France / 10 May 1971 / France, Cour d'appel de Paris / Compagnie de Saint-Gobain Pont-à-Mousson v. The Fertilizer Corporation of India Limited / J 9915
Country | France |
Court | France, Cour d'appel de Paris (Court of Appeal of Paris) |
Date | 10 May 1971 |
Parties | Compagnie de Saint-Gobain Pont-à-Mousson v. The Fertilizer Corporation of India Limited |
Case number | J 9915 |
Applicable NYC Provisions | V | V(1) | V(1)(b) | V(1)(c) | V(1)(e) | V(2) | V(2)(b) |
Source |
Original decision obtained from the registry of the Cour d’appel de Paris |
Summary | A French company (Saint Gobain) entered into an agreement with an Indian company (Fertilizer Corporation of India Limited - F.C.L.I.) for the construction of a plant in India. A dispute arose and an award was rendered on 29 September 1969 in New Delhi in favor of F.C.L.I. In an order issued on 3 December 1969, the President of the Tribunal de Grande Instance de Paris (First Instance Court of Paris) allowed enforcement of the award in France. In the meantime, Saint-Gobain initiated an action before the High Court of New Delhi to have the arbitral award declared without legal effect until it had been approved by the aforementioned court. Saint-Gobain also challenged the enforcement order before the President of the Tribunal de Grande Instance de Paris, arguing that the award had not yet become binding on the parties and that due process had been violated and that therefore the enforcement should be refused pursuant to Articles V(1)(b) and V(1)(e) NYC. In the alternative, Saint-Gobain requested an adjournment of the decision on the enforcement of the award pending the proceedings before the High Court of New Delhi in accordance with Article VI NYC. The President du Tribunal de Grande Instance de Paris dismissed the action on 15 May 1970. On 17 November 1970, the Indian Supreme Court declared that the award was final and binding on the parties. Appealing the 15 May 1970 order, Saint-Gobain argued that (i) the arbitral tribunal had failed to comply with the mandate conferred upon it (Article V(1)(c) NYC), (ii) due process had been violated (Article V(1)(b) NYC), and that (iii) the award was contrary to the public policy of the country where recognition and enforcement was sought (Article V(2)(b) NYC). The Cour d'appel de Paris (Paris Court of Appeal) affirmed the decision of the President of the Tribunal de Grande Instance de Paris of 15 May 1970 and upheld the enforcement order. It did not refer to the NYC and rejected all of the arguments raised by Saint-Gobain based, inter alia, on the alleged violation of due process and public policy. |
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