Palestinian Authorities Seek Supreme Court Pause on $656 Million Terror-Victims Judgment

The Palestine Liberation Organization (PLO) and the Palestinian Authority (PA) filed an emergency petition with the U.S. Supreme Court, asking the justices to temporarily halt payment of a $656 million judgment. The judgment stems from a long-standing lawsuit brought by American families of victims killed or wounded in attacks in Israel in the early 2000s.

Associated Press

The plaintiffs filed their case under the Anti-Terrorism Act, a statute that permits U.S. courts to hear claims by victims of international terrorism. After more than two decades of litigation, a federal court in New York initially awarded damages, which were later overturned on appeal. The 2nd U.S. Circuit Court of Appeals reinstated the verdict in March, following a 2025 Supreme Court decision that revived the families’ lawsuits. The appellate court’s order restored the $656 million award, prompting the current emergency appeal.

Associated Press

The PLO and PA contend that the large payment would cripple essential services in the West Bank and threaten civilian safety. Their filing emphasizes the broader impact on regional stability. Attorneys for the American families, who previously expressed relief at the appellate court’s decision, declined to comment on the new petition but had earlier described the reinstated judgment as a step toward “justice to be done.”

Associated Press

If the Supreme Court grants a stay, the $656 million payment would be delayed pending further review, affecting both the Palestinian authorities’ fiscal capacity and the families’ compensation timeline. Conversely, a denial could compel immediate disbursement, potentially straining West Bank public services and influencing U.S. policy discussions on the Anti-Terrorism Act’s scope. The petition underscores the intersection of transnational terrorism litigation with geopolitical and humanitarian concerns in the Israeli-Palestinian context.

Associated Press