LSG Building Solutions v. Romania: Annulment Is Not An Appeal

On 18 February 2026, an ad hoc committee constituted under the ICSID Convention (the “Committee”) unanimously dismissed Romania’s application for annulment of the Award rendered in an arbitration brought by LSG Building Solutions GmbH and nine other claimants (the “Claimants”). Annulment is a limited form of review for specific fundamental defects. It is not an appeal and does not give the losing party a second opportunity to challenge the Tribunal’s legal conclusions. In its Decision on Annulment (the “Annulment Decision”), the Committee also terminated the stay of enforcement and ordered Romania to bear the full costs of the annulment proceeding and to reimburse the Claimants USD 855,274.69 in legal costs and expenses.¹