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US appeal court reinstates US$656 million judgment against PLO and Palestinian Authority

Following a 2025 Supreme Court ruling, judges revive a decade-old verdict for American victims of terror attacks in Israel.

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The Thurgood Marshall United States Courthouse on Foley Square, New York, where the 2nd US Circuit Court of Appeals is headquartered. Photo: AP
Associated Press

A US$656 million judgment against Palestinian authorities has been reinstated by appeal judges, following a US Supreme Court ruling in favour of Americans killed or wounded in attacks in Israel.

The decision from the 2nd US Circuit Court of Appeals comes a decade after it first tossed out a verdict against the Palestine Liberation Organisation (PLO) and the Palestinian Authority on the grounds that US courts could not consider lawsuits against foreign groups over overseas attacks that were not aimed at the United States.

But the appeal court in New York reinstated the judgment in light of a Supreme Court ruling last June upholding a 2019 law enacted by Congress to allow the victims’ lawsuits to go forward against the PLO and the Palestinian Authority.

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“We conclude that the original judgment for the plaintiffs should be reinstated. That conclusion is consistent with the plain import of the Supreme Court’s decision,” the judges said in a decision dated March 30.

“Our client families are very relieved that the court has reinstated the judgment without requiring a new trial. They have been waiting for a very long time for justice to be done,” lawyer Kent Yalowitz said in an email.

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Nitsana Darshan-Leitner, another lawyer for the plaintiffs, said she was pleased with the decision after 22 years of litigation.

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