In a significant diplomatic and judicial signal supporting Javier Milei's administration, the United States government announced that it will intervene in favor of Argentina in one of the chapters of the multi-million dollar lawsuit over the expropriation of YPF.
Through the Department of Justice (DOJ), Donald Trump's administration will submit an amicus curiae brief to the United States Court of Appeals for the Second Circuit in New York, requesting that the execution of Judge Loretta Preska's ruling ordering the transfer of 51% of the oil company's shares to Burford Capital be suspended.
This action doesn't yet constitute an official position on the merits of the case (the USD 16.1 billion judgment), but it does seek to halt the transfer of shares while Argentina's appeal against the adverse 2023 ruling moves forward.
The YPF case, an unprecedented legal dispute
The lawsuit over the expropriation of YPF originated from the decision by the convicted Cristina Kirchner's government to nationalize the company in 2012 without launching a public tender offer (OPA) as required by the bylaws. The litigating fund Burford Capital purchased the rights to litigate from the former shareholders Eskenazi and later obtained a favorable ruling at first instance.
