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Expert Analysis

The 2nd Circ. Stance In NML Capital V. Argentina

Law360, New York (August 29, 2013, 11:30 AM EDT) -- In again upholding the injunctions ordered by Judge Thomas Griesa of the Southern District of New York, the Second Circuit Court of Appeals sent a strong message that N.Y. courts will enforce valid contracts according to their terms, even where the parties are holdout creditors and sovereign borrowers. The court also affirmed that sovereigns cannot rely upon sovereign immunity to avoid consequences of extreme behavior such as disregard of contractual obligations or defiance of court orders....

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