Overview
- On Monday, Oct. 19, Judge Loretta Preska issued an order that vacated the portion of her Sept. 15, 2023 final judgment awarding plaintiffs breach‑of‑contract damages and formally dismissed that claim in the district‑court record.
- The order implements the U.S. Court of Appeals for the Second Circuit’s March 27, 2026 reversal, which concluded the contract claims should be governed under Argentine law and removed the appellate basis for the $16.1 billion award.
- Preska’s 2023 judgment had combined roughly $8.4 billion in damages and $7.6 billion in interest, and a 2025 enforcement step had raised the prospect that Argentina’s YPF shares could be targeted to satisfy the award.
- Petersen Energía Inversora and Eton Park filed a petition to the U.S. Supreme Court on Oct. 1 seeking review and possible reinstatement of the indemnity, so the case could reopen only if the high court grants certiorari.
- The ruling largely secures a practical legal win for Argentina by closing the first‑instance docket, but it preserves the procedural path for the plaintiffs and keeps open the broader questions about how U.S. courts apply foreign law in disputes over cross‑border corporate changes.