https://www.meforum.org/mef-online/after-october-7-riots-recovering-1-5-billion-in-economic-damages
By Gregg Roman - April 6, 2025
In the aftermath of the October 7 attack and the subsequent wave of anti-Israel protests across American college campuses and cities, many Jewish organizations and businesses have suffered significant economic losses. A forthcoming Middle East Forum economic analysis suggests these damages may exceed $1.5 billion nationwide, including property damage, business disruption, security costs, and lost revenue.
While public attention has focused on the political dimensions of these events, less has been said about the practical question facing affected organizations: What legal remedies exist to recover these financial losses?
For many businesses and institutions, a promising but underutilized pathway exists through civil applications of the Racketeer Influenced and Corrupt Organizations Act (RICO) and an innovative claims assignment approach that can reduce litigation burdens while maximizing recovery potential.
When most Americans hear “RICO,” they think of criminal prosecutions against mob bosses. However, RICO also contains powerful civil provisions that allow private parties to seek compensation for economic damages caused by organized, coordinated activities.
The Supreme Court recently strengthened these civil applications in Medical Marijuana, Inc v. Horn, where Justice Barrett’s majority opinion confirmed that RICO plaintiffs can recover for damage to “business or property” even when those damages flow from other types of personal injuries.
For organizations harmed by coordinated protest activities, civil RICO offers distinct advantages over traditional tort claims. Successful plaintiffs receive three times their actual losses through treble damages provisions. Legal costs can be recovered through attorney’s fees coverage. Recovery can come from all participants in an “enterprise” through broader liability standards. Cases proceed in federal court, providing consistent procedural rules and potentially more neutral venues.
Despite these advantages, many smaller organizations lack the resources, expertise, or appetite to pursue complex federal litigation. This is where an innovative legal strategy has emerged: claims assignment.
Through a Claims Assignment Agreement, affected organizations can transfer their legal rights to a specialized association that litigates on behalf of multiple claimants. The original parties retain a specified percentage of any recovery while avoiding direct involvement in the litigation process.
This approach offers several compelling benefits. The association bears all litigation expenses, eliminating upfront costs for claimants. Organizations avoid managing complex legal proceedings, reducing administrative burden during an already challenging time.
Consolidated claims increase leverage in negotiations, creating a stronger collective position than any individual claim might achieve. Specialized legal representation handles technical requirements with appropriate expertise. Organizations can seek recovery without becoming the face of high-profile litigation, reducing public exposure and potential backlash.
Federal courts have consistently recognized that RICO claims are assignable, with precedent including In re National Mortgage Equity Corp., which established that RICO claims can be validly transferred, and In re Firestar Diamond, which confirmed assignability even for claims involving treble damages.
The key requirement is a properly structured assignment agreement that clearly transfers legal rights while preserving the assignor’s financial interest in the outcome.
If your business or organization has suffered economic harm from coordinated protest activities, you should begin by documenting your damages through financial records, repair invoices, evidence of business disruption, and security expenses. It’s important to assess timeline concerns, as RICO claims typically have a four-year statute of limitations. Consider whether joining a consolidated legal effort through claim assignment makes sense for your situation. Finally, consult specialized counsel, as RICO litigation requires expertise in this complex area of law.
For too long, the discussion around these events has been dominated by political positioning rather than practical solutions for those suffering real economic harm. Civil RICO provides a legal framework focused not on restricting protected speech, but on addressing coordinated activities that cause demonstrable financial damage.
The assignment approach offers affected organizations a path to potential recovery without assuming the full burden of complex litigation. As courts increasingly recognize the validity of this strategy, it may provide the most accessible remedy for the widespread economic harm caused by recent events.
Gregg Roman is executive director of the Middle East Forum.
