Commerce Group Corp. and San Sebastian Gold Mines, Inc. v. Republic of El Salvador (ICSID Case No. ARB/09/17)

Procedural record

1. 14 March 2011Arbitration

   14 March 2011Arbitration

   Award

   International Centre for Settlement of Investment Disputes

   Decision summary

   The Tribunal determined that the dispute was outside its jurisdiction and competence under CAFTA, ordered each side to bear one-half of the arbitration costs and each party to bear its own legal fees and expenses, and dismissed all other claims and requests for relief.

   Participants

   Commerce Group Corp

   Representative

   John E. Machulak (For: Commerce Group Corp)

   Representative

   Eugene Bykhovsky (For: Commerce Group Corp)

   Representative

   Andrew Newcombe (For: Commerce Group Corp)

   San Sebastian Gold Mines, Inc.

   Republic of El Salvador

   Representative

   Luis Parada (For: Republic of El Salvador)

   Representative

   Derek Smith (For: Republic of El Salvador)

   Representative

   Tomas Solis (For: Republic of El Salvador)

   Representative

   Erin Argueta (For: Republic of El Salvador)

   International Centre for Settlement of Investment Disputes

   Arbitrator

   Horacio A. Grigera Naon

   Arbitrator

   Christopher Thomas

   Arbitrator

   Albert Jan van den Berg

   Authorities cited

   6

   • Central American-Dominican Republic Free Trade Agreement
     statute
   • Convention on the Settlement of Investment Disputes between States and Nationals of Other States (ICSID Convention)
     statute
   • El Salvador Investment Law
     statute
   • Waste Management Inc. v. United Mexican States (ICSID Case No. ARB(AF)/98/2, Arbitral Award, 2 June 2000)
     case law
   • Railroad Development Corporation v. Republic of Guatemala (ICSID Case No. ARB/07/23, Decision on Objection to Jurisdiction under CAFTA Article 10.20.5, 17 November 2008)
     case law
   • Vannessa Ventures Ltd. v. Bolivarian Republic of Venezuela (ICSID Case No. ARB(AF)/04/6, Decision on Jurisdiction, 22 August 2008)
     case law

   1 year, 6 months and 6 days later · 556 days

2. 20 September 2012Arbitration

   20 September 2012Arbitration

   Decision on El Salvador's Application for Security for Costs

   International Centre for Settlement of Investment Disputes

   Decision summary

   The ad hoc Committee denied the Republic of El Salvador's application for security for costs and made no decision on costs at that stage.

   Participants

   Commerce Group Corp

   San Sebastian Gold Mines, Inc.

   Republic of El Salvador

   International Centre for Settlement of Investment Disputes

   Arbitrator

   Michael C. Pryles

   Arbitrator

   Christoph Schreuer

   Arbitrator

   Emmanuel Gaillard

   Tribunal secretary

   Marco Tulio Montanes-Rumayor

   Authorities cited

   2

   • Convention on the Settlement of Investment Disputes between States and Nationals of Other States (ICSID Convention)
     statute
   • Libananco Holdings Co. Limited v. Republic of Turkey (ICSID Case No. ARB/06/8, Decision on Preliminary Issues, 23 June 2008)
     case law

   11 months and 8 days later · 342 days

3. 28 August 2013Arbitration

   28 August 2013Arbitration

   Order of the Committee Discontinuing the Proceeding and Decision on Costs

   International Centre for Settlement of Investment Disputes

   Decision summary

   The ad hoc Committee ordered that the annulment proceeding be discontinued. Each party was to bear its own costs and legal expenses; the Applicants were to bear the fees and expenses of the Committee members and the Centre, with any remaining case-fund balance refunded to the Applicants.

   Participants

   Commerce Group Corp

   San Sebastian Gold Mines, Inc.

   Republic of El Salvador

   International Centre for Settlement of Investment Disputes

   Arbitrator

   Michael C. Pryles

   Arbitrator

   Christoph Schreuer

   Arbitrator

   Emmanuel Gaillard

   Tribunal secretary

   Marco Tulio Montanes-Rumayor