FILED U.S. COURT OF AP P EALS E LEV EN T HC IRC U IT NOVEMB ER 1, 2006 THOMAS K. KAH

N CLERK [ P UB L I S H] I N THE UN I TE D STATE S C OU RT OF APPE ALS F O R T H E E L E V E N T H C IR C U IT

________________________ N o. 05- 16235

________________________ D. C . Do c k e tNo . 0 4 - 2 3 2 2 3 - C V- MGC J O S E G U E V A R A , P la in tif f - A p p e lla n t, v ersu 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 I O R , A N T O N I O K E T I N V I D A L , F E RN A N D O R O S P I G L I O S I , D e f e n d a n ts - A p p e lle e s .

________________________ A pp ea l fr om the U ni t ed S t at es D i stri ctC ou rt f orthe S outhe rn D i s tr i c tof F l or i da

_________________________ ( N ove m b e r 1, 2006) B efo re T JO F L A T , C A RN E S an d H IL L , C i rcu i tJu d g es. C A RN E S , C i rc ui tJudg e:2

T hi s app ea l pres ent s the i ss ue of w hether afore i gn st at e’ s off erof a r ew ar d i n r e turn f

ori nf orm a t i on e nabl i ng i tt o l oc a t e a nd c aptur e af ugi t i ve f a l l s w i thi n the F or e i gn S ove r e i gn I m m uni t i e s A c t ’ s c om m e r c i a l a c t i vi ty e xc e pt i on t o s ove r e i gn i m m u n i ty. F o r th e reaso n s th atfo l l o w , w e co n cl u d e th ati td o es. I. V l adi m i ro L eni n M on t es i no s T orre s s erved as a n adv i sor t o P eruv i an P re si dentA l bert o F uj i m ori and as the head of P eru’ s N at i on al Int el l i gence S ys t em dur i ng the 1990s . ( C om pl . ¶ 8) . H e i s c urr e nt l y i n the m i ds tof as e r i e s of c orrupt i on tr i a l s i n tha tc ountry . T he a l l e ga t i ons a r e tha tM ont e s i nos c om m i tt e d a hos tof c r i m e s w hi l e he w a s i n of f i c e , i nc l udi ng a rm s tr a f

f i c ki ng, drug de a l i ng, m o n e y la u n d e r in g , e x to r tio n , a n d m o r e th a n af e w m u r d e r s . I d . A c c o r d in g to de c l a s s i f i e d doc um e nt s f

r om the U ni t e d S t a t e s S outhe rn C om m a nd, the ne rve ce nt erre spon si bl e f

or thi s c ou ntry ’ s m i l i t ary opera t i on s i n L at i n A m er i ca , M ont e s i nos ha s “ be e n c om pa r e d va r i ous l y t o s uc h s i ni s t e rf i gur e s a s R a s put i n, D arth V adar , T orqu em ada a nd C ar di nal R i chel i eu. ” U ni t ed S t at es S ou thern C om m and, Inform at i on P aper(J an. 6, 19 97 ). T he pi cture i s one of a m an w ho has ne ve rbe e n tr oubl e d by a ny thi ng r e s e m bl i ng am or a l s c rupl e , a nd the f a c t s about h o w h e w a s b r o u g h t to ju s tic e f o rm th e s ta g e o n w h ic h th is la w s u it p la y s .Be causethis is an appeal f rom a F ederal Rule of Civil P roce dure 12(b)(1) dismiss al, the 1 operative fac ts are thosealleg ed in the complaint. L awrencev. Dunbar , 919 F.2d 1525, 1529 (11th Cir. 1990). In this section of the opinion, whereoutside source s arecited, wehave drawn so mea dditi on al detailsfrom t hem tofl e shout th esto ry . Tho sedetails , which a reentire ly c on sis tent withthec omp laint ’salle g atio ns , a reno t e ssenti al toour de c isi on . At le a st at this stag e, the pa

rties are at log g erhe ads over the law, not the f

acts. 3 F orde c a de s j ourna l i s t s a nd pol i t i c i a ns ha d be e n l e ve l i ng a c c us a t i ons of c orrupt i on a ga i ns tM ont e s i nos , butf oral ong t i m e none of

the m s tuc k. T hi ngs be ga n t o c ha nge on the e ve ni ng of S e pt e m be r14, 2000, w he n a n oppos i t i on l a w m a ke ra i r e d on P e ruvi a n na t i ona l t e l e vi s i on avi de o s how i ng M ont e s i nos h a n d i n g ab r i b e t o ac o n g r e s s m a n - e l e c t . S e e C l i f f o r d Kr a u s s , F u

j i m o r i ’ s F a l l , N. Y. T im e s , D e c . 3 , 2 0 0 0 , § 1 , a t 1 . T h a t a lo n e m ig h t n o t h a v e d o n e h im in , b u t a s it 1 turne d outM ont e s i nos w a s l i ke as e r i a l ki l l e rw ho r e l i s he s the oppor tuni ty t o r e l i ve hi s c ri m es — he had v i deot aped m any of hi s di rty dee ds. Id. P eruv i an autho ri t i es s e i z e d f r om M ont e s i nos m or e tha n 700 vi de ot ape s i nc r i m i na t i ng hi m i n ahos tof cr i m es . S ee Ja ne H ol l i gan, B ri bes, L i es , and V i deot ape i n P eru, B us. W ee k O n lin e , F e b . 2 , 2 0 0 1 . O n S e p te m b e r1 6 , 2 0 0 0 , P r e s id e n t F u jim o r i, f a c in g p u b lic pr e s s ur e , a nnounc e d tha the w a s di s s ol vi ng the i nt e l l i ge nc e a ge nc y a nd tha the w o u ld s te p d o w n a f

te rh o ld in g n e w e le c tio n s . S e e N .Y . T im e s , s u p r a . Jai l t i m e seem ed i m m i n en tfo r M o n t esi n o s, b u tth e fo rm er sp y ch i ef w as al so s o m e th in g o f

am a g ic ia n . O v e rth e y e a r s h e h a d m a n a g e d to m a k e m a n y o f h is e n e m ie s , in c lu d in g jo u rn a lis ts , d is ap p e a r , a n d h e h a d o n e m o r e m a g ic a c t u p h is4

s l e e ve . T hom a s C a t a n, T he S i ns of M ont e s i nos , T he F i n. T i m e s M a g. , J ul y 26, 2003, a t15. I n O c t obe r2000, M ont e s i nos s l i ppe d outof the c ountry on ay a c ht b o u n d f o rth e G a lap a g o s I s la n d s , s a ile d o n to V e n e z u e la , a n d v is ite d ap la s tic s u r g e ry c lin ic . T h e n h e v a n is h e d . I d . A n i nt e rna t i ona l m a nhunte ns ue d. I n N ove m be rof 2000, P e ru appoi nt e d a s p e c ia l p r o s e c u to rto in v e s tig a te th e in te llig e n c e s y s te m ’s n e t o f c o rru p tio n a n d to s e e th a t th o s e in v o lv e d w e r e c o n v ic te d a n d p u n is h e d . ( C o m p l. ¶ 1 1 ) . Th e s a me m onth the pr os e c ut ori s s ue d na t i ona l a nd i nt e rna t i ona l a rr e s tw a rr a nt s f or M on t es i no s. Id. A nt on i o K et i n V i dal , the M i ni st erof the Int er i or of P eru, w orked w ith in te rn a tio n a l p o lic e a g e n c ie s to c o o r d in a te th e s e a r c h . I d . D e s p ite am e d ia fr enzy , the tra i l qu i ckl y gre w col d. F i n. T i m es M ag. , supra. P e ru n e e d e d to g e n e r a te n e w le a d s . T o d o s o , I n te r im P r e s id e n t V a le n tin C or a z a o i s s ue d E m e r ge nc y D e c r e e N o. 049- 2001, w hi c h e s t abl i s he d af i ve m i l l i on dol l a rr e w a r d f

ora c c ur a t e i nf

orm a t i on e nabl i ng the a uthor i t i e s t o l oc a t e a nd capture M on t es i no s. (C om pl . ¶ 1 2). A rt i cl e O ne of thatdecr ee prov i ded thatP eru th ereb y: E s t abl i s h[ e d] af

i na nc i a l r e w a r d i n the a m ountof U S $5, 000, 000. 00 ( F I V E M I L L I O N 0 0 /1 0 0 U N I T E D S T A T E S D O L L A R S ) , w h ic h s h a ll be gi ve n t o the pe r s on orpe r s ons w ho pr ovi de ( s ) a c c ur a t e i nf orm a t i on th a t w ill d ir e c tly e n ab le lo c a tin g a n d c ap tu r in g V la d im ir o L e n in M o n te s in o s T o rr e s . I n th e e v e n t s e v e r a l p e r s o n s p r o v id e th e s a id in f o rm a tio n , th e f

in a n c ia l r e w a r d s h a ll b e d iv id e d a m o n g th e m .Th ea pp arent e a sewith which Gueva ra madethec ho ic eto b e tray Mo nte sin os bring s to 2 mind the epitaph an owner put on the tombstone of his depar ted ca nine companion: “[O]ne might havethought hewas human, but hewas loyal.” Chiseled F arewells, Har v. Mag ., Nov. – Dec . 2002, at 15 (quotingan epitaph on thetombstone of a dognamed Pompey, buried in the 5 ( C o m p l. E x . A ) . A r tic le T h r e e o f th e d e c r e e d e f

in e d “a c c u r a te in f

o rm a tio n ” : F orpurpos e s of

thi s E m e r ge nc y D e c r e e , a c c ur a t e i nf orm a t i on s ha l l be tha t[ i nf orm a t i on] pr ovi de d thr ough a ny m e a ns t o the S pe c i a l H i gh L evel C om m i tt ee and w hi ch enabl es l ocat i ng and capturi ng V l adi m i ro L e n in M o n te s in o s T o rr e s , w h o is w a n te d . I d . ( b r a c k e te d w o r d in o r ig in a l) E nt e rthe pl a i nt i f

f . J os e G ue va r aha d m e tM ont e s i nos i n V e ne z ue l ai n m i dD ec em ber 200 0. (C om pl . ¶ 1 5). M on t es i no s nee ded a sa fe -hou se , and G uevara a g r e e d to p r o v id e it. I d . G u e v a r aa ls o p r o v id e d M o n te s in o s w ith as e c u r ity d e ta il, w hi c h g a ve hi m c ompl e t e kn ow l e dg e of the f ug i t i ve ’ s w he r e abo ut s . ( Compl . ¶¶ 1 5 - 1 6 ) . G uevara w as ea si ert o tra ck do w n than M on t es i no s. In June 20 01 , F . B . I. agent s l ocat ed and d et ai ned G uevara i n M i am i . (C om pl . ¶¶ 17 -18). T h e a g e n ts to ld h im th a t th e U n ite d S ta te s in te n d e d to p u r s u e c r im in a l c h a r g e s a g a in s t h im unl e s s he ga ve up M ont e s i nos . ( C om pl . ¶ 18) . T he y a l s o r e m i nde d G ue va r aof P e ru’ s r e w a r d of

f e r . I d. F a c e d w i th ac hoi c e of j a i l t i m e a nd l oy a l ty t o M ont e s i nos o rf iv e m illio n d o lla r s a n d f r e e d o m , it d id n o t ta k e G u e v a r alo n g to m a k e u p h is m i nd. G ue va r anotonl y di s c l os e d M ont e s i nos ’ hi di ng pl a c e a nd t e l e phone

