JOSÉ A. CABRANES, Circuit Judge:
Defendants in this action, an individual corporate officer and an affiliated company, appeal from a judgment entered against them by the United States District Court for the Eastern District of New York (Brian M. Cogan, Judge) following a trial and jury verdict. Defendants were found liable for torture under the Alien Tort Statute ("ATS"), 28 U.S.C. § 1350, and the Torture Victim Protection Act of 1991 ("TVPA"), 106 Stat. 73, note following
Plaintiff-appellee Nayeem Mehtab Chowdhury ("Chowdhury" or "plaintiff"), who is the managing director of WorldTel Bangladesh Ltd. ("WorldTel Ltd") and a stockholder and officer of World Communications Investments Inc. ("WCII"), instituted this suit against his former business associate, defendant-appellant Amjad Hossain Khan ("Khan") and one of Khan's businesses, Worldtel Bangladesh Holding Ltd. ("WBH"). At all times relevant to this appeal, Chowdhury and Khan were citizens of Bangladesh with legal permanent resident ("LPR") status in the United States. Prior to the events giving rise to the current dispute, two of their businesses — WBH and WCII — jointly controlled a third entity, World Bangladesh Ltd. ("WBL"), with both Chowdhury and Khan serving as members on its board of directors. At trial, Chowdhury, who was WBL's managing director, testified that WBL had a 25-year license to provide a full range of telecommunications services in Bangladesh, with projected five-year profits estimated to be "in excess of a hundred million dollars." Joint App'x 87.
In 2005, at Chowdhury's initiative, WBL issued new shares and took out additional debt, with the effect of reducing the interest that WBH (controlled by Khan) had in WBL, from fifty percent to less than one percent. Khan claims that Chowdhury employed improper corporate procedures and forged various signatures, including Khan's, in order to effect this change. Khan thereafter filed several official complaints against Chowdhury in Bangladesh, petitioning over 17 agencies and divisions of the Bangladeshi government for an official investigation of Chowdhury's actions.
Khan first complained to the Chief Metropolitan Magistrate in Bangladesh and to the Criminal Investigative Department of the Ministry of Home Affairs, each of which declined to pursue Khan's complaint after an independent investigation.
However, Chowdhury also testified that on November 5, 2007, the Rapid Action Battalion ("RAB"), a paramilitary unit of the Bangladesh National Police to which Khan had also complained, arrested Chowdhury and held him, without any charges, until November 12, 2007. At trial, Chowdhury stated that during this second period
Chowdhury testified that he was subsequently transferred out of the RAB's custody and into the custody of the Dhaka Central Jail for medical treatment stemming from injuries sustained during the RAB's interrogation. Chowdhury also testified that, after the medical treatment, he was held for a further five months in jail before being released without any lasting medical symptoms aside from continuing nightmares.
Chowdhury's parents testified that they, and other family members, met with Khan during Chowdhury's detention by the RAB. The circumstances of that meeting were disputed at trial. Chowdhury's parents stated that Khan asked to see them and told them, upon meeting, that: (1) Chowdhury had been subjected to electric shock interrogation; (2) Khan was present for the interrogation; and (3) Khan could make the interrogations stop if Chowdhury agreed to transfer his business interests to Khan and leave Bangladesh entirely. Chowdhury's parents testified that they refused to agree to these alleged demands. In contrast, Khan testified that Chowdhury's parents requested the meeting and subsequently asked him to withdraw the charges he had filed with Bangladesh authorities against Chowdhury — which he refused to do. Khan also flatly denied seeing Chowdhury during his detention, having any influence over his treatment in detention, or offering to release Chowdhury if he agreed to transfer his business interests to Khan. There is no dispute that Chowdhury refused to transfer his interest in WBL and remains its managing director.
