Capital Ventures International v. Republic of Argentina
United States Court of Appeals for the Second Circuit
552 F.3d 289 (2009)
- Written by Rich Walter, JD
Facts
Capital Ventures International (CVI) (plaintiff) bought bonds issued by the Republic of Argentina (defendant). The bonds were issued pursuant to German law. In § 13(3) of the bonds’ offering circular, Argentina accepted the jurisdiction of German courts to adjudicate claims related to the bonds and agreed that other jurisdictions could enforce an adverse German judgment as to such claims. Section 13(3) also waived Argentina’s right to assert forum non conveniens or similar defenses against such enforcement actions. Section § 13(4) of the bond circular stipulated that Argentina waived its sovereign immunity from the “jurisdiction of any court or from any legal process.” Neither § 13(3) nor § 13(4) specifically mentioned United States courts. When Argentina defaulted on the bonds, CVI sued Argentina in a United States federal district court. The court dismissed the suit for lack of subject-matter jurisdiction. CVI appealed to the Second Circuit.
Rule of Law
Issue
Holding and Reasoning (Katzmann, J.)
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