Understanding Agency or Instrumentality of a Foreign State in Law

Definition & Meaning

An "agency or instrumentality of a foreign state" refers to an entity that meets specific legal criteria. These entities are typically separate legal persons, which can be corporations or other forms of organizations. They must be affiliated with a foreign state or its political subdivisions, either by being an organ of that state or by having a majority of their ownership held by the state. Importantly, these entities cannot be considered citizens of the United States or created under the laws of another country.

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Real-world examples

Here are a couple of examples of abatement:

Example 1: A state-owned oil company from a foreign country that operates in the U.S. and is primarily owned by that foreign government qualifies as an agency or instrumentality of a foreign state.

Example 2: A foreign university that receives most of its funding from its home country's government may also be considered under this definition. (hypothetical example)

Comparison with related terms

Term Definition Key Differences
Sovereign immunity Legal doctrine that a state cannot be sued without its consent. Agencies or instrumentalities may claim immunity based on their foreign state ownership.
Foreign state A political entity recognized by other nations. An agency or instrumentality is a specific entity under the foreign state, often with distinct legal rights.

What to do if this term applies to you

If you believe you are dealing with an agency or instrumentality of a foreign state, it is important to understand your legal rights and obligations. Consider consulting with a legal professional who specializes in international law. You may also explore US Legal Forms for templates and forms that can assist you in managing related legal matters.

Quick facts

Attribute Details
Typical Fees Varies based on legal representation and jurisdiction.
Jurisdiction U.S. federal courts, depending on the nature of the case.
Possible Penalties Varies widely; legal outcomes depend on specific cases.

Key takeaways

Frequently asked questions

This classification can affect whether the entity can be sued in U.S. courts.