Data
- Date:
- 22-03-2013
- Country:
- Arbitral Award
- Number:
- Court:
- Ad hoc arbitration
- Parties:
- Mohamed Abdulmohsen Al-Kharafi & Sons v Libya
Keywords
STATE CONTRACTS - LONG-TERM CONTRACTS - CONSTRUCTION AND MANAGEMENT CONTRACT - BETWEEN A KUWAITI COMPANY AND THE LIBYAN GOVERNMENT – REFERENCE TO UNIDROIT PRINCIPLES IN SUPPORT OF THE APPLICABLE DOMESTIC LAW (LIBYAN LAW)
DAMAGES – FULL COMPENSATION OF HARM SUFFERED – REFERENCE TO ARTICLE 7.4.2 UNIDROIT PRINCIPLES
DAMAGES – PRINCIPLE OF CERTAINTY OF HARM - REFERENCE TO ARTICLE 7.4.3 UNIDROIT PRINCIPLES
Abstract
In a dispute between a Kuwaiti company and the Government of Libya arising from an alleged failure by the Government of Libya to fulfill its obligations under a contract for the construction and management of a large resort complex in Tripoli the law applicable to the substance of the dispute was the law of Libya together with the provisions of the 1980 Unified Agreement for the Investment of Arab Capital in the Arab States.
One of the issues addressed by the Arbitral Tribunal was the compensation of loss of profits. In deciding in favour of the foreign company the Tribunal referred to Article 224 of the Libyan civil code and to decisions by the Libyan Supreme court confirming the right to compensation for lost profits under that provision. In support of its decision the Tribunal also referred to Article 7.4.2 of the UNIDROIT Principles on full compensation and to Article 7.4.3 of the UNIDROIT Principles on the principle of certainty of harm.
Fulltext
http://italaw.com/cases/documents/2199}}
Source
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