2animal cemetery in L ondon’s Hyde Park) . 6 nu m ber butal so arra ng ed t o h ave hi m del i vere d i nt o the hand s of the V enez uel an i nt e l l i ge nc e a ge nc y . ( C om pl . ¶ 22) . M ont e s i nos w a s a rr e s t e d a s ar e s ul tof the i nform at i on G uevara provi ded and the as si st ance he re nd er ed, bu tfor r ea sons that it h a s n o t d is c lo s e d in th is c a s e P e ru h a s r e f u s e d to p a y h im th e p r o m is e d r e w a r d . ( C o m p l. ¶ 1 ) . II. G u e v a r af

ile d th is la w s u it in th e E le v e n th J u d ic ia l C ir c u it o f F lo r id a , a n d it w a s r e m ove d unde r28 U . S . C . § 1441( d) t o the U ni t e d S t a t e s D i s tr i c tC our tf orthe S outhe rn D i s tr i c tof

F l or i da . T he l a w s ui tc l a i m s br e a c h of c ontr a c t , br e a c h of c o n tr a c t im p lie d in la w , f r a u d u le n t in d u c e m e n t, a n d f r a u d u le n t m is r e p r e s e n ta tio n . T h e n a m e d d e f

e n d a n ts in c lu d e T h e R e p u b lic o f P e ru ; its M in is try o f

th e I n te r io r ; A n t o n i o K et i n V i d al , w h o w as th e M i n i st er o f th e In t eri o r atth e t i m e o f th ese e ve nt s ; a nd F e rna ndo R os pi gl i os i , w ho s uc c e e de d V i da l i n tha tof f i c e . T he R ep u b l i c o f P eru an d th e M i n i stry o f th e In t eri o r fi l ed a m o t i o n t o d i sm i ss, cont endi ng thatthey a re i m m un e und erthe F orei gn S ov er ei gn Im m un i t i es A ct ( F S I A ) , 2 8 U .S .C . § § 1 6 0 2

– 1 1 . V i d al an d R o sp i g l i o si fi l ed a m o t i o n t o d i sm i ss c o n te n d in g th a t a s a g e n ts o f th e R e p u b lic o f

P e ru th e y a r e lik e w is e e n title d to7

sovere i gn i m m un i ty. T he tw o i nd i vi du al defe nd ant s a l so as se rt ed thatthe di stri ct c o u r t la c k e d p e r s o n a l ju r is d ic tio n o v e rth e m . In an order ent er ed on O ct ob er6, 20 05 , the di stri ctcourtconcl ud ed that P e ru’ s a c t i ons di d notf

i tunde ra ny e xc e pt i on t o the F S I A a nd the r e f or e both the n a t i o n a n d i t s Mi n i s try o f th e I n t e r i o rwe r e 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 ty . On O c t obe r14, 2005, the c our te nt e r e d a nothe ror de rc onc l udi ng tha tP e ru’ s s ove r e i gn im m u n ity p r o te c te d th e tw o in d iv id u a l d e f e n d a n ts , w h o h a d b e e n a c tin g in th e ir of f i c i a l c apa c i ty . O n thos e ba s e s , the c our tdi s m i s s e d the c om pl a i ntf orl a c k of ju r is d ic tio n a n d d e n ie d a ll o th e rp e n d in g m o tio n s a s m o o t. G uevara app ea l ed the j ud gm entdi sm i ss i ng hi s c om pl ai nt . T he i nd i vi du al defe nd ant s, i n add i t i on t o u rgi ng thatw e a ff i rm the di sm i ss al on the grou nd s s t at ed by the di stri ctcourt , have al so pres se d thei r posi t i on thatthe di stri ctcourtl ac ked p e r s o n a l ju r is d ic tio n o v e rth e m . III. A. T he F or e i gn S ove r e i gn I m m uni t i e s A c tpr ovi de s the s ol e ba s i s f orobt a i ni ng s ubj e c tm a tt e rj ur i s di c t i on ove raf or e i gn s ove r e i gn i n the U ni t e d S t a t e s . B e g v. Is l am i c R epub l i c of P aki st an, 35 3 F . 3d 13 23 , 13 24 (11th C i r. 20 03 ). T he A ct pr ovi de s age ne r a l gr a ntof i m m uni ty f

orf or e i gn gove rnm e nt s , 28 U . S . C . § 1604,8

s ubj e c tt o s pe c i f

i c s t a tut ory e xc e pt i ons . T he one a ti s s ue i n thi s c a s e i s the c o m m e r c ia l a c tiv ity e x c e p tio n . 2 8 U .S .C . § 1 6 0 5 ( a ) ( 2 ) . I t p r o v id e s th a t: ( a ) A f o r e ig n s ta te s h a ll n o t b e im m u n e f r o m th e ju r is d ic tio n o f

c o u r ts of the U ni t e d S t a t e s orof

the S t a t e s i n a ny c a s e – . . . ( 2) i n w hi c h the ac t i on i s bas ed up on a c om m er ci al ac t i vi ty c arri ed on i n the U ni t ed S t at es by the forei gn st at e; or up on an ac tperf orm ed i n the U ni t ed S ta te s in c o n n e c tio n w ith ac o m m e r c ia l a c tiv ity o f th e f o r e ig n s ta te e ls e w h e r e ; o ru p o n a n a c t o u ts id e th e te rr ito ry o f th e U n ite dS ta te s in conn ec t i on w i th a com m er ci al ac t i vi ty of the forei gn st at e e l se w here an d th atactcau ses a d i recteffect i n th e U n i t ed S t at es. I d. P e ru c ont e nds , a nd the di s tr i c tc our ta gr e e d, tha tof f e r i ng ar e w a r d f

or c aptur i ng af

ugi t i ve i nvol ve s uni que l y s ove r e i gn obj e c t i ve s , a nd f ortha tr e a s on doe s notc ons t i tut e ac om m e r c i a l a c t i vi ty . G ue va r ar e s ponds tha tthe di s pos i t i ve i s s ue i s w he the rpr i va t e a c t or s c oul d s i m i l a r l y of f e rar e w a r d f

ori nf orm a t i on l e a di ng t o the c aptur e of af ugi t i ve . T he y c a n, he s a y s , a nd i tf ol l ow s tha tthe a c tiv ity is “c o m m e r c ia l” a s th a t te rm is u s e d in th e A c t. B. T o d ec i de thi s i ss ue w e nee d t o m ark the bo un dari es of the “ com m er ci al a c t i vi ty ” e xc e pt i on a s i ti s us e d i n the F S I A . E xa m i ni ng the t e xtof the A c the l ps so m e. Itsays th at“ co m m erci al act i v i ty” i s: ei ther are gu l arcourse of com m er ci al cond uctor a part i cul arcom m er ci al tr a ns a c t i on ora c t . T he c om m e r c i a l c ha r a c t e rof a n a c t i vi ty s ha l l be9

det erm i ned b y r ef

er ence t o the nature of the course of cond uctor part i cul ar tra nsac t i on or ac t , ra ther than b y r ef er ence t o i t s purpo se . 28 U . S . C . § 1603( d) . T he S upr e m e C our tha s not e d tha tthi s de f i ni t i on “ l e a ve s the cr i t i ca l t erm ‘ com m er ci al ’ l ar gel y und ef i ned. ” R epub l i c of A rgent i na v. W el t ov er , In c. , 5 0 4 U . S . 6 0 7 , 6 1 2 , 1 1 2 S . C t . 2 1 6 0 , 2 1 6 5 (1 9 9 2 ). T h e p ro b l em i s th atth e fi rst s e nt e nc e “ s i m pl y e s t abl i s he s tha tthe c om m e r c i a l na tur e of a n a c t i vi ty doe s not de pe nd upon w he the ri ti s as i ngl e a c torar e gul a rc our s e of c onduc t ; a nd the se cond se nt ence m er el y s peci fi es w hatel em entof the cond uctdet erm i nes c o m m e r c ia lity .” I d . T he S up re m e C ou rt , go i ng beyond the st atut ory e xp l anat i on , al so det erm i ned i n W el t ov erthatthe F S IA i n g ener al , and i t s c om m er ci al exce pt i on i n p art i cul ar ,

“ l ar gel y c od i fi es the so-c al l ed ‘ re stri ct i ve’ theory of f orei gn sovere i gn i m m un i ty. ” I d . U n d e rth e r e s tr ic tiv e th e o ry im m u n ity s h o u ld b e g r a n te d “o n ly w ith r e s p e c t to causes of ac t i on ar i si ng ou tof a f orei gn st at e’ s pub l i c or gov ernm ent al ac t i on s. ” A l f r e d D unhi l l v. R e publ i c of C uba , 425 U . S . 682, 698, 96 S . C t . 1854, 1863 (1 9 7 6 ). B y c o n tras t, so v er eig n im m u n ity d o es n o t ap p ly to a f o re ig n state’s “c o m m e r c ia l a n d p r iv a te a c tiv itie s .” I d . T o u n d e r s ta n d w h a t th is m e a n s w e tu rn to a n e x a m in a tio n o f

th e h is to r ic a l d e v e lo p m e n t o f s o v e r e ig n im m u n ity la w in th isSee Oliver Wendell Holmes, Jr., The Common L aw 1 (Boston, Little, Brown &Co. 3 18 81 ) ( “ In o rder to k

no w what it

is, wemus t know

wh at it ha s b e en, and

wh at it tend s to become . . . . The history of wha t the law has be en is nec essar y to the knowledg e of what the law is.”). 10 co u n try, m i n d fu l o f H o l m es’ ad v i ce th ati n o rd er t o k n o w w h atth e l aw i s w e m u st know w ha ti tha s be e n a nd i s be c om i ng. 3 T h e F S I A is o n ly th ir ty y e a r s o ld , b u t th e v ie w o f s o v e r e ig n im m u n ity th a t it em bo di es i s m uch o l der. O ri gi nal l y, the U ni t ed S t at es re cogn i ze d o nl y al i m i t ed f o rm o f s o v e r e ig n im m u n ity . D a v id J . B e d e rm a n , A d m ir a lty a n d th e E le v e n th Am e n d m e n t , 7 2 No tr e Da m e L . R e v . 9 3 5 , 9 3 9

