The Impact of Economic Sanctions on the Recognition and Enforcement of International Arbitration Awards
Laura Fadlallah
Abstract
The recognition and enforcement stage may be the clearest example of interaction between international arbitration and economic sanctions. From a legal perspective, economic sanctions may lead to a domestic court’s refusal to recognize an award, most notably on the grounds of international public policy or, even, lack of jurisdiction. The refusal to recognize the award leads ipso jure to the refusal to enforce the award. However, economic sanctions can also lead to the refusal to enforce an international arbitration award irrespective of the recognition of the award by the relevant state. Economic sanctions targeting the award debtor or the award creditor in the country where enforcement is sought will in all likelihood bar enforcement, either because the provision of resources to the sanctioned award creditor is prohibited or because the assets of the sanctioned award debtor are frozen. Without aiming for comprehensiveness, this article considers various scenarios in which economic sanctions interact with the recognition and enforcement of arbitral awards.
Evidence weight
Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40
| F · citation impact | 0.50 × 0.4 = 0.20 |
| M · momentum | 0.50 × 0.15 = 0.07 |
| V · venue signal | 0.50 × 0.05 = 0.03 |
| R · text relevance † | 0.50 × 0.4 = 0.20 |
† Text relevance is estimated at 0.50 on the detail page — for your query’s actual relevance score, open this paper from a search result.