Arbitral Digest

Matter

Magyar Farming Company Ltd, Kintyre Kft and Inicia Zrt v. Hungary (ICSID Case No. ARB/17/27)

Case no.
ARB/17/27
Applicable rules
ICSID Arbitration Rules in force as of April 2006
  1. 13 November 2019Arbitration

    13 November 2019Arbitration

    Award dated 13 November 2019

    International Centre for Settlement of Investment Disputes

    Decision summary
    The Tribunal found that the dispute was within its jurisdiction and that Hungary breached Article 6.1 of the United Kingdom-Hungary Bilateral Investment Treaty by expropriating the claimants' investment without compensation. Hungary was ordered to pay EUR 7,148,824 plus interest and specified arbitration, filing, and legal costs plus interest; all other claims and requests for relief were dismissed.

    Supporting details

    7 authorities · 10 participants
    Magyar Farming Company Ltd
    Representative
    Zannis Mavrogordato (For: Magyar Farming Company Ltd · Kintyre Kft · Inicia Zrt)
    Representative
    Andras Daniel Laszlo (For: Magyar Farming Company Ltd · Kintyre Kft · Inicia Zrt)
    Kintyre Kft
    Representative
    Zannis Mavrogordato (For: Magyar Farming Company Ltd · Kintyre Kft · Inicia Zrt)
    Representative
    Andras Daniel Laszlo (For: Magyar Farming Company Ltd · Kintyre Kft · Inicia Zrt)
    Inicia Zrt
    Representative
    Zannis Mavrogordato (For: Magyar Farming Company Ltd · Kintyre Kft · Inicia Zrt)
    Representative
    Andras Daniel Laszlo (For: Magyar Farming Company Ltd · Kintyre Kft · Inicia Zrt)
    Hungary
    Representative
    Michael Ostrove (For: Hungary)
    Representative
    Theobald Naud (For: Hungary)
    International Centre for Settlement of Investment Disputes
    Arbitrator
    Inka Hanefeld

    Authorities cited

    7
    • United Kingdom-Hungary Bilateral Investment Treaty (Agreement between the United Kingdom of Great Britain and Northern Ireland and the Hungarian People's Republic for the Promotion and Reciprocal Protection of Investments, dated 9 March 1987)
      treaty
    • ICSID Convention (Convention on the Settlement of Investment Disputes between States and Nationals of Other States, dated 18 March 1965)
      treaty
    • Hungarian Act LXXXVII of 2010 on the National Land Fund
      statute
    • Hungarian Arable Land Act of 1994
      statute
    • Treaty on European Union
      treaty
    • Treaty on the Functioning of the European Union
      treaty
    • Vienna Convention on the Law of Treaties, dated 23 May 1969
      treaty

    2 years and 3 days later · 734 days

  2. 16 November 2021Arbitration

    16 November 2021Arbitration

    Decision on Annulment dated 16 November 2021

    International Centre for Settlement of Investment Disputes

    Decision summary
    The ad hoc Committee dismissed Hungary's Application for Annulment in its entirety, terminated the stay of enforcement of the Award, ordered Hungary to bear the costs of the annulment proceeding, and ordered Hungary to reimburse the claimants GBP 210,000 and EUR 95,250 for legal costs and expenses.

    Supporting details

    4 authorities · 9 participants
    Magyar Farming Company Limited
    Representative
    Zannis Mavrogordato (For: Magyar Farming Company Limited · Kintyre Kft · Inicia Zrt)
    Kintyre Kft
    Representative
    Zannis Mavrogordato (For: Magyar Farming Company Limited · Kintyre Kft · Inicia Zrt)
    Inicia Zrt
    Representative
    Zannis Mavrogordato (For: Magyar Farming Company Limited · Kintyre Kft · Inicia Zrt)
    Hungary
    Representative
    Michael Ostrove (For: Hungary)
    International Centre for Settlement of Investment Disputes
    Arbitrator
    Manuel Conthe
    Arbitrator
    Michael Nolan

    Authorities cited

    4
    • ICSID Convention (Convention on the Settlement of Investment Disputes between States and Nationals of Other States, dated 18 March 1965)
      treaty
    • United Kingdom-Hungary Bilateral Investment Treaty (Agreement between the United Kingdom of Great Britain and Northern Ireland and the Hungarian People's Republic for the Promotion and Reciprocal Protection of Investments, dated 9 March 1987)
      treaty
    • Treaty on the Functioning of the European Union
      treaty
    • Vienna Convention on the Law of Treaties, dated 23 May 1969
      treaty

Matter record

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Magyar Farming Company Ltd, Kintyre Kft and Inicia Zrt v. Hungary (ICSID Case No. ARB/17/27) · Matter