– 4 0 ( 1 9 9 7 ) . Mo r e th a n two c e n tu r ie s a g o af

e d e r a l c o u r t ap p lie d a n e x c e p tio n to f o r e ig n s o v e r e ig n im m u n ity w he r e the f

or e i gn pow e r ’ s a c t i ons ha ve a“ c om m e r c i a l c ha r a c t e r . ” E l l i s on v. T he B e l l ona , 8 F . C a s . 559, 559 ( D . S . C . 1798) . E a r l y S upr e m e C our tde c i s i ons si m i l ar l y not ed that“ a c l ea r di st i nct i on i s t o b e dra w n b etw ee n the ri gh t s a cc orded to p r iv a te in d iv id u a ls o rp r iv a te tr a d in g v e s s e ls , a n d th o s e a c c o r d e d to p u b lic a rm e d s hi ps w hi c h c ons t i tut e apa r tof the m i l i t a ry f

or c e of the na t i on. ” T he S ch o o n er E x ch an g e v . M ’ F ad d o n , 1 1 U . S . (7 C ran ch ) 1 1 6 , 1 4 3 (1 8 1 2 ); see al so T he S ant i ss i m a T ri ni dad, 20 U . S . (7 W heat . ) 283 , 35 3 (18 22 ). T hi s di c hot om y be tw e e n publ i c a nd s ove r e i gn ve r s us pr i va t e a nd c om m e r c i a l f

i t s the or i gi na l f

i gur e C hi e f

J us t i c e M a r s ha l l us e d t o e xpl a i n the pr i nc i pl e unde r l y i ng the c om m e r c i a l e xc e pt i on t o i m m uni ty— tha tof as ove r e i gn11

“ de s c e ndi ng” t o the l e ve l of apr i va t e i ndi vi dua l . S e e B a nk of the U ni t e d S t a t e s v. P la n te r s ’ B a n k o f

G a ., 2 2 U .S . ( 9 W h e a t.) 9 0 4 , 9 0 7 ( 1 8 2 4 ) ( “I t is , w e th in k , a s ound pr i nc i pl e , tha tw he n agove rnm e ntbe c om e s apa r tne ri n a ny tr a di ng c om pa ny , i tde ve s t s i t s e l f , s o f a ra s c onc e rns the tr a ns a c t i ons of tha tc om pa ny , of i t s s ove r e i gn c ha r a c t e r , a nd t a ke s tha tof apr i va t e c i t i z e n. I ns t e a d of c om m uni c a t i ng t o the c om pa ny i t s pr i vi l e ge s a nd i t s pr e r oga t i ve s , i tde s c e nds t o a l evel w i th tho se w i th w ho m i tas soci at es i t se l f, and t akes the chara ct erw hi ch b e lo n g s to its a s s o c ia te s , a n d to th e b u s in e s s w h ic h is to b e tr a n s a c te d .” ) . A s ta te n o t a c tin g in its u n iq u e r o le a s s o v e r e ig n is a k in to ap r iv a te c itiz e n o rm e r c h a n t. A lth o u g h S c h o o n e rE x c h a n g e a n tic ip a te d e x c e p tio n s to im m u n ity f o rp r iv a te c om m e r c i a l a c t i vi ty , by the 1920s the de c i s i on ha d none the l e s s “ c [ o] m e t o be re garded as ext endi ng vi rtual l y absol ut e i m m un i ty t o forei gn sovere i gn s. ” V e r l i nde n B . V . v. C e nt . B a nk of N i g. , 461 U . S . 480, 486, 103 S . C t . 1962, 1967 ( 1 9 8 3 ) ; s e e , e . g ., B e r iz z i B r o s . C o . v . S .S . P e s a r o , 2 7 1 U .S . 5 6 2 , 5 7 1 , 4 6 S . C t. 611, 611 ( 1926) . O ve rthe ne xttw o de c a de s , the C our ts hi f t e d t o apol i c y of de f e r e nc e t ow a r d the e xe c ut i ve br a nc h. S e e , e . g. , R e publ i c of M e xi c o v. H of

f m a n, 324 U . S . 30, 34, 65 S . C t . 530, 532 ( 1945) ( “ C hi e f J us t i c e M a r s ha l l i ntr oduc e d the p r a c tic e , s in c e f

o llo w e d in th e f

e d e r a l c o u r ts , th a t th e irju r is d ic tio n in r e m . . . w ill be surr endered on recognit i on . . . of the as se rt ed i m m un i ty by the po l i t i ca l branch12

o f th e g o v e rn m e n t c h a r g e d w ith th e c o n d u c t o f f o r e ig n a f f a ir s . . .” ) ; E x p a r te R e p u b lic o f

P e ru , 3 1 8 U .S . 5 7 8 , 5 8 8 , 6 3 S . C t. 7 9 3 , 7 9 9 ( 1 9 4 3 ) ( s a m e ) ; C o m p a n ia Es p a n o l ad e N a v e g a c i o n M a r i t i ma , S. A . v . Th e N a v e ma r , 3 0 3 U . S. 6 8 , 7 4 , 5 8 S. C t . 432, 434 ( 1938) ( s a m e ) . T hi s de f e r e nt i a l appr oa c h di d notc ha nge the e xi s t i ng pr a c t i c e of

gr a nt i ng s ove r e i gn i m m uni ty i n vi r tua l l y a l l c a s e s w he r e i tw a s c l a i m e d, b e c a u s e th e e x e c u tiv e r e g u la r ly r e q u e s te d th a t th e c o u r ts g r a n t im m u n ity to a ll f r i e ndl y f or e i gn s ove r e i gns . V e r l i nde n, 461 U . S . a t486, 103 S . C t . a t1968. I n 1952 the S t a t e D e pa r tm e ntc ha nge d the e xe c ut i ve ’ s pol i c y t o one em b o d yi n g th e restri ct i v e th eo ry o f so v erei g n i m m u n i ty. T h e d ep artm en tfi rst si gn al ed thi s s hi fti n p ol i cyi n a l ett erfr om Ja ck B . T at e, A ct i ng L egal A dv i se r, U ni t ed S t at es D ept . of S t at e, t o P hi l i p B . P er l m an, A ct i ng A tt orney G ener al . (M ay 1 9 , 1 9 5 2 ) , a s r e p r in te d in 2 6 D e p t. o f S ta te B u ll. 9 8 4

– 8 5 ( 1 9 5 2 ) . T a te w r o te in p a r t: A s tu d y o f

th e l a w o f

s o v e r e i g n i m m u n i ty r e v e a l s th e e x i s t e n c e o f two c onf l i c t i ng c onc e pt s of

s ove r e i gn i m m uni ty , e a c h w i de l y he l d a nd f i rm l y e s t abl i s he d. A c c or di ng t o the c l a s s i c a l orabs ol ut e the ory of s ove r e i gn i m m uni ty , as ove r e i gn c a nnot , w i thouthi s c ons e nt , be m a de ar e s ponde nti n the c our t s of a nothe rs ove r e i gn. A c c or di ng t o the ne w e rorr e s tr i c t i ve the ory of s ove r e i gn i m m uni ty , the i m m uni ty of th e s o v e r e ig n is r e c o g n iz e d w ith r e g a r d to s o v e r e ig n o rp u b lic a c ts (j ure i m peri i ) of ast at e, bu tno tw i th res pectt o p ri vat e a ct s ( j ure ge s t i oni s ) . . . . i tw i l l he r e a f t e rbe the D e pa r tm e nt ’ s pol i c y t o f ol l ow the r e s tr i c t i ve the ory of s ove r e i gn i m m uni ty i n the c ons i de r a t i on of r e q u e s ts o f

f o r e ig n g o v e rn m e n ts f

o rag r a n t o f

s o v e r e ig n im m u n ity .13

I d. ; s e e a l s o A l f

r e d D unhi l l , 425 U . S . a t698, 96 S . C t . a t1863 ( e xpl a i ni ng tha tthe po si t i on t aken i n the T at e L ett erbeca m e the offi ci al po l i cyof the U ni t ed S t at es g o v e rn m e n t) . T h is n e w r e s tr ic tiv e ap p r o a c h a ls o r e q u ir e d th e S ta te D e p a r tm e n t to m a ke c a s e - s pe c i f

i c i m m uni ty r e c om m e nda t i ons f ore a c h l a w s ui ta ga i ns taf or e i gn st at e, and thatprov ed prob l em at i c. S ee V er l i nd en, 46 1 U . S . at48 7, 10 3 S . C t . at 1968. C ongr e s s r e s ol ve d thi s pr obl e m , a tl e a s tf orthe e xe c ut i ve br a nc h, by e na c t i ng the F S I A , s hi f

t i ng the bur de n of

m a ki ng i m m uni ty de t e rm i na t i ons t o the j udi c i a l br a nc h. 28 U . S . C . § 1602 ( s t a t i ng tha tthe de t e rm i na t i on of i m m uni ty by th e c o u r ts w o u ld “s e rv e th e in te r e s ts o f ju s tic e ” ) . A lth o u g h th e F S I A tr a n s f e rr e d th e jo b o f

m a k in g in itia l im m u n ity det erm i nat i on s f

rom the S t at e D epartm entt o the U ni t ed S t at es court s, i tre t ai ned the re stri ct i ve theory of i m m un i ty. T he H ou se R eportac com panyi ng the bi l l that w a s u ltim a te ly e n a c te d e x p la in e d th a t: the bi l l w oul d c odi f

y the s o- c a l l e d “ r e s tr i c t i ve ” pr i nc i pl e of s ove r e i gn i m m un i ty, as pres ent l y r ec og ni ze d i n i nt ernat i on al l aw . U nd erthi s pri nci pl e, the i m m uni ty of

af or e i gn s t a t e i s “ r e s tr i c t e d” t o s ui t s i nvol vi ng af or e i gn s ta te ’s p u b lic a c ts (

ju r e im p e r ii) a n d d o e s n o t e x te n d to s u its b a s e d o n its com m er ci al or pri vat e a ct s ( j ure ges t i on i s) . H .R . R e p . N o . 9 4 - 1 4 8 7 , a t 6 ( 1 9 7 6 ) , r e p r in te d in 1 9 7 6 U .S .C .C .A .N . 6 6 0 4 , 6 6 0 5 . T he c a s e l a w gove rni ng f or e i gn s ove r e i gn i m m uni ty a nd the l e gi s l a t i ve hi s t ory of

the F S I A both tr e a tc om m e r c i a l a nd pr i va t e a c t i vi ty a s out s i de the14

b o u n d s o f

s o v e r e i g n i mmu n i ty . Se e , e . g . , A l f r e d D u n h i l l , 4 2 5 U . S. a t6 9 8 , 9 6 S. C t . a t1863 ( “ c om m e r c i a l a nd pr i va t e a c t i vi t i e s . . . do notgi ve r i s e t o s ove r e i gn i m m un i ty” ); T he S choo ner E xchang e, 11 U . S . (7 C ra nch) at14 3 (“ [A ] cl ea r di s t i nc t i on i s t o be dr a w n be tw e e n . . . pr i va t e i ndi vi dua l s orpr i va t e tr a di ng vess el s, and . . . pu bl i c a rm ed shi ps. ”) ; H . R . R ep. N o. 94 -148 7, at6 (19 76 ), r e p r in te d in 1 9 7 6 U .S .C .C .A .N . 6 6 0 4 , 6 6 0 5 ( “[ T ]h e im m u n ity o f af o r e ig n s ta te is

