The Second Circuit rejected these defenses, affirming that Argentina owned the reversionary interests and that the FSIA commercial activity exception applied.
Implications of the Supreme Court’s Denial
By declining to hear the case, the Supreme Court leaves the Second Circuit’s ruling intact, clearing the way for bondholders to claim the collateral interests. Argentina’s rejection of the decision underscores the potential for further international disputes over sovereign immunity and the scope of U.S. courts’ jurisdiction.
Bondholders are represented by attorneys from Quinn Emanuel Urquhart & Sullivan LLP, while Argentina is represented by Cleary Gottlieb Steen & Hamilton LLP.
