Intrinsic Values Corp. v. Superintendencia de Administracion Tributaria

Superintendencia de Administracion Tributaria (plaintiff) contracted with Intrinsic Values Corporation (defendant) for goods, with a Guatemalan bank issuing irrevocable letters of credit for Intrinsic's benefit and two U.S. banks acting as confirming banks. After Superintendencia canceled the contract for nondelivery and sued Intrinsic in Guatemala, a Guatemalan court temporarily enjoined the issuing bank from paying on the letters of credit; Superintendencia then sued in Florida to stop the confirming banks from honoring the letters, arguing any payment to Intrinsic would facilitate a material fraud, and obtained a Florida injunction without naming or serving Intrinsic. Intrinsic later intervened, sought payment, and moved unsuccessfully to dissolve the Florida injunction, then appealed.