Supreme Court won't halt $656M judgment against the PLO and Palestinian Authority

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WASHINGTON (AP) — Supreme Court Justice Sonia Sotomayor refused Monday to halt a $656 million judgment against Palestinian authorities in a long-running lawsuit filed by Americans killed or wounded in attacks in Israel.

The order signed by Sotomayor comes after the high court ruled last year in favor of the victims and their families.

The Palestine Liberation Organization and the Palestinian Authority said in court documents that paying the hefty judgment now could destabilize government services in the West Bank. They asked the justices to pause payment as they appeal the reinstatement of the verdict.

The lawsuit was filed by victims of attacks in Jerusalem in the early 2000s that killed 33 people and wounded hundreds more. Families brought their lawsuit under the Anti-Terrorism Act, a law aimed at opening U.S. courts to victims of international terror attacks.

A federal court in New York tossed the original verdict on appeal and continued to rule in favor of the Palestine Liberation Organization and the Palestinian Authority as Congress revised the law to allow suits to go forward. The Supreme Court revived two cases in 2025.

The 2nd U.S. Circuit Court of Appeals agreed to reinstate the verdict in March. Attorneys for the plaintiffs said at the time that the families were pleased and relieved by the decision, saying it would allow “justice to be done” after a long legal process.