This was an important award because it concerned the implementation of the Treaty of Peace of March 1979 between Israel and Egypt. Israel's obligation to withdraw “behind the international boundary” could not be implemented to the satisfaction of both parties so long as there existed a disagreement over the location of that boundary.
The Joint Commission established pursuant to Article IV of the Peace Treaty, a body of military personnel, finally identified some 14 boundary pillars the location of which remained disputed. And, since Article VII of the Peace Treaty required reference to conciliation or arbitration of disputes not resolved by negotiations, the dispute over the location of these boundary pillars was referred to arbitration by the Compromis of 11 September 1986.