Archive for the ‘Chevron’ Category

Two-Year Limitation Period Applies to Enforcement of Foreign Judgments in Ontario

January 19, 2017

The Court of Appeal for Ontario has confirmed that the 2-year limitation period under the Limitations Act, 2002 applies to enforcement of foreign judgments. The limitation period begins to run the earlier of when the time to appeal the foreign judgment has expired or, if an appeal is taken, the date of the appeal decision, rendering the decision as final. The limitation period may be longer if the claim was not “discovered” within the meaning of s. 5 of the Limitations Act, 2002, after the date of the appeal decision: Independence Plaza 1 Associates, L.L.C. v. Figliolini, 2017 ONCA 44 (CanLII), http://canlii.ca/t/gwxmx

I have previously argued that no limitation period should apply where the defendant judgment debtor was not resident in Ontario when the original action was commenced in the foreign jurisdiction, even if moving or returning to Ontario in this paper: Recognition and Enforcement of Foreign Judgments in Canada (January 15, 2014). Ontario Bar Association Institute 2014, ‘Internationalizing Commercial Contracts’. Available at SSRN: https://ssrn.com/abstract=2379721

Ontario appeal court allows appeal, lifts stay in Yaiguaje v. Chevron Corp.

December 17, 2013

Chevron Corporation

The Court of Appeal for Ontario has just released its judgment in Yaiguaje v. Chevron Corporation, 2013 ONCA 758; (“Yaiguaje“) a significant conflict of laws decision which will have major repercussions beyond cross-border and international litigation.

For a backgrounder, see Alejandro Manevich’s guest post: Lago Agrio comes to Ontario: Chevron and the $19B judgment and also my guest posts: The Motions to Dismiss inYaiguaje, and Comments on the Lago Agrio Plaintiffs Enforcement Action in Canada over at Ted Folkman’s Letters Blogatory.

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Manuel A. Gomez, “The Global Chase: Seeking the Recognition and Enforcement of the Lago Agrio Judgment Outside of Ecuador”

August 14, 2013

 Manuel A. Gomez (Florida International University (FIU) – College of Law) has posted “The Global Chase: Seeking the Recognition and Enforcement of the Lago Agrio Judgment Outside of Ecuador”, Stanford Journal of Complex Litigation, Vol. 1, No. 199, 2013/Florida International University Legal Studies Research Paper No. 13-14. The abstract reads:

 The Lago Agrio judgment is by all measures the largest and most complex award rendered against a multinational oil company in Ecuador, and perhaps in the entire region. With regard to its size, the type of remedies awarded to the plaintiffs by the Sucumbíos court, and the mechanisms through which those remedies will be made effective, the enforcement of the Lago Agrio judgment has rekindled a debate on several important issues that pertain to the litigation of complex cases in South America. The Lago Agrio judgment has revealed the complexity of the multi-layered, multi-step process of enforcing a foreign judgment across different jurisdictions. In so doing, the Lago Agrio ruling has a direct bearing on the larger debate about the judicial protection of collective rights in Latin America, the controversial treatment of punitive damages in countries of the civil law tradition, and the undue influence of litigants on the performance of the courts. The development of the Chevron-Ecuador litigation in South America is one of the most important pieces in the context of this saga and has been generally neglected from the consideration of academicians. This Article fills that gap.

By switching its attention away from the litigation handled by U.S. courts, and focusing into the generally overlooked South American court cases, this Article helps to complete the puzzle of the Chevron saga with regard to the factors that affect the recognition and enforcement of foreign judgments in that region. More specifically, this Article will discuss the interplay between the procedural steps routinely required by the national laws of the enforcing jurisdictions, the treaty obligations assumed by the nations involved, the statutory defenses allowed to the parties, and the litigation strategies employed by counsel to effectively assist or impede the judgment from being fulfilled. The contribution of this Article is two-fold. First, it discusses with certain level of detail the recognition and enforcement regime of foreign judgments across Latin America with special attention to the domestic and the international legal regimes applicable to Argentina and Brazil. Second, by giving importance to the context within which the Lago Agrio litigation and related proceedings are taking place, this Article addresses defendant’s strategies to evade the enforcement of an adverse judgment, and the incentives and challenges faced by plaintiffs, including the strategies procedural and otherwise, to obtain the recognition and enforcement of said foreign judgment. Although the discussion offered in this Article in centered on a single case, in a broader sense this Article highlights the practical difficulties of transnational judgment enforcement and the strategies employed by the parties across multiple countries.

 Download a pdf copy of the paper via SSRN here.

Howard M. Erichson, “The Chevron-Ecuador Dispute, Forum Non Conveniens, and the Problem of Ex Ante Inadequacy”

May 3, 2013

Howard M. Erichson (Fordham University School of Law) has posted “The Chevron-Ecuador Dispute, Forum Non Conveniens, and the Problem of Ex Ante Inadequacy”, Fordham Law Legal Studies Research Paper No. 2245889. Here’s the abstract:

This essay, written for the 2013 Stanford Journal of Complex Litigation symposium on lessons from the Chevron-Ecuador environmental litigation, urges that we not take the wrong lesson concerning the doctrine of forum non conveniens. The paper highlights the irony of the forum battles in the litigation. The plaintiffs sued in the United States, the defendants won dismissal on grounds of forum non conveniens (arguing that the dispute should be adjudicated by the courts of Ecuador), the plaintiffs obtained a massive judgment in Ecuador, and the defendants challenged the judgment on grounds of fraud and corruption in the Ecuadorian proceedings. Despite the temptation to see the Chevron-Ecuador litigation as a cautionary tale about forum non conveniens, this essay argues that the “adequate alternative forum” standard for forum non conveniens should remain exceedingly low. Ex ante, deference to foreign legal systems should prevail, even as we permit ex post challenges to recognition of judgments on grounds of fraud and corruption.

 Download a copy of the paper at SSRN here.

PCA Tribunal ‘Benchslaps’ Ecuador in Ongoing Chevron-Lago Agrio Dispute

February 8, 2013

Slap-in-the-face-300x226

An interesting development in the Lago Agrio/Chevron litigation battle , which was the subject of my  Guest Post: Comments on the Lago Agrio Plaintiffs Enforcement Action in Canada at Ted Folkman’s Letters Blogatory.

Via the Juicio Crudo Blog (original in Spanish):

 An international arbitration court yesterday issued a ruling in which it concludes that the Republic of Ecuador has violated previous interim awards of the same court authorized under international law and a treaty between the United States and Ecuador to not attempt to prevent the execution of a sentence of 19,000 million against Chevron Corp. (NYSE: CVX). In previous decisions, the court warned that if the arbitration Chevron ended imposing “any loss arising from the implementation (of the judgment) would be losses for which (the Republic) would be responsible (with Chevron) under international law.”

Convened under the authority of the Bilateral Investment Treaty (BIT, according to its acronym in English) between the United States and Ecuador, and administered by the Permanent Court of Arbitration at The Hague, the tribunal found that Ecuador breached previous court rulings and ordered to explain why the Republic should not be ordered to pay compensation to Chevron for all damages resulting from attempts by plaintiffs to enforce a judgment arising out of an environmental lawsuit against the company in Lago Agrio, Ecuador. (more…)


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