The United States Supreme Court has reinstated a longstanding maritime lawsuit involving major cruise lines and the use of Cuban port facilities. This lawsuit was initiated by Havana Docks Corporation against several prominent cruise operators, including Carnival Cruise Line, Norwegian Cruise Line, Royal Caribbean, and MSC Cruises.
The case arises from cruise operations conducted from 2016 to 2019, during which these operators utilized passenger terminals in Havana. These facilities had previously been developed under a long-term lease held by Havana Docks before being nationalized by the Cuban government following the 1959 revolution.
Havana Docks based its claims on the Helms-Burton Act of 1996, which allows U.S. nationals to seek damages from entities that were believed to have trafficked in property the Cuban government seized. Initially, lower courts ruled in favor of Havana Docks, awarding over $400 million due to the conclusion that the cruise lines used assets associated with the confiscated concession. However, this decision was later overturned on appeal, with the appellate court determining that the original concession had expired in 2004, thereby nullifying the infringement claims.
The Supreme Court, in an 8–1 decision, reversed the appellate ruling. Justice Clarence Thomas articulated that the liability under the statute should focus on the current use of the confiscated property rather than the questionable continuation of the claimant’s property rights. The majority opinion clarified that Havana Docks needed not to prove ongoing interference with an expiring concession.
Justice Elena Kagan dissented, arguing that liability should not extend to operations that took place under an expired interest.
This ruling not only revives the lawsuit but may also extend its implications to other disputes related to Title III provisions of the Helms-Burton Act. These provisions had been dormant under previous administrations but were activated in 2019, potentially impacting various international engagements with Cuban assets during the previously relaxed period for cruise activities.
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