Introduction

In an award which marked an ICSID tribunal's rare finding of an illegal expropriation, the most unremarkable aspect was the expropriation ruling itself. The most brow-raising aspect was the tribunal's approach to damages following its decision that Hungary had violated the expropriation provision of the Agreement between the Government of the Hungarian People's Republic and the Government of the Republic of Cyprus on Mutual Promotion and Protection of Investment (the "Cyprus-Hungary BIT"). Until this decision, it had become typical in BIT claims that damages were valued ...