On April 22, 2008, Chowdhury, WorldTel Ltd, and WCII (jointly, "plaintiffs") filed a complaint against Khan and WBH (jointly, "defendants"), alleging that Khan subjected Chowdhury to torture. On this basis, plaintiffs brought claims under the Alien Tort Statute ("ATS"), 28 U.S.C. § 1350, and the Torture Victim Protection Act of 1991 ("TVPA"), 106 Stat. 73, note following 28 U.S.C. § 1350, seeking monetary damages, punitive damages, and injunctive relief. In pressing these claims, plaintiffs alleged that defendants directly committed violations cognizable under the two statutes, as well as aided and abetted Bangladesh authorities in violations of the same. Defendants moved, pursuant to Federal Rule of Civil Procedure 12(b)(6), to dismiss the complaint in its entirety for failure to state a claim upon which relief can be granted. Upon review, the District Court dismissed with prejudice: (1) all claims by the plaintiff corporations; (2) Chowdhury's aiding and abetting claims under both the ATS and TVPA; and (3) Chowdhury's TVPA claim against WBH. Chowdhury v. WorldTel Bangladesh Holding, Ltd., 588 F.Supp.2d 375, 388 (E.D.N.Y.2008). The District Court dismissed Chowdhury's remaining claims — those alleging that his interrogation by the RAB constituted direct violations by Khan of both certain customary international law norms (actionable in federal court under the ATS) and of the
On January 5, 2009, Chowdhury, as the sole plaintiff, filed an amended complaint alleging only that the defendants directly
The parties then conducted discovery, which concluded on May 5, 2009. The case proceeded to trial on August 3, 2009. The jury, on August 4, 2009, returned a general verdict form in favor of Chowdhury in which it concluded that Khan and WBH were liable for torture. It found Khan and WBH liable for $1.5 million in compensatory damages and Khan alone liable for $250,000 in punitive damages. The jury further determined that WBH should not be held liable for punitive damages.
Following the jury's verdict, defendants brought a motion pursuant to Federal Rules of Civil Procedure 50(b) and 59(a) seeking judgment as a matter of law, or in the alternative, a new trial. The District Court denied the motion, concluding that the evidence at trial "was not only legally sufficient to present the case to the jury, but one sided in plaintiff's favor." Chowdhury v. Worldtel Bangladesh Holding, Ltd., No. 08 Civ. 1659(BMC), 2009 WL 9053203, at *1 (E.D.N.Y. Sept. 16, 2009). The District Court also noted that the jury could have reasonably determined from testimony not only that Khan had knowledge that Chowdhury was being tortured, but also that the RAB was acting "at the behest of [Khan]" and that Khan attended the torture.
In considering the motion, the District Court also rejected multiple evidentiary challenges by defendants. As relevant here, defendants contended that Chowdhury should not have been allowed to testify regarding statements by RAB agents that they were torturing him at Khan's direction. Id. at *2. In dismissing this challenge, the District Court concluded that the statement was properly admitted as the statement of an agent or co-conspirator because "the jury could reasonably infer that the reason the RAB let [Chowdhury] know why they were torturing him was to induce surrender which would further the aims of the agency and conspiracy." Id.
The District Court entered judgment in favor of Chowdhury on August 6, 2009, and denied defendants' motion for judgment as a matter of law on September 16, 2009.
This appeal followed. After oral argument on February 15, 2011, our resolution of the appeal was held in abeyance pending the Supreme Court's review of another ATS case from this Circuit, Kiobel v. Royal Dutch Petroleum Co., 621 F.3d 111 (2d
On appeal, defendants raise four principal arguments: (1) Chowdhury's ATS claims against both Khan and WBH must be dismissed under the Supreme Court's holding in Kiobel due to their extra-territorial nature; (2) under the general verdict rule, Chowdhury's TVPA claim against Khan must also be dismissed; (3) Chowdhury's TVPA claim ought to be dismissed because the underlying conduct was extra-territorial and did not constitute actionable torture, and because the claim was predicated on improper agency theories of liability; and (4) Chowdhury's testimony regarding the RAB's statements constituted hearsay under Federal Rule of Evidence 801 and was improperly admitted because it was unfairly prejudicial. We consider these arguments in turn.
