The following Arbitration guidance note Produced in partnership with Annabelle Möckesch, Friedrich Rosenfeldand and Jörn Hombeck of Hanefeld Rechtsanwälte provides comprehensive and up to date legal information covering:
The recognition and enforcement of International Centre for Settlement of Investment Disputes (ICSID) awards in Germany is governed by Chapter IV, section 6 of the Convention on the Settlement of Investment Disputes between States and Nationals of Other States of 18 March 1965 (ICSID Convention) (arts 53–55) and the German Law to the Convention on the Settlement of Investment Disputes between States and Nationals of Other States or the Investitionsstreitbeilegungsgesetz (InvStreitBeilG).
The 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards (New York Convention) does not apply.
According to InvStreitBeilG, art 2(1), an ICSID award cannot be compulsorily directly enforced (known as executed) in Germany.
Instead, the execution of such an award can only take place after a competent German court determines the permissibility of the execution.
To date, there are no reported decisions of German courts on the determination of the admissibility of execution of ICSID awards.
ICSID Convention, art 54(1) stipulates that '[e]ach Contracting State shall recognize an award rendered pursuant to this Convention as binding and enforce the pecuniary obligations imposed by that award within its territories as if it were a final judgment of a court in that State'.
Implementing ICSID Convention, art 54(1), InvStreitBeilG, art 2(1) provides that ICSID awards are enforceable if a German court has determined
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