UNITED STATES 8 September 2025 Mercuria Energy

United States District Court, District of Columbia, 8 September 2025, Case No. 1:23-cv-03572 (TNM)

(Mercuria Energy Group Limited v. Republic of Poland)

 

08 - 09 - 2025

UNITED STATES 8 September 2025 Mercuria Energy

Jurisdiction United States
Summary

The Court denied the petition to confirm a Swedish award that had been annulled in Sweden. Mercuria had initiated arbitration against Poland, seeking payment of interest on a fine Mercuria had paid and had been eventually reimbursed for by Poland, and had obtained an award in its favor. A Swedish court had subsequently annulled the award, following the example of many European courts that hold that, as a consequence of the Achmea decision of the European Court of Justice, the use of arbitration to resolve disputes between European Union members is not permitted. The District Court rejected Mercuria’s contention that the decisions of the European courts were so egregiously unfair that they violated basic notions of fairness. The Court held that, absent public policy concerns – which were not present here – the Court should respect the decisions of the European courts.

Related topics
105

The court discusses issues relating to the quality of the parties, as physical or legal persons against whom enforcement of an arbitral award is sought, including the incapacity of a State to enter into an arbitration agreement, and questions relating to sovereign immunity. For the related defenses to enforcement, see Art. V(1)(a).

"Persons, whether physical or legal" (paragraph 1) (including sovereign immunity)
516

Award not binding, suspended or set aside: The court discusses the difference between the exclusive jurisdiction to set aside an award (primary jurisdiction), which belongs to the courts of the country of origin of the award, and the jurisdiction of all other courts to recognize and enforce the award (secondary jurisdiction); issues relating to the determination of the “competent authority”; and whether an award that has been set aside in the country of origin can be enforced in another State under the Convention.

"Set aside"
UNITED STATES 8 September 2025 Mercuria Energy