We review de novo a denial of a motion for judgment as a matter of law. See Highland Capital Mgmt. LP v. Schneider, 607 F.3d 322, 326 (2d Cir.2010). "In undertaking this review, we view the evidence in the light most favorable to the party against which the motion was made... [and] draw[ ] all reasonable inferences regarding the weight of the evidence and the credibility of witnesses in favor of the non-movant...." Id. (citations and internal quotation marks omitted). We review a district court's denial of a Rule 59 motion for a new trial for abuse of discretion. See United States v. Rigas, 583 F.3d 108, 125 (2d Cir.2009); see also In re Sims, 534 F.3d 117, 132 (2d Cir.2008) (explaining that the term of art "abuse of discretion" includes errors of law, clearly erroneous assessments of the evidence, or decisions "that cannot be located within the range of permissible decisions" (internal quotation marks omitted)). We explain the relevant standard of review regarding Khan's challenge to the admission of out-of-court statements in our discussion of that issue.
Defendants first argue that the judgment entered against them pursuant to the ATS must be reversed in light of the Supreme Court's recent ruling in Kiobel. The unique history and purpose of the ATS has been described at length by the Supreme Court, by the lower courts, and
While this appeal was pending, the Supreme Court in Kiobel further clarified the scope of the ATS by holding that "the presumption against extraterritoriality applies to claims under the ATS," and concluding that "relief [under the ATS] for violations of the law of nations occurring outside the United States is barred." 133 S.Ct. at 1669 (citing Morrison v. Nat'l Australia Bank Ltd., 561 U.S. 247, 130 S.Ct. 2869, 2883, 177 L.Ed.2d 535 (2010)). Writing for the Court, the Chief Justice further noted that "all the relevant conduct [in Kiobel] took place outside the United States," and therefore the plaintiffs' "case seeking relief for violations of the law of nations occurring outside the United States is barred." Id.
Applying the holding of Kiobel to the facts of this case, we conclude that, pursuant to the rule enunciated by the Supreme Court, there is no legally sufficient basis to support the jury's verdict with respect to plaintiff's claim under the ATS. As described in Part I, ante, "all the relevant conduct" set forth in plaintiff's complaint occurred in Bangladesh, Kiobel, 133 S.Ct. at 1669, and therefore plaintiff's claim brought under the ATS is "barred,"
Second, defendants argue that it is impossible to know whether the jury found in favor of plaintiff on the basis of an ATS or TVPA theory of liability. As a consequence, defendants contend, if the ATS claim must be vacated then the judgment must be vacated in its entirety and the cause remanded for a new trial.
The Supreme Court decades ago announced the so-called general verdict rule, that "a new trial will be required" where "there is no way to know that [an] invalid claim.... was not the sole basis for [a] verdict." United N.Y. & N.J. Sandy Hook Pilots Ass'n v. Halecki, 358 U.S. 613, 619, 79 S.Ct. 517, 3 L.Ed.2d 541 (1959); see also Sunkist Growers, Inc. v. Winckler & Smith Citrus Prods. Co., 370 U.S. 19, 30, 82 S.Ct. 1130, 8 L.Ed.2d 305 (1962); Tire Eng'g & Distribution, LLC v. Shandong Linglong Rubber Co., 682 F.3d 292, 313 (4th Cir.2012) ("The Supreme Court has recognized that when a jury issues a general verdict on multiple theories of liability and one of those theories is overturned on appeal, the entire verdict falls.").
