Arnold & Porter Obtains ICSID Victory for the Republic of Panama In Hydro-Electric Power Dispute
Washington, D.C., June 29, 2016 -- Arnold & Porter LLP has successfully represented the Republic of Panama in a significant ICSID arbitration brought by US company, Transglobal Green Energy and its Panamanian affiliate Transglobal Green Energy Panama, relating to claims for more than $400 million in connection with a purported investment in a hydro electric power concession. On June 2, 2016, the Tribunal dismissed the entirety of Claimants' claims for lack of jurisdiction on the ground of abuse of the investment treaty system through an attempt to create artificial international jurisdiction over a pre-existing domestic dispute. The Tribunal also awarded Panama almost all of its attorneys' fees, plus all arbitration costs, subject to post award interest compounding at the rate of LIBOR plus 2 percent per annum. Arnold & Porter's legal team for Panama was led by partners Whitney Debevoise and Gaela Gehring Flores, with assistance from associates Pedro Soto and Alejandra Parra Orlandoni; and foreign attorney Natalia Giraldo-Carrillo, as well as representatives of Panama’s Ministry of Economy and Finance. The case is Transglobal Green Energy, LLC and Transglobal Green Energy de Panama, S.A. v. Republic of Panama (ICSID Case No. ARB/13/28).
The latest victory before ICSID was Arnold & Porter's 24th consecutive positive ruling on behalf of sovereign States in investment treaty arbitrations in recent years.