Clauses & Controversies

Tracy Alloway and Lee Buchheit discuss the possible resuscitation of claims against China for non-payment of Imperial Chinese bonds, the legal merit of unpaid debts as bargaining chips, the value and risks of these bonds as investments, the viability of a dollar-issued bond with a first priority claim, challenges of unauthorized debt instruments and counterclaims, and the moral dimension of debt and China's potential obligations.

Venezuela’s Oil Company is Up For Grabs – and the Absence of Ten Words in its Governing Law Clause May Decide Who Gets it The governing law clause is perhaps the most basic provision in every contract. Yet, it is so routine that few pay attention to it. Failure to pay attention to its precise wording though can bite one in the backside as the ongoing litigation between investors in Venezuelan bonds and the government-in-exile of that country demonstrates. Mark and Mitu discuss the Venezuelan governing law clause drama, as well as a number of other similar situations that have cropped up in recent years, including with Ukraine, Puerto Rico, and Mozambique. Producer: Leanna Doty