Newsletter-21
223 ARBITRATION LAW analyzed by the arbitral tribunal. In the tribunal’s view, the improprie- ties were not sufficiently grave enough to rise to the standard of denial of justice. In conclusion, the arbitral tribunal reached the conclusion that the procedural improprieties did not cause denial of justice in this case. In light of these conclusions, the arbitral tribunal dismissed the claims of the Claimