FI L ED

U.S. COURT OF APPEAL S

EL EVENTH CI RCUI T

J UNE 18, 2010

J OHN L EY

CL ERK [ P U B L I S H ]

I N T H E U N I T E D S T A T E S C O U R T O F A P P E A L S

F O R T H E E L E V E N T H C I R C U I T

_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _

N o

. 0 8

- 1 7 2 1 3

_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _

D

. C

. D o c k e t N o

. 0 4

- 2 3 2 2 3

- C V

- M G C

J O S E G U E V A R A

,

P l a i n t i f f

- C o u n t e r

D e f e n d a n t

- A p p e l l e e

C r o s s

- A p p e l l e e

,

L U I S A L F R E D O P E R C O V I C H

,

P r o p o s e d I n t e r v e n o r

- A p p e l l a n t

,

v e r s u s

R E P U B L I C O F P E R U

,

M I N I S T E R I O D E L I N T E R

,

D e f e n d a n t s

- C o u n t e r

- C l a i m a n t s

C r o s s

- A p p e l l a n t s

,

A N T O N I O K E T I N V I D A L

, i n d i v i d u a l l y

,

F E R N A N D O R O S P I G L I O S I

, i n d i v i d u a l l y

,

D E P A R T M E N T O F J U S T I C E

,D e f e n d a n t s

.

_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _

A p p e a l s f

r o m t h e U n i t e d S t a t e s D i s t r i c t C o u r t

f o r t h e S o u t h e r n D i s t r i c t o f F l o r i d a

_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ ( J u n e 1 8

, 2 0 1 0 )

B e f o r e T J O F L A T a n d C O X

, C i r c u i t J u d g e s

, a n d K O R M A N

, D i s t r i c t J u d g e

. *

T J O F L A T

, C i r c u i t J u d g e :

T h e R e p u b l i c o f P e r u

, t w o o f i t s m i n i s t r i e s

, a n d t w o o f i t s g o v e r n m e n t

o f f i c i a l s ( c o l l e c t i v e l y “ P e r u ” ) a p p e a l t h e d i s t r i c t c o u r t ’ s a w a r d o f s u m m a r y

j u d g m e n t t o J o s e G u e v a r a o n G u e v a r a ’ s c l a i m t h a t P e r u o w e d h i m $ 5 m i l l i o n i n

r e w a r d m o n e y f

o r i n f o r m a t i o n t h a t l e d t o t h e a r r e s t o f P e r u ’ s f o r m e r s p y c h i e f

,

V l a d i m i r o L e n i n M o n t e s i n o s T o r r e s ( “ M o n t e s i n o s ” )

. P e r u c o n t e n d s t h a t t h e

d i s t r i c t c o u r t s h o u l d h a v e r e c o g n i z e d i t s s o v e r e i g n i m m u n i t y a n d t h e r e f o r e

d i s m i s s e d G u e v a r a ’ s c l a i m f o r l a c k o f s u b

j e c t m a t t e r j u r i s d i c t i o n

. L u i s A l f r e d o

P e r c o v i c h a p p e a l s t h e d i s t r i c t c o u r t ’ s d e n i a l o f h i s m o t i o n t o i n t e r v e n e i n t h e c a s e

( a f t e r t h e c o u r t g r a n t e d G u e v a r a ’ s m o t i o n f o r s u m m a r y j u d g m e n t b u t p r i o r t o i t s

Honora ble Edwa rd R. Korman, U nited States District J udg e for the Easter

n District of Ne w *

York, sitting by

desig nation.

2e n t r y o f f

i n a l j u d g m e n t ) f

o r t h e p u r p o s e o f c l a i m i n g t h e a w a r d

. W e a g r e e w i t h 1

P e r u t h a t t h e d i s t r i c t c o u r t l a c k e d s u b j e c t m a t t e r j u r i s d i c t i o n a n d t h e r e f o r e r e v e r s e

i t s j u d g m e n t a n d r e m a n d t h e c a s e w i t h t h e i n s t r u c t i o n t h a t i t b e d i s m i s s e d w i t h o u t

p r e j u d i c e

.

I

.

A

.

T h i s c a s e ’ s f

a c t s r e a d l i k e t h e l a t e s t s p y t h r i l l e r

. A n e a r l i e r

, a n d p a r t i a l

,

r e c i t a t i o n o f t h e f

a c t s a p p e a r s i n t h i s c o u r t ’ s o p i n i o n i n G u e v a r a v

. R e p u b l i c o f

P e r u

, 4 6 8 F

. 3 d 1 2 8 9 ( 1 1 t h C i r

. 2 0 0 6 ) ( “ G u e v a r a I ” )

, w h i c h w e r e c i t e i n t h i s

s u b p a r t

. I n t h e 1 9 9 0 s

, M o n t e s i n o s w a s t h e h e a d o f P e r u ’ s N a t i o n a l I n t e l l i g e n c e

A g e n c y

. D u r i n g t h a t t i m e

, w h i l e d i s c h a r g i n g t h e d u t i e s o f h i s o f f i c e

, h e

p u r p o r t e d l y c o m m i t t e d s e v e r a l c r i m e s

— a r m s t r a f f i c k i n g

, d r u g d e a l i n g

, m o n e y

l a u n d e r i n g

, e x t o r t i o n

, b r i b e r y

, a n d “ m o r e t h a n a f e w m u r d e r s

. ” I d

. a t 1 2 9 2

. T h e

P e r u v i a n m e d i a o b t a i n e d v i d e o t a p e s o f h i s p a r t i c i p a t i o n i n s o m e o f t h e s e c r i m e s

,

i n c l u d i n g b r i b e r y

, a n d a f t e r t h e v i d e o t a p e s b e c a m e p u b l i c

, P r e s i d e n t A l b e r t o

F u j i m o r i a n n o u n c e d i n S e p t e m b e r 2 0 0 0 t h a t h e w o u l d d i s s o l v e t h e i n t e l l i g e n c e

a g e n c y a n d s t e p d o w n a s p r e s i d e n t

. M o n t e s i n o s

, s e e i n g t h e w r i t i n g o n t h e w a l l

,

Percovic h filed his notice of a ppeal f irst. Peru followed se vera l day s later. Per u’s appe al is 1

there fore a cr oss-appe al. We ref er to the c ross-appe al as the a ppeal be cause our disposition of it

rende rs Perc ovich’s appe al ef fec tively moot.

3f

l e d t h e c o u n t r y

, f

i r s t i n t o V e n e z u e l a

, t h e n

, i t s e e m e d

, i n t o t h i n a i r

.

A m a n h u n t e n s u e d

, a n d i n A p r i l 2 0 0 1

, P e r u ’ s I n t e r i m P r e s i d e n t

, V a l e n t i n

C o r a z a o

, i s s u e d a n E m e r g e n c y D e c r e e t h a t p r o v i d e d f o r a $ 5 m i l l i o n r e w a r d f o r t h e

“ p e r s o n o r p e r s o n s w h o p r o v i d e ( s ) a c c u r a t e i n f o r m a t i o n t h a t w i l l d i r e c t l y e n a b l e

l o c a t i n g a n d c a p t u r i n g ” M o n t e s i n o s

. I d

. a t 1 2 9 3

. T h e d e c r e e e s t a b l i s h e d a 2

c o m m i t t e e

, t h e S p e c i a l H i g h L e v e l C o m m i t t e e ( “ S H L C ” )

, a s p a r t o f t h e M i n i s t r y o f

t h e I n t e r i o r t o r e c e i v e s u c h i n f o r m a t i o n a n d a s s e s s i t s a c c u r a c y

. T h e d e c r e e 3

a u t h o r i z e d t h e P e r u v i a n g o v e r n m e n t t o o b t a i n a l o a n f r o m a P e r u v i a n b a n k t o p a y

t h e r e w a r d

, w i t h t h e f

u n d s t o b e d e p o s i t e d i n a P e r u v i a n a c c o u n t i n t h e i n t e r i m

.

T h e r e w a r d w o u l d b e p a i d t w e n t y

- f o u r h o u r s a f

t e r M o n t e s i n o s ’ s c a p t u r e

. 4

The Emer g ency

Dec ree was posted on the w ebsite of Per u’s offic ial daily

publication

, El 2

Peruano.

The Emer g ency

Dec ree itself was a ttached to Gue vara ’s motion for summary judgme nt, 3

which, as discusse d infra, he filed in the district court a fter r emand in Gue vara I . The c ertified

court tra nslator noted that Peru’ s Minist ry of the I nterior is equiva lent to the United States

Depa rtment of Homela

nd Security . We assume, there fore , that Peru’s Minister of the I nterior, to

whom we r efe r throug hout the opinion, holds a positi on compar able to the United States’

Secre tary of Homela

nd Security

. As stated in Gueva

ra I

, 4

Article O ne of [the Emerg ency Dec ree ] provided that Peru there by :

Establish[ ed] a financ ial rew ard in the a mount of U.S. $5,000,000.00

(F I VE MI L L I ON 00/100 UNI TED STATES DOL L ARS), which shall be

g iven to the per son or per sons who provide(s) acc urate information that

will directly

enable locating and ca

pturing Vladimiro L enin Montesinos

Torre s. I n the eve nt severa l persons provide the said information, the

financ ial rew ard sha ll be divided among them.

(Compl. Ex . A). Ar

ticle Thre e of the decr ee de fined “ acc urate information”:

4I t t u r n e d o u t t h a t G u e v a r a

, a V e n e z u e l a n n a t i o n a l

, w a s p r o v i d i n g M o n t e s i n o s

w i t h a h i d i n g p l a c e a n d a s e c u r i t y d e t a i l i n C a r a c a s

, V e n e z u e l a

. I n a d d i t i o n

,

G u e v a r a w a s h a n d l i n g M o n t e s i n o s ’ s c o m m u n i c a t i o n s w i t h P a c i f i c I n d u s t r i a l B a n k

i n M i a m i

, F l o r i d a

, w h e r e M o n t e s i n o s m a i n t a i n e d a b a n k a c c o u n t

. W h e n t h e b a n k

d e c l i n e d h i s r e q u e s t t o t r a n s f e r h i s f u n d s t o a n o t h e r b a n k

, M o n t e s i n o s e m a i l e d

P e r c o v i c h

, t h e o f

f i c e r a s s i g n e d t o t h e a c c o u n t

, t h r e a t e n i n g h i m w i t h p h y s i c a l h a r m

u n l e s s t h e b a n k h o n o r e d h i s r e q u e s t

. M o n t e s i n o s t h e n s e n t G u e v a r a t o M i a m i w i t h

i n s t r u c t i o n s f

o r P e r c o v i c h

. P e r c o v i c h

, a w a r e t h a t G u e v a r a w a s c o m i n g t o M i a m i

,

c o n t a c t e d t h e F B I i n t h e m e a n t i m e t o i n f o r m t h e m o f M o n t e s i n o s ’ s t h r e a t a n d

G u e v a r a ’ s i n v o l v e m e n t w i t h M o n t e s i n o s

, s o w h e n G u e v a r a a r r i v e d i n M i a m i i n

J u n e 2 0 0 1

, t h e F B I d e t a i n e d h i m a n d p r e p a r e d t o c h a r g e h i m w i t h a c r i m i n a l

o f f e n s e

. T h e F B I i n f

o r m e d G u e v a r a t h a t h e w o u l d n o t b e c h a r g e d i f h e d i s c l o s e d 5

For purposes of this Emer g ency Dec ree , acc urate information shall be that

[i nformation] provided throug h any means to the Spec ial Hig h L evel Committee

and which e nables loca ting a nd captur ing V ladimiro L enin Montesinos Torre s,

who is wanted.

I d. (bra ckete d word in orig inal)

Gueva ra I , 468 F.3d a t 1293.

The re cord be fore the district court, whe n it ruled on Gueva ra’ s motion for summary

judgme nt 5

following the disposition of Guevara I , reve als that the F BI

was in the proc ess of filing a

criminal complaint cha

rg ing G uevar a with conspiring with Montesinos to t hrea ten Perc ovich

throug h a ser ies of ema ils. The c harg es we re la ter dismissed due to Gueva ra’ s assistance to the

FB I in capturing Montesinos.

5M o n t e s i n o s ’ s w h e r e a b o u t s

. A n d

, i f M o n t e s i n o s w a s c a p t u r e d

, G u e v a r a c o u l d

c l a i m t h e $ 5 m i l l i o n r e w a r d P e r u h a d p o s t e d

. 6

G u e v a r a c o o p e r a t e d ; h e r e v e a l e d M o n t e s i n o s ’ s l o c a t i o n i n C a r a c a s a n d

a r r a n g e d t h r o u g h s o m e o f h i s a s s o c i a t e s i n C a r a c a s f o r M o n t e s i n o s t o b e d e l i v e r e d

i n t o t h e h a n d s o f V e n e z u e l a n o f f i c i a l s

. T h e y a r r e s t e d M o n t e s i n o s a n d t u r n e d h i m

o v e r t o t h e P e r u v i a n a u t h o r i t i e s

. P e r u

, h o w e v e r

, r e f u s e d t o p a y G u e v a r a t h e $ 5

m i l l i o n r e w a r d

.

B

.

G u e v a r a s u e d P e r u i n F l o r i d a s t a t e c o u r t

, a n d P e r u r e m o v e d t h e c a s e t o t h e

U n i t e d S t a t e s D i s t r i c t C o u r t f o r t h e S o u t h e r n D i s t r i c t o f F l o r i d a u n d e r 2 8 U

. S

. C

. §

1 4 4 1 ( d )

. G u e v a r a f

r a m e d h i s c o m p l a i n t i n f i v e c o u n t s

, a s s e t o u t i n t h e m a r g i n

. 7

P e r u m o v e d t o d i s m i s s t h e c a s e p u r s u a n t t o F e d e r a l R u l e o f C i v i l P r o c e d u r e

1 2 ( b ) ( 1 )

, a r g u i n g t h e F o r e i g n S o v e r e i g n I m m u n i t i e s A c t ( “ F S I A ” )

, 2 8 U

. S

. C

. § §

1 6 0 2

– 1 6 1 1

, r e n d e r e d i t i m m u n e f r o m s u i t

. T h e d i s t r i c t c o u r t g r a n t e d P e r u ’ s

m o t i o n o n t h e g r o u n d t h a t P e r u ’ s c o n d u c t d i d n o t f a l l u n d e r a n y o f t h e e n u m e r a t e d

The F BI was a war e of the rew ard be cause it had been w idely publicized. 6

Count One alleg ed bre ach of contra ct by

the Republic of Per

u. Count Two alleg ed bre ach of 7

contra ct implied in law by the Republic of Per

u. Count Three a lleg ed bre ach of contra ct by

the

Ministry of the I nterior. Count Four alleg ed fr audulent induce ment by the Minister of the

I nterior dur ing the events lea ding to Montesinos’s c apture . Count Five (mislabele d as Count

Four ) alleg ed fr audulent misrepr esenta tion by the new Minister of

the I nterior, who a ssumed that

position when the forme r minister left off ice in Jul y

2001.

6e x c e p t i o n s t o t h e F S I A ’ s p r e s u m p t i o n o f s o v e r e i g n i m m u n i t y

. G u e v a r a t h e n

a p p e a l e d t h e d i s m i s s a l t o t h i s c o u r t

.

W e h e l d t h a t P e r u ’ s o f

f e r o f a r e w a r d f

e l l w i t h i n t h e F S I A ’ s c o m m e r c i a l

a c t i v i t y e x c e p t i o n

. W e r e a s o n e d t h a t i n s t e a d o f u s i n g i t s o w n p o l i c e a n d 8

i n v e s t i g a t o r y p o w e r s t o s e a r c h f o r M o n t e s i n o s

, P e r u “ ‘ v e n t u r e d i n t o t h e

m a r k e t p l a c e ’

. . . t o b u y t h e i n f o r m a t i o n n e e d e d t o g e t i t s m a n

. ” G u e v a r a I

, 4 6 8

F

. 3 d a t 1 2 9 9 ( q u o t i n g H o n d

. A i r c r a f t R e g i s t r y

, L t d

. v

. G o v ’ t o f H o n d

. , 1 2 9 F

. 3 d

5 4 3

, 5 4 7 ( 1 1 t h C i r

. 1 9 9 7 ) )

. B e c a u s e s o v e r e i g n s t a t e s c a n e n g a g e i n c o m m e r c i a l

a c t i v i t i e s b y c o n t r a c t i n g w i t h p r i v a t e p a r t i e s

, i d

. a t 1 3 0 0

, a n d b e c a u s e P e r u a c t e d

l i k e a p r i v a t e p a r t y i n e n t e r i n g t h e m a r k e t f o r r e w a r d s

, i d

. a t 1 3 0 1

, t h e F S I A ’ s

d e f i n i t i o n o f “ c o m m e r c i a l a c t i v i t y ” i n 2 8 U

. S

. C

. § 1 6 0 3 ( d ) f u l l y e n c o m p a s s e d t h e

r e w a r d

, i d

. a t 1 3 0 5

. I n t u r n

, b e c a u s e a s t a t e ’ s p r i v a t e

, c o m m e r c i a l a c t s d i v e s t i t o f

s o v e r e i g n i m m u n i t y u n d e r t h e s o

- c a l l e d “ r e s t r i c t i v e t h e o r y

, ” i d

. a t 1 2 9 7

, P e r u w a s

n o t i m m u n e f

r o m s u i t u n d e r t h e F S I A ’ s e x c e p t i o n

. W e a c c o r d i n g l y v a c a t e d t h e

As detailed infr a, the F SI A cr eate s a pre sumption t hat fore ign sove reig ns are immune from suit 8

in U.S. courts unless they fall under

an exception within the statute. 28 U.S.C. § 1604. The

commerc ial activity

exception preve nts a fore ign sta te from c laiming immunity in case s

in which the ac tion is based upon a commer cial ac tivity car ried on in the United

States by the fore ign sta te; or upon an a ct per formed in the U nited States in

connec tion with a commerc ial activity of the for eig n state elsew here ; or upon an

act outside the te rritory

of the United States in conne ction with a commer cial

activity of the for eig n state elsewhere and that ac t cause s a direc t effe ct in the

United States.

I d. § 1605(a) (2).

7d i s t r i c t c o u r t ’ s j u d g m e n t a n d r e m a n d e d t h e c a s e f o r f u r t h e r p r o c e e d i n g s

.

O n r e m a n d

, t h e d i s t r i c t c o u r t i s s u e d a n e w s c h e d u l i n g o r d e r a n d t h e p a r t i e s

e n g a g e d i n d i s c o v e r y

. A t t h e c l o s e o f d i s c o v e r y

, G u e v a r a m o v e d t h e c o u r t f o r

s u m m a r y j u d g m e n t o n t w o c o u n t s o f h i s c o m p l a i n t

, t h o s e c l a i m i n g b r e a c h o f

c o n t r a c t

, a r g u i n g t h a t h e w a s e n t i t l e d t o t h e r e w a r d b e c a u s e h e h a d f u l f i l l e d t h e 9

t e r m s o f P e r u ’ s o f

f e r

. D e p o s i t i o n a n d a f

f i d a v i t e v i d e n c e s u b m i t t e d i n s u p p o r t o f

G u e v a r a ’ s m o t i o n h a d p r o v i d e d n e w i n f o r m a t i o n a b o u t G u e v a r a ’ s r o l e i n

M o n t e s i n o s ’ s c a p t u r e

. W e n o w r e c o u n t t h e f a c t s t h a t e v i d e n c e e s t a b l i s h e d

. 1 0

C

.

G u e v a r a w a s f

o r m e r l y a n o f

f i c e r i n t h e V e n e z u e l a n i n t e l l i g e n c e a g e n c y

,

D i r e c c i ó n N a c i o n a l d e l o s S e r v i c i o s d e I n t e l i g e n c i a y P r e v e n c i ó n ( “ N a t i o n a l

D i r e c t o r a t e o f I n t e l l i g e n c e a n d P r e v e n t i o n S e r v i c e s ” ) ( “ D I S I P ” )

. O n D e c e m b e r 1 1

1 5

, 2 0 0 0

, G u e v a r a r e c e i v e d a t e l e p h o n e c a l l f r o m h i s s e c o n d c o u s i n a s k i n g h i m t o

r e c e i v e a v i s i t o r a t G u e v a r a ’ s r e s i d e n c e i n C a r a c a s

. L a t e r t h a t d a y

, o n e J u l i o A y a l a

Counts One and Thre e. See supr a note 7. The district court dismissed Count Two on 9

Gueva ra’ s stipulation and, in a separa te orde r, g rante d summary judgme nt to the two Minist ers

of the I nterior on Counts Four and F ive. The pa

rties do not contest that orde r.

We rec ount the fac ts in the light most favora ble to Gueva

ra. 1 0

DI SI P has since bee n rede signa ted as Ag encia Bolivar iana de Noticias (“ Bolivar ian 1 1

I ntellige nce Ser

vice” ). Ag encia

Bolivar iana de Noticias, Ve nezuelan Disip to be now de signa ted

as B olivarian I ntellige nce Ser vice, http://www.abn.info.ve /noticia.php? articulo= 210391 (last

visited May

4, 2010).

8b r o u g h t a m a n w e a r i n g f a c i a l b a n d a g e s

, w h o m A y a l a i d e n t i f i e d a s M a n u e l

R o d r i g u e z

, t o G u e v a r a ’ s h o u s e

. G u e v a r a l a t e r r e a l i z e d t h a t t h e m a n g o i n g b y t h e

n a m e M a n u e l R o d r i g u e z w a s a c t u a l l y M o n t e s i n o s

, w h o h a d u n d e r g o n e f a c i a l

r e c o n s t r u c t i v e s u r g e r y t o c o n c e a l h i s i d e n t i t y

.

G u e v a r a ’ s s e c o n d c o u s i n a s k e d G u e v a r a t o p r o v i d e o n g o i n g s e c u r i t y f o r

M o n t e s i n o s

. G u e v a r a a g r e e d a n d s a w t o i t t h a t M o n t e s i n o s w a s p r o t e c t e d w h i l e h e

w a s i n h i d i n g i n C a r a c a s

. F o r h i s p a r t

, M o n t e s i n o s u s e d G u e v a r a a s a n 1 2

i n t e r m e d i a r y t o r u n p e r s o n a l e r r a n d s a n d t o a r r a n g e f o r t h e d e p o s i t o f f

u n d s i n t o

M o n t e s i n o s ’ s a c c o u n t s i n U

. S

. b a n k s

. O n J u n e 2 0

, 2 0 0 1

, G u e v a r a t r a v e l e d t o

M i a m i f o r M o n t e s i n o s t o d e l i v e r a n e n v e l o p e t o P e r c o v i c h a t P a c i f i c I n d u s t r i a l

B a n k

. T h e e n v e l o p e c o n t a i n e d a l e t t e r i n s t r u c t i n g P e r c o v i c h t o g i v e G u e v a r a

$ 7 0 0

, 0 0 0 c a s h f

r o m M o n t e s i n o s ’ s a c c o u n t a t t h e b a n k

, a n d t o t r a n s f e r $ 3 m i l l i o n

f r o m t h a t a c c o u n t t o a n a c c o u n t M o n t e s i n o s h a d o p e n e d a t a n o t h e r b a n k

. G u e v a r a 1 3

m e t P e r c o v i c h a t t h e I n t e r c o n t i n e n t a l H o t e l i n M i a m i o n J u n e 2 2 a n d g a v e h i m t h e

e n v e l o p e

. W h i l e G u e v a r a w a s l e a v i n g t h e I n t e r c o n t i n e n t a l H o t e l

, F B I a g e n t s

Two day s after

rec eiving Montesinos, Guevar a moved Montesinos to the Cara cas home of a 1 2

sister of Jose L uis Nunez, who had pre viously worke d as a body

g uard f or Gue vara . Nunez

appar ently

did not serve a s Montesinos’s body g uard; his role a ppear s to have be en limited to

providing a hiding place for Montesinos at his sister’s home. A pproxi mately

three to four we eks

prior to his capture , Montesinos moved to Nunez’s home for, a ccor ding to Gue vara , “strate g ic

rea sons.”

Appar ently , the FB I had notified Pac ific I ndustrial Ba nk of Montesinos’s fug itive status, and 1 3

the bank ha d frozen Montesinos’s ac count.

9a r r e s t e d h i m

. A f t e r t h e a g e n t s t o o k G u e v a r a i n t o c u s t o d y

, t h e y q u e s t i o n e d h i m 1 4

b r i e f l y a t t h e h o t e l w h e r e h e w a s s t a y i n g

, t h e n m o v e d h i m t o t h e F B I o f f i c e i n

M i a m i

.

T h e q u e s t i o n i n g r e s u m e d a t t h e F B I o f f i c e

. T h e a g e n t s i n f

o r m e d G u e v a r a o f

t h e $ 5 m i l l i o n r e w a r d f

o r i n f o r m a t i o n t h a t w o u l d l e a d t o M o n t e s i n o s ’ s c a p t u r e

.

On J une 24, 2001, an F BI specia l ag ent swore out a cr iminal complaint ag ainst Gueva ra, 1 4

char g ing him with violating 18 U .S.C. §§ 875(b), 371, and 2. The c omplaint charg ed Gue vara

with conspiring with Montesinos to t hrea ten Pacific I ndustrial Ba nk and its officia ls, specifica lly

Percovic h, with harm if they did not deliver the money in acc ordanc e with Montesinos’s

instruction. Section 875(b) provide s that

[w] hoever , with intent to ex tort from any person, f irm, association, or

corpor ation, any

money or other thing of value , transmits in int erstate or for eig n

commerc e any

communication containing any threa t to kidnap any

person or any

threa t to injure the person of another , shall be fined unde r this titl e or imprisoned

not more than twe nty

y ear s, or both.

18 U.S.C. § 875(b). The a lleg ed § 875(b) violation formed the pr edica te offe nse for the § 371

char g e. Section 371 re ads:

I f two or more persons c onspire either to commit any

offe nse ag ainst the United

States, or to defr aud the United States, or any ag ency there of in any

manner or for

any purpose, a

nd one or more of such pe rsons do any act to ef fec t the object of

the conspira cy , eac h shall be fined unde r this titl e or imprisoned not more than

five y ear s, or both.

18 U.S.C. § 371. L astly , § 2 g overns a ccomplice liability :

(a) Whoever c ommits an off ense a g ainst the United States or a ids, abets,

counsels, commands, induc es or pr ocure s its commis sion, is punis hable a s a

principal.

(b) Whoever

willfully cause s an ac t to be done which if direc tly perf ormed by

him or another w ould be an of fense ag ainst the United States, is punishable as a

principal.

18 U.S.C. § 2.

10G u e v a r a d e c i d e d t o c o o p e r a t e

, i n t h a t h e w o u l d g i v e t h e a g e n t s M o n t e s i n o s ’ s

l o c a t i o n i f t h e c h a r g e s w e r e d r o p p e d a n d h e r e c e i v e d t h e r e w a r d

. A t t h i s p o i n t

,

A g e n t W a l d o L o n g a m a d e a t e l e p h o n e c a l l

, t h e n t o l d G u e v a r a t h a t i f h e g a v e t h e

F B I M o n t e s i n o s ’ s a d d r e s s a n d t e l e p h o n e n u m b e r i n C a r a c a s

, h e w o u l d b e r e l e a s e d

,

t h e c h a r g e s w o u l d b e d r o p p e d

, a n d h e w o u l d r e c e i v e t h e $ 5 m i l l i o n r e w a r d

.

G u e v a r a a g r e e d t o d o t h a t

, a n d u n d e r t h e s u p e r v i s i o n o f F B I a g e n t s

, h e c a l l e d J o s e

L u i s N u n e z ’ s r e s i d e n c e

, w h e r e M o n t e s i n o s w a s h i d i n g

. G u e v a r a b r i e f l y s p o k e

w i t h M o n t e s i n o s a n d

, a s t h e F B I h a d i n s t r u c t e d

, t o l d M o n t e s i n o s t h a t P e r c o v i c h

h a d r e c e i v e d t h e e n v e l o p e

. T h e F B I t r a n s m i t t e d t h i s i n f o r m a t i o n t o V e n e z u e l a n

a u t h o r i t i e s

, w h o w e r e c o o p e r a t i n g w i t h t h e P e r u v i a n a u t h o r i t i e s

, a n d d e v e l o p e d a

p l a n f o r G u e v a r a ’ s a s s o c i a t e s i n V e n e z u e l a t o d e l i v e r M o n t e s i n o s t o t h e P e r u v i a n

e m b a s s y i n C a r a c a s o n J u n e 2 3

. 1 5

O n t h e e v e n i n g o f J u n e 2 2

, t h e F B I t r a n s f e r r e d G u e v a r a t o t h e F e d e r a l

D e t e n t i o n C e n t e r i n M i a m i f o r o v e r n i g h t c u s t o d y

. T h e f o l l o w i n g m o r n i n g

, J u n e

2 3

, t h e F B I b r o u g h t G u e v a r a b a c k t o i t s M i a m i o f f i c e

, w h e r e h e m a d e m o r e

t e l e p h o n e c a l l s t o h i s V e n e z u e l a n a s s o c i a t e s

, i n c l u d i n g N u n e z

, t o c o o r d i n a t e

The F BI did so beca

use, following Montesinos’s disappear ance and the posting of the $5 1 5

milli on rew ard, the United States had a g ree d to cooper ate with Peru in try ing to locate

Montesinos. The plan wa s develope d by Kevin Currie r, who wa s an F BI specia l ag ent stationed

in Chil e, see infra note 17, and F BI ag ents in Miami.

11M o n t e s i n o s ’ s h a n d o v e r t o t h e P e r u v i a n e m b a s s y

. N u n e z a s s u r e d G u e v a r a t h a t 1 6

M o n t e s i n o s w o u l d b e h a n d e d o v e r l a t e r t h a t d a y

, a n d G u e v a r a r e l a y e d t h i s

a s s u r a n c e t o t h e F B I

.

W h i l e G u e v a r a w a s i n t h e F B I o f f i c e t h a t d a y

, A g e n t L o n g a i n f o r m e d

G u e v a r a t h a t h e h a d s p o k e n b y t e l e p h o n e w i t h t h e F B I a g e n t r e s p o n s i b l e f o r

o v e r s e e i n g t h e F B I i n t e r e s t s i n P e r u

, K e v i n C u r r i e r

, a n d w i t h A n t o n i o K e t i n V i d a l 1 7

H e r r e r a ( “ V i d a l ” )

, P e r u ’ s M i n i s t e r o f t h e I n t e r i o r

. D u r i n g t h e c a l l

, V i d a l s a i d t h a t 1 8

G u e v a r a w o u l d b e e l i g i b l e t o r e c e i v e t h e $ 5 m i l l i o n r e w a r d i f h e g a v e t h e F B I

M o n t e s i n o s ’ s l o c a t i o n i n C a r a c a s

. S e v e r a l h o u r s a f t e r t h i s c o n v e r s a t i o n

, t h e F B I

a s k e d G u e v a r a t o g i v e f i n a l i n s t r u c t i o n s t o N u n e z o n w h e r e t o t u r n o v e r

M o n t e s i n o s ; G u e v a r a c o m p l i e d

, a n d N u n e z a g r e e d t o t h e i n s t r u c t i o n s

. O n J u n e 2 4

,

L o n g a t o l d G u e v a r a t h a t M o n t e s i n o s h a d b e e n c a p t u r e d b y V e n e z u e l a n a u t h o r i t i e s

i n C a r a c a s t h e d a y b e f

o r e

. O n J u n e 2 5

, G u e v a r a w a s r e l e a s e d f r o m c u s t o d y

, a n d

t h e c h a r g e s a g a i n s t h i m w e r e d i s m i s s e d

.

The re cord is not clea

r about the ide ntity

of these a ssociates, other than Nunez. We assume 1 6

Gueva ra ha d enlisted others to assist in hiding Montesinos at Nune z’s house.

At the time of these e vents, Kevin Currie r wa s an F BI supervisory

specia l ag ent and leg al 1 7

attaché stationed at the U.S. emba ssy in Santiago, Chile. At that post, Currier also had ter

ritorial

responsibility

for the F BI ’s objectives in Peru. Curr ier wa s involved in the case beca use in

Dec ember

2000, he had r esponded to a reque st by

the U.S. Ambassador

to Peru for the FB I ’s

assistance in appre hending Montesinos.

Currier ha d called L ong a fr om Chil e ea rlier in the da

y and, af ter re aching L ong a, ar

rang ed to 1 8

have V idal join their telephone c onversa tion from Peru.

12D

.

P e r u r e s p o n d e d t o G u e v a r a ’ s m o t i o n f o r s u m m a r y j u d g m e n t b y a r g u i n g t h a t

b a s e d o n t h e f

a c t s t h a t h a d b e e n d e v e l o p e d o n r e m a n d

, t h e d i s t r i c t c o u r t s h o u l d

d i s m i s s t h e c a s e o n t h e g r o u n d t h a t P e r u h a d n o t w a i v e d i t s s o v e r e i g n i m m u n i t y

u n d e r 2 8 U

. S

. C

. § 1 6 0 5 ( a )

. I n a n o r d e r e n t e r e d o n S e p t e m b e r 9

, 2 0 0 8

, t h e d i s t r i c t

c o u r t r e j e c t e d t h e a r g u m e n t

, c o n c l u d i n g t h a t G u e v a r a I h a d d e c i d e d t h e s o v e r e i g n

i m m u n i t y i s s u e a d v e r s e l y t o P e r u

. T h e c o u r t t h e r e f o r e p r o c e e d e d t o r u l e o n t h e 1 9

m e r i t s o f G u e v a r a ’ s m o t i o n f o r s u m m a r y j u d g m e n t

. T h e c o u r t h e l d t h a t t h e

E m e r g e n c y D e c r e e h a d c r e a t e d a u n i l a t e r a l c o n t r a c t a n d t h a t G u e v a r a h a d s a t i s f i e d

t h e p e r f o r m a n c e t h e c o n t r a c t c a l l e d f o r b y p r o v i d i n g i n f

o r m a t i o n t h a t l e d t o

M o n t e s i n o s ’ s c a p t u r e

. T h e n

, r e l y i n g o n a n A u g u s t 5

, 2 0 0 2 S H L C r e s o l u t i o n

a c k n o w l e d g i n g t h a t G u e v a r a h a d p r o v i d e d s u c h i n f o r m a t i o n a n d t h a t t h e S H L C

w o u l d e v a l u a t e h i s r e w a r d r e q u e s t

, t h e c o u r t e f f e c t i v e l y p r e e m p t e d t h e S H L C ’ s

e v a l u a t i o n d e c i s i o n

— c o n c l u d i n g t h a t

, o n t h e b a s i s o f t h e r e c o r d b e f o r e t h e c o u r t

,

t h e S H L C w a s b o u n d t o h o n o r G u e v a r a ’ s r e q u e s t a n d t h u s t o g i v e h i m t h e e n t i r e $ 5

m i l l i o n r e w a r d

.

O n S e p t e m b e r 1 8

, 2 0 0 8

, a f t e r t h e d i s t r i c t c o u r t h a d g r a n t e d G u e v a r a ’ s

The district cour

t disposed of Peru’s sove reig n immunit y arg ument with this brief comment: 1 9

“jurisdiction in this case has be en esta blished” by

Gueva ra I

.

13m o t i o n f

o r s u m m a r y j u d g m e n t b u t b e f o r e i t e n t e r e d f

i n a l j u d g m e n t i n t h e c a s e

,

P e r c o v i c h m o v e d t h e c o u r t

, p u r s u a n t t o F e d e r a l R u l e o f C i v i l P r o c e d u r e 2 4 ( a ) ( 2 )

,

t o g r a n t h i m i n t e r v e n t i o n a s o f r i g h t a s a c o

- p l a i n t i f f

, o r a l t e r n a t i v e l y

, t o s t a y

f u r t h e r p r o c e e d i n g s i n t h e c a s e

. P e r c o v i c h c l a i m e d t h a t h e w a s r e s p o n s i b l e f o r

c a u s i n g G u e v a r a t o c o o p e r a t e w i t h t h e F B I a n d t o r e v e a l M o n t e s i n o s ’ s

w h e r e a b o u t s

, a n d t h a t b u t f o r h i s ( P e r c o v i c h ’ s ) c o o p e r a t i o n

, M o n t e s i n o s w o u l d n o t

h a v e b e e n c a p t u r e d

. A s a r e s u l t

, P e r c o v i c h c o n t e n d e d

, h e w a s e n t i t l e d t o a t l e a s t a

s h a r e o f t h e r e w a r d

, a n d h i s r i g h t s w o u l d g o u n p r o t e c t e d i f h e w e r e d e n i e d a n

o p p o r t u n i t y t o p r o v e h i s c l a i m t o t h e r e w a r d m o n e y

. T h e d i s t r i c t c o u r t d e n i e d

P e r c o v i c h ’ s m o t i o n o n D e c e m b e r 1

, 2 0 0 8

. O n D e c e m b e r 1 7

, 2 0 0 8

, t h e d i s t r i c t

c o u r t e n t e r e d f

i n a l j u d g m e n t i n G u e v a r a ’ s f a v o r f o r $ 5 m i l l i o n p l u s p r e

- a n d p o s t

j u d g m e n t i n t e r e s t

. P e r c o v i c h ’ s a p p e a l a n d P e r u ’ s c r o s s

- a p p e a l f o l l o w e d

. 2 0

I I

.

P e r u c o n t e n d s t h a t t h e d i s t r i c t c o u r t s h o u l d h a v e d i s m i s s e d t h e c a s e f o r l a c k

o f s u b j e c t m a t t e r j u r i s d i c t i o n o n t h e g r o u n d t h a t i t i s e n t i t l e d t o s o v e r e i g n i m m u n i t y

u n d e r 2 8 U

. S

. C

. § 1 6 0 5 ( a )

. A s s u m i n g t h a t w e h o l d t h a t i t w a s n o t e n t i t l e d t o

s o v e r e i g n i m m u n i t y

, P e r u c o n t e n d s t h a t t h e d i s t r i c t c o u r t e r r e d i n g r a n t i n g

G u e v a r a ’ s m o t i o n f

o r s u m m a r y j u d g m e n t o n t h e m e r i t s

. P e r c o v i c h c o n t e n d s t h a t

We have jurisdiction of the a ppeal f rom the district court’ s final judg ment under 28 U .S.C. § 2 0

1291.

14t h e c o u r t a b u s e d i t s d i s c r e t i o n i n r e f u s i n g t o g r a n t h i m i n t e r v e n t i o n a s o f r i g h t

. I f

P e r u i s e n t i t l e d t o s o v e r e i g n i m m u n i t y

, t h e c a s e i s d u e t o b e d i s m i s s e d f o r w a n t o f

s u b j e c t m a t t e r j u r i s d i c t i o n

, a n d w e w o u l d b e f o r e c l o s e d f

r o m p r o c e e d i n g f

u r t h e r

.

W e t h e r e f

o r e t u r n t o t h e q u e s t i o n o f w h e t h e r P e r u i s e n t i t l e d t o s o v e r e i g n i m m u n i t y

u n d e r § 1 6 0 5 ( a )

.

T h e d i s t r i c t c o u r t c o n c l u d e d t h a t

, i n G u e v a r a I

, w e a l r e a d y r e s o l v e d t h i s §

1 6 0 5 ( a ) i s s u e

. W e d i s a g r e e

. W e b e g i n w i t h t h e p r o p o s i t i o n t h a t t h e F S I A

“ p r o v i d e s t h e s o l e b a s i s f o r o b t a i n i n g s u b

j e c t m a t t e r j u r i s d i c t i o n o v e r a f o r e i g n

s o v e r e i g n i n t h e U n i t e d S t a t e s

, ” G u e v a r a I

, 4 6 8 F

. 3 d a t 1 2 9 4

, a n d g r a n t s o r i g i n a l

j u r i s d i c t i o n o v e r n o n

j u r y c i v i l a c t i o n s a g a i n s t f o r e i g n s t a t e s

, 2 8 U

. S

. C

. § 1 3 3 0 ( a )

. 2 1

T h e e x e r c i s e o f t h a t j u r i s d i c t i o n i s l i m i t e d t o t h e F S I A ’ s e x c e p t i o n s t o t h e g e n e r a l

r u l e t h a t f

o r e i g n s o v e r e i g n s e n

j o y i m m u n i t y f

r o m s u i t i n U n i t e d S t a t e s c o u r t s

. I d

. ;

s e e a l s o i d

. § 1 6 0 5 ( a )

. S e c t i o n 1 6 0 5

, “ G e n e r a l e x c e p t i o n s t o t h e j u r i s d i c t i o n a l

i m m u n i t y o f a f

o r e i g n s t a t e

, ” p r o v i d e s :

( a ) A f o r e i g n s t a t e s h a l l n o t b e i m m u n e f r o m t h e j u r i s d i c t i o n o f c o u r t s

This section provides: 2 1

The district cour

ts shall have orig inal jurisdiction without reg ard to a mount in

controve rsy

of any nonjury civil action ag ainst a for eig n state as de fined in

section 1603(a ) of this title as to any claim for r elief in pe rsonam with re spect to

which the f

oreig n state is not entitled to imm unity either unde r sec tions

1605–1607 of this titl e or unde r any applicable international a g ree ment.

28 U.S.C. § 1330(a).

15o f t h e U n i t e d S t a t e s o r o f t h e S t a t e s i n a n y c a s e

—

( 1 ) i n w h i c h t h e f

o r e i g n s t a t e h a s w a i v e d i t s i m m u n i t y e i t h e r e x p l i c i t l y

o r b y i m p l i c a t i o n

, n o t w i t h s t a n d i n g a n y w i t h d r a w a l o f t h e

w a i v e r w h i c h t h e f

o r e i g n s t a t e m a y p u r p o r t t o e f f e c t e x c e p t i n

a c c o r d a n c e w i t h t h e t e r m s o f t h e w a i v e r ;

( 2 ) i n w h i c h t h e a c t i o n i s b a s e d u p o n a c o m m e r c i a l a c t i v i t y c a r r i e d o n

i n t h e U n i t e d S t a t e s b y t h e f o r e i g n s t a t e ; o r u p o n a n a c t

p e r f o r m e d i n t h e U n i t e d S t a t e s i n c o n n e c t i o n w i t h a c o m m e r c i a l

a c t i v i t y o f t h e f

o r e i g n s t a t e e l s e w h e r e ; o r u p o n a n a c t o u t s i d e

t h e t e r r i t o r y o f t h e U n i t e d S t a t e s i n c o n n e c t i o n w i t h a

c o m m e r c i a l a c t i v i t y o f t h e f o r e i g n s t a t e e l s e w h e r e a n d t h a t a c t

c a u s e s a d i r e c t e f

f e c t i n t h e U n i t e d S t a t e s

.

2 8 U

. S

. C

. § 1 6 0 5

.

I n G u e v a r a I

, G u e v a r a a p p e a l e d t h e d i s t r i c t c o u r t ’ s d e c i s i o n t h a t P e r u w a s

e n t i t l e d t o s o v e r e i g n i m m u n i t y b e c a u s e i t s o f f e r o f a r e w a r d d i d n o t c o n s t i t u t e “ a

c o m m e r c i a l a c t i v i t y

. ” I n r e a c h i n g i t s d e c i s i o n

, t h e d i s t r i c t c o u r t b y p a s s e d t h e

q u e s t i o n o f w h e t h e r

, a s s u m i n g t h a t t h e o f f e r o f a r e w a r d c o n s t i t u t e d a c o m m e r c i a l

a c t i v i t y

, P e r u e s t a b l i s h e d t h a t i t h a d i m m u n i t y u n d e r s u b s e c t i o n ( a ) ( 2 )

. I n

a p p e a l i n g t h e d i s t r i c t c o u r t ’ s d e c i s i o n

, G u e v a r a

, i n h i s o p e n i n g b r i e f

, f o c u s e d h i s

a r g u m e n t f

o r r e v e r s a l s o l e l y o n t h e c o m m e r c i a l a c t i v i t y i s s u e

. P e r u

, i n i t s

a n s w e r i n g b r i e f

, d i d t h e s a m e

. I t s b r i e f d i d n o t s e e k a f f i r m a n c e o n t h e a d d i t i o n a l

g r o u n d t h e d i s t r i c t c o u r t h a d n o t r e a c h e d : w h e t h e r i t h a d i m m u n i t y u n d e r

s u b s e c t i o n ( a ) ( 2 )

.

16G u e v a r a I t h u s r e s o l v e d t h e i s s u e G u e v a r a h a d r a i s e d

— w h e t h e r P e r u ’ s o f f e r

o f a r e w a r d w a s a c o m m e r c i a l a c t i v i t y

— a n d r e s o l v e d i t a g a i n s t P e r u

. I n d o i n g s o

,

t h e c o u r t l e f

t o p e n

, a l b e i t i m p l i c i t l y

, t h e q u e s t i o n o f w h e t h e r t h e d i s t r i c t c o u r t h a d

s u b j e c t m a t t e r j u r i s d i c t i o n t o e n t e r t a i n G u e v a r a ’ s c a s e

. G u e v a r a I

, 4 6 8 F

. 3 d a t

1 3 0 5 ( “ I f t h e c o u r t f

i n d s t h a t i t d o e s n o t h a v e s u b j e c t m a t t e r j u r i s d i c t i o n

, ‘ t h e

c o u r t ’ s s o l e r e m a i n i n g a c t i s t o d i s m i s s t h e c a s e f o r l a c k o f j u r i s d i c t i o n

. ’ ” ) ( q u o t i n g

M o r r i s o n v

. A l l s t a t e I n d e m

. C o

. , 2 2 8 F

. 3 d 1 2 5 5

, 1 2 6 1 ( 1 1 t h C i r

. 2 0 0 0 ) )

.

I n h o l d i n g t h a t G u e v a r a I r e s o l v e d t h e s o v e r e i g n i m m u n i t y i s s u e a g a i n s t

P e r u

, t h e d i s t r i c t c o u r t w a s

, i n e f f e c t

, i n v o k i n g t h e l a w o f t h e c a s e d o c t r i n e

.

T h e l a w o f t h e c a s e d o c t r i n e i s n o t a n “ i n e x o r a b l e c o m m a n d

, ” W h i t e

v

. M u r t h a

, 3 7 7 F

. 2 d [ 4 2 8

, ] 4 3 1 [ ( 5 t h C i r

. 1 9 6 7 ) ]

, b u t r a t h e r a s a l u t a r y

r u l e o f p r a c t i c e d e s i g n e d t o b r i n g a n e n d t o l i t i g a t i o n

, i d

. , d i s c o u r a g e

“ p a n e l s h o p p i n g

, ” L e h r m a n v

. G u l f O i l C o r p

. , 5 0 0 F

. 2 d 6 5 9

, 6 6 2 ( 5 t h

C i r

. 1 9 7 4 )

, c e r t

. d e n i e d

, 4 2 0 U

. S

. 9 2 9

, 9 5 S

. C t

. 1 1 2 8

, 4 3 L

. E d

. 2 d 4 0 0

( 1 9 7 5 )

, a n d e n s u r e t h e o b e d i e n c e o f l o w e r c o u r t s

. U n i t e d S t a t e s v

.

W i l l i a m s

, 7 2 8 F

. 2 d 1 4 0 2

, 1 4 0 6 ( 1 1 t h C i r

. 1 9 8 4 )

. A s w i t h t h e m a n d a t e

r u l e

, t h e l a w o f t h e c a s e d o c t r i n e a p p l i e s t o a l l i s s u e s d e c i d e d

e x p r e s s l y o r b y n e c e s s a r y i m p l i c a t i o n ; i t d o e s n o t e x t e n d t o i s s u e s t h e

a p p e l l a t e c o u r t d i d n o t a d d r e s s

. T e r r e l l v

. H o u s e h o l d G o o d s C a r r i e r s ’

17B u r e a u

, 4 9 4 F

. 2 d 1 6

, 1 9 ( 5 t h C i r

. [ 1 9 7 4 ] )

, c e r t

. d i s m i s s e d

, 4 1 9 U

. S

.

9 8 7

, 9 5 S

. C t

. 2 4 6

, 4 2 L

. E d

. 2 d 2 6 0 ( 1 9 7 4 ) ; F o g e l v

. C h e s t n u t t

, 6 6 8

F

. 2 d 1 0 0 ( 2 d C i r

. 1 9 8 1 )

, c e r t

. d e n i e d

, 4 5 9 U

. S

. 8 2 8

, 1 0 3 S

. C t

. 6 5

, 7 4

L

. E d

. 2 d 6 6 ( 1 9 8 2 )

.

P i a m b i n o v

. B a i l e y

, 7 5 7 F

. 2 d 1 1 1 2

, 1 1 2 0 ( 1 1 t h C i r

. 1 9 8 5 )

.

I n l i g h t o f t h e p a r t i e s ’ G u e v a r a I b r i e f s o n a p p e a l a n d t h e c o u r t ’ s s t a t e m e n t

t h a t t h e d i s t r i c t c o u r t m u s t d i s m i s s t h e c a s e “ i f i t d o e s n o t h a v e s u b j e c t m a t t e r

j u r i s d i c t i o n

, ” w e c o u l d h a r d l y s a y t h a t G u e v a r a I d e c i d e d a l l o f t h e s o v e r e i g n

i m m u n i t y i s s u e s § 1 6 0 5 ( a ) ( 2 ) p r e s e n t s

. W e t h e r e f o r e c o n c l u d e t h a t t h o s e

i s s u e s

— w i t h t h e e x c e p t i o n o f w h e t h e r t h e o f f e r o f a r e w a r d c o n s t i t u t e d “ a

c o m m e r c i a l a c t i v i t y ”

— r e m a i n f o r d e c i s i o n h e r e

. W e n o w a d d r e s s t h e m d e n o v o

.

V e n u s L i n e s A g e n c y v

. C V G I n d u s t r i a V e n e z o l a n a D e A l u m i n i o

, C

. A

. , 2 1 0 F

. 3 d

1 3 0 9

, 1 3 1 1 ( 1 1 t h C i r

. 2 0 0 0 ) ( p e r c u r i a m )

.

S e c t i o n 1 6 0 5 ( a ) ( 2 ) l i s t s t h r e e e x c l u s i v e b a s e s

, o r n e x u s e s

, f o r a f o r e i g n

s t a t e ’ s c o m m e r c i a l a c t i v i t i e s t o s u b j e c t i t t o t h e U n i t e d S t a t e s c o u r t s ’ j u r i s d i c t i o n :

i n c a s e s ( 1 ) b a s e d u p o n c o m m e r c i a l a c t i v i t i e s w i t h i n t h e U n i t e d S t a t e s

, ( 2 ) b a s e d

u p o n a c t s p e r f

o r m e d i n t h e U n i t e d S t a t e s “ i n c o n n e c t i o n w i t h ” c o m m e r c i a l a c t i v i t y

e l s e w h e r e

, o r ( 3 ) b a s e d u p o n a c t s p e r f o r m e d i n c o n n e c t i o n w i t h c o m m e r c i a l

a c t i v i t y e l s e w h e r e t h a t c a u s e a “ d i r e c t e f f e c t ” i n t h e U n i t e d S t a t e s

. S e e S a m c o

18G l o b a l A r m s

, I n c

. v

. A r i t a

, 3 9 5 F

. 3 d 1 2 1 2

, 1 2 1 6 & n

. 8 ( 1 1 t h C i r

. 2 0 0 5 )

.

T h e d i s t r i c t c o u r t d i d n o t a n a l y z e w h e t h e r P e r u ’ s a c t i v i t y f e l l u n d e r a n y o f

t h e t h r e e b a s e s f

o r j u r i s d i c t i o n i n § 1 6 0 5 ( a ) ( 2 ) b e c a u s e i t a p p a r e n t l y a s s u m e d t h a t

G u e v a r a I h a d p e r f

o r m e d t h e a n a l y s i s

. G u e v a r a I

, h o w e v e r

, m e r e l y h e l d

, a s w e

o b s e r v e d a b o v e

, t h a t P e r u ’ s r e w a r d o f f e r c o n s t i t u t e d c o m m e r c i a l a c t i v i t y

. I t h e l d

n o t h i n g r e g a r d i n g t h e e x i s t e n c e o f s u b j e c t m a t t e r j u r i s d i c t i o n

, a n d

, i n f a c t

, t h e

o p i n i o n i m p l i c i t l y r e c o g n i z e d t h e p o s s i b i l i t y t h a t t h e d i s t r i c t c o u r t c o u l d d i s c o v e r a

l a c k o f s u b

j e c t m a t t e r j u r i s d i c t i o n l a t e r i n t h e c a s e

. W e n o w e m b a r k o n t h e t a s k 2 2

t h e d i s t r i c t c o u r t a s s u m e d G u e v a r a I h a d u n d e r t a k e n : w h e t h e r P e r u w a s s u b j e c t t o

t h e d i s t r i c t c o u r t ’ s j u r i s d i c t i o n u n d e r o n e o r m o r e o f t h e t h r e e j u r i s d i c t i o n a l

n e x u s e s o f § 1 6 0 5 ( a ) ( 2 )

. I n c a r r y i n g o u t t h i s t a s k

, w e r e l y o n t h e r e c o r d b e f o r e t h e

d i s t r i c t c o u r t w h e n i t e n t e r t a i n e d a n d g r a n t e d G u e v a r a ’ s m o t i o n f o r s u m m a r y

j u d g m e n t

. M o r e t o t h e p o i n t

, w e c o n s i d e r t h e e v i d e n c e t h a t b e a r s o n §

2 3

1 6 0 5 ( a ) ( 2 ) ’ s t h r e e j u r i s d i c t i o n a l n e x u s e s

.

T h e e v i d e n c e b e a r i n g o n t h e f i r s t n e x u s

, c o m m e r c i a l a c t i v i t i e s w i t h i n t h e

The Gue vara

I opinion did not di scuss the nexus requireme nt of 28 U.S.C. § 1605(a), a nd afte r 2 2

revie wing the par

ties’ Gueva

ra I briefs, w e find that the pa rties did not present the ne x us issue to

the cour t in the context of subject matter jurisdiction. We thus reject Gue vara ’s ar g ument that

Gueva ra I decide d the nexus iss ue “by implication.”

As stated in note 10, supra , we c onsider the e vidence in that rec ord in the lig ht most favorable 2 3

to Guevar a. We do so bec ause it is Peru’s burde n to demonstrate the la ck of subjec t matter

jurisdiction in the context prese nted her e.

19U n i t e d S t a t e s

, e s t a b l i s h e s t h a t n o s u c h a c t i v i t i e s o c c u r r e d i n t h e U n i t e d S t a t e s

.

R a t h e r

, t h e c o m m e r c i a l a c t i v i t y i n t h i s c a s e

, d e s c r i b e d b y G u e v a r a I a s a n “ o f f e r o f

a r e w a r d f

o r i n f o r m a t i o n e n a b l i n g t h e c a p t u r e o f a f u g i t i v e

, ” 4 6 8 F

. 3 d a t 1 3 0 1

, t o o k

p l a c e i n P e r u

. F i r s t

, t h e E m e r g e n c y D e c r e e

, w h i c h c r e a t e d t h e o f f e r

, w a s 2 4

p u b l i s h e d i n a n o f

f i c i a l p u b l i c a t i o n i n P e r u

. S e c o n d

, t h e D e c r e e e s t a b l i s h e d t h e

S H L C t o e v a l u a t e t h e v e r a c i t y o f i n f o r m a t i o n l e a d i n g t o M o n t e s i n o s ’ s a r r e s t a n d

d e c i d e w h e t h e r t o p a y t h e r e w a r d

. I f t h e S H L C d e c i d e d t o p a y t h e r e w a r d

, t h e

p a y m e n t w o u l d b e m a d e i n P e r u f r o m f u n d s t h e P e r u v i a n g o v e r n m e n t h a d p l a c e d

i n e s c r o w i n a P e r u v i a n b a n k

. I n s h o r t

, a l l o f t h e S H L C ’ s c o m m e r c i a l a c t i v i t y

w o u l d t a k e p l a c e i n P e r u

. A l t h o u g h i n f o r m a t i o n l e a d i n g t o M o n t e s i n o s ’ s c a p t u r e

m i g h t b e p r o v i d e d b y s o m e o n e i n t h e U n i t e d S t a t e s

, a s i t w a s h e r e

, t h e a c t o f

p r o v i d i n g t h e i n f

o r m a t i o n t o t h e S H L C w o u l d n o t b e p a r t o f t h e c o m m e r c i a l

a c t i v i t y

. T h e r e f

o r e

, b y o f

f e r i n g t h e r e w a r d

, P e r u w a s n o t w a i v i n g i t s s o v e r e i g n 2 5

Under the FSI A, “c ommercia l activity ” is 2 4

either a

reg ular c ourse of

commerc ial conduct or

a par ticular c ommercia l

transac tion or act. The commerc ial char acte r of a n activity shall be dete rmined by

ref ere nce to the nature of the course of conduc t or particula r transa ction or ac t,

rathe r than by

ref ere nce to its purpose.

28 U.S.C. § 1603(d).

I f the pe rson providing the information wa s an ag ent of the Republic of Peru loca ted in the 2 5

United States, one c ould arg ue that such pr ovision constitut ed commer cial ac tivity by Peru in the

United States. See 28 U.S.C. § 1603(e) . But that is not the ca se her e.

20i m m u n i t y f r o m s u i t i n t h e U n i t e d S t a t e s b y a p e r s o n w h o m a y h a v e p r o v i d e d

i n f o r m a t i o n t h a t l e d t o M o n t e s i n o s ’ s c a p t u r e

.

N e x t

, t h e e v i d e n c e b e a r i n g o n t h e s e c o n d n e x u s

, a c t s c o m m i t t e d b y P e r u i n

t h e U n i t e d S t a t e s “ i n c o n n e c t i o n w i t h ” c o m m e r c i a l a c t i v i t y e l s e w h e r e

, e s t a b l i s h e d

t h a t o n J u n e 2 3

, C u r r i e r ( i n C h i l e ) p l a c e d a l o n g d i s t a n c e t e l e p h o n e c a l l t o L o n g a

( i n M i a m i ) a n d t o V i d a l ( i n P e r u )

. D u r i n g t h e c a l l

, V i d a l t o l d L o n g a t h a t G u e v a r a

w o u l d r e c e i v e t h e r e w a r d i f h e p r o v i d e d i n f o r m a t i o n t h a t l e d t o M o n t e s i n o s ’ s

c a p t u r e

. T h e n a r r o w q u e s t i o n h e r e i s w h e t h e r V i d a l ’ s a c t o f c o m m u n i c a t i n g t h e s e

w o r d s t o L o n g a i n M i a m i c o n s t i t u t e d a n a c t p e r f o r m e d i n t h e U n i t e d S t a t e s “ i n

c o n n e c t i o n w i t h ” P e r u ’ s o f f e r o f t h e r e w a r d i n P e r u a n d

, t h u s

, w a s s u f f i c i e n t t o

w a i v e P e r u ’ s s o v e r e i g n i m m u n i t y u n d e r t h e s e c o n d n e x u s

.

T h e S H L C w a s a s p e c i a l c o m m i t t e e o f t h e M i n i s t r y o f t h e I n t e r i o r

. V i d a l

w a s t h e M i n i s t e r o f t h e I n t e r i o r ; w e t h u s a s s u m e t h a t h e h a d s u p e r v i s o r y a u t h o r i t y

o v e r t h e S H L C

. V i d a l ’ s s t a t e m e n t t o L o n g a w a s a s t a t e m e n t h e w o u l d h a v e m a d e

t o a n y o n e p r o f

e s s i n g t o h a v e i n f

o r m a t i o n t h a t m i g h t l e a d t o M o n t e s i n o s ’ s c a p t u r e :

“ I f y o u b e l i e v e t h a t y o u r i n f o r m a t i o n h a s l e d t o M o n t e s i n o s ’ s c a p t u r e

, y o u m a y

s u b m i t i t t o t h e S H L C

. I f t h e S H L C d e t e r m i n e s t h a t i t i s r e l i a b l e

, y o u w i l l r e c e i v e

t h e r e w a r d

. I f s i m i l a r i n f o r m a t i o n i s s u b m i t t e d t o t h e S H L C b y o t h e r s a n d f o u n d

r e l i a b l e

, t h e y w i l l s h a r e i n t h e r e w a r d

. ”

21I f w h a t V i d a l s a i d t o L o n g a c o n s t i t u t e d a n a c t i n c o n n e c t i o n w i t h P e r u ’ s

o f f e r o f t h e r e w a r d

, t h e n a l m o s t a n y s t a t e m e n t h e m a y h a v e m a d e a b o u t t h e r e w a r d

t o a n y o n e e l s e i n t h e U n i t e d S t a t e s w o u l d h a v e o p e r a t e d t o w a i v e P e r u ’ s i m m u n i t y

f r o m s u i t

. W e a r e r e l u c t a n t t o f i n d a w a i v e r b a s e d o n s u c h d e m i n i m i s e v i d e n c e

.

T h e f e d e r a l c o u r t s ’ a p p l i c a t i o n o f § 1 6 0 5 ’ s e x c e p t i o n s t o s o v e r e i g n

i m m u n i t y s u p p o r t s o u r p o s i t i o n

. F o r e x a m p l e

, s e c t i o n 1 6 0 5 ( a ) ( 1 ) p r o v i d e s t h a t a

f o r e i g n s t a t e s h a l l n o t b e i m m u n e i n a n y c a s e “ i n w h i c h [ i t ] h a s w a i v e d i t s

i m m u n i t y e i t h e r e x p l i c i t l y o r b y i m p l i c a t i o n

. ” I n C r e i g h t o n L t d

. v

. G o v e r n m e n t o f

t h e S t a t e o f Q a t a r

, 1 8 1 F

. 3 d 1 1 8

, 1 2 2 ( D

. C

. C i r

. 1 9 9 9 )

, t h e c o u r t s t a t e d t h a t

i m p l i c i t i n § 1 6 0 5 ( a ) ( 1 ) i s t h e r e q u i r e m e n t t h a t t h e f o r e i g n s t a t e h a v e

i n t e n d e d t o w a i v e i t s s o v e r e i g n i m m u n i t y

. S e e P r i n c z v

. F e d e r a l

R e p u b l i c o f G e r m a n y

, 2 6 F

. 3 d 1 1 6 6

, 1 1 7 4 ( [ D

. C

. C i r

. ] 1 9 9 4 ) ( “ [ A ] n

i m p l i e d w a i v e r d e p e n d s u p o n t h e f o r e i g n g o v e r n m e n t ’ s h a v i n g a t

s o m e p o i n t i n d i c a t e d i t s a m e n a b i l i t y t o s u i t ” ) ; F o r e m o s t

- M c K e s s o n

,

I n c

. v

. I s l a m i c R e p u b l i c o f I r a n

, 9 0 5 F

. 2 d 4 3 8

, 4 4 4 ( D

. C

. C i r

. 1 9 9 0 )

( “ c o u r t s r a r e l y f

i n d t h a t a n a t i o n h a s w a i v e d i t s s o v e r e i g n

i m m u n i t y

. . . w i t h o u t s t r o n g e v i d e n c e t h a t t h i s i s w h a t t h e f o r e i g n

s t a t e i n t e n d e d ” )

.

T h e o f f e r o f t h e r e w a r d w a s m a d e i n P e r u a n d w a s t o b e a d m i n i s t e r e d i n P e r u b y

t h e S H L C

. W e a s s u m e

, f o r p u r p o s e s o f t h i s c a s e

, t h a t V i d a l

, b y v i r t u e o f h i s

p o s i t i o n a s M i n i s t e r o f t h e I n t e r i o r

, h a d t h e a u t h o r i t y t o w a i v e t h e s t a t e ’ s

i m m u n i t y

. T h a t s a i d

, w e a r e u n w i l l i n g t o h o l d t h a t V i d a l i n t e n d e d t o w a i v e

2 6

Gueva ra a lso filed a dec lara tion purporting to show two pie ces of evidenc e that Peru 2 6

committed acts in the United States in conne ction with commerc ial activity in Peru: first, that

22P e r u ’ s s o v e r e i g n i m m u n i t y v i a t h e s o l i t a r y a c t o f t e l l i n g a p e r s o n i n t h e U n i t e d

S t a t e s w h a t h e m u s t d o t o o b t a i n t h e r e w a r d

.

L a s t l y

, t h e e v i d e n c e b e a r i n g o n t h e t h i r d n e x u s h a d t o e s t a b l i s h t h a t P e r u ’ s

a c t i o n s “ i n c o n n e c t i o n w i t h ” c o m m e r c i a l a c t i v i t y o u t s i d e t h e U n i t e d S t a t e s c a u s e d

“ a d i r e c t e f

f e c t ” w i t h i n t h e U n i t e d S t a t e s

. T o b e d i r e c t

, a n e f f e c t m u s t f

o l l o w “ a s

a n i m m e d i a t e c o n s e q u e n c e o f t h e d e f e n d a n t ’ s a c t i v i t y

. ” R e p u b l i c o f A r g

. v

.

W e l t o v e r

, I n c

. , 5 0 4 U

. S

. 6 0 7

, 6 1 8

, 1 1 2 S

. C t

. 2 1 6 0

, 2 1 6 8 ( 1 9 9 2 ) ( q u o t a t i o n a n d

e l l i p s e s o m i t t e d )

. A s w e h a v e f r a m e d i t

, “ t h e q u e s t i o n p r e s e n t e d i s

, ‘ w a s t h e e f f e c t

s u f f i c i e n t l y “ d i r e c t ” a n d s u f f i c i e n t l y “ i n t h e U n i t e d S t a t e s ” t h a t C o n g r e s s w o u l d

h a v e w a n t e d a n A m e r i c a n c o u r t t o h e a r t h e c a s e ? ’ ” H a r r i s C o r p

. v

. N a t ’ l I r a n i a n

R a d i o & T e l e v i s i o n

, 6 9 1 F

. 2 d 1 3 4 4

, 1 3 5 1 ( 1 1 t h C i r

. 1 9 8 2 ) ( q u o t i n g T e x

. T r a d i n g

& M i l l i n g C o r p

. v

. F e d

. R e p u b l i c o f N i g

. , 6 4 7 F

. 2 d 3 0 0

, 3 1 3 ( 2 d C i r

. 1 9 8 1 ) )

.

I n H a r r i s

, a n A m e r i c a n m a n u f a c t u r e r o f F M t r a n s m i t t e r s ( H a r r i s

C o r p o r a t i o n ) s u e d t o e n j o i n p a y m e n t o n a l e t t e r o f c r e d i t t h a t a n I r a n i a n s t a t e b a n k

e x t e n d e d t o H a r r i s C o r p o r a t i o n a s p a r t o f a p e r f o r m a n c e g u a r a n t e e i n f

a v o r o f a n

Vidal trave led to Miami in J uly 2001, afte r Montesinos had bee n appre hended, to pe rsonally

thank Gueva

ra f or his assistance and to conf irm that Gueva

ra w ould rec eive the r ewa rd, and

second, tha t in Febr

uary 2002, Gueva

ra me t in Miami wit h a Peruvia n judge and prose cutor who

alleg edly had bee n asked by

the then-Minister of

the I nterior, F erna

ndo Rospigliosi, to tell

Gueva ra tha t Peru would pay

him the rewa

rd. Even if

we be lieved that this scant evide nce w as

sufficie nt to overcome the hea vy burden r equire d to show that Peru waive d its sovereig n

immunit y (and w e do not), Gue vara ’s dec lara tion is a classic unsworn, se lf-ser ving sta tement

that would be inadmissible if offe red a t trial.

23I r a n i a n b r o a d c a s t e r

. H a r r i s C o r p o r a t i o n c o n t e n d e d t h a t t h e l e t t e r o f c r e d i t a n d

a s s o c i a t e d p e r f

o r m a n c e g u a r a n t e e h a d b e e n t e r m i n a t e d b y f o r c e m a j e u r e

— n a m e l y

,

t h e 1 9 7 9 I r a n i a n r e v o l u t i o n

. T h e g u a r a n t e e w a s a n i n t e g r a l p a r t o f t h e c o n t r a c t

b e t w e e n H a r r i s C o r p o r a t i o n a n d t h e I r a n i a n b r o a d c a s t e r

, a n d w a s b a c k e d b y a

s t a n d b y g u a r a n t e e t h a t r e q u i r e d H a r r i s C o r p o r a t i o n t o i n d e m n i f y C o n t i n e n t a l B a n k

,

w h i c h w o u l d r e i m b u r s e t h e I r a n i a n b a n k i f t h e l a t t e r h a d t o p a y o n t h e f i r s t l e t t e r o f

c r e d i t

. H a r r i s C o r p o r a t i o n s o u g h t t o e n j o i n t h e I r a n i a n b a n k ’ s r e c e i v i n g p a y m e n t

f r o m C o n t i n e n t a l B a n k b e c a u s e i n t h e i n j u n c t i o n ’ s a b s e n c e

, H a r r i s C o r p o r a t i o n

w o u l d h a v e b e e n o b l i g a t e d t o i n d e m n i f y C o n t i n e n t a l B a n k t o t h e e x t e n t i t

r e i m b u r s e d t h e I r a n i a n b a n k ’ s p a y m e n t o n t h e o r i g i n a l l e t t e r o f c r e d i t

. T h e d i s t r i c t

c o u r t g r a n t e d t h e i n

j u n c t i o n

, a n d

, o n a p p e a l

, t h e I r a n i a n b a n k a r g u e d t h a t t h e

d i s t r i c t c o u r t l a c k e d s u b j e c t m a t t e r j u r i s d i c t i o n u n d e r t h e F S I A

. I n r e j e c t i n g t h a t

a r g u m e n t

, t h i s c o u r t h e l d t h a t t h e l e t t e r o f c r e d i t a r r a n g e m e n t “ e x t e n d [ e d ] i n t o t h i s

c o u n t r y

, a n d t h e a p p e l l a n t s ’ d e m a n d s t h u s h a [ d ] s i g n i f i c a n t

. . . f

i n a n c i a l

c o n s e q u e n c e s h e r e

, ” e s t a b l i s h i n g a d i r e c t e f f e c t f o r p u r p o s e s o f § 1 6 0 5 ( a ) ( 2 )

.

H a r r i s C o r p

. , 6 9 1 F

. 2 d a t 1 3 5 1

.

H e r e

, G u e v a r a p r e s e n t s t w o w a y s i n w h i c h d i r e c t e f f e c t s i n t h e U n i t e d S t a t e s

f l o w e d f r o m P e r u ’ s p r o m i s e t o p a y t h e r e w a r d i n P e r u

, n e i t h e r o f w h i c h w e f i n d

p e r s u a s i v e

. F i r s t

, h e a r g u e s t h a t h e a c c e p t e d t h e r e w a r d o f f e r w h i l e i n c u s t o d y i n

24M i a m i

, c r e a t i n g a d i r e c t e f f e c t i n t h e U n i t e d S t a t e s

. T h e r e c o r d

, h o w e v e r

, i n d i c a t e s

t h a t t h e e x t e n t o f G u e v a r a ’ s a c c e p t a n c e

- r e l a t e d a c t i v i t y w a s t h e a l l e g e d

, o n e

- o f f

t e l e p h o n e c o m m u n i c a t i o n b e t w e e n V i d a l

, C u r r i e r

, a n d L o n g a

. I n t h e c o n t e x t o f

p e r s o n a l j u r i s d i c t i o n

, h o w e v e r

, w e h a v e r e j e c t e d t h e a r g u m e n t t h a t o n e t e l e p h o n e

c a l l i s s u f

f i c i e n t t o c r e a t e m i n i m u m c o n t a c t s w i t h t h e f o r u m s t a t e

, s e e F u t u r e T e c h

.

T o d a y

, I n c

. v

. O S F H e a l t h c a r e S y s

. , 2 1 8 F

. 3 d 1 2 4 7

, 1 2 5 1 ( 1 1 t h C i r

. 2 0 0 0 ) ; c f

.

S c u l p t c h a i r

, I n c

. v

. C e n t u r y A r t s

, L t d

. , 9 4 F

. 3 d 6 2 3

, 6 2 8 ( 1 1 t h C i r

. 1 9 9 6 )

( r e j e c t i n g

, a s a b a s i s f

o r j u r i s d i c t i o n u n d e r F l o r i d a ’ s l o n g

- a r m s t a t u t e

, “ a s e r i e s o f

t e l e p h o n e c o n v e r s a t i o n s ” a n d a o n e

- h o u r m e e t i n g b e t w e e n t h e C a n a d i a n d e f e n d a n t

a n d t h e p l a i n t i f

f ’ s F l o r i d a o f

f i c e )

, a n d w e f

i n d t h e s a m e r e a s o n i n g a p p l i c a b l e h e r e

.

A t o r a l a r g u m e n t

, m o r e o v e r

, c o u n s e l f o r G u e v a r a c o n c e d e d t h a t t h e p r i m a r y

a c t i v i t y f o r p u r p o s e s o f § 1 6 0 5 ( a ) ( 2 ) ’ s a n a l y s i s w a s r e a l l y P e r u ’ s f a i l u r e t o m a k e

t h e r e w a r d p a y m e n t w i t h i n t h e U n i t e d S t a t e s

— a s o r t o f “ n e g a t i v e a c t i v i t y

. ” W e

a r e u n a w a r e o f a n y f

e d e r a l c o u r t h o l d i n g t h a t s u c h “ n e g a t i v e a c t i v i t y ” s a t i s f i e s t h e

j u r i s d i c t i o n a l r e q u i r e m e n t s o f § 1 6 0 5 ( a ) ( 2 )

, a n d w e d e c l i n e t o r e a c h t h a t h o l d i n g

h e r e

.

S e c o n d

, G u e v a r a a r g u e s t h a t h i s a r r e s t i n t h e U n i t e d S t a t e s c o n s t i t u t e d a

d i r e c t e f f e c t i n t h e U n i t e d S t a t e s o f S H L C ’ s c o m m e r c i a l a c t i v i t y i n P e r u

. T h e F B I

a r r e s t e d G u e v a r a b e c a u s e h e w a s p a r t i c i p a t i n g i n t h e e x e c u t i o n o f M o n t e s i n o s ’ s

25t h r e a t s o f p h y s i c a l h a r m t o P e r c o v i c h i f P e r c o v i c h d i d n o t h a n d l e M o n t e s i n o s ’ s

b a n k d e p o s i t s a s i n s t r u c t e d

. G u e v a r a ’ s a r r e s t w a s “ a n i m m e d i a t e c o n s e q u e n c e ” o f

h i s c r i m i n a l a c t i v i t y

, n o t o f P e r u ’ s o f f e r o f a r e w a r d f

o r M o n t e s i n o s ’ s c a p t u r e

.

O n l y a f t e r G u e v a r a w a s a r r e s t e d a n d a g r e e d t o c o o p e r a t e w i t h i n v e s t i g a t o r s d i d t h e

a v a i l a b i l i t y o f r e w a r d m o n e y c o m e i n t o p l a y

. 2 7

N e i t h e r o f G u e v a r a ’ s a r g u m e n t s f o r a d i r e c t e f

f e c t i n t h e U n i t e d S t a t e s

r e f l e c t s W e l t o v e r ’ s r e q u i r e m e n t o f i m m e d i a t e c o n s e q u e n c e s o r H a r r i s C o r p

. ’ s

f o c u s o n s i g n i f

i c a n t f i n a n c i a l c o n s e q u e n c e s i n t h e U n i t e d S t a t e s

. T h e r e f o r e

, w e

c a n n o t c o n c l u d e t h a t a d i r e c t e f f e c t o c c u r r e d i n t h e U n i t e d S t a t e s a s a r e s u l t o f

P e r u ’ s p r o m i s e t o p a y t h e r e w a r d m o n e y

.

I I I

.

G u e v a r a I d i d n o t r e s o l v e i n f u l l t h e j u r i s d i c t i o n a l i s s u e s p r e s e n t e d b y 2 8

U

. S

. C

. § 1 6 0 5 ( a ) ( 2 )

. A c c o r d i n g l y

, t h e d i s t r i c t c o u r t s h o u l d h a v e d e t e r m i n e d

w h e t h e r P e r u w a s s u b

j e c t t o t h e c o u r t ’ s s u b

j e c t m a t t e r j u r i s d i c t i o n b e c a u s e P e r u

f a i l e d t o e s t a b l i s h t h a t i t s c o m m e r c i a l a c t i v i t y f e l l u n d e r o n e o f t h e § 1 6 0 5 ( a ) ( 2 )

n e x u s e s f

o r j u r i s d i c t i o n

. T h e c o u r t f a i l e d t o d o s o

. T h i s l e f

t u s w i t h t w o p o s s i b l e

We also note Vidal’s testimony that neither he nor member s of the Peruvia n g overnme nt 2 7

contac ted United States law e nforc ement off icials direc tly

to effe ctuate Monte sinos’s capture

. The e x tent of Peruvian involveme nt with United States law enfor ceme nt, Vidal testified, was a s

part of a reque st to severa l intelligenc e org anizations and law enf orce ment ag encie s worldwide

to assist in t he sea

rch f or Montesinos.

26d i s p o s i t i o n s : ( 1 ) r e m a n d t h e c a s e t o t h e d i s t r i c t c o u r t w i t h t h e i n s t r u c t i o n t h a t i t

r e s o l v e t h e § 1 6 0 5 ( a ) ( 2 ) i s s u e s

, o r ( 2 ) r e s o l v e t h o s e i s s u e s o n a p p e a l b e c a u s e t h e

a p p r o p r i a t e d i s p o s i t i o n i s c l e a r

. W e h a v e c h o s e n t h e l a t t e r c o u r s e

. W e R E V E R S E

t h e d i s t r i c t c o u r t ’ s j u d g m e n t a n d R E M A N D t h e c a s e w i t h t h e i n s t r u c t i o n t h a t t h e

c a s e b e d i s m i s s e d w i t h o u t p r e j u d i c e

.

S O O R D E R E D

.

27C O X

, C i r c u i t J u d g e

, d i s s e n t i n g :

T h e m a j o r i t y o p i n i o n r e s t s o n a f a u l t y p r e m i s e : t h a t

, i n d e c i d i n g t h e p r i o r

a p p e a l i n t h i s c a s e

, t h i s c o u r t d i d n o t d e c i d e w h e t h e r P e r u i s e n t i t l e d t o s o v e r e i g n

i m m u n i t y

. T h e c o u r t h o l d s t h a t G u e v a r a I d e c i d e d o n l y t h e q u e s t i o n o f w h e t h e r

P e r u ’ s o f

f e r o f t h e r e w a r d c o n s t i t u t e d c o m m e r c i a l a c t i v i t y

. B u t t h a t i s i n c o r r e c t

.

G u e v a r a I h e l d t h a t F S I A ’ s c o m m e r c i a l a c t i v i t y e x c e p t i o n a p p l i e s t o e x e m p t P e r u

f r o m t h e g e n e r a l i m m u n i t y g r a n t e d b y t h e s t a t u t e t o f o r e i g n s o v e r e i g n s

. 4 6 8 F

. 3 d

a t 1 2 9 2 ( “ T h i s a p p e a l p r e s e n t s t h e i s s u e o f w h e t h e r a f o r e i g n s t a t e ’ s o f

f e r o f a

r e w a r d i n r e t u r n f

o r i n f o r m a t i o n e n a b l i n g i t t o l o c a t e a n d c a p t u r e a f u g i t i v e f a l l s

w i t h i n t h e F o r e i g n S o v e r e i g n I m m u n i t i e s A c t ’ s c o m m e r c i a l a c t i v i t y e x c e p t i o n t o

s o v e r e i g n i m m u n i t y

. F o r t h e r e a s o n s t h a t f o l l o w

, w e c o n c l u d e t h a t i t d o e s

. ” ) ; i d

. a t

1 2 9 9 ( “ T h e q u e s t i o n i n t h i s a p p e a l i s w h e t h e r G u e v a r a c a n u s e t h e c o u r t s o f t h i s

c o u n t r y t o c o m p e l P e r u t o k e e p i t s c o n t r a c t u a l p r o m i s e t o p a y h i m t h e m o n e y i t

o f f e r e d

. ” )

.

T h e c o m m e r c i a l a c t i v i t y e x c e p t i o n s t a t e s :

( a ) A f o r e i g n s t a t e s h a l l n o t b e i m m u n e f r o m t h e j u r i s d i c t i o n o f c o u r t s

o f t h e U n i t e d S t a t e s o r o f t h e S t a t e s i n a n y c a s e

–

. . . .

( 2 ) i n w h i c h t h e a c t i o n i s b a s e d u p o n a c o m m e r c i a l

28a c t i v i t y c a r r i e d o n i n t h e U n i t e d S t a t e s b y t h e f o r e i g n

s t a t e ; o r u p o n a n a c t p e r f o r m e d i n t h e U n i t e d S t a t e s i n

c o n n e c t i o n w i t h a c o m m e r c i a l a c t i v i t y o f t h e f o r e i g n s t a t e

e l s e w h e r e ; o r u p o n a n a c t o u t s i d e t h e t e r r i t o r y o f t h e

U n i t e d S t a t e s i n c o n n e c t i o n w i t h a c o m m e r c i a l a c t i v i t y o f

t h e f o r e i g n s t a t e e l s e w h e r e a n d t h a t a c t c a u s e s a d i r e c t

e f f e c t i n t h e U n i t e d S t a t e s [

. ]

2 8 U

. S

. C

. § 1 6 0 5 ( a ) ( 2 )

. I n d e c i d i n g t h a t t h e s t a t u t o r y e x c e p t i o n a p p l i e s t o P e r u ’ s

a c t i o n s

, t h e G u e v a r a I c o u r t d e c i d e d m o r e t h a n t h a t P e r u h a d e n g a g e d i n

c o m m e r c i a l a c t i v i t y ; t h e c o u r t n e c e s s a r i l y d e c i d e d t h a t a n e x u s e x i s t e d b e t w e e n

t h a t c o m m e r c i a l a c t i v i t y a n d t h e U n i t e d S t a t e s

. I t i m p l i c i t l y h e l d t h a t t h e

c o m m e r c i a l a c t i v i t y w a s c a r r i e d o n i n t h e U n i t e d S t a t e s

, t h a t a n a c t w a s p e r f o r m e d

i n t h e U n i t e d S t a t e s i n c o n n e c t i o n w i t h c o m m e r c i a l a c t i v i t y e l s e w h e r e

, o r t h a t a

d i r e c t e f f e c t o f t h e c o m m e r c i a l a c t w a s c a u s e d i n t h e U n i t e d S t a t e s

.

