Dutch Supreme Court rules in favor of Chevron in Ecuador dispute
The Supreme Court of the Netherlands has ruled in favor of Chevron, rejecting the Republic of Ecuador's attempts to annul decisions of an international arbitral tribunal in The Hague that ordered Ecuador to take all steps necessary to prevent enforcement of a $9.5B Ecuadorian judgment against Chevron anywhere in the world. The Ecuadorian judgment previously was found by the international arbitral tribunal and by U.S. courts to have been obtained through fraud, bribery and corruption. The arbitral tribunal, administered by the Permanent Court of Arbitration in The Hague, issued interim and partial awards in favor of Chevron in 2012 and 2013 in proceedings brought by Chevron to hold the Republic of Ecuador accountable for the fraudulent and corrupt litigation against the company in that country. The arbitral awards ordered the Republic of Ecuador "to take all measures necessary to suspend or cause to be suspended the enforcement and recognition within and without Ecuador" of the fraudulent Ecuadorian judgment against Chevron. The decision by the Supreme Court of the Netherlands upholds the rulings of two Dutch lower courts that rejected the Republic of Ecuador's attempts to annul those awards. The Dutch Supreme Court found that the challenged arbitral awards are consistent with public policy and justified to prevent irreversible harm to Chevron. The court rejected the Republic of Ecuador's argument that the awards should be annulled because they violated Ecuador's sovereignty and the rights of the Ecuadorian plaintiffs who procured the fraudulent judgment against Chevron.