The U.S. Supreme Court ruled 8-1 on Thursday in favor of the Havana Docks Corporation, a U.S.-owned business whose dock property in Havana was seized by the Cuban government in 1960 following Fidel Castro’s nationalization of private assets. The decision allows the company to pursue lawsuits against major cruise lines that have used the docks, potentially opening the door for similar claims by other American businesses and individuals for assets confiscated by Cuba.
The ruling comes amid heightened tensions between the United States and Cuba under the Trump administration, which has intensified economic pressure on the island, including blocking oil shipments from Venezuela and Mexico. The administration supported Havana Docks in its lawsuit, arguing that allowing such claims serves as a strategic tool to discourage investment in Cuba. Justice Clarence Thomas, writing for the majority, stated that entities using property “tainted by a past confiscation” can be held liable to American owners with valid claims. He emphasized that Havana Docks only needed to demonstrate that the cruise lines had utilized property claimed by the company.
Justice Elena Kagan dissented, arguing that the Cuban government has owned the docks for decades and that Havana Docks’ interest in the property expired before the cruise lines began operating there. She likened the company’s rights to a lease that ended in 2004, while the cruise lines began using the docks in 2016 amid a period of relaxed U.S.-Cuba relations under the Obama administration.
Joining a separate opinion, Justices Sonia Sotomayor and Brett Kavanaugh described the decision as narrow, noting that unresolved legal questions remain for lower courts to address, including concerns about the scope of potential damages and repeated claims under the statute.
Havana Docks Corporation’s claim dates back to the nationalization of American-owned assets in Cuba following Castro’s rise to power. Prior to the revolution, U.S. companies controlled significant portions of Cuba’s infrastructure and industries, including electricity, telecommunications, mining, sugar, and oil. When the government confiscated these assets, owners filed claims through the Foreign Claims Settlement Commission, with Havana Docks’ claim certified in 1971 for $9.1 million (approximately $100 million today), an amount the Cuban government has never paid.
The legal basis for these lawsuits stems from the Cuban Liberty and Democratic Solidarity Act (Helms-Burton Act) passed in 1996, which linked resolution of U.S. property claims to normalization of relations with Cuba and authorized Americans to sue over “trafficking” in confiscated assets. However, presidents had traditionally suspended this provision until the Trump administration lifted the suspension in 2019, allowing Havana Docks to bring its case against the cruise lines.
The cruise companies argue they acted legally in operating the docks by dealing directly with the Cuban government and following policy shifts encouraging travel to Cuba during the Obama administration. Meanwhile, a federal trial court initially ruled against the cruise lines in 2022, ordering damages exceeding $110 million per company. This decision was overturned by the 11th Circuit Court of Appeals, which found that Havana Docks’ rights had a finite term ending in 2004.
Legal analysts note that the Supreme Court’s ruling is significant for the Trump administration’s Cuba policy and may have broader implications for foreign firms engaging with Cuba, which could now face increased legal risks. Roberto Martínez, lawyer for Havana Docks, hailed the decision as a long-awaited step toward justice, emphasizing that it prevents others from profiting from “doing business with that brutal dictatorship.”