Don’t Cry for Argentina (Again)

Argentina remains upset that some of its creditors are none too happy with the South American nation’s 2001 default on its debt obligations.  As I noted here, some of Argentina’s creditors unhappy with the way in which Argentina sought to restructure its debt filed suit in the U.S. and prevailed, prompting Argentina to file multiple appeals and cert petitions.  In August,  the U.S. Court of Appeals for the Second Circuit rejected Argentina’s challenge to a district court injunction  barring Argentina’s payment of restructured debt without also making payments to holders of unrestructured debt.  This past week, the Second Circuit denied Argentina’s petition to rehear hear the case en banc.  This is not too surprising. Not only is en banc review quite rare, but it would also be odd for a court to grant such review to a petitioner which has pledged it will refuse to comply with an adverse ruling.  A petition for certiorari will certainly follow.   Like Ed Whelan, I am not sure Argentina’s position will help it obtain Supreme Court review.