KNOETZL wins major ICSID arbitration for Casinos Austria
KNOETZL adds another major success to its track record in international arbitration. With the Award dated 5 November 2021, the Arbitral Tribunal in Casinos Austria v Argentine Republic decided that the Argentine Republic had breached Article 4(1) and (2) of the Argentina-Austria BIT by subjecting Casinos Austria to an unlawful expropriation. The ICSID Tribunal has ordered Argentina to pay USD 21,7 mn of damages, plus significant interest and costs to Casinos Austria.
Casinos Austria’s claim was based on the unlawful revocation of the gaming licence of a subsidiary of Casinos Austria in the province of Salta. The Arbitral Tribunal held that the gaming authority of Salta had committed errors that were so manifest that they constituted an abuse of power and arbitrariness under international law. The revocation of the licence and subsequent transfer of the operation constituted an indirect expropriation under the BIT.
KNOETZL’s lead partner Florian Haugeneder stated: “We are extremely happy that we could achieve this major win for our client Casinos Austria. Successful expropriation claims under international law require in-depth knowledge of the international law on investment protection and highest quality of advocacy. Thank you to Casinos Austria and the KNOETZL team that made this success possible.”
Lead Partner Florian Haugeneder