- Arbitral Award
- Ad hoc Arbitration, New York
LONG-TERM CONTRACTS - TRANSPORT CONTRACT - BETWEEN A CANADIAN CORPORATION AND THE UNITED NATIONS ORGANIZATION - CONCERNING TRANSPORTATION OF U.N. PERSONNEL THROUGHOUT THE WORLD – PARTIES AGREE THAT ARBITRAL TRIBUNAL APPY “GENERALLY ACCEPTED PRINCIPLES OF INTERNATIONAL COMMERCIAL LAW” – ARBITRAL TRIBUNAL DECIDES TO RESORT TO UNIDROIT PRINCIPLES
A Canadian corporation entered into a contract with the United Nations concerning the transport of United Nations personnel and military personnel on behalf of the U.N. throughout the world. The events which prompted the former to commence an arbitration proceedings against the latter occurred around the world.
The contract was silent as to the applicable law. At the beginning of the arbitral proceedings the parties, requested to indicate the law governing the substance of the dispute, declined to select any national law and agreed that the arbitral tribunal should apply “generally accepted principles of international commercial law”. Given the decidedly international context of the case, the Arbitral Tribunal found that it would not be appropriate to draw resort to any particular domestic law in deciding upon the content of those “generally accepted principles”. Instead it decided to rely upon the UNIDROIT Principles for guidance in defining the generally accepted principles of international commercial law.
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Unpublished. For a notice of the award see K.H. BÖCKSTIEGEL, The Application of the UNIDROIT Principles to Contracts involving States or Intergovernmental Organizations, in ICC/UNIDROIT (eds.), UNIDROIT Principles of International Commercial Contracts. Reflections on their Use in International Arbitration, Special Supplement- ICC International Court of Arbitration Bulletin (2002), p. 51 et seq. (at p. 54)}}