Materially misleading?

An Argentine trial court yesterday declined to continue the recognition action on the Ecuadorian judgment, largely for the same reasons as the Canadian trial judge in 2013 (reasons that were later reversed on appeal), namely the purported lack of any assets of Chevron Corp. (pretending that its Argentine subsidiaries are not its assets) in the jurisdiction.

Chevron’s response in a press release issued today (in a quote attributed directly to its general counsel Hew Pate):

“We are confident that any jurisdiction that observes the rule of law and examines the facts will similarly find the Ecuadorian judgment to be illegitimate and unenforceable.”

This pretty clearly implies that the Argentine court found the Ecuadorian judgment to be “illegitimate,” which is exactly what Chevron is desperate to suggest — i.e., that it’s false “fraud” narrative is picking up steam in enforcement jurisdictions.

But as noted, the Argentine decision is entirely on the purported lack of assets in the jurisdiction. It mentions the word “fraud” only once, as it summarizes Chevron’s own submissions, and it conspicuously ignores Chevron’s arguments in this regard. In fact, it states the following:

“It is important to highlight that it is only the fact of not having established a link between Chevron and the Republic of Argentina that blocks the proceeding of the recognition.

(Cuadra destacar que la sola circunstancia de no haberse acreditado en debida forma un punto de conexión entre la sociedad aquí emplazada “CHEVRON CORPORATION” y la República Argentina obsta a la procedencia del presente Exequátur.)

It thus quite clearly did not “find” the Ecuadorian judgment to be illegitimate. Chevron’s statement can hardly be appreciated as a mistake, given that it so directly serves Chevron’s interest in teh narrative it wants to put out.

Sloppy work, Chevron. May come back to haunt you.