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Saipem S.P.A. v. The People’s Republic of Bangladesh

ICSID (Arbitration Tribunal).  21 March 2007 ; 30 June 2009 .

Published online by Cambridge University Press:  01 January 2021

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Abstract

Jurisdiction — ICSID Convention, Article 25(1) — Scope of “legal dispute” — Relationship between ICSID and ICC arbitration — Admissibility of a claim concerning ICC award — Claim not abuse of process — ICSID Tribunal not a controlling body of ICC arbitration — Whether immunity in favour of domestic judiciary

State responsibility — Whether courts qualify as State organs — ILC Articles on State Responsibility — Attribution to be examined in merits phase

Foreign investment — Whether ICC award an investment — Whether residual contractual rights crystallized by ICC award an investment — ICSID Convention, Article 25(1) — Scope of an investment — Conclusion of contract as an investment — “Salini” test — Duration of contract not an applicable criterion — Irrelevance of origin of funds, unless expressly limited — Use of local funds for investment — Advance payment and assessment of commercial risk

Expropriation — Expropriation through decisions of national courts or tribunals — Court decisions as “measures having similar effects” to direct expropriation — Immaterial rights capable of expropriation — Contractual rights to arbitrate — Measures depriving of the benefit of ICC award — Governmental nature of an expropriation act — “Sole effects” doctrine — Requirement of “illegality” — Assumption of jurisdiction by local courts over arbitration not illegal per se — Illegality of revocation of arbitrators — Abuse of rights by courts

Jurisdiction — Exhaustion of local remedies — ICSID Convention, Article 26 — Exhaustion of remedies a substantive requirement — No applicability in expropriation law — Obligation to exhaust effective remedies, not resort to “improbable” remedies

Provisional measures — ICSID Convention, Article 47 — Discretion of tribunal — Requirements of necessity and urgency — Consideration of the parties’ divergent interests — Measures to prevent the increase of harm suffered by party

Applicable law — Whether tribunal bound by previous decisions — Duty to adopt solutions decided in previous cases — Legitimate expectations of parties — Harmonious development of international investment law

Type
Case Report
Copyright
© Cambridge University Press 2016

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