Burford Capital appeals to U.S. Supreme Court over YPF expropriation case

Burford Capital has filed a petition with the United States Supreme Court seeking to overturn a ruling that exempted Argentina from paying $16.1 billion plus interest in a legal dispute regarding the expropriation of YPF.

The petition, submitted by the September 30 deadline, challenges a decision by the U.S. Second Circuit Court of Appeals. That court had previously vacated a 2023 judgment by Judge Loretta Preska, which had held the Argentine state responsible for violating YPF's bylaws during the 2012 nationalization process.

Burford Capital, which finances the claims of Petersen Energía, Petersen Energía Inversora, and Eton Park, described the appellate court's decision as “gravely erroneous, totally unprecedented and of extremely relevant consequences.” The plaintiffs argue that the appellate court deviated from Supreme Court precedents by prioritizing an interpretation of Argentine law that favored the state.

The legal battle stems from allegations that the Argentine government failed to launch a mandatory public tender offer for minority shareholders during the company's state takeover. While the Second Circuit Court of Appeals nullified the original compensation order, the judges noted that the expropriation did indeed jeopardize property rights in Argentina.