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U.S. Federal Court Denies Immunity to Sovereign Wealth Funds
26 February 2016
View Client Update
The U.S. Foreign Sovereign Immunities Act (“FSIA”) applies to securities fraud claims brought against sovereign wealth funds in the United States.
Sovereign wealth funds are immune from suit in the United States unless one of the exceptions set forth in the FSIA applies.
There will be no immunity from suit when misrepresentations made in connection with the funds’ commercial activity outside the United States cause economic harm to investors in the United States.
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