Published on December 10th, 2017 | by Olga Papadopoulou0
The Proven Benefits of ISDS and BITs
Kluwer Arbitration Blog
The Proven Benefits of ISDS and BITs –Even for SMEs and Small Claims
Nikos Lavranos (Wöss & Partners)/October 24, 2017
Recently, it was reported that after 14 years since Zimbabwe had illegally evicted Dutch farmers from their farms, it finally agreed to pay the damages awarded under the ICSID award, which dates back in 2009.
In the Funnekotter et al case, the arbitral tribunal rejected Zimbabwe’s necessity defence, which was based on the claimed need to “correct” the inequality between white farmers and black farmers by expropriating white farmers and it ordered Zimbabwe to pay €8.2 million damages plus 10% compounded interest every six months, which means that the award is now worth about €30 million.
In the context of ISDS disputes, this award is a relatively small claim filed by Small and Medium Enterprises (“SMEs”)…