International centre for settlement of investment disputes icsid case no. The present essay aims to analyze the decision rendered by supreme court of the united states of america, on 5 march 2014, in re bg group plc v. Argentina will hand over portions of the sum to royal dutch shell plcs bg group plc and kinder morgan inc. On petition for a writ of certiorari to the united states court of appeals for the district of columbia circuit motion for leave to file brief. Republic of argentina, decided march 5, 2014, the u. Bg group plc, appellee appeal from the united states district court. In its first case involving international arbitration under a bilateral investment treaty, bg group plc v. This note offers an alternative approach that encompasses these differences and also illustrates the. But argentina later amended the law, changing among other things thecalculation basis to pesos.
Republic of argentina syllabus on the merits, the panel found that argentina had not expropriated bg groups investment but had denied bg group fair and equitable treatment. Bg group limited filing history free information from. Later, in the midst of an economic crisis, argentina enacted an emergency law that required investors to collect tariff revenues in argentinian pesos at. They help a share in gujarat gas company, 65% of which they sold in the year 2012. Argentina this was addressed, as often in the past, in the familiar and fraught context of procedural conditions that the parties in their agreement have imposed on the duty to arbitrate. When deciding whether to grant a partys motion to compel arbitration, the court shall proceed summarily to a trial if the formation of an arbitration agreement is in issue. Invoking article 8, bg group sought arbitration, which the parties sited in washington, d. The supreme courts most recent consideration of the new york convention occurred in 2014, in bg group plc v. The latest versions of adobe reader do not support viewing pdf files within firefox on mac os and if you are using a modern intel mac, there is no official plugin for viewing pdf files within the browser window.
A major player in the global energy market, it has operations in 20 countries and over five continents. All the latest products from gaggia milano, necta, saeco, sgl and futurmat will be on show at the evoca stand. See case mapped in subject navigator on investorstate lawguide. Based upon an investment treaty between the united kingdom and the republic of argentina, bg group plc, representing a consortium, was awarded an exclusive license to distribute. Bg group is a member of the global compact uk network. Court of appeals for the district of columbia circuit in july 2018. Bg, a british corporation located at 100 thames valley park drive, reading berkshire, rg6 1pt, in the united kingdom. Bg group plc was a british multinational oil and gas company headquartered in reading, united kingdom. Courtlistener is a project of free law project, a federallyrecognized 501c3 nonprofit. Bg group, the supremecourt stated that courts should decide issues such as whether the parties are bound by a given arbitration clause, or whether an arbitration clause in a concededly binding. On march 5, 2014, the united states supreme court, in bg group plc v. Bg group limited free company information from companies house including registered office address, filing history, accounts, annual return, officers, charges, business activity.
Bg has a direct and an indirect ownership interest in metrogas s. Motion for leave to file amicus brief filed by awg group limited. An investment treaty treaty between the united kingdom and argentina authorizes a party to submit a dispute to the decision of the competent tribunal of the contracting party in whose territory the investment was made. Republic of argentina, whereby argentina was ordered to pay the british company bg group the amount of. In the early 1990s, bg group plc bg, a british company, made a major investment in argentinas natural gas industry.
Later, in the midst of an economic crisis, argentina enacted an emergency law that required investors to collect tariff revenues in argentinian pesos at a rate of one peso per dollar. Supreme court decision, march 5, 2014 by laura ghitti. Republic of argentina, the us supreme court has further complicated the problem in what has become the first decision in its history on the. It is also the largest lng supplier for united states of america. Awg group ltd brought to you by free law project, a nonprofit dedicated to creating high quality open legal information. The arbitral panel nonetheless ruled it had jurisdiction, found argentina had violated the treaty, and awarded bg group damages. Bg group also signed a deal with chenerie energy in 2011 agreeing to supply lng to usa.
Bg group v republic of argentina a panel discussion. Bg group, plc, a british corporation and investor in argentina gas companies pursuant to the treaty, invoked the arbitration clause without first filing a claim in the argentine courts. Metrogas is a natural gas distribution company incorporated in argentina. This tribunal agrees with bg that interest at a reasonable commercial rate is appropriate the rate of interest is a function of the instrument in which bg could have reasonably invested funds available to it investment in a highly secure, dollar denominated. Bg group is the gas and oil exploration arm of the old british gas. Brief of respondent republic of argentina in opposition filed. For the first time, though, the question arose in the context not of an ordinary commercial contract, but in a bilateral investment treaty. The supreme courts recent decision in bg group, plc v.
By its terms, the bilateral itreaty between the united nvestment kingdom and argentina required an investor to. Evoca group opens 2020 with a more complete offer than ever at sigep, which takes place from 18 to 22 january. Republic of argentina 03052014 syllabus bg group plc v. United states court of appeals for the district of columbia circuit argued november 10, 2011 decided january 17, 2012 no.
Our membership consists of top corporations and law firms, academic and government institutions, and leading mediators and arbitrators around. Shell is a global group of energy and petrochemical companies. Claims arising out of a series of decrees and resolutions taken by argentina in. Supreme court provided guidance on whether a united states. In bg group, argentinas primary argument was similar to ecuadors in the present case. In the early 1990s, bg group plc bg, a british company, made a major investment in argentina s natural gas industry. Arbitral praeliminaria reflections on the distinction between. Bg group story profile, ceo, founder, history business. Widman285 if not satisfied, procedural preconditions to arbitration may bar a partys right to pursue a case in. Republic of argentina certiorari to the united states court of appeals for group had to commence a lawsuit in argentinas courts and wait 18.
Republic of argentina syllabus on the merits, the panel found that argentina had not expropriated bg group s investment but had denied bg group fair and equitable treatment. Bg group claimed that argentina s new laws and practices violated the treaty, which forbids the expropriation of investments and requires each nation to give fair and equitable treatment to investors from the other. Bg group is one of the major manufacturers of liquefied natural gas. At the time of bg groups investment, argentine law provided that gas tariffs would be calculated in u. Republic of argentina, the court ruled 72 against argentina, concluding that arbitrators acted within their power when they concluded that a british firm was not required to.
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