Benvenuti and Bonfant Srl v. The Government of the People’s Republic of the Congo

Abstract

Expropriation — Joint venture agreement — Financial guarantees — Failure of State to honour undertakings in agreement — Interference in affairs of joint venture — Expropriation offoreign company’s shareholding in joint venture — Compensation

Procedure — Alleged default by one party — Time-limits for filing pleadings — State party failing to file counter-memorial dealing with the merits within time-limit — Whether conduct amounting to a default

Applicable law — Joint venture agreement — No provision regarding applicable law in agreement — Law of contracting State together with principles of international law — Power of Tribunal to rule ex aequo et bono

Procedure — Extension of time limits — Failure to comply — Delay attributable to political upheaval in State — Admissibility of counterclaim

Valuation — Of joint venture company — Inability to value as going concern — Valuation on basis of size of investments in company

Costs — Of proceedings — Settlement agreement repudiated by State — Application to file counter-memorial and counterclaim out of time — Delay attributable to political upheaval in State — State liable for all future costs of Tribunal and Centre