Update: Ecuador Files Lawsuit in Argentina, Hopes For $19 Billion

The rather messy and ongoing lawsuit involving Chevron’s operations in Ecuador seems to only be getting worse. The article I posted last week discussing the 18-year-long legal battle between the energy giant and the government of Ecuador talked about how the courts forced a documentarian to release over 600 hours of film outtakes to Chevron, to be used as evidence in the case (which did not end up helping Chevron all that much).

The case gained even more momentum yesterday, as Ecuadorian lawyers announced at a press conference in Buenos Aires, the newest location in which they will be suing Chevron: Argentina.

According to a Bloomberg article, Ecuador filed a lawsuit yesterday (and attachment order) in Argentina, in order to seize Chevron’s assets located in Argentina and receive the $19 billion in damages (a judgment which has yet to be enforced).

Bloomberg stated: “Chevron, based in San Ramon, California, on Oct. 9 lost a U.S. Supreme Court bid to block the judgment by an Ecuadorean court. The highest U.S. court let stand a federal appeals court ruling against Chevron that the Ecuadoreans can’t be barred from seeking to collect the award anywhere in the world.”

If Chevron loses the lawsuit in Argentina, the company could face dangerous consequences, as its assets in Argentina are extensive (being the fourth-largest producer of oil in Argentina). According to a RigZone article, Chevron’s assets in Argentina are expected to be around $2 billion. Ecuador is seeking approximately $21 billion from Chevron and is hoping that the Argentine courts can enforce this judgment.

 

 

 

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About Jessica Summers

My name is Jessica Summers. I graduated as valedictorian from Marymount Manhattan College in 2012 with a B.A. in Communications and minors in Journalism and Political Science. During college, I spent a summer abroad studying at Oxford University and also held internships at CNN International, CNBC Business News, and WABC-TV, among other news organizations and media outlets. I am currently a graduate student at New York University’s Business and Economic Reporting program. I am an aspiring broadcast journalist, especially interested in covering the world of business and finance.
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