‘ re stri ct ed’ t o sui t s i nv ol vi ng a f orei gn st at e’ s pub l i c a ct s ( j ure i m peri i ) a nd do es n o t e x te n d to s u its b a s e d o n its c o m m e r c ia l o rp r iv a te a c ts ( ju r e g e s tio n is ) .” ) . C om m e r c i a l a c t i vi t i e s a nd pr i va t e a c t i vi t i e s a r e of t e n s poke n of

t oge the ra nd i n a w aythatdi st i ng ui shes them fr om sovere i gn or pu bl i c a ct s. S ee , e. g. , W el t ov er , 504 U . S . a t613, 112 S . C t . a t2166 ( not i ng “ the di s t i nc t i on be tw e e n s t a t e s ove r e i gn ac t s, on the on e hand, and st at e c om m er ci al and p ri vat e a ct s, on the other” ); L ett er f r om J a c k B . T a t e , A c t i ng L e ga l A dvi s e r , D e pt . of S t a t e , t o P hi l i p B . P e r l m a n, A c tin g A tto rn e y G e n e r a l ( M a y 1 9 , 1 9 5 2 ) , a s r e p r in te d in 2 6 D e p t. o f S ta te B u ll. 9 8 4

– 8 5 ( 1 9 5 2 ) ( “[ t]h e im m u n ity o f th e s o v e r e ig n is r e c o g n iz e d w ith r e g a r d to s o v e r e ig n o rp u b lic a c ts ( ju r e im p e r ii) o f

as ta te , b u t n o t w ith r e s p e c t to p r iv a te a c ts ( j ur e ge s t i oni s ) . ” ) ; H . R . R e p. N o. 94- 1487, a t6 ( 1976) , r e pr i nt e d i n 1976 U . S . C . C . A . N . 6604, 6605.15

Iti s a gai nstthi s hi st ori ca l and l egi sl at i ve backdrop thatthe W el t ov ercourt a nnounc e d the rul e f

orde t e rm i ni ng w he the ra n a c t i vi ty i s c om m e r c i a l : “ [ W ] he n a fore i gn go vernm entac t s, no tas re gu l at or of a m arket , bu ti n the m anner of a pr i va t e pl a y e rw i thi n i t , the f or e i gn s ove r e i gn’ s a c t i ons a r e ‘ c om m e r c i a l ’ w i thi n the m e a ni ng of

the F S I A . ” 504 U . S . a t614, 112 S . C t . a t2166. T he C our te xpl a i ne d: [ B ] e c a us e the A c tpr ovi de s tha tthe c om m e r c i a l c ha r a c t e rof a n a c ti s t o be d e te rm in e d b y r e f

e r e n c e to its “n a tu r e ” r a th e rth a n its “p u rp o s e ,” 2 8 U .S .C . § 1603( d) , the que s t i on i s notw he the rthe f or e i gn gove rnm e nti s a c t i ng w i th a pr of i tm ot i ve ori ns t e a d w i th the a i m of f ul f i l l i ng uni que l y s ove r e i gn obj e c t i ve s . R a the r , the i s s ue i s w he the rthe pa r t i c ul a ra c t i ons tha tthe f or e i gn s t a t e pe r f orm s ( w ha t e ve rthe m ot i ve be hi nd the m ) a r e the ty pe of a c t i ons by w h ich a p riv ate p ar ty en g ag es in “tra d e a n d traf fic o r c o m m er ce ,” B lack ’s L a w D i c t i ona ry 270 ( 6th e d. 1990) I d. O ur fi rs text ended d i sc ussi on of the W el t ov erdeci si on ca m e i n H on du ra s A i rc ra ftR egi stry , L t d. v. G ov ’ tof H on du ra s, 12 9 F . 3d 54 3 (11 th C i r. 19 97 ), w here w e s t at ed thata “ fore i gn st at e l oses i t s i m m un i ty i f i tengages i n com m er ci al ac t i vi ty . . . because then i ti s e xerc i si ng the sa m e pow er s thata pri vat e c i t i ze n m ig h t b e e x e r c is in g .” I d . a t 5 4 8 . W e r e a d W e lto v e rto m e a n th a t “[ a ] f o r e ig n s ta te i s c om m er ci al l y e ng aged w hen i tac t s l i ke an ordi narypri vat e per son, no tl i ke a s ove r e i gn, i n the m a rke t . ” I d. T he H ondur a s c a s e i nvol ve d ac ontr a c te nt e r e d i nt o by tha tc ountry a nd the pl a i nt i f f , ac orpor a t i on f

ounde d by tw o bus i ne s s m e n w i th a i r l i ne e xpe r i e nc e , f or16

th e p r o v is io n o f

g o o d s a n d s e rv ic e s H o n d u r a s n e e d e d to u p g r a d e a n d m o d e rn iz e its ci vi l ae ronaut i cs prog ra m . Id. at54 5. T he pl ai nt i ff s’ re spon si bi l i t i es i ncl ud ed e s tab lis h in g ad a tab a s e c o n ta in in g in f o rm a tio n th a t H o n d u r a s n e e d e d to a d m it a i rpl a ne s t o i t s r e gi s try . I d. W he n i t s l e a de r s hi p c ha nge d, H ondur a s abr oga t e d the contra ct . A ft erbei ng hal ed i nt o a U ni t ed S t at es courtby the pl ai nt i ff , H on du ra s i nvoke d s ove r e i gn i m m uni ty , a r gui ng tha tthe r e gi s tr a t i on of a i r c r a f ti s as ove r e i gn a c t . I d. a t546. W hi l e w e a gr e e d w i th H ondur a s tha t“ r e gi s t e r i ng a i r c r a f tunde rthe H on du ra s f

l ag i s a n actpecul i art o i t s s ov er ei gn ty, ” w e non ethel es s c on cl ud ed that its c o n tr a c tin g f

o rs e rv ic e s w a s ac o m m e r c ia l a c t. I d . a t 5 4 8 . A s w e e x p la in e d , “[ a ]p p a r e n tly H o n d u r a s d id n o t h a v e th e r e s o u r c e s o rth e te c h n ic a l e x p e r tis e to c onduc ti t s ow n a i r c r a f

ti ns pe c t i ons ort o s e tup ar e gi s try , ” s o i t“ ve ntur e d i nt o the m a rk e tp la c e to f

in d th e e x p e r tis e a n d r e s o u r c e s n e e d e d to a c c o m p lis h th o s e ta s k s .” I d . a t 5 4 7 . T h e p la in tif

f s d id n o t c o n te n d th a t th e c o n tr a c t g a v e th e m th e r ig h t to re gi st erai rc ra ftor forc e H on du ra s t o d o so, bu ti nst ea d t oo k the po si t i on thatthey had con tra ct ed t o p rovi de se rvi ce s i n con nect i on w i th regi stra t i on and w er e br i ngi ng s ui tt o e nf

or c e tha tc ontr a c t . I d. a t548. W e a gr e e d, be c a us e “ [ a ] l l of th o s e u n d e r ly in g a c tiv itie s w e r e c o m m e r c ia l in n a tu r e a n d o f th e ty p e n e g o tiab le a m ong pr i va t e pa r t i e s . ” I d. a t547.17 C. T he l ocat i on and capture of afugi t i ve by l aw enforce m entoffi ci al s of a co u n try m ay b e a so v er eig n ac t, b u t th at is n o t w h at th is ca se is ab o u t. P eru ’s c o n tr a c tu a l o f

f e ro f ar e w a r d d id n o t p r o m is e th a t in r e tu rn f o rth e in f o rm a tio n it w a s s e e ki ng P e ru w oul d l oc a t e a nd c aptur e M ont e s i nos , a nd G ue va r ai s not se eki ng t o com pel i tt o d o so. A l l thatG uevara i s s ee ki ng i s w hatP eru p rom i se d i n the r e w a r d of

f e r , w hi c h i s tha ti tw oul d pa y f i ve m i l l i on dol l a r s t o a ny one w ho furni shed i nform at i on of the nature a nd qu al i ty thatenabl ed P eru t o capture M ont e s i nos . T he i nf

orm a t i on tha tG ue va r apr ovi de d f i tthe r e qui r e m e nt s of

the o f f e r : it e n ab le d P e ru to c ap tu r e M o n te s in o s . T h e q u e s tio n in th is ap p e a l is w h e th e rG u e v a r ac a n u s e th e c o u r ts o f th is c o u n try to c o m p e l P e ru to k e e p its c o n tr a c tu a l p r o m is e to p a y h im th e m o n e y it o f f e r e d . T he fa ct s her e a re si m i l arenou gh t o tho se i n the H on du ra s c as e t o com pel the sa m e r es ul t . Justas H on du ra s c ou l d h ave a tt em pt ed t o d evel op i t s a i rc ra ft da t aba s e i n- hous e w i thoutof f e r i ng m one y f

orthe a s s i s t a nc e of

a ny one out s i de the go vernm ent , P eru cou l d h ave a tt em pt ed t o u se i t s pol i ce and i nv es t i gat ory pow er s t o s e a r c h f

orM ont e s i nos w i thoutof f e r i ng m one y f

ori nf orm a t i on f

r om a ny one o u ts id e th e g o v e rn m e n t. H o w e v e r , P e ru “d id n o t h a v e th e r e s o u r c e s o rth e . . . e x p e r tis e ,” H o n d u r a s , 1 2 9 F .3 d a t 5 4 7 , it n e e d e d to g e t th e jo b d o n e . A f te rth e tr a il18

ra n col d, P eru “ ventured i nt o the m arketpl ac e, ” i d. , t o b uy the i nform at i on needed t o ge ti t s m a n. I d. G ue va r apr ovi de d tha ti nf orm a t i on f

orapr i c e , the pr i c e be i ng th e f iv e m illio n d o lla r s th a t P e ru h a d o f f e r e d to p a y f

o rit. T h e u n d e r ly in g a c tiv ity a ti s s ue — the e xc ha nge of m one y f ori nf orm a t i on— i s “ c om m e r c i a l i n na tur e a nd of the ty pe ne got i abl e a m ong pr i va t e pa r t i e s . ” I d. P e ru a tt e m pt s t o di s t i ngui s h H ondur a s by a r gui ng tha the r e “ [ t ] he s ove r e i gn a c tof c aptur i ng M ont e s i nos [ w a s ] ac ondi t i on pr e c e de ntt o the e a rni ng of the r e w a r d. ” ( B r . O f

