U.S. Supreme Court: Arbitrators Should Interpret Local Litigation Clause in Bilateral Investment Treaty

Vol. 43 No. 3

By

David W. Kiefer, a partner in Dentons’ Litigation and Arbitration Department, represents clients before international and domestic arbitration tribunals and state and federal courts. He focuses on complex commercial disputes arising from the energy, construction, and manufacturing sectors.

Jonathan S. Jemison, counsel in Dentons’ Litigation and Dispute Resolution practice, litigates a wide variety of complex commercial disputes primarily in state and federal courts in New Jersey and New York, as well as before domestic and international arbitration panels.

Samina Kapadia, an associate in Dentons’ Litigaton and Dispute Resolution practice, is a member of the SIL, National Immigrant Justice Center’s Junior Leadership Board, and International Centre for Dispute Resolution’s Young & International program.

On March 5, 2014, in a 7–2 decision, the U.S. Supreme Court reinstated a $185.3 million arbitration award for British firm BG Group PLC against the Republic of Argentina. In BG Group v. Argentina, Case No. 12-138, 572 U. S. ___ (2014), the Supreme Court upheld the arbitrators’ decision about the meaning and application of a local litigation clause in a bilateral investment treaty between the United Kingdom and Argentina.

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