In a final award rendered on September 8, 2008, a Swiss sole arbitrator dismissed all claims brought against against a Shearman & Sterling client , a major power provider, by a Belgian distributor. The sole arbitrator also ordered the distributor to pay 85% of the legal costs incurred by the power provider in the arbitration.

This matter arose in the context of the liberalization of the electricity sector in Europe. The distributor claimed €1.4 million in damages for alleged early termination of a cross-border electricity supply agreement and sudden termination of established commercial relationships. The proceeding was conducted under ICC rules and the applicable law was French law.

“This victory further confirms our firm’s leadership in international arbitration and in energy disputes,” said Yas Banifatemi, the Paris-based international arbitration partner who led the matter, with support from associate Jean-Baptiste Godon (Paris-International Arbitration).