Corporacion Mexicana de Servicios Maritimos, S.A. de C.V. v. The M/T Respect
Opinion
Lead Opinion
Trott, J.
In this case we decide whether Pemex-Refinaeion (Pemex-Refining), a subsidiary of Petróleos Mexicanos (Pemex), is an “agency or instrumentality of a foreign state” under 28 U.S.C. § 1603 (b) and therefore eligible for the protection of the Foreign Sovereign Immunities Act (FSIA or Act), 28 U.S.C. §§ 1602-1611 . It is. However, we hold that Pemex-Refining waived, in part, its immunity by intervening in this action and filing a complaint against the defendants, M T RESPECT, Respect Shipping, and Trans Petrol Services. Finally, we hold that the district court improperly ordered the defendants to transfer $1.2 million to Pemex-Refining.
BACKGROUND
In July of 1994, Corporación Mexicana de Servicios Marítimos, S.A. de C.V. (CMSM), a Mexican corporation, entered into a freight contract with Pemex-Refining to transport fuel. Pemex-Refining was anticipating an increase in domestic demand for automotive fuels but did not have the necessary Mexican-flag vessels to carry these fuels from its Southern Mexico refineries to its Northern Mexico users.
In furtherance of its agreement with Pe-mex-Refining,' CMSM contracted to purchase the M/T RESPECT, a two-year old petroleum tanker owned by…