842
Syllabus
that approach, although adopted by the plurality, is novel and fails to acknowledge that virtually every contract regarding future conduct operates as an assumption of liability in the event of nonperformance. Accordingly, it is necessary to address the Government's various sovereign defenses, particularly its invocation of the "unmistakability" doctrine. That doctrine simply embodies the commonsense presumption that governments do not ordinarily agree to curtail their sovereign or legislative powers. Respondents have overcome that presumption here in establishing that the Government promised, in unmistakable terms, to regulate them in a particular fashion, into the future. The Government's remaining arguments are readily rejected. The "reserved powers" doctrine cannot defeat a claim to recover damages for breach of contract where subsequent legislation has sought to minimize monetary risks assumed by the Government. The "express delegation" doctrine is satisfied here by the statutes authorizing the relevant federal bank regulatory agencies to enter into the agreements at issue. Finally, the "sovereign acts" doctrine adds little, if anything, to the "unmistakability" doctrine, and cannot be relied upon where the Government has attempted to abrogate the essential bargain of the contract. Pp. 919-924.
Souter, J., announced the judgment of the Court and delivered an opinion, in which Stevens and Breyer, JJ., joined, and in which O'Connor, J., joined except as to Parts IV-A and IV-B. Breyer, J., filed a concurring opinion, post, p. 910. Scalia, J., filed an opinion concurring in the judgment, in which Kennedy and Thomas, JJ., joined, post, p. 919. Rehnquist, C. J., filed a dissenting opinion, in which Ginsburg, J., joined as to Parts I, III, and IV, post, p. 924.
Deputy Solicitor General Bender argued the cause for the United States. With him on the briefs were Solicitor General Days, Assistant Attorney General Hunger, James A. Feldman, Douglas Letter, and Jacob M. Lewis.
Joe G. Hollingsworth argued the cause for respondent
Glendale Federal Bank, FSB. With him on the brief were Jerry Stouck, Donald W. Fowler, Catherine R. Baumer, Carter G. Phillips, Richard D. Bernstein, Theodore R. Posner, and Jesse H. Choper. Charles J. Cooper argued the cause for respondents Winstar Corp. et al. With him on the brief
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