A ppe l l e e a t8) O n tha tba s i s i tw oul d ha ve us c onc l ude tha tthe “s o v e r e ig n a c t o f

c ap tu r e w a s th e ‘n a tu r e ’ o f th e tr a n s a c tio n .” I d. a t7. B oth the prem i se and the concl usi on of P eru’ s a rgum entar e f al se . T he pr e m i s e of

the a r gum e nti s f

a l s e be c a us e the c ontr a c tdi d notc ont a i n a cond i t i on prec edentre qu i ri ng M on t es i no s’ capture. A rt i cl e O ne of the em er gency de gr e e s pe c i f

i e s tha tthe r e w a r d “ s ha l l be gi ve n t o the pe r s on orpe r s ons w ho pr ovi de ( s ) a c c ur a t e i nf

orm a t i on tha tw i l l di r e c t l y e nabl e l oc a t i ng a nd c aptur i ng V la d im ir o L e n in M o n te s in o s T o rr e s .” ( C o m p l. E x . A ) ( e m p h a s is a d d e d ) . A r tic le T hree spec i fi es thatac cura t e i nform at i on shal l be that“ w hi ch enabl es l oc a t i ng a nd c ap tu r in g V la d im ir o L e n in M o n te s in o s T o rr e s .” I d . ( e m p h a s is a d d e d ) T h is c ondi t i on de s c r i be s the e xt e nta nd qua l i ty of the i nf orm a t i on tha ta n i nf

orm a nt m u s t p r o v id e to q u a lif

y f o rth e r e w a r d . I t d o e s n o t r e q u ir e a n a c tu a l c ap tu r e .19

“ E nabl e ” m e a ns “ t o m a ke abl e ; gi ve pow e r , m e a ns , c om pe t e nc e , orabi l i ty t o; autho ri ze ” or “ t o m ake possi bl e or e as y. ” R ando m H ou se U nabri dg ed D i ct i on ary 639 ( 2d e d. 1983) . G ue va r as a t i s f i e d the c ondi t i on w he n he pr ovi de d i nf orm a t i on s uf f i c i e ntt o “ m a ke abl e ” or“ m a ke pos s i bl e ” the c aptur e of M ont e s i nos . T he i nf orm a t i on he pr ovi de d e nabl e d the c aptur e w he n he pr ovi de d i t ; i tdi d not b eco m e en ab l i n g o n l y aft er P eru t o o k M o n t esi n o s i n t o cu st o d y. A lth o u g h P e ru is s u e dth e E m e r g e n c y D e c r e e in S p a n is h , w e th in k th a t little has bee n l osti n tra nsl at i on . A rt i cl e O ne uses a c on j ug at ed form of the verb

“ pe rm i t i r , ” w hi c h m e a ns “ t o pe rm i t ” or“ t o a l l ow . ” H a rr ap’ s C onc i s e S pa ni s h 383 ( 1 9 9 1 ) . A r tic le T h r e e u s e s “p o s ib ilita r ,” w h ic h m e a n s “to m a k e p o s s ib le ” o r“to faci l i t at e. ” Id . at3 9 7 . P eru w as n o to fferi n g a rew ard i n retu rn fo r M o n t esi n o s’ c aptur e ; i tw a s of

f e r i ng ar e w a r d i n r e turn f ori nf orm a t i on of

s uf f i c i e nt l y hi gh q u a lity to e n ab le h is c ap tu r e . I t is tru e th a t A r tic le S e v e n p r o v id e s th a t P e ru “s h a ll p a y th e F in a n c ia l R e w a r d 2 4 h o u r s a f te rth e a c tu a l lo c a tio n a n d c ap tu r e o f . . . M ont e s i nos . ” ( C om pl . E x. A ) . W hi l e thi s c l a us e c oul d be r e a d a s ac ondi t i on pr e c e de ntr e qui r i ng c aptur e , i tappe a r s pr i m a r i l y i nt e nde d t o i nduc e a c c e pt a nc e of th e r e w a r d o f

f e rb y p r o m is in g tim e ly p a y m e n t. P uta nothe rw a y , i f

G ue va r aha d of

f e r e d up e ve ry s i ngl e bi tof i nf orm a t i on P eru cou l d p ossi bl y des i re abou tho w t o l ocat e and capture M on t es i no s, bu tP eru20

ha d as udde n c ha nge of he a r ta nd de c i de d t o l e tM ont e s i nos r e m a i n f r e e , w e thi nk th a t G u e v a r as till w o u ld h a v e s a tis f ie d h is e n d o f

th e b a r g a in . P e ru ’s o w n w e b s ite d e s c r ib in g th e E m e r g e n c y D e c r e e b e s t e x p la in s th e d o c u m e n t’s te rm s : “T h e b a s ic c ondi t i on i s t o gi ve true i nf orm a t i on t o m a ke pos s i bl e the l oc a t i on a nd c aptur e of V la d im ir o M o n te s in o s T o rr e s .” I d . G ue va r adi d tha t , a nd P e ru us e d the in f o rm a tio n to c ap tu r e M o n te s in o s . E v en if th e c ap tu re o f M o n tesin o s w er e a co n d it io n p re ce d en t, P eru ’s as se rt i on thatcond i t i on s nec es sa ri l y ( or even typi ca l l y) al t erthe “ nature” of a co n tracti s m i st ak en . T h e co re o f a co n tracti s th e p art i es’ p erfo rm an ce o b l i g at i o n s, w hatthey bar gai ned for. C on di t i on s f i x the t i m i ng of the part i es ’ perf orm ance obl i ga t i ons orm a ke the m c ont i nge nt . T he oc c urr e nc e of ac ondi t i on m a y be be y ond the pa r t i e s ’ c ontr ol , buttha tdoe s nota l t e rthe na tur e of the c ontr a c t . F or e x a m p le , a n o il c o m p a n y m ig h t e n te rin to ac o n tr a c t w ith af r e ig h t c o m p a n y to s h ip oi l fr om T urkey t o the U ni t ed S t at es cond i t i on ed on the oi l com pany re ce i vi ng an e xpor tl i c e ns e f

r om the gove rnm e ntof

T urke y . A l though the c ondi t i on – the g r a n tin g a n e x p o r t lic e n s e –is as o v e r e ig n a c t, s e e M O L , I n c . v . P e o p le s R e p u b lic of B a ngl a de s h, 736 F . 2d 1326, 1328–29 ( 9th C i r . 1984) , the c ontr a c ti s s t i l l one f or th e s h ip m e n t o f

o il, w h ic h is q u in te s s e n tia lly c o m m e r c ia l.21

T h e sam e p ri n ci p l e ap p l i es i f o n e o f th e p art i es i s a so v erei g n st at e. S u p p o se thata c ou ntrycontra ct s t o b uy bu l l et s f rom a pri vat e m anufacturer . W e kno w that tr a n s a c tio n w o u ld b e ac o m m e r c ia l a c tiv ity b e c a u s e th e S u p r e m e C o u r t h a s s a id s o . W e l t ove r , 504 U . S . a t614, 112 S . C t . a t2166 ( “ [ A ] c ontr a c tt o buy a rm y boot s or even bu l l et s i s a‘ com m er ci al ’ ac t i vi ty. ”) . If the coun trycond i t i on ed the contra ct o n it d e c la r in g w a ro n an e ig h b o rb e f o r e th e s c h e d u le d d a te o f d e liv e ry , w e w o u ld s till h a v e ac o m m e r c ia l c o n tr a c t u n d e rw h ic h , if w a ris d e c la r e d , th e p r iv a te p a r ty is o b lig a te d to s u p p ly b u lle ts a n d th e c o u n try w o u ld b e o b lig a te d to p a y f o rth e m . T he c ondi t i on pr e c e de ntof ade c l a r a t i on of

w a rs pe a ks t o the purpos e or m ot i va t i on f

orbuy i ng the bul l e t s , buti tdoe s notc ha nge the c om m e r c i a l na tur e of the a c t s of

pur c ha s i ng a nd pa y i ng f orthe m . E nf

or c i ng the c ontr a c tw oul d not im p in g e o n s o v e r e ig n ty , b e c a u s e it w o u ld n o t f o r c e th e c o u n try to d e c la r e w a ro rto r e f r a in f r o m d o in g s o . W e thi nk tha ti nf

orm a t i on aboutaf

ugi t i ve ’ s w he r e about s i s t o aw a ron cr i m e a s m i l i t ary s up pl i es ar e t o a m ore tra di t i on al w ar . B oth com m od i t i es ar e us e f ul t o as t a t e ’ s pe r f

orm a nc e of

as ove r e i gn f

unc t i on, butac ontr a c tf orthe pu rc hase of ei ther does notre qu i re the st at e t o p er form a s ov er ei gn funct i on . In b o th s itu a tio n s p e r f

o rm a n c e o f

th e c o n tr a c t b y th e p r iv a te p a r ty e n ab le s th e s ta te to e n g a g e in as o v e r e ig n f

u n c tio n if

it w is h e s , b u t d o e s n o t m a n d a te th a t it d o s o .22

W h at itm an d ates is th at th e s tate p ay th e p ro m ised am o u n t fo r th e o th erp ar ty’s p e r f o rm a n c e . P a y in g a n a m o u n t o w e d u n d e rac o n tr a c t is n o t its e lf as o v e r e ig n a c t. C on di t i on s pre ce dentst em fr om the m ot i vat i on for acontra ct , ra ther than f r om i t s na tur e . P a r t i e s i ns e r tc ondi t i ons pr e c e de nta s i ns ur a nc e a ga i ns tf rus tr a t i on o f p u rp o s e . I f

