NEW YORK IN TER NA TION AL LAW REVIEW Summer 2007 Vol. 20, No. 2 Articles Entrenched Emergencies and the “War on Terror”: Time to Reform the Derogation Procedure in International Law? Edel Hughes .........................................................................................................1 Laws of Unintended Consequences: Terrorist Financing Restrictions and Transitions to Democracy Peter Margulies ..................................................................................................65 Japanese Only: Xenophobic Exclusion in Japan’s Private Sphere Canon Pence.....................................................................................................101 Recent Decisions Sung Hwan Co., Ltd. v. Rite Aid Corp. ...........................................................161 In an action to enforce a money judgment obtained by a foreign company against a domestic company, the Court of Appeals of New York held that the fact that New York does not recognize an economic loss tort did not foreclose the use of Rule 302(a)(3) as a basis by a foreign court to exercise personal jurisdiction over the domestic company. Schonfeld v. Bush ............................................................................................167 In an action governed by Hong Kong law, the court denied the defendant’s motion for summary judgment, holding that Hong Kong law required a trier of facts to determine whether a partnership existed, that Hong Kong law recognized a duty of loyalty, and that Hong Kong law, although not identical to New York law, did have requirements sufficiently analogous to the implied covenant of good faith and fair dealing for a claim to proceed on that basis. In re Rivastigmine Patent Litigation .............................................................. 173 In the absence of an express absolute evidentiary privilege comparable to the U.S. attorney-client priv- ilege in Swiss law, such a privilege cannot be extended to communications between a company and its Swiss patent agents and in-house counsel. Karaha Bodas Co., L.L.C. v. Perusahaan Pertambangan Minyak Dan Gas Bumi Negara .......................................................................183 Motion granted for an injunction restraining the adverse party from filing foreign proceedings where it filed parallel proceedings in bad faith and to obstruct justice in the same dispute in foreign courts after final judgments had been entered by courts in the United States. DiChiara v. Ample Faith Investments Ltd. ......................................................195 Allegations including a broad contractual choice of New York law and jurisdic tion were sufficient to survive a motion to dismiss for lack of personal jurisdic tion over the defendants, based on forum non conveniens, international comity, and failure to join an indispensable party. Commission v. Spain .......................................................................................203 Spain failed to fulfill its obligations under Articles 1 to 3 of Council Directive 64/221/EEC on the coordination of special measures concerning the movement and residence of foreign nationals by refusing entry without investigation of the alien spouses of Member State nationals. NEW YORK STATE BAR ASSOCIATION INTERNATIONAL LAW & PRACTICE SECTION Published with the assistance of St. John’s University School of Law NEW YORK INTERNATIONAL LAW REVIEW Summer 2007 Vol. 20, No. 2 NEW YORK STATE BAR ASSOCIATION INTERNATIONAL LAW & PRACTICE SECTION © 2007 New York State Bar Association ISSN 1050-9453 (print) ISSN 1933-849X (online) INTERNATIONAL LAW & PRACTICE SECTION OFFICERS—2007 Chair ..............................................................Oliver J. Armas, Thacher Proffitt & Wood LLP Two World Financial Center, New York, NY 10281 Chair Elect......................................................Marco A. Blanco, Curtis, Mallet-Prevost, Colt & Mosle LLP 101 Park Avenue, New York, NY 10178 Vice-Chairs First Vice Chair ..............................................Calvin A. 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Farha Monica Petraglia McCabe Samuel Xiangyu Zhang Zurich, Switzerland New York, New York Washington, D.C. NEW YORK INTERNATIONAL LAW REVIEW Editorial Board Editor-in-Chief..........Lester Nelson New York, NY Executive Editor .............................Alan J. Hartnick Article Editors (continued) ..............Myron J. Laub New York, NY Clifton, NJ Recent Decisions Marisa A. Marinelli Editor ..............................................Peter W. Schroth New York, NY Glastonbury, CT George K. Miller Article Editors ................................Charles Davidson New York, NY New York, NY Joseph J. Saltarelli Charles K. Fewell New York, NY New York, NY David Serko Richard L. Furman New York, NY New York, NY Shane H. Sutton Joseph S. Kaplan New York, NY New York, NY Jacob R. Wyatt Robert Kestelik Washington, D.C. Houston, TX Prof. Cynthia C. Lichtenstein Newton Center, MA Student Editorial Board St. John’s University School of Law Editor-in-Chief ..........Troy A. 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