In January 2017, Stichting Petrobras Compensation Foundation (SPCF), backed by a coalition of international investors and law firms, started legal action against Petrobras and filed a Writ of Summons in District Court in Rotterdam, seeking declaratory relief for global investors who purchased Petrobras securities in non-US markets or on non-US exchanges. The litigation in the Netherlands covers the principal Petrobras equity securities that traded on the Bolsa São Paulo and via linked markets such as Latibex on Bolsa Madrid and the exchange in Luxembourg. The litigation in the Netherlands also covers the claims of bondholders whose losses are not included in the US litigation.

ISAF alerts clients that on January 30, 2025, the Foundation filed a notice of appeal to the late 2024 ruling denying declaratory relief for Petrobras equity investors. Appellate briefing in the Petrobras Litigation will begin later this year. A resolution is not expected until 2026. Assuming a successful appeal, impacted Petrobras equity investors will regain the right for declaratory relief and then proceed with damages claims.

While Petrobras equity investors must wait before potentially proceeding with damages, certain Petrobras bondholders were already granted declaratory relief in the 2024 decision. Those bondholders may proceed now with damages claims despite Petrobras having cross-appealed this portion of the ruling in January. To reiterate, Petrobras bondholders may proceed with damages claims while appeals are pending but equity investors may not. Accordingly, ISAF is presently working with damages experts and counsel in preparation for a bondholder group filing.