The U.S. Supreme Court issued an 8-1 decision on Thursday, siding with Havana Docks Corporation in a case against four major cruise lines—Carnival, Norwegian Cruise Line, Royal Caribbean, and MSC Cruises—accused of profiting from property seized during Cuba's 1959 revolution [1]. The ruling revives more than $440 million in judgments against these companies for using the Havana port during the period of renewed U.S.-Cuba relations under the Obama administration [1]. Justice Clarence Thomas, writing for the majority, stated that the lower court had wrongly dismissed the claims, emphasizing that the cruise companies 'used confiscated property to which Havana Docks owns the claim' [1].
The lawsuits are based on the Helms-Burton Act, a 1996 law that allows Americans to sue companies benefiting from property seized by the Cuban government after the revolution [1]. For years, U.S. presidents had suspended the law to avoid diplomatic and business conflicts, but President Donald Trump activated it in 2019, increasing pressure on Cuba's regime [1]. Previously, a federal judge in Miami found the cruise operators liable and awarded Havana Docks over $400 million, but this was overturned by an appeals court before the Supreme Court's decision [1].
Justice Elena Kagan dissented, arguing that the majority misinterpreted the statute, stating, 'what Havana Docks owned was only a property interest allowing it to use those docks for a specified time,' and warning that the decision could allow plaintiffs to recover for trafficking in property that was not theirs [1]. The case now returns to the lower courts, where the cruise lines are expected to continue contesting the claims [1].
The Supreme Court's decision comes amid heightened tensions between the U.S. and Cuba, with the U.S. announcing murder charges against former Cuban leader Raúl Castro just one day prior to the ruling [1].
CONCLUSION
The Supreme Court's decision significantly increases legal and financial risks for major cruise operators, potentially exposing them to over $440 million in liabilities. The case's return to lower courts means continued legal uncertainty for the companies involved, with broader implications for businesses operating on property seized by the Cuban government.