Foreign Multinational Enterprises Operating in the United States Seek Sanctuary from Title VII Employment Discrimination Charges in Treaties of Friendship, Commerce, and Navigation

27 Pages Posted: 26 Oct 2009

See all articles by Christine Neylon O'Brien

Christine Neylon O'Brien

Boston College - Carroll School of Management

Gerald A. Madek

Bentley University - Department of Law

Margo E. K. Reder

Boston College - Carroll School of Management

Date Written: October 26, 1995

Abstract

International commercial treaties create rights for businesses of signatory countries freedom of selection for its executive employees, typically from their own countries, to be placed in subsidiaries in other countries. This freedom of selection is a recognized exemption within Treaties of Friendship, Commerce and Navigation on the theory that such latitude encourages direct foreign investment as businesses have control over their key personnel abroad. However, the breadth of this latitude is in question in light of potential conflicts with home rule statutes, including Title VII rights of U.S. nationals who compete for jobs within in U.S.-incorporated subsidiaries of foreign multinational enterprises. The authors note that there currently is a difference of opinion among the courts regarding the interrelationship between the treaties and the antidiscrimination laws, and businesses should consider this as they staff offices with key personnel.

Suggested Citation

O'Brien, Christine Neylon and Madek, Gerald A. and Reder, Margo E. K., Foreign Multinational Enterprises Operating in the United States Seek Sanctuary from Title VII Employment Discrimination Charges in Treaties of Friendship, Commerce, and Navigation (October 26, 1995). Hastings International Comparative Law Review, Vol. 18, No. 3, pp. 531-556, Spring 1995 . Available at SSRN: https://ssrn.com/abstract=1494627

Christine Neylon O'Brien (Contact Author)

Boston College - Carroll School of Management ( email )

140 Commonwealth Avenue
Business Law Department
Chestnut Hill, MA 02467
United States
(617) 552-0413 (Phone)
(617) 552-0414 (Fax)

Gerald A. Madek

Bentley University - Department of Law ( email )

United States

Margo E. K. Reder

Boston College - Carroll School of Management ( email )

140 Commonwealth Avenue
Chestnut Hill, MA 02467
United States
617.552.0410 (Phone)

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