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Home > Legal & Regulatory docs.

RSM Production Corporation v Saint Lucia - ICSID Case No. ARB/12/10 - Decision on Annulment - 29 April 2019

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Country
  • Saint Lucia
  • United States
Year

2019

Summary

Reproduced from www.worldbank.org/icsid with permission of ICSID. (Document, does not apply to summary and/or TDM IACL Case Report below).


Case Report (free download)

Case Report by Bettina Gomes Omizzolo, Editor: Ignacio Torterola

Summary

Claimant brought an action for relief against Saint Lucia pursuant to the implementation of an agreement granting Claimant an exclusive oil exploration license. Regarding a Request for Provisional Measures, the Arbitral Tribunal ordered Claimant to pay all costs advances and to post security for costs, which were not complied with. The Tribunal then vacated the procedural directions granting Claimant a deadline to provide security for costs. The vacatur period expired and Claimant still did not comply with the Tribunal's order. In its final award, the Tribunal dismissed all Claimant's prayers for relief, ordering it to bear all Costs of the Proceedings and to reimburse Respondent's legal costs. Claimant filed an Application for Annulment stating that the Tribunal was improperly constituted due to a challenged arbitrator who was not removed from the Tribunal and that the Tribunal had allegedly exceeded its powers. The ad hoc Committee partially annulled the Tribunal's award to the extent that the latter concluded that Claimant's prayers for relief were to be dismissed "with prejudice". Further, the ad hoc Committee decided that the ad hoc Committee Members' fees and expenses, the ICSID administrative fees and other direct expenses must be borne on the basis of one-third by Saint Lucia and two-thirds by Claimant.

Main issues

Ad hoc committee's competence to annul a disqualification decision; Arbitral Tribunal's powers on provisional measures and security for costs.

RSM Production Corporation v Saint Lucia - ICSID Case No. ARB/12/10 - Decision on Annulment - 29 April 2019

Case report provided by International Arbitration Case Law (IACL)

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