ag e n e r a l c o n tr a c to ro n ly n e e d s th e s e rv ic e s o f as u b c o n tr a c to rif

it w in s th e b ido n a c o n stru ctio n co n trac t, itco n d it io n s th e u se o f th e s u b co n trac to r’s s e rvi c e s on the out c om e of the bi ddi ng. B e c a us e P e ru onl y w a nt e d t o pa y f or in f o rm a tio n ab o u t M o n te s in o s s u f f ic ie n t to e n ab le h is c ap tu r e , P e ru f r a m e d its o f f e rin th o s e te rm s . A lth o u g h c ap tu r in g M o n te s in o s m a y h a v e b e e n c r itic a lly im p o r ta n t to P e ru a n d to its o b lig a tio n u n d e rth e c o n tr a c t, it is n o t c r itic a lly i m por t a ntt o ours ove r e i gn i m m uni ty a na l y s i s . T he F S I A t e l l s us tha t“ [ t ] he com m er ci al char ac t erof an act i vi ty s hal l be det erm i ned b y r ef er ence t o the nature of the . . . ac t , ra ther than b y r ef er ence t o i t s purpo se . ” 28 U . S . C . § 1 60 3(d); se e a l s o W e l t ove r , 504 U . S . a t614, 112 S . C t . a t2166. I f the r e i s ac ondi t i on pr e c e de ntpr e s e nthe r e , i ts pe a ks t o P e ru’ s purpos e , i ns t e a d of t o the na tur e of

the c o n tr a c t. P eru n extcont ends thati t s off erof a r ew ar d canno tbe “ com m er ci al ” a s that t e rm i s us e d i n F S I A be c a us e the r e “ i s no m a rke tpl a c e i n w hi c h pr i va t e pe r s ons appr e he nd orc aptur e i ndi vi dua l s . ” ( B r . O f A ppe l l e e a t9) I n f

a c t , the r e i s . N ot23

on l y thatbu tthe ol destA m er i ca n d ec i si on re cogn i zi ng a c om m er ci al ac t i vi t i es e xc e pt i on t o s ove r e i gn i m m uni ty i nvol ve d ar e w a r d f orc aptur e . I n 1798 the D i s tr i c tC our tof

S outh C a r ol i nahe l d tha tas hi p f l y i ng unde rthe f

l a g of af or e i gn s ta te c o u ld n o t c la im s o v e r e ig n im m u n ity in aw a g e d is p u te w h e r e th e w a g e s it ow ed the se am en w er e pai d as are w ar d for ea ch shi p captured, a f ac tthatw as

“ deci si ve of the com m er ci al char ac t er ” of the vess el . T he B el l on a, 8 F . C as . at 5 5 9 . W hi l e the da y s of pr i z e s hi ps ha ve pa s s e d, pr i va t e i ndi vi dua l s s t i l l c a n a nd do offe r r ew ar ds for i nform at i on l ea di ng t o the capture of f ug i t i ves. F or exam pl e, popul a rt a l k s how hos tO pr a h W i nf r e y r e c e nt l y of

f e r e d up t o $100, 000 f

or i nform at i on l ea di ng t o the capture of f ug i t i ve chi l d p re dat ors. S ee O prah W i nfre y H e l ps T he F B I G e tI t s M a n, W a s h. P os t , O c t . 8, 2005 a tC 7. W i nf r e y ha s a l r e a dy pa i d a tl e a s tthr e e s uc h r e w a r ds . S e e S t e l l aF os t e r , S t e l l a ’ s C ol um n, C hi . S unT i m e s , J a n. 17, 2006, a t56. O . J . S i m ps on not or i ous l y of f e r e d ar e w a r d f

or i nf orm a t i on l e a di ng t o the a rr e s tof hi s e x- w i f

e ’ s “ r e a l ki l l e r s . ” S e e P a ul L ie b e rm a n , S im p s o n W o n ’t G e t P o lic e H e lp in S e a r c h f o rK ille r , L .A . T im e s , O c t. 5, 19 95 , atA 1. A nd , of course , pri vat e bai l -bon di ng com pani es fr equent l y off er r e w a r d s f

o rin f o rm a tio n le a d in g to th e c ap tu r e o f b a il ju m p e r s . T h e q u e s tio n is w h e th e rP e ru ’s o f

f e ro f ar e w a r d f

o rin f o rm a tio n is th e k in d o f

th in g th a t p r iv a te24

p a r tie s d o . T h e a n s w e ris th a t O p r a h d id it, O .J . d id it, a n d b a il b o n d s m e n d o it r e g u la r ly . C onc e rne d aboutthe e f

f e c tof the ba i l bonds m e n a na l ogy on i t s pos i t i on, P e ru a r gue s tha t“ [ w ] he n aba i l bonds m a n phy s i c a l l y appr e he nds a n i ndi vi dua l , the bo nd sm an do es so as subrog ee of the sovere i gn ’ s autho ri ty. ” ( B r. of A pp el l ee at 1 1 ) . P e ru ’s p o in t, ap p a r e n tly , is th a t w h e n ab o n d s m a n a rr e s ts af u g itiv e h e is ac t i ng as an agentof the soverei gn . T hatar gu m entdo es no thel p P eru m uch, i f a t a l l . I f aba i l bonds m a n of

f e r e d ar e w a r d f

ori nf orm a t i on e nabl i ng the l oc a t i on a nd c ap tu r e o f

af u g itiv e w h o h a d s k ip p e d o u t o n ab o n d , h e c o u ld n o t s u c c e s s f u lly d e f e n d ala w s u it s e e k in g to c o lle c t o n th e r e w a r d b y a s s e r tin g s o v e r e ig n im m u n ity . I f a n a ge nta c t i ng f

orthe s ove r e i gn c oul d nots uc c e s s f ul l y c l a i m s ove r e i gn im m u n ity , th e s o v e r e ig n c o u ld n o t e ith e r . T hatP eru’ s off

erof a r ew ar d for i nform at i on enabl i ng the capture of a f ugi t i ve i s the ki nd of

thi ng tha tpr i va t e pa r t i e s do be c om e s e ve n m or e obvi ous w hen w e properl y c hara ct er i ze the m arketata hi gh erl evel of general i ty. In W e l t ove r , the S upr e m e C our tbr oa dl y c ha r a c t e r i z e d ac ontr a c tf orthe pur c ha s e of b u l l et s as a “ sal es co n tract [] . ” 5 0 4 U . S . at6 1 4 , 1 1 2 S . C t . at2 1 6 6 . In H o n d u ras, w e c hara ct er i ze d the contra ctas on e des i gn ed “ t o p rovi de go od s a nd se rvi ce s. ” 1 2 9 F .3 d a t 5 4 8 . W h a t w e h a v e h e r e is ac o n tr a c t to p u r c h a s e in f o rm a tio n , a n d in25

o u rin f o rm a tio n a g e s u c h c o n tr a c ts a r e ac o m m o n s tap le o f th e p r iv a te s e c to r . P e ru’ s a tt e m ptt o l ow e rthe l e ve l of ge ne r a l i ty f

r om ac ontr a c tf

orthe s a l e of i nform at i on do w n t o o ne of re w ar d for i nform at i on l ea di ng t o the capture of a f u g itiv e f o c u s e s o n th e p u rp o s e in s te a d o f th e n a tu r e o f

th e tr a n s a c tio n . C o n tr a c ts f

o rth e p u r c h a s e o f

in f o rm a tio n a r e u b iq u ito u s in th e m a rk e tp la c e . M arket i ng com pani es offe r c ol l ege s tud ent s afe w do l l ar s, or a produ ctw orth that m uc h, f orc om pl e t i ng s urve y s . N onpr of i tgr oups pa y m a rke tr e s e a r c h f i rm s f or e a c h na m e a dde d t o at a r ge t e d m a i l i ng l i s t . A pa r tm e ntc om pl e xe s a nd f i tne s s c l ubs offe r r ef erra l bo nu se s f

or tho se w ho prov i de the nam es of fr i ends and ass oci at es w h o m a y b e lo o k in g f

o rap la c e to liv e . A p le th o r ao f in te rn e t s ite s o f

f e rf o rs a le i nf orm a t i on aboutthe a rr e s tr e c or d, l i t i ga t i on hi s t ory , a nd l oc a t i on of e ve ry one w ith an a m e a n d s o m e k in d o f n u m b e rto g o w ith it. ( T h in k L e x is N e x is .) C r e d it re po rt i ng agenci es se l l t ens of m i l l i on s of dol l ar s of i nform at i on abou tconsum er s a nd bus i ne s s e s t o othe rbus i ne s s e s e a c h y e a r . T he r e i s nothi ng s ove r e i gn about buy i ng a nd s e l l i ng i nf

orm a t i on. F i nal l y, P eru con t ends thateven i f apri vat e i nd i vi du al ca n eng age i n an a c t i vi ty , i tdoe s notm e a n tha tthe a c t i vi ty i s c om m e r c i a l . I ta c c us e s G ue ve r aof

“ e qua t [ i ng] pr i va t e a c t i vi ty w i th c om m e r c i a l a c t i vi ty , ” ( B r . of A ppe l l e e a t11) , but thi s e qua t i on i s ha r dl y nove l . S e ve r a l c e ntur i e s of c a s e l a w , the T a t e L e tt e r , a nd26

the l e gi s l a t i ve hi s t ory of the F S I A a l s o us e thos e t e rm s i nt e r c ha nge abl y . S t i l l , the t erm codi fi ed i n the ac ti s “ com m er ci al ac t i vi ty, ” a nd w e a gree w i th P eru thatthere i s are al m of pri vat e a ct i vi ty thatca nn otfa i rl y f al l w i thi n any m ea ni ng of the w ord “c o m m e r c ia l.” B u t w e d o n o t a g r e e w ith P e ru ’s p r o p o s a l ab o u t h o w w e s h o u ld s t a k e o f f th a tr e a l m. P e ru pr opos e s tha t“ c om m e r c i a l a c t i vi ty ” i nc l ude s onl y tha tw hi c h i s “ done f o rap r o f i tmo t i v e . ” I d . a t1 2 . W e d e c l i n e t o a d o p tth a tt e s tb e c a u s e th e Su p r e me C ou rthas i nstruct ed us thatthe F S IA “ un m i st akabl y c om m ands” thatw e c on si der the na tur e , r a the rtha n the purpos e , of atr a ns a c t i on, W e l t ove r , 504 U . S . a t617, 112 S . C t . a t2167, a nd a“ m ot i ve ” t e s ttr e a ds t oo c l os e l y t o a n e xa m i na t i on of