M o s t i m p o r t a n t l y

, t h e G u e v a r a I c o u r t e x p l i c i t l y d e c i d e d t h a t t h e r e w a s n o

i m m u n i t y a v a i l a b l e t o P e r u u n d e r t h e F S I A

. I n e x p l a i n i n g t h a t t h e i n d i v i d u a l

d e f e n d a n t s w e r e n o t e n t i t l e d t o s o v e r e i g n i m m u n i t y b e c a u s e a n y s u c h i m m u n i t y

w o u l d b e d e r i v a t i v e o f t h e s o v e r e i g n s t a t e ’ s i m m u n i t y

, t h e o p i n i o n s a y s :

T h e r e i s n o p r e s e n t n e e d t o r e v i e w t h e d i s t r i c t c o u r t ’ s c o n c l u s i o n t h a t

t h e i n d i v i d u a l d e f

e n d a n t s w e r e a c t i n g w i t h i n t h e s c o p e o f t h e i r

a u t h o r i t y

. E v e n i f t h e y w e r e

, t h e y a r e n o t e n t i t l e d t o s o v e r e i g n

i m m u n i t y b e c a u s e t h e s o v e r e i g n i t s e l f i s n o t

.

G u e v a r a I

, 4 6 8 F

. 3 d a t 1 3 0 5 ( e m p h a s i s a d d e d )

.

29G u e v a r a I d i d n o t i m p l i c i t l y l e a v e o p e n t h e q u e s t i o n o f s u b j e c t m a t t e r

j u r i s d i c t i o n

, r e m a n d i n g t h e c a s e f o r t h e d i s t r i c t c o u r t t o d e c i d e t h a t q u e s t i o n

. I n

c l a i m i n g t h a t i t d i d

, t h e m a j o r i t y o p i n i o n t a k e s a s t a t e m e n t i n t h e G u e v a r a I

o p i n i o n o u t o f c o n t e x t

. G u e v a r a I r e v e r s e d t h e d i s t r i c t c o u r t ’ s d i s m i s s a l o f t h e c a s e

o n s u b j e c t m a t t e r j u r i s d i c t i o n g r o u n d s a n d r e m a n d e d t h e c a s e w i t h t h e s o l e

i n s t r u c t i o n t h a t p e r s o n a l j u r i s d i c t i o n o v e r t h e i n d i v i d u a l d e f e n d a n t s c o u l d b e

e x a m i n e d b y t h e d i s t r i c t c o u r t

. I d

. a t 1 3 0 5

- 0 6

. I n e x p l a i n i n g w h a t t h e d i s t r i c t c o u r t

h a d a l r e a d y d o n e a n d w h y t h e d i s t r i c t c o u r t h a d n o t c o n s i d e r e d t h e p e r s o n a l

j u r i s d i c t i o n a r g u m e n t s o f t h e i n d i v i d u a l d e f e n d a n t s

, t h e G u e v a r a I o p i n i o n s a i d

, “ I f

t h e c o u r t f

i n d s t h a t i t d o e s n o t h a v e s u b j e c t m a t t e r j u r i s d i c t i o n

, ‘ t h e c o u r t ’ s s o l e

r e m a i n i n g a c t i s t o d i s m i s s t h e c a s e f o r l a c k o r j u r i s d i c t i o n

. ’ ” I d

. a t 1 3 0 5 ( c i t a t i o n s

o m i t t e d )

. C o n t r a r y t o t h e m a j o r i t y o p i n i o n ’ s a s s e r t i o n

, t h e q u o t e d s t a t e m e n t i s n o t 2 8

The full sec tion of the opinion containing the quoted stateme nt rea ds as follows: 2 8

Th e i n d i v idual defe ndants contend that we oug ht to aff irm the

judgm en t dismiss ing them from the lawsuit any way

, on the g round

that the district court l ac ked persona l jurisdiction over them. The

d istrict court, having found that they wer e entitled to sover ei gn

immunit y

, dismiss ed their challenge to persona l jurisdiction as

moot. That result followed fro m the district court’s conclusion that

the defe ndants wer e immune under the FSI A, which limit s the

subject matter jurisdiction of the fede ral courts. 28 U. S

. C

. § 1604

(stating that if the Ac t appli es, “a fore ign state shall be immune

from the jurisdiction of the courts o f the United States”). “[A]

court should inquire into whether it has subject matter juri s d i ct ion

at the ear l i es t possible stag e in the proce eding s.” Univ. of S. Ala.

v. Am. To b a cc o Co.

, 168 F.3d 405, 410 (11th Cir. 1999). I f the

court finds that it does not hav e s ubject matter jurisdiction, “the

30a n i n d i c a t i o n t o t h e d i s t r i c t c o u r t t h a t

, o n r e m a n d

, i t s h o u l d r e c o n s i d e r s u b j e c t

m a t t e r j u r i s d i c t i o n

.

G u e v a r a I ’ s h o l d i n g t h a t t h e c o m m e r c i a l a c t i v i t y e x c e p t i o n t o s o v e r e i g n

i m m u n i t y a p p l i e s t o P e r u ’ s a c t i v i t i e s i s a h o l d i n g t h a t s u b j e c t m a t t e r j u r i s d i c t i o n

e x i s t s o v e r t h i s c a s e p u r s u a n t t o t h e F S I A

. T h a t i s t h e l a w o f t h i s c a s e

,

n o t w i t h s t a n d i n g t h e f

a c t t h a t t h e G u e v a r a I o p i n i o n d i d n o t e x p l i c i t l y a d d r e s s t h e

n e x u s b e t w e e n P e r u ’ s c o m m e r c i a l a c t i v i t i e s a n d t h e U n i t e d S t a t e s

. S e e E E O C v

.

court’s sole rema ining act is to dismiss the case for lack of

jurisdiction.” Morrison v. Allstate Indem

. Co.

, 228 F.3d 1255,

1261 (11th Cir. 2000).

Be cause we disag ree with t h e d istrict court that the FSI A bars

Guev ar a’s suit, the individual defe ndants’ motion to dismiss for

lack o f p ersona l jurisdiction is ag ain rele vant. Howeve r, the

district court should have the first oppo rt u n i t y to resolve it.

Def endants cite SEC v. Chener y Co r p

. , 318 U.S. 80, 88, 63 S. Ct.

454, 459, 87 L

. Ed. 626 (1943), for the proposition that we must

aff irm the decision of a district co u rt if it rea ched the corr ect result

but fo r t h e wrong rea son. The Chenery case notes that this rule

d oes not apply “whe re the corr ectne ss of the lower court’s decision

d ep ends upon a deter

mination of fac t.” Id. Our own decisions ar e

to the same eff

ect. See Pache co de Perez v. AT& T Co.

, 139 F.3d

1 3 6 8

, 1372 n.5 (11th Cir. 1998) (“We are mindful of the g ener al

rule that a court of appea ls will not consid er i s s u es not rea ched by

the district court, espe cially wher e the issues involve questions of

fac t.”); Stewart v. Dep’ t of Health and Hum a n S ervs.

, 26 F.3d 115,

115-16 (11th Cir. 1994) (same)

. The “minimu m co n tacts” prong of

the p er s o n al jurisdiction inquiry is nece ssarily case and fac t

specific

. We decline t o take up that issue without the benef it of

fac tfindin g s from the district court. Vidal and Rospigliosi may

rea ssert on rema

nd the issue of the district court’s ju ri sdiction over

their per sons.

Guev ara I

, 468 F.3d a

t 1305-06.

31I

n t ’ l L o n g s h o r e m e n ’ s A s s ’ n

, 6 2 3 F

. 2 d 1 0 5 4

, 1 0 5 8 ( 5 t h C i r

. 1 9 8 0 ) ( n o t i n g t h a t t h e

l a w o f t h e c a s e d o c t r i n e a p p l i e s t o “ t h i n g s d e c i d e d b y n e c e s s a r y i m p l i c a t i o n a s w e l l

a s t h o s e d e c i d e d e x p l i c i t l y

. ” ) ( q u o t a t i o n a n d c i t a t i o n o m i t t e d ) ; B o n n e r v

. C i t y o f

P r i t c h a r d

, 6 6 1 F

. 2 d 1 2 0 6

, 1 2 0 9 ( 1 1 t h C i r

. 1 9 8 1 ) ( e n b a n c ) ( a d o p t i n g a s p r e c e d e n t

d e c i s i o n s o f t h e F o r m e r F i f t h C i r c u i t h a n d e d d o w n p r i o r t o t h e c l o s e o f b u s i n e s s o n

S e p t e m b e r 3 0

, 1 9 8 1 )

. T h e d i s t r i c t c o u r t d i d n o t e r r i n s o f i n d i n g

, a n d t h i s p a n e l

c a n n o t p r o p e r l y r e v i s i t t h e q u e s t i o n

. S e e F r e e v

. A b b o t t L a b s

. , I n c

. , 1 6 4 F

. 3 d 2 7 0

,

2 7 2

- 2 7 3 ( 5 t h C i r

. 1 9 9 9 ) ( j o i n i n g o t h e r c i r c u i t s i n r e f u s i n g t o r e c o g n i z e a 2 9

“ j u r i s d i c t i o n e x c e p t i o n ” t o t h e l a w

- o f

- t h e

- c a s e d o c t r i n e ; e x p l a i n i n g t h a t a l t h o u g h a

f e d e r a l c o u r t m u s t e x a m i n e e a c h c a s e t o d e t e r m i n e w h e t h e r i t h a s s u b j e c t

- m a t t e r

j u r i s d i c t i o n

, t h i s d o e s n o t r e q u i r e “ p e r p e t u a l r e

- e x a m i n a t i o n o f p r e c i s e l y t h e s a m e

i s s u e o f s u b

j e c t m a t t e r j u r i s d i c t i o n ” ) ; s e e a l s o M c K e s s o n C o r

p

. v

. I s l a m i c R e

p u b l i c

o f I r a n

, 5 2 F

. 3 d 3 4 6

, 3 5 0 ( D

. C

. C i r

. 1 9 9 5 ) ( a p p l y i n g t h e l a w

- o f

- t h e

- c a s e d o c t r i n e t o

a p r i o r a p p e a l s p a n e l ’ s r u l i n g c o n c e r n i n g t h e e x i s t e n c e o f s u b j e c t m a t t e r

j u r i s d i c t i o n ) ; H

a n n a B o y s C e n t e r v

. M i l l e r

, 8 5 3 F

. 2 d 6 8 2

, 6 8 6 ( 9 t h C i r

. 1 9 8 8 )

( s a m e )

.

A l t h o u g h I d i s a g r e e w i t h t h e m a j o r i t y ’ s c o n c l u s i o n t h a t t h e F S I A b a r s

G u e v a r a ’ s s u i t

, I h a v e r e s e r v a t i o n s a b o u t t h e p r o p r i e t y o f r e s o l v i n g t h i s d i s p u t e i n

Affir med by an equa lly

divided court, 529 U.S. 333, 120 S. Ct. 1578 (2000). 2 9

32t h e c o u r t s o f t h i s c o u n t r y

. D i s m i s s a l p u r s u a n t t o t h e d i s c r e t i o n a r y d o c t r i n e o f

i n t e r n a t i o n a l c o m i t y

, r a t h e r t h a n d i s m i s s a l f o r w a n t o f j u r i s d i c t i o n

, m a y b e t h e

a p p r o p r i a t e w a y t o d i s p o s e o f t h i s c a s e

. T h e P e r u v i a n g o v e r n m e n t c r e a t e d t h e 3 0

r e w a r d a n d t h e S p e c i a l H i g h L e v e l C o m m i t t e e c h a r g e d w i t h a d m i n i s t e r i n g t h e

r e w a r d

. A f

t e r c o n s i d e r i n g G u e v a r a ’ s c l a i m t o t h e r e w a r d

, t h e C o m m i t t e e r e j e c t e d

h i s c l a i m

. I s u s p e c t i t w o u l d v i o l a t e i n t e r n a t i o n a l c o m i t y f o r U n i t e d S t a t e s c o u r t s

t o r e v i e w t h a t d e c i s i o n

.

I nterna tional comity

is an abstention doctrine . “A f eder al cour

t has jurisdiction but defer s to 3 0

the judg ment of an a lternative f orum.” Ungaro-Be nages v. D resdner Bank AG , 379 F.3d 1227,

1237 (11th Cir. 2004) (c iting Turner Entm’t Co. v. Dege to Film , 25 F.3d 1512, 1518 ( 11th Cir.

1994)).

33