BG Group plc won a major victory at the U.S. Supreme Court last month when the Court upheld an arbitration award requiring Argentina to pay BG Group more than $185 million. The case is yet another example of the deference that arbitration awards receive in U.S. courts.
In a major decision, an arbitral tribunal in the International Chamber of Commerce ("ICC") has issued a ruling on the liability of YPF, the state-controlled energy company of Argentina, for its role in the suspension of natural gas exports to Brazil. The claim that YPF unlawfully rescinded its contracts was brought forward by AES Uruguaiana and by Transportadora de Gas del Mercosur in 2009. They are reportedly seeking $1.6 billion dollars in compensation. YPF is controlled by the Argentinian government following its nationalization last year - another dispute that is currently also in arbitration.