Numerous subsequent courts, however, "have engrafted a ... harmless error gloss onto the basic principle." Muth v. Ford Motor Co., 461 F.3d 557, 564 (5th Cir. 2006). So it is that we have recognized, in this context, that "[h]armless error arises when we are sufficiently confident that the verdict was not influenced by an error in the jury charge." Bruneau v. S. Kortright Cent. Sch. Dist., 163 F.3d 749, 759-760 (2d Cir.1998), abrogated on other grounds by Fitzgerald v. Barnstable Sch. Comm., 555 U.S. 246, 129 S.Ct. 788, 172 L.Ed.2d 582 (2009); see also Tire Eng'g & Distribution, 682 F.3d at 314; Gillespie v. Sears, Roebuck & Co., 386 F.3d 21, 30 (1st Cir. 2004) ("[W]e have generously applied the harmless error concept to rescue verdicts where we could be reasonably sure that the jury in fact relied upon a theory with adequate evidentiary support.").
Applying a harmless error analysis to the facts of the instant case, we have no difficulty in concluding, as we discuss below, that there was indeed adequate evidentiary support for a jury to find the defendants liable for torture under the TVPA. Under the straightforward circumstances of this case, plaintiff's claim brought under the ATS and his claim under the TVPA both stemmed from the same alleged acts of torture, and Khan can point to no circumstances in which the jury could have found him liable under the ATS but not the TVPA.
Defendant Khan also raises other challenges to the validity of judgment entered against him under plaintiff's TVPA claim. All of his arguments lack merit.
First, Khan asserts that the conduct underlying the TVPA claim here "do[es] not `touch and concern' the United States," Appellant's Supp. Letter Br. 4 (quoting Kiobel, 133 S.Ct. at 1669), and we must therefore exercise a "`vigilant door keeping' function," id. (quoting Sosa, 542 U.S. at 732-33, 124 S.Ct. 2739), to bar it. We find no support in Kiobel or any other authority for the proposition that the territorial constraints on common-law causes of
Our analysis begins with the text of the statute. Congress created civil liability in the TVPA, inter alia, for torture and extrajudicial killing carried out by an individual with "actual or apparent authority, or color of law, of any foreign nation." TVPA § 2(a) (emphasis supplied). Although this language could conceivably refer to conduct occurring within the United States, the provision is more naturally understood to address primarily conduct occurring in the territory of foreign sovereigns.
Second, Khan argues that the facts presented do not constitute torture under the TVPA, because not all police brutality is actionable under the statute. It is clearly true, of course, that not all conduct falling under the journalistic and political rubric of "police brutality," whether here or abroad, can be described as "torture," but a review of the particular facts of this case persuades us that the jury could have properly found the conduct presented to constitute torture under the TVPA. The TVPA defines torture as
TVPA § 3(b)(1). While "torture [under this definition] does not automatically result whenever individuals in official custody are subjected even to direct physical assault," Price v. Socialist People's Libyan Arab Jamahiriya, 294 F.3d 82, 93 (D.C.Cir.2002), we conclude that the term "torture" can apply to powerful electric shocks administered to the body, when the fact-finder determines that the shocks are sufficiently severe. This conclusion is bolstered by the numerous courts of appeals that have referred to electric shocks as an instrument of torture. See, e.g., Jean-Pierre v. U.S. Attorney General, 500 F.3d 1315, 1324 n. 6 (11th Cir.2007) (noting that electric shock can constitute torture within the meaning of the 1984 United Nations Convention Against Torture and Other Cruel, Inhuman or Degrading Treatment or Punishment ("CAT"), Dec. 10, 1984, S. Treaty Doc. No. 100-20, 1465 U.N.T.S. 85, the multilateral international convention upon which the TVPA was based); see also Cherichel v. Holder, 591 F.3d 1002, 1009, n.11 (8th Cir.2010) (electric shock may rise to the level of torture); Abdel-Rahman v. Gonzales, 493 F.3d 444, 448 (4th Cir.2007) (same); Lhanzom v. Gonzales, 430 F.3d 833, 848 (7th Cir.2005) (same); United States v. Webster, 392 F.3d 787, 794 (5th Cir.2004) (same); Price, 294 F.3d at 92-93; Zubeda v. Ashcroft, 333 F.3d 463, 472 (3d Cir.2003) (same).
