CIVIL PROCEDURE — Jurisdiction — Diplomatic Immunity — Waiver by Contractual Submission to Jurisdiction

Diplomatic immunity is a privilege that can be waived by the entity entitled to it. When a State or its agency enters into a commercial contract containing a clause submitting to the jurisdiction of the courts of another country, that clause constitutes an express waiver of immunity. The party cannot later assert immunity to avoid the consequences of the contract. Such conduct is inconsistent with the principles of good faith and estoppel. Courts will give effect to the parties’ clear intentions as expressed in the contract. A party cannot benefit from the terms of a contract while simultaneously denying the jurisdiction that enforces it. This principle ensures that foreign States and their agencies are held accountable for their commercial obligations and cannot use immunity as a tactical weapon after voluntarily submitting to jurisdiction.