International Tribunal Rules against Zimbabwe

International Tribunal Rules against Zimbabwe

On Wednesday 22 April 2009, the international law firm Steptoe & Johnson together with Wiley Rein obtained a landmark international arbitration award for thirteen Dutch clients against the Republic of Zimbabwe for breaches of the Netherlands-Zimbabwe bilateral investment treaty ("the Treaty"). 

The case arose out of land invasions by war veterans of the 1980 War of Independence, and expropriation of our clients' commercial farms by the Government of Zimbabwe pursuant to its land reform programme, both of which have been widely reported as the cause of Zimbabwe's economic meltdown.  Many of the land invasions were violent and were supported by the Zimbabwean army and police. 

The award was issued by a tribunal constituted under the arbitration rules of the International Centre for the Settlement of Investment Disputes (a body administered by the World Bank), which was chaired by a former president of the International Court of Justice.  The case was argued over three days in Paris at the World Bank.

The damages awarded to our clients were Euro 8,220,000 plus interest of 10% compounded every six months from the date of breach.  Therefore the total due to date equates to approximately Euro 16 million.