Additionally, the TVPA contemplates the "purposes" for which torture might be undertaken by the perpetrator, and specifically lists "intimidating or coercing" the victim among them. TVPA § 3(b)(1). Here, defendants subjected Chowdhury to electric shocks for the distinct purpose of coercing him to relinquish his business interests to Khan.
In this case, moreover, the District Court took particular care to instruct the jury on the definition of torture in a manner consistent with the one provided by the TVPA, stating that "[t]he severity requirement is crucial in determining whether conduct is torture" and that "an act must be a deliberate and calculated act of an extremely cruel and inhuman nature specifically intended to inflict excruciating and agonizing physical or mental pain or suffering" in order to constitute torture.
Third, Khan claims that the jury's verdict was predicated on improper agency theories of liability, arguing that any brutality by RAB agents was not attributable to him. We disagree. The weight of authority makes clear that agency theories of liability are available in the context of a TVPA claim.
For a claim of torture to be actionable under the TVPA, a plaintiff must demonstrate, inter alia, that a defendant acted "under actual or apparent authority, or color of law, of any foreign nation." TVPA § 2(a). To determine whether a defendant acted under color of foreign law, we look to "principles of agency law and to jurisprudence under 42 U.S.C. § 1983." Kadic v. Karadzic, 70 F.3d 232, 245 (2d Cir.1995). Under those principles, "[f]or purposes of the TVPA, an individual acts under color of law ... when
Agency law, however, does not simply apply to the question whether a defendant acts under color of law; it also can provide a theory of tort liability if a defendant did not personally torture the victim. As the Supreme Court recently explained in Mohamad v. Palestinian Authority, ___ U.S. ___, 132 S.Ct. 1702, 182 L.Ed.2d 720 (2012), "Congress is understood to legislate against a background of common-law adjudicatory principles," id. at 1709 (quotation marks omitted), and therefore "the TVPA contemplates liability against officers who do not personally execute the torture or extrajudicial killing," id. (citing Chavez v. Carranza, 559 F.3d 486 (6th Cir.2009)).
Congress has not, in other words, "specified" any "intent" that traditional agency principles should not apply under the TVPA. Meyer v. Holley, 537 U.S. 280, 287, 123 S.Ct. 824, 154 L.Ed.2d 753 (2003); see also S.Rep. No. 102-249, at 9 (1991) (noting that "responsibility for torture ... extends beyond the person or persons who actually committed those acts"); Aldana v. Del Monte Fresh Produce, N.A., Inc., 416 F.3d 1242, 1248 (11th Cir.2005) (holding that "the [TVPA] reaches those who ordered, abetted, or assisted in the wrongful act"). Accordingly, an individual can be liable for "subject[ing]" the victim to torture even if his agent administers the torture,
Finally, Khan argues that the District Court erred in allowing Chowdhury to testify about statements made by RAB agents while he was in their custody. The District Court admitted these statements as statements of an agent or coconspirator pursuant to Federal Rule of Evidence 801(d)(2).
We have reviewed all of Khan's arguments on appeal and summarize our holdings as follows:
For the reasons stated above, we
ROSEMARY S. POOLER, Circuit Judge, concurring:
I am pleased to concur in the concise and thorough opinion of this Court. I write separately for the sole purpose of emphasizing the narrowness of this Court's disposition with respect to the implications of Kiobel v. Royal Dutch Petroleum Co., ___ U.S. ___, 133 S.Ct. 1659, 185 L.Ed.2d 671 (2013), for claims brought under the Alien Tort Statute, 28 U.S.C. § 1350 (the "ATS"). This narrowness is tied to considerations regarding which claims do not "touch and concern the territory of the United States," Kiobel, 133 S.Ct. at 1669, and conclusions which are driven by the facts and arguments made in the case before us on appeal.
