Vento Motorcycles Inc v United Mexican States 2023 ONSC 5964 - 23 October 2023
Country
Year
2023
Summary
REASONS FOR JUDGEMENT
[1] The Applicant, Vento Motorcycles, Inc. ("Vento"), has brought this application to set aside an award dated July 6, 2020 ("Award") rendered by an arbitral tribunal ("Tribunal") in an arbitration administered by the International Centre for Settlement of Investment Disputes ("ICSID") pursuant to the ICSID Arbitration (Additional Facility) Rules ("ICSID Rules").
[2] Vento seeks to set aside the Award on two grounds:
a. Vento was unable to present its case because the Tribunal refused to allow one of its witnesses, Mr. José Alberto Ortúzar Cárcova, to testify in response to a recording used to impeach his credibility; and
b. there is a reasonable apprehension that one of the arbitrators, Mr. Hugo Perezcano, was biased because while the arbitration was ongoing, the Respondent ("Mexico") offered opportunities to him that were not disclosed.
[3] After considering the evidence and the parties' submissions, I decline to set aside the Award. With respect to the first ground raised by Vento, Vento has not established that the Award should be set aside for reasons of fairness or natural justice. Vento was able to present its case and the conduct of the Tribunal about which Vento complains does not offend our most basic notions of morality and justice. With respect to the second ground, I find that Vento has demonstrated a reasonable apprehension of bias in relation to Mr. Perezcano. However, I exercise my discretion not to set aside the Award because the reasonable apprehension of bias did not undermine the reliability of the result and did not produce real unfairness or real practical injustice. The Award was unanimous and the other two arbitrators were not "tainted" by Mr. Perezcano.
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