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Procedural Posture
This document is a Report and Recommendation issued by a United States Magistrate Judge in the U.S. District Court for the District of Columbia. It addresses an unopposed petition filed by DP World Djibouti FZCO to recognize and enforce a foreign arbitral award against the Republic of Djibouti. The underlying arbitration was conducted under the rules of the London Centre for International Arbitration (LCIA), culminating in a Third Partial Final Award issued on January 20, 2022, in favor of the petitioner.
Jurisdictional Analysis
The court conducted a mandatory examination of its subject matter jurisdiction under Chapter 2 of the Federal Arbitration Act, which codifies the 1958 New York Convention. The Magistrate Judge determined that the arbitral award arose from a commercial legal relationship—specifically a concession agreement for a container terminal facility—thereby falling squarely within the Convention's purview. Furthermore, the court found that Djibouti had waived its sovereign immunity under the Foreign Sovereign Immunities Act (FSIA) by acceding to the New York Convention and expressly agreeing to arbitrate disputes under the LCIA Rules.
Recommendation and Dispositive Relief
Noting the extremely limited scope of judicial review for arbitral awards and the respondent's formal Statement of Non-Opposition, the Magistrate Judge recommended granting the petition. The court advised that judgment be entered in favor of the petitioner for the calculated damages, which included lost management fees, lost dividends, and compounded interest, totaling approximately $189.9 million. The parties were further advised of their right to file written objections to the Report and Recommendation within fourteen days.