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Case Detail


NML Capital, Ltd. v. Republic of Argentina
On August 23, 2013, the U.S. Court of Appeals for the Second Circuit reaffirmed the right of bondholders to enforce their contractual rights against foreign states that have defaulted on their commercial debt. The decision was a victory for WLF, which filed a brief in the case urging affirmance of the district court’s order below. In its brief, WLF argued that the district court acted properly in ordering Argentina not to play favorites among its creditors by paying interest to some bondholders while ignoring the legitimate claims of others. WLF also disputed Argentina’s claim that the district court’s order would adversely affect the ability of other nations to renegotiate their indebtedness. Conceding that federal courts may not order a sovereign nation to use property located within its own borders to pay debts, WLF argued that the courts act properly when, as here, they order compliance with a nation’s contractual commitments to provide “equal treatment” to all bondholders.
Case Status:
Victory; Argentina filed a certiorari petition on February 18, 2014.
More Information and Downloads:
4/25/2012: Download the Brief
1/4/2013: Download the Brief
Press Release: Court Urged To Uphold Creditors' Right To Collect Foreign States' Debt
Litigation Update: Court Upholds Creditors' Right To Collect Foreign States' Debt
Press Release: Court Urged To Uphold Creditors’ Right To Collect Foreign States’ Debt
Litigation Update: Court Reaffirms Creditors’ Right To Collect Foreign States’ Debt
Press Release: WLF Responds To Supreme Court Order Granting Review In Argentine Debt Case
Press Release: WLF Believes U.S. Supreme Court Unlikely to Hear Argentina’s Appeal from Bond Decision