Monday, February 16, 2015

Venezuela Hits Pause on $1.6 Billion Oil Award

Venezuela can temporarily stay - but not throw out - the enforcement of a $1.6 billion arbitration award to ExxonMobil subsidiaries imposed after it nationalized its oil industry, a federal judge ruled. The World Bank's International Center for Settlement of Investment Disputes (ICSID) ruled for Mobil Cerro Negro late last year in one of the arbitrations prompted by the 2007 takeover of Venezuela's oil industry by its late leader Hugo Chavez.  When Mobil Cerro Negro and other subsidiaries sued to collect the award in federal court here, Venezuela raised a jurisdictional argument that U.S. District Judge Paul Engelmeyer called a case of "first impression" for the court. More…

     

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