France: Court of Cassation Decision in Southern Pacific Properties Ltd. et al. V. Arab Republic of Egypt(Appellate Review of Arbitral Awards between States and Private Parties)

On January 6, 1987, the French Court of Cassation denied the petition for annulment of the decision rendered by the Paris Court of Appeals on July 12, 1984 [23 I.L.M. 1048 (1984)] which set aside the award rendered by an ICC Arbitral Tribunal on March 11, 1983 in the SPP v. The Arab Republic of Egypt case [22 I.L.M. 752 (1983)]. Ruling on the question of their own competence, the arbitrators accepted jurisdiction over the Arab Republic of Egypt on the ground that by affixing the words “approved, agreed and ratified” by the Minister of Tourism and the signature of the Minister of Tourism to a contract entered into “between” SPP and the Egyptian General Organization for Tourism and Hotels (EGOTH), the State had agreed to be bound by the ICC arbitration clause contained in that contract.