Notice: We are currently performing maintenance to improve the italaw platform. The site remains fully accessible. Thank you for your patience.

Divine Inspiration (DIGOIL) v. DRC, Judgment of the Paris Court of Appeal, January 7, 2020

7 Jan 2020
Divine Inspiration Group (PTY) Ltd v. Democratic Republic of Congo, ICC Case No. 22370/DDA
View case details
Judgment of the Paris Court of Appeal (French)
Judgment of the Paris Court of Appeal (English)
Document Details:
LISTED PARTICIPANTS
Judgment of the Paris Court of Appeal (French)
Judgment of the Paris Court of Appeal (English)
Participants listed are for this document only and may not include all participants involved in the entire case. Always consult the original documents.
Claimant appointee
Respondent appointee
Tribunal/Panel chair
Christine Lécuyer-Thieffry
Arbitrator(s)
Grégoire Bakandeja WaMpungu, Ghizlane El Idrissi
Sole Arbitrator
ICSID Annulment Committee president
ICSID Annulment Committee members
WTO Appellate Body members
WTO Appellate Body chair
Judges
François Ancel, Fabienne Schaller, Laure Aldebert
Claimant's counsel
Claimant's law firm
Respondent's counsel
Respondent's law firm
Other counsel
Claimant's expert
Claimant's expert firm
Respondent's expert
Respondent's expert firm
Claimant's witness
Respondent's witness
Other witnesses
Tribunal secretary
Tribunal assistant
Third-party funder
Entities
DR Congo, Ian Levitt Attorneys, Divine Inspiration Group (PTY) Ltd.
Country
France
Print reporter
Document Summary
Judgment of the Paris Court of Appeal (French)
Judgment of the Paris Court of Appeal (English)
This summary note is machine-generated. Always consult the original materials.

Procedural Background

This document is a judgment issued by the Paris Court of Appeal (Pôle 5, Chambre 16) on January 7, 2020, concerning an application by the Democratic Republic of the Congo (DRC) to set aside an arbitral award rendered on November 7, 2018, under the auspices of the International Chamber of Commerce (ICC). The underlying dispute arose from the DRC's failure to issue presidential decrees approving two production sharing contracts (PSCs) concluded with Divine Inspiration Group (PTY) Ltd (DIGOil) and the subsequent reallocation of the oil blocks to third parties. The ICC tribunal had found the DRC in breach of its obligations, pronounced the resolution of the contracts at the exclusive fault of the DRC, and awarded DIGOil substantial damages.

Legal Issues and Parties' Positions

The DRC sought annulment of the award under Articles 1520(3) and 1520(5) of the French Code of Civil Procedure (CPC), arguing that the arbitral tribunal failed to comply with its mandate and that the recognition or execution of the award would violate international public policy. Specifically, the DRC contended that the tribunal, while bound to apply Congolese law, deliberately disregarded a 2010 decision of the Congolese Supreme Court of Justice. The DRC asserted that this domestic jurisprudence established the President's discretionary power to withhold approval for PSCs, and that the tribunal's refusal to apply this precedent constituted a breach of its mandate and a violation of universal principles of justice.

Court's Analysis and Reasoning

The Court of Appeal dismissed the DRC's arguments. Regarding the tribunal's mandate (Article 1520(3) CPC), the Court observed that the arbitrators expressly grounded their decision in Congolese law and explicitly analyzed the 2010 Supreme Court precedent. The Court noted that the tribunal distinguished the factual matrix of the 2008 contract from the 2010 case, concluding that no public interest justification had been advanced for the refusal to issue the decree in the present dispute. The Court emphasized that it is not within the purview of the annulment judge to review the merits of the tribunal's substantive interpretation of foreign law. Concerning international public policy (Article 1520(5) CPC), the Court held that the tribunal's interpretation of Congolese law and its assessment of the domestic jurisprudence did not contravene any fundamental values or principles recognized by the French conception of international public policy.

Dispositive Ruling

The Court of Appeal rejected the DRC's application for annulment in its entirety and consequently granted exequatur to the November 2018 ICC award. Furthermore, the Court dismissed DIGOil's claim for damages for abusive proceedings but ordered the DRC to bear the costs of the proceedings and to pay EUR 30,000 to DIGOil pursuant to Article 700 of the CPC.