According to press reports, a US investor will petition the Office of the U.S. Trade Representative (USTR) to take action under section 301 of the Trade Act of 1974 against Argentina because of its failure to pay an arbitration award now worth $235 million. The US investor is asking that the US Government withhold its support for the restructuring of Argentina’s debt in the Paris Club and US support for the disbursement of additional loans from the World Bank and the Inter-American Development Bank. This is the first time that an investor has sought to use Section 301 to enforce an arbitration award, and USTR’s response will set an important precedent.
Please join Sidley lawyer James Mendenhall, as he discusses the implications of the petition for US investors facing regulatory challenges in Argentina and elsewhere. Prior to joining Sidley Mr. Mendenhall served as USTR General Counsel and before that as the senior US Government official on investment policy.