As our opinion describes, we have held in abeyance decision on this appeal since the case was argued on February 15, 2011.
The Supreme Court did not explicitly answer the questions posed in the first petition for certiorari which caused us to hold resolution of this appeal in abeyance.
The affirmance was unanimous, although it drew three concurrences. Justice Alito, joined by Justice Thomas, concurred "in the judgment and join[ed] the opinion of the Court as far as it goes." Id. at 1669 (Alito, J., concurring). Specifically, Justice Alito noted that the question of whether claims "touch and concern the territory of the United States" was a "formulation [that] obviously leaves much unanswered." Id. Justice Alito would have gone farther, however, and concluded that "a putative ATS cause of action will fall within the scope of the presumption against extraterritoriality... unless the domestic conduct is sufficient to violate an international law norm that satisfies Sosa's requirements of definiteness and acceptance among civilized nations." Id. at 1670. Justice Alito characterized this as a "broader standard." Id.
Justice Breyer, joined by Justices Ginsburg, Sotomayor, and Kagan, concurred in the judgment only. Justice Breyer would have reached the disposition of the majority not by invoking the presumption against extraterritoriality, but rather by invoking the "principles and practices of foreign relations law." Id. at 1670 (Breyer, J., concurring). As such, Justice Breyer would have concluded that a federal court could find jurisdiction under the ATS under three circumstances: "(1) the alleged tort occurs on American soil, (2) the defendant is an American national, or (3) the defendant's conduct substantially and adversely affects an important American national interest...." Id. at 1671. Because
Id. at 1669 (Kennedy, J., concurring).
Drawing from the principles and reasoning of the Supreme Court in Kiobel, I am convinced that this is not a case covered "neither by the TVPA nor by the reasoning and holding of" Kiobel, and thus is not a case in which "the proper implementation of the presumption against extraterritorial application [] require[s] some further elaboration...." Id. at 1669 (Kennedy, J., concurring). This is true for several reasons.
First, as our opinion makes clear, in this case the plaintiff has a clear avenue of relief available to him in the form of the TVPA.
Second, our opinion draws on one set of questions explicitly identified by the majority in Kiobel to determine whether a claim sufficiently touches and concerns the United States, by focusing on the conduct of defendants in this case.
Chowdhury does not seriously contest this factual matter on appeal. Haphazardly, he avails, "[Khan] maintained his residence and business in the United States while directing the acts of torture to be
Third, the distinctions recognized in our opinion today, and which were recognized in Kiobel as well, go to the crux of the presumption against extraterritoriality. As the Supreme Court noted in Morrison v. National Australia Bank Ltd., the mere relevance of the "presumption ... is not self-evidently dispositive, but its application requires further analysis." 561 U.S. 247, 130 S.Ct. 2869, 2884, 177 L.Ed.2d 535 (2010). In Morrison, further analysis required the Court to examine the "focus" of the Securities Exchange Act, and led to the conclusion that the Act would cover situations where "the purchase or sale [of a covered security] is made in the United States, or involves a security listed on a domestic exchange." Id. at 2886. The analogous analytical work of the Supreme Court in Kiobel led it to adopt a rule under the ATS which was "careful to leave open a number of significant questions regarding [its] reach and interpretation." Kiobel, 133 S.Ct. at 1669 (Kennedy, J., concurring). These questions require courts to answer, at least, whether the claims "touch and concern the territory of the United States." Id. at 1669. Because the record establishes that the claims alleged in this case involve conduct that took place entirely in Bangladesh, I am convinced that we need not elaborate on what facts, if alleged or proved, might lead us to conclude that claims touch and concern the United States. The elaboration of such "significant questions," id. at 1669 (Kennedy, J., concurring), is properly left to a further panel of this Court.
With these considerations in mind, I concur.
Fed.R.Evid. 801(d)(2).