Zamfirescu Racoți & Partners (ZRP) and Tănăsescu Gavrilă & Asociații (TGA) bring another victory to Romania in an ICSID investment arbitration initiated by Alpiq AG Switzerland (Alpiq). By the arbitration request filed in November 2014, the mother-company of two Romanian subsidiaries acting as energy traders claimed for damages following termination of two long-term energy supply contracts concluded with state-owned Hidroelectrica, Romania’s biggest power producer.
Alpiq grounded its arbitration request on the bilateral investment treaty concluded between Switzerland and Romania and on the multilateral Energy Charter Treaty (ECT) and it alleged expropriation of its investment in Romania and breach of the State’s fair and equitable treatment obligation.
After rejecting Romania’s jurisdictional objections, the arbitral tribunal fully dismissed Alpiq’s damages claims of over USD 450 million and ruled that Romania observed its undertaken obligations as host State and did not breach the investor’s rights.
The team of lawyers that represented Romania in this international arbitration was coordinated by Călin-Andrei Zamfirescu and Dr. Cosmin Vasile (ZRP), together with Victor Tănăsescu and Cristian Gavrilă (TGA).
The team was formed of Călin-Andrei Zamfirescu (Senior Partner), Dr. Cosmin Vasile (Managing Partner), Alina Tugearu (Partner), Monica Strîmbei (Partner), Cosmin Cojocaru (Managing Associate), Violeta Saranciuc (Managing Associate), Ovidiu Șerban (Managing Associate) and Laura Retegan (Managing Associate) from ZRP, and Victor Tănăsescu (Senior Partner), Cristian Gavrilă (Managing Partner), Carina Tănăsescu (Managing Partner) and Cristina Solcan (Senior Associate) from TGA.
Zamfirescu Racoți & Partners senior partner Călin-Andrei Zamfirescu declared: “Romania obtained a well-deserved victory following long legal proceedings. The decision of the arbitral tribunal to reject Alpiq’s claim and to rule in favor of the Romanian State is a legal and grounded judgement, fully founded on the evidence produced în this case.This success was possible thanks to a truly dedicated team of professionals who proved once more that it can handle the most sophisticated and complex international disputes”.
Tănăsescu Gavrilă & Asociații managing partner Cristian Gavrilă added: ”A balanced award which confirms the impartiality adopted by ICSID tribunals when settling such arbitration disputes, without getting sidetracked by vociferous emotional vocalization. We are happy to have been able to allow for such a result, following constant consideration for discerning the essential from the secondary, a quality in the absence of which one cannot prevail in such complex matters”.