Originally from International Arbitration Court Decisions - 3rd Edition

DECISION BY THE PARIS COURT OF APPEAL ON 29

SEPTEMBER 2005 IN DIRECTION GÉNÉRALE DE L’AVIATION CIVILE DE L’EMIRAT DE DUBAÏ v. INTERNATIONAL BECHTEL CO., LLP

(The “DAC Dubai v. Bechtel” Case)

Subject Matters:
1. Enforcement of an arbitral award set aside in the country of origin.
2. Law applicable to the effectiveness of an arbitral award.

Findings:
1. French courts recognize a foreign award that has been set aside at the place of arbitration to the extent the award is not inconsistent with French law. The decision by the court at the place of arbitration setting aside the arbitral award has no international effects, since the decision is limited to the exercise of sovereign power at the place of arbitration.
2. Where recognition and enforcement of a foreign arbitral award is sought in France, the validity of the award is determined by application of French law.

Parties:
Claimant: La Direction Générale de l’Aviation Civile de l’Emirat de Dubaï
Claimant’s counsel in the court proceedings: Ms. Carole Malinvaud (Paris)
Respondent: International Bechtel Company (Panama)
Respondent’s counsel in the court proceedings: Mr Grandjean (Paris)

Place of Court Proceedings:
Paris, France

Applicable Laws and Conventions:
French New Code of Civil Procedure, Article 1498 et seq., and the bilateral Treaty between France and the United Arab Emirates regarding recognition and enforcement in civil and commercial matters, dated 9 September 1991.

Place of Arbitration:
Dubai (United Arab Emirates)

Arbitrator:
Georg von Segesser (Switzerland)