“ pu rpose. ” P e ru poi nt s outtha tw hi l e the t e xtof the A c tpr ohi bi t s a n i nqui ry i nt o the gove rnm e nt ’ s a c tua l m ot i ve f orapa r t i c ul a ra c t , i tdoe s notf orbi d us f

r om i m agi ni ng w hy a pri vat e per son m i gh tengage i n si m i l arcond uct . W e c ou l d, P eru s a y s , im a g in e th a t ah y p o th e tic a l p r iv a te p a r ty w a s p e r f o rm in g a n id e n tic a l a c tiv ity a s the gove rnm e nta nd the n i nqui r e i nt o w he the rtha thy pothe t i c a l pa r ty ha d a profi tm ot i ve. W e s e e no r e a s on t o do s o, be c a us e thi s ty pe of i nqui ry i s not s uppor t e d by the t e xtof F S I A orby pr e c e de nt . I tw oul d be i nc ons i s t e ntw i th the l a ngua ge of

the A c ta nd the S upr e m e C our t ’ s i ns truc t i on tha tm ot i ve notbe27

c ons i de r e d. I ti s a l s o unne c e s s a ry , be c a us e the W e l t ove rt e s ta l r e a dy s c r e e ns out n o n - c o m m e r c ia l a c ts . W hi l e the F S IA do es no tst at e thatal l com m er ci al ac t i vi t i es m usthave a profi tm ot i ve, the l egi sl at i ve hi st ory of the A ctdo es es t abl i sh thatal l ac t i vi t i es ca rr i ed on for aprofi tar e c om m er ci al . H . R . R ep. N o. 94 -148 7, at16 (197 6), re pri nt ed i n 1 97 6 U . S . C . C . A . N . 66 04 , 66 15 . B utsa yi ng thatfor- profi tac t i vi t i es a r e c om m e r c i a l i s notthe s a m e thi ng a s s a y i ng tha ta l l c om m e r c i a l a c t i vi t i e s a r e f or p r o f it. T h e p r e m is e th a t a ll A is B d o e s n o t lo g ic a lly c o m p e l th e c o n c lu s io n th a t a ll B is A , u n le s s A a n d B a r e th e s a m e th in g . T h e r e is n o r e a s o n in th e F S I A to b e lie v e th a t c o m m e r c ia l a c tiv ity m e a n s th e s a m e th in g , a n d n o m o r e th a n , f o r - p r o f it act i v i ty. S o m e act i v i t i es th atare n o tcarri ed o n fo r a p ro fi tm ay n o n eth el ess c o n s titu te c o m m e r c ia l a c ts . A s th e H o u s e R e p o r t e x p la in s : C e r ta in ly , if

a n a c tiv ity is c u s to m a r ily c a rr ie d o n f o rp r o f it, its c om m e r c i a l na tur e c oul d r e a di l y be a s s um e d. A tthe othe re nd of the spec trum , a s i ng l e c on tra ct , i f of the sa m e c hara ct eras a c on tra ct w hi ch m i gh tbe m ade by apri vat e per son, coul d con st i tut e a “p a r tic u la rtr a n s a c tio n o ra c t.” I d . R e d u c in g th e m e a n in g o f c o m m e r c ia l a c tiv ity to th a t m o tiv a te d f o rp r o f it e x c lu d e s w h a t th e H o u s e R e p o r t r e f e rr e d to a s “th e o th e re n d o f th e s p e c tru m ,” c o n tr a c ts “o f

th e s a m e c h a r a c te ra s ac o n tr a c t w h ic h m ig h t b e m a d e b y ap r iv a te pe r s on, ” e ve n i f

notm a de f

orpr of i t . I d.28

A dopt i ng P e ru’ s pos i t i on tha ta n a c t i vi ty i s notc om m e r c i a l unl e s s i ti s f or profi tw ou l d al so confl i ctw i th the W el t ov erdeci si on . T hatdeci si on es t abl i shes th a t ag o v e rn m e n t c o n tr a c t to b u y b u lle ts is c o m m e r c ia l, e v e n th o u g h m o s t p r iv a te in d iv id u a ls d o n o t b u y b u lle ts f o rp r o f it. S e e 5 0 4 U .S . a t 6 1 7 . I n f a c t, w h e n p r iv a te in d iv id u a ls p u r c h a s e g o o d s a n d s e rv ic e s , th e y r a r e ly d o s o w ith th e in te n t to p r o f it fr om thei r purchas e. (T hi nk of consum er s a tgroceryst ores and g as st at i on s. ) P eru’ s t es tw ou l d excl ud e m ostca se s i n w hi ch the go vernm entac t s a s apu rc hase r, r a the rtha n ave ndor , of goods a nd s e rvi c e s be c a us e m os tpur c ha s e s m a de by pr i va t e pe r s ons a r e notm a de w i th the i nt e ntt o r e s e l l f orpr of i t . N othi ng i n the restri ct i v e th eo ry o f so v erei g n i m m u n i ty tu rn s o n w h eth er th e g o v ern m en ti s a b u y e ro ras e lle r . I n s te a d , th e c r itic a l d is tin c tio n is w h e th e rth e g o v e rn m e n t is a c t i ng i n i t s c apa c i ty a s s ove r e i gn ori f i ti s a c t i ng a s a ny pr i va t e i ndi vi dua l m i ght a c t. W e thi nk tha tthe W e l t ove rt e s ta l r e a dy pr ovi de s a n e f f e c t i ve m e c ha ni s m f

or fi l t er i ng ou tpri vat e y etno n-com m er ci al ac t i vi t i es . T he t es tappl i es t o sui t s “ base d u p o n af o r e ig n s ta te ’s p a r tic ip a tio n in th e m a rk e tp la c e in th e m a n n e ro f ap r iv a te c itiz e n .” W e lto v e r , 5 0 4 U .S . a t 6 1 4 , 1 1 2 S . C t. a t 2 1 6 6 ( e m p h a s is a d d e d ) . I t di st i ng ui shes betw ee n cas es w here a f orei gn go vernm entac t s “ as re gu l at or of a m ark et , ” w h i ch are n o tw i th i n th e ex cep t i o n t o so v erei g n i m m u n i ty, an d th o se29

w h e r e it a c ts “in th e m a n n e ro f ap r iv a te p la y e rw ith in ” th a t m a rk e t, w h ic h a r e . I d . W he n i ti s s ue d the of

f e rc ont a i ne d i n the E m e r ge nc y D e c r e e , P e ru e nt e r e d the m a rke tpl a c e of

i nf orm a t i on. I tdi d s o nota s ar e gul a t orbuta s apur c ha s e ri n the m a n n e ra v a ilab le to a n y p r iv a te in d iv id u a l, a n d th a t m a k e s its a c tio n s c o m m e r c ia l. A lth o u g h o u rd e c is io n is n o t b a s e d o n p o lic y g r o u n d s , w e th in k it w o r th n o tin g th a t th is is a n in s ta n c e in w h ic h th e r e s u lt th e la w r e q u ir e s c o in c id e s w ith good pol i c y . A c c e pt i ng P e ru’ s pos i t i on, dr e s s e d though i ti s i n the c l othi ng of s ove r e i gnty , w oul d f

rus tr a t e r a the rtha n f

ur the rthe abi l i ty of

c ountr i e s t o c a rry out the i rs ove r e i gn f

unc t i ons . A ny thi ng tha tm a ke s i te a s i e rf orc ountr i e s t o w e l c h on thei r prom i se s t o p ayfor i nform at i on decr ea se s the re al val ue of any r ew ar d they offe r a nd m akes i tl es s l i kel y thatan offe r w i l l be ac ce pt ed. A s G uevara has l ea rned up t o thi s poi nti n the l i t i gat i on , the prom i se of a m ul t i m i l l i on do l l arre w ar d m e a ns l i tt l e ornothi ng t o a n i nf orm a nti f the c ountry of

f e r i ng the r e w a r d c a nnotbe m a d e to p a y it. T h e h o ld in g P e ru a s k s u s to r e a c h w o u ld je o p a r d iz e n o t o n ly its vi t a l i nt e r e s t s butthos e of e ve ry c ountrytha tof

f e r s r e w a r ds f

ori nf orm a t i on, in c lu d in g th is c o u n try . T he U ni t e d S t a t e s ha s anum be rof s t a tut e s tha ta uthor i z e the e xe c ut i ve branch t o o ff

erre w ar ds for i nform at i on usef ul i n com bat i ng t errori sm , es pi on age, i nt e rna t i ona l na r c ot i c s tr a f f i c ki ng, vi ol a t i ons of

i nt e rna t i ona l hum a ni t a r i a n l a w , a nd30

other c ri m i nal ac t s. S ee , e. g. , 18 U . S . C . §§ 30 71 –7 7 (autho ri zi ng the A tt orney G e n e r a l to o f

f e rr e w a r d s f

o rin f o rm a tio n le a d in g to th e a rr e s t o f in d iv id u a ls e nga ge d i n t e rr or i s m ore s pi ona ge ) ; 22 U . S . C . § 2708 ( gr a nt i ng the S e c r e t a ry of S ta te d is c r e tio n to p a y r e w a r d s f o rin f o rm a tio n le a d in g to th e a rr e s t o f in d iv id u a ls e nga ge d i n i nt e rna t i ona l t e rr or i s m orna r c ot i c s - r e l a t e d of f e ns e s ) ; P ub. L . N o. 105- 323, 112 S t a t . 3029, 3032 ( a m e ndi ng 22 U . S . C . § 2708 t o e xt e nd i tt o c ove rs e r i ous vi ol at i on s of i nt ernat i on al hu m ani t ar i an l aw re l at i ng t o the form erY ug osl avi a) ; P ub . L . N o. 10 6-27 7, 11 4 S t at . 81 3 (ext endi ng P ub . L . N o. 10 5-32 3 t o cov er s e r i ous i nt e rna t i ona l hum a ni t a r i a n c r i m e s i n R w a nda ) ; P ub. L . N o. 108- 106, 117 S t a t . 1209, 1223 ( a uthor i z i ng r e w a r ds f ori nf orm a t i on c onc e rni ng a n i ndi c t e e of the S p e c ia l C o u r t f

o rS ie rr aL e o n e ) . T h e s e r e w a r d p r o g r a m s h a v e b e e n s u c c e s s f u l. U nde rthe m the gove rnm e ntha s pa i d outa tl e a s t$47 m i l l i on s i nc e S e pt e m be r11, 2001. K e vi n W hi t e l a w , J us taP hone C a l l A w a y , U . S . N e w s & W or l d R e p. , J a n. 31, 2005, a t23. S uc c e s s s t or i e s i nc l ude the l oc a t i on a nd c aptur e ( ki l l i ng) of S addam H usse i n’ s s on s, U day a nd Q uasa y H usse i n, and the capture of R am zi Y ous e f , one of the 1993 W or l d T r a de C e nt e rbom be r s . I d. T he F B I a nd C IA used a r ew ar d o ff ert o n ab on e of the m ostnefa ri ou s s pi es i n thi s c ou ntry ’ s hi st ory. F or as l on g as three deca des, a m ol e hi gh i n the A m er i ca n i nt e l l i ge nc e c om m uni ty , c ode - na m e d “ G r a y s ui t , ” pa s s e d on t o the K G B s om e of31

th is c o u n try ’s m o s t c lo s e ly h e ld s e c r e ts . L o u is J . F r e e h , M y F B I 2 3 7 ( 2 0 0 5 ) . A “h u g e tea m o f C IA an d F B I o ff icer s a n d ag en ts” w o rk ed to u n co v erth e tra it o r’s i de nt i ty butw i thouts uc c e s s . I d. F i na l l y , L oui s F r e e h, the D i r e c t orof the F B I a nd G eorge T enet , the D i re ct or of C entra l Int el l i gence, ca m e up w i th a pl an t o o ff era

