Lawyers for the victims have argued that then-president Lozada controlled the military, and ordered troops out in response to the protesters, so he bears liability for their actions.
Craig helps defend Lozada in a separate civil suit filed against him in the United States by human rights groups on behalf of nine families who say their relatives were killed in the violence.
Craig has said he recused himself from advising Obama on Bolivian issues, or on any issue that might involve a current or former client.
"I hope he will stick to his word and won't interfere in any way with the extradition matter," said David Kane, a Latin American expert for the Catholic missionary organization Maryknoll. The New York-based organization operates health and education programs in Bolivia. Friends of the group's missionaries in Bolivia were killed or injured in the 2003 incident, Kane said.
At a March event at George Washington University in Washington, D.C., Kane asked Craig about the Lozada case, and what advice he might give to a future President Obama regarding the new Bolivian government's wish to have him extradited to stand trial there, according to a video recording of the event.
Craig had prefaced his earlier presentation at the event, a panel discussion on U.S. policy on Latin America, by saying he was not speaking for the Obama campaign. In answering the audience member's question, Craig stated, "what happened in Bolivia, while tragic and by any measure sad. . . [was] a result of an armed effort to overthrow. . . a democratically elected government," and that the extradition request should not be honored.
In August, Craig said to ABC News that the questioner had not asked him about how he would advise Obama, and said he "recused myself from advising Senator Obama about anything and everything related to the Sanchez de Lozada case."
Generally, he said then, he would not advise Obama "about any matter that involves a client that I have represented in the past."
Obama spokesman Ben LaBolt noted to ABC News in August that Craig was not a lobbyist seeking to influence politicians, but a lawyer who represented clients in court. "He has made clear that he will not advise Senator Obama on any matter that would relate to his clients."