United States Second Circuit

In an action to recover principal and interest owed by the Republic of Argentina on certain Floating Rate Accrual Notes, the Second Circuit certified the following question to the New York Court of Appeals: (a) Is a bond provision requiring the issuer of the bond to make, on dates certain, bi-annual interest payments on principal "until the principal hereof is paid" properly construed as an obligation to pay interest for so long as the principal is outstanding, including after the date of maturity? (b) Is a bond provision requiring the issuer of the bond to make, on dates certain, bi-annual interest payments on principal "until the principal hereof is paid" properly construed as an obligation to pay interest for so long as the principal is outstanding, including after acceleration? (c) If either of the foregoing questions is answered in the affirmative, does that obligation provide a valid basis for awarding statutory interest under N.Y. C.P.L.R. section 5001(a) on post-maturity or post-acceleration interest payments that came due but were never paid?

Appellate Information

• Decided 09/23/2010
• Published 09/23/2010

Judges

• Reena Raggi

Court

• United States Second Circuit

Counsel

• For Appellant:
  
• Carmine D. Boccuzzi, Theodore B. Olson