“ se ven-fi gu re paym ent ” f or hi s i dent i ty. Id. at23 8. T he re w ar d o ff erw as ai m ed at r e t i r e d s e ni orK G B i nt e l l i ge nc e of f i c i a l s . I d. O ne of

the m a c c e pt e d the of

f e r . I d. at23 9. In re turn for “ se vera l m i l l i on do l l ar s pl us other c on si dera t i on s” he turned ove rt o the C I A a nd F B I abox f ul l of f i l e s a nd i nf

orm a t i on on G r a y s ui t , w hi c h he s o m e h o w m a n a g e d to s m u g g le o u t o f L u b y a n k a , th e in f

a m o u s K G B h e a d q u a r te r s . I d . W i th th a tc r i t i c a l i n f o rma t i o n G r a y s u i tw a s i d e n t i f i e d a s ah i g h l y p l a c e d FBI agentnam ed B ob H anss en. Id. at24 0. H e w as arre st ed, conv i ct ed, and sent ence d t o l i fe i m p ri so n m en t . M i ch ael K i l l i an , F B I S p y H an ssen G et s L i fe, A p o l o g i zes, C h i. T r ib ., M a y 1 2 , 2 0 0 2 , a t 1 . H ad the K G B agentw ho ac ce pt ed the re w ar d o ff eri n the H anss en ca se had r e a s on t o doubtw he the rthe U ni t e d S t a t e s w oul d pa y a s pr om i s e d, he w oul d not have ri sked hi s l i fe t o p rovi de the i nform at i on thathe di d, i nform at i on thatw as vi t a l t o thi s c ountry ’ s na t i ona l s e c ur i ty i nt e r e s t s . T he s a m e i s true of thos e w ho prov i ded the i nform at i on thatenabl ed U ni t ed S t at es t o corner U day a nd Q uasa y H us s e i n a nd t o c aptur e R a m z i Y ous e f . N one of

the s t a tut e s tha ta uthor i z e the32

U ni t e d S t a t e s gove rnm e ntt o of f e ra nd pa y r e w a r ds c ont a i ns aw a i ve rof s ove r e i gn im m u n ity , b u t r e w a r d o f f e r s a r e o n ly a s e f

f e c tiv e a s th e y a r e e n f

o r c e ab le . E nforceabl e c om m i tm ent s a re i m po rt antt o rew ar d p rogram s, w hi ch ar e i n turn i m po rt antt o the soverei gn i nt er es t s of thi s a nd other c ou ntri es . A bsenta c l ea r r e qui r e m e nti n the F S I A , w e w i l l notc r e a t e i m pe di m e nt s t o the e nf or c e m e ntof r e w a r d c o n tr a c ts e n te r e d in to b y th is o ra n y o th e rc o u n try . I V. G ue va r ac ont e nds tha tthe di s tr i c tc our te rr e d i n f i ndi ng tha tV i da l a nd R ospi gl i osi , the i nd i vi du al defe nd ant s, ac t ed w i thi n the sc op e of thei r autho ri ty a s of f i c i a l s of P e ru i n of

f e r i ng the r e w a r d. T he F S I A doe s note xpr e s s l y pr ovi de i m m un i ty t o i nd i vi du al s a ct i ng on behal f of afore i gn st at e. N on ethel es s, se vera l c ir c u its h a v e f

o u n d th a t s u c h im m u n ity e x te n d s to s ta te o f f ic ia ls a c tin g in th e ir o f f ic ia l c ap a c ity . S e e , e .g ., V e la s c o v . G o v ’t o f I n d o n e s ia , 3 7 0 F .3 d 3 9 2 , 3 9 8 ( 4 th C ir . 2 0 0 4 ) ; K e lle rv . C e n t. B a n k o f N ig ., 2 7 7 F .3 d 8 1 1 , 8 1 5 ( 6 th C ir . 2 0 0 2 ) ; E lF a d l v . C e n t. B a n k o f

J o r d a n , 7 5 F .3 d 6 6 8 , 6 7 1 ( D .C . C ir . 1 9 9 6 ) ; C h u id ia n v . P h il. N at ’ l B ank, 91 2 F . 2d 10 95 , 11 03 (9th C i r. 19 90 ). H ow everthi s r i gh ti s der i vat i ve; c our t s pr ovi de i ndi vi dua l i m m uni ty be c aus e “ [ t ] he rul e tha tf or e i gn s t a t e s c a n be sued on l y pursuantt o the spec i fi c provi si on s of s ec t i on s 160 5– 07 w ou l d b e vi t i at ed33

i f l i t i gant s c ou l d avo i d i m m un i ty s i m pl y by r ec as t i ng the form of thei r pl ea di ng s. ” C h u id ia n , 9 1 2 F .2 d a t 1 1 0 2 . T h a t lo g ic d o e s n o t ap p ly w h e r e th e s o v e r e ig n its e lf is n o t en ti tl ed to im m u n ity. T h er e is n o p re se n t n ee d to re v iew th e d istrict co u rt’s c o n c lu s io n th a t th e in d iv id u a l d e f e n d a n ts w e r e a c tin g w ith in th e s c o p e o f th e ir au th o ri ty. E v en i f th ey w ere, th ey are n o ten t i t l ed t o so v erei g n i m m u n i ty b ecau se th e s o v e r e ig n its e lf

is n o t. T he i ndi vi dua l de f

e nda nt s c ont e nd tha tw e oughtt o a f f i rm the j udgm e nt di sm i ss i ng them fr om the l aw sui tanyw ay , on the grou nd thatthe di stri ctcourt l ac ked p er sonal j uri sdi ct i on ov erthem . T he di stri ctcourt , havi ng foun d thatthey w er e e nt i t l ed t o sov er ei gn i m m un i ty, di sm i ss ed thei r c hal l enge t o p er sonal j uri sdi ct i on as m oo t . T hatre sul tfol l ow ed fr om the di stri ctcourt ’ s c on cl usi on that the defendant s w er e i m m un e und erthe F S IA , w hi ch l i m i t s the subj ec tm att er j u ri sd i ct i o n o f th e fed eral co u rt s. 2 8 U . S . C . § 1 6 0 4 (st at i n g th ati f th e A ctap p l i es,

“ a f orei gn st at e s hal l be i m m un e f rom the j uri sdi ct i on of the court s of the U ni t ed S t at es ”) . “ [A ] courtshou l d i nq ui re i nt o w hether i thas s ubj ec tm att erj uri sdi ct i on at the ea rl i es tpo ss i bl e s t age i n the proceedi ng s. ” U ni v. of S . A l a. v. A m . T ob ac co C o. , 168 F . 3d 405, 410 ( 11th C i r . 1999) . I f the c our tf

i nds tha ti tdoe s notha ve s ubj e c tm a tt e rj ur i s di c t i on, “ the c our t ’ s s ol e r e m a i ni ng a c ti s t o di s m i s s the c a s e f or34

la c k o f ju r is d ic tio n .” M o rr is o n v . A lls ta te I n d e m . C o ., 2 2 8 F .3 d 1 2 5 5 , 1 2 6 1 ( 1 1 th C ir . 2 0 0 0 ) . B ec au se w e d isag re e w ith th e d istrict co u rt th at th e F S IA b ar s G u ev ar a’s s ui t , the i ndi vi dua l de f

e nda nt s ’ m ot i on t o di s m i s s f orl a c k of

pe r s ona l j ur i s di c t i on is a g a in r e le v a n t. H o w e v e r , th e d is tr ic t c o u r t s h o u ld h a v e th e f ir s t o p p o r tu n ity to r e s ol ve i t . D e f

e nda nt s c i t e S E C v. C he ne ry C orp. , 318 U . S . 80, 88, 63 S . C t . 454, 45 9 (19 43 ), for the prop osi t i on thatw e m ustaf fi rm the deci si on of a di stri ctcourt i f i tre ac hed the corre ctre sul tbu tfor the w rong re as on . T he C henery ca se no t es tha tthi s rul e doe s notappl y “ w he r e the c orr e c tne s s of the l ow e rc our t ’ s de c i s i on d e p e n d s u p o n ad e t e rmi n a t i o n o f f a c t . ” I d . O u ro w n d e c i s i o n s a r e t o th e s a me ef fe ct . S ee P ac heco de P er ez v. A T & T C o. , 13 9 F . 3d 13 68 , 13 72 n. 5 (11 th C i r. 19 98 ) ( “ W e a re m i nd ful of the general rul e thata c ou rtof appeal s w i l l no tconsi der i s s ue s notr e a c he d by the di s tr i c tc our t , e s pe c i a l l y w he r e the i s s ue s i nvol ve que s t i ons of

f a c t . ” ) ; S t e w a r tv. D e p’ tof H e a l th a nd H um a n S e rvs . , 26 F . 3d 115, 11 5– 16 (11th C i r. 19 94 ) ( sa m e) . T he “ m i ni m um cont ac t s” pron g o f the pers on al j uri sdi ct i on i nq ui ryi s nec es sa ri l y c as e a nd fa ctspec i fi c. W e dec l i ne t o t ake up that i s s ue w i thoutthe be ne f

i tof f a c t f i ndi ngs f r om the di s tr i c tc our t . V i da l a nd R os pi gl i os i m a y r e a s s e r ton r e m a nd the i s s ue of the di s tr i c tc our t ’ s j ur i s di c t i on o v er th ei r p erso n s.35

R E V E R S E D a n d R E M A N D E D .