Arbitral Digest

Matter

Saipem S.p.A. v. People's Republic of Bangladesh (ICSID Case No. ARB/05/7)

Case no.
ARB/05/7
Applicable rules
ICSID Arbitration Rules
  1. 4 October 1992Bangladesh

    4 October 1992Bangladesh

    Bangladesh court injunction dated 4 October 1992

    Decision summary
    A Bangladeshi court issued an injunction restraining payments by Petrobangla to Saipem; the injunction was lifted on 31 May 1993.

    Supporting details

    2 participants
    Saipem S.p.A.
    Petrobangla

    8 months and 13 days later · 256 days

  2. 17 June 1993Italy

    17 June 1993Italy

    Decision of the Court of Milan dated 17 June 1993

    Court of Milan

    Decision summary
    The Court of Milan prohibited Banque Indosuez Italy from paying the Warranty Bond to Banque Indosuez Pakistan and confirmed the injunction on 19 July 1993.

    1 month and 26 days later · 56 days

  3. 12 August 1993Italy

    12 August 1993Italy

    Judgment of the Court of Appeal of Milan dated 12 August 1993

    Court of Appeal of Milan

    Decision summary
    The Court of Appeal of Milan affirmed the injunction concerning payment under the Warranty Bond.

    2 years, 3 months and 15 days later · 837 days

  4. 27 November 1995Arbitration

    27 November 1995Arbitration

    ICC Award on Jurisdiction dated 27 November 1995

    International Centre for Settlement of Investment Disputes

    Decision summary
    The ICC Arbitral Tribunal dismissed Petrobangla's challenge to its jurisdiction and proceeded to address the merits.

    Supporting details

    2 participants
    Saipem S.p.A.
    Petrobangla
    International Centre for Settlement of Investment Disputes

    1 year, 11 months and 28 days later · 728 days

  5. 24 November 1997Bangladesh

    24 November 1997Bangladesh

    Injunction of the Supreme Court of Bangladesh dated 24 November 1997

    Supreme Court of Bangladesh

    Decision summary
    The Supreme Court of Bangladesh issued an interim injunction restraining Saipem from proceeding with ICC Arbitration Case No. 7934CK for eight weeks.

    Supporting details

    2 participants
    Saipem S.p.A.
    Petrobangla
    Supreme Court of Bangladesh

    1 year, 5 months and 8 days later · 524 days

  6. 2 May 1999Bangladesh

    2 May 1999Bangladesh

    Judgment of the High Court Division of the Supreme Court of Bangladesh dated 2 May 1999

    High Court Division of the Supreme Court of Bangladesh

    Decision summary
    The High Court Division allowed Petrobangla's appeal, set aside the order dated 16 November 1997, and granted an interim injunction concerning the ICC Tribunal proceedings.

    Supporting details

    2 participants
    Saipem S.p.A.
    Petrobangla
    High Court Division of the Supreme Court of Bangladesh

    2 months and 23 days later · 84 days

  7. 25 July 1999Bangladesh

    25 July 1999Bangladesh

    Judgment of the Appellate Division of the Supreme Court of Bangladesh dated 25 July 1999

    Appellate Division of the Supreme Court of Bangladesh

    Decision summary
    The Appellate Division upheld the High Court Division judgment of 2 May 1999.

    Supporting details

    2 participants
    Saipem S.p.A.
    Petrobangla
    Appellate Division of the Supreme Court of Bangladesh

    8 months and 11 days later · 255 days

  8. 5 April 2000Bangladesh

    5 April 2000Bangladesh

    Decision of the First Court of the Subordinate Judge of Dhaka dated 5 April 2000

    First Court of the Subordinate Judge of Dhaka

    Decision summary
    The First Court of the Subordinate Judge of Dhaka revoked the authority of the ICC Tribunal, finding procedural impropriety, disregard of law and misconduct creating a likelihood of miscarriage of justice.

    Supporting details

    2 participants
    Saipem S.p.A.
    Petrobangla
    First Court of the Subordinate Judge of Dhaka

    1 year and 25 days later · 390 days

  9. 30 April 2001Arbitration

    30 April 2001Arbitration

    ICC Tribunal Order dated 30 April 2001

    International Centre for Settlement of Investment Disputes

    Decision summary
    The ICC Tribunal resumed the proceedings, holding that challenges to or replacement of arbitrators fell within the exclusive jurisdiction of the ICC Court rather than the Bangladeshi courts, and that revocation of the Tribunal's authority by Bangladeshi courts was contrary to general principles of international arbitration.

    Supporting details

    2 participants
    Saipem S.p.A.
    Petrobangla
    International Centre for Settlement of Investment Disputes

    2 years and 9 days later · 739 days

  10. 9 May 2003Arbitration

    9 May 2003Arbitration

    ICC Award dated 9 May 2003

    International Centre for Settlement of Investment Disputes

    Decision summary
    The ICC Arbitral Tribunal held that Petrobangla breached its contractual obligations by failing to pay compensation for a time extension and additional works. It ordered payment of USD 6,148,770.80 and EUR 110,995.92, with interest at 3.375% from 7 June 1993, and ordered return of the Warranty Bond.

    Supporting details

    2 participants
    Saipem S.p.A.
    Petrobangla
    International Centre for Settlement of Investment Disputes

    11 months and 12 days later · 348 days

  11. 21 April 2004Bangladesh

    21 April 2004Bangladesh

    Decision of the High Court Division of the Supreme Court of Bangladesh dated 21 April 2004

    High Court Division of the Supreme Court of Bangladesh

    Decision summary
    The High Court Division denied Petrobangla's application to set aside the ICC Award, holding the application misconceived and incompetent because there was no Award in the eye of the law; it treated the Award as a nullity that could neither be set aside nor enforced.

    Supporting details

    2 participants
    Saipem S.p.A.
    Petrobangla
    High Court Division of the Supreme Court of Bangladesh

    2 years and 11 months later · 1064 days

  12. 21 March 2007Arbitration

    21 March 2007Arbitration

    Decision on Jurisdiction and Recommendation on Provisional Measures

    International Centre for Settlement of Investment Disputes

    Decision summary
    The Tribunal held that the dispute fell within the jurisdiction of the Centre and the competence of the Tribunal, rejected Bangladesh's objections to admissibility, ICSID jurisdiction and competence, ordered the proceedings to continue on the merits, and reserved costs. It recommended steps to prevent Petrobangla from encashing Warranty Bond No. PG/USD/12/92 and dismissed the request to return the Retention Money.

    Supporting details

    7 authorities · 6 participants
    Saipem S.p.A.
    People's Republic of Bangladesh
    International Centre for Settlement of Investment Disputes
    Arbitrator
    Philip Otton
    Tribunal secretary
    Martina Polasek

    Authorities cited

    7
    • Agreement Between the Government of the Republic of Italy and the Government of the People's Republic of Bangladesh on the Promotion and Protection of Investments (20 March 1990)
      statute
    • Convention on the Settlement of Investment Disputes between States and Nationals of Other States (Washington Convention of 18 March 1965)
      statute
    • Salini Costruttori S.p.A. and Italstrade S.p.A. v. Kingdom of Morocco (ICSID Case No. ARB/00/4, Decision on Jurisdiction of 23 July 2001)
      case-law
    • Impregilo S.p.A. v. Islamic Republic of Pakistan (ICSID Case No. ARB/03/3, Decision on Jurisdiction of 22 April 2005)
      case-law
    • Bayindir Insaat Turizm Ticaret Ve Sanayi A.S. v. Islamic Republic of Pakistan (Decision on Jurisdiction of 14 November 2005)
      case-law
    • Victor Pey Casado and President Allende Foundation v. Republic of Chile (ICSID Case No. ARB/98/25, Decision on Provisional Measures of 25 September 2001)
      case-law
    • Emilio Agustin Maffezini v. Kingdom of Spain (ICSID Case No. ARB/97/7, Decision on Request for Provisional Measures of 28 October 1999)
      case-law

Matter record

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Saipem S.p.A. v. People's Republic of Bangladesh (ICSID Case No. ARB/05/7) · Matter