethics Case 54.5 Ethics Case While Nigeria, an Afri- can nation, was in the midst of a boom period due to oil exports, it entered into $1 billion of contracts with companies in various countries to purchase huge quantities of Portland cement from those companies. Nigeria was going to use the cement to build and improve the country's infrastructure. Several of the contracts were with U.S. companies, including Texas Trading & Milling Corporation (Texas Trading). Nigeria substantially overbought cement, and the country's docks and harbors became clogged with ships waiting to unload. Unable to accept delivery Notes 1. The Charter of the United Nations was entered October 24, 1945, and it was adopted by the United States on October 24, 1945 (59 Stat. 1031, T.S. 993, 3 Bevans 1153, 1976 Y.B.U.N. 1043). of the cement it had bought, Nigeria repudiated many of its contracts, including the one with Texas Trad- ing. When Texas Trading sued Nigeria in U.S. District Court to recover damages for breach of contract, Nigeria asserted in defense that the doctrine of sover- eign immunity protected it from liability. Has Nigeria acted ethically in asserting that the doctrine of sov- ereign immunity relieves it of its contract liability? Who wins? Texas Trading & Milling Corp. v. Federal Republic of Nigeria, 647 F.2d 300, 1981 U.S. App. Lexis 14231 (United States Court of Appeals for the Second Circuit) 2. 301 U.S. 324, 57 S.Ct. 758, 1937 U.S. Lexis 293 (Supreme Court of the United States). 3. 28 U.S.C. Sections 1602-1611.
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