Permanent Mission of India to the United Nations v. City of New York

Summary

The Court held that the FSIA does not immunize a foreign sovereign from a suit to declare the validity of tax liens on property held for housing employees, as such suits place 'rights in immovable property' in issue. The opinion was affirmed and remanded for further proceedings. Justice Stevens, dissenting, argued that the exception should be read narrowly to exclude tax liabilities so as not to swallow the rule of immunity.