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ARTICLE · 13 MARCH 2023

The Komstroy Saga: It Ain't Over Till It's Over

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On 10 January 2023, the Paris Court of Appeal ("Paris CoA") set aside the 50+ million USD UNCITRAL award rendered in the dispute between Komstroy (before Energoalians LLC...

United StatesLitigation, Mediation & Arbitration
John M. Conlon
John M. Conlon
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On 10 January 2023, the Paris Court of Appeal ("Paris CoA") set aside the 50+ million USD UNCITRAL award rendered in the dispute between Komstroy (before Energoalians LLC, and now Stileks Scientific and Production Firm LLC ("Stileks")) and the Republic of Moldova. The referring court applied the ruling rendered by the Court of Justice of the European Union ("CJEU") on 2 September 2021 ("Komstroy ruling") regarding the interpretation of articles 1(6) and 26(1) of the Energy Charter Treaty ("ECT"). Despite scholars' vivid reactions and warnings about the excesses of the CJEU interpreting a multilateral treaty in an extra-EU dispute, the recent decision by the Paris CoA rejected any possibility of departing from the interpretation settled by the CJEU.

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