YPF investors ask US Supreme Court to revive $16.1 billion judgment against Argentina
YPF•Investment firms Petersen Energia and Eton Park petitioned the US Supreme Court to reinstate a $16.1 billion judgment against Argentina in litigation tied to YPF. The petition challenges an appeals court ruling that the claims belonged in Argentine courts.
1. Petition challenges ruling
Petersen Energia and Eton Park asked the US Supreme Court to overturn a March decision by the US Court of Appeals for the Second Circuit, which held that their claims belonged in Argentine courts. The ruling had overturned a $16.1 billion judgment entered after more than a decade of litigation.
2. Dispute over nationalization
The dispute stems from Argentina’s 2012 nationalization of a 51% stake in YPF. The investors allege Argentina violated YPF’s bylaws by not making a tender offer to minority shareholders. The bylaws, amended before YPF’s 1993 New York Stock Exchange listing, required a mandatory tender offer if the government regained majority control.
3. Arguments and response
The petition argues that the appeals court improperly allowed a foreign nation to rely on its own laws to avoid liability in US courts, and says the decision conflicts with Supreme Court precedent and creates a split among federal appellate courts. An Argentine Treasury Solicitor’s Office spokesperson said the filing was an anticipated procedural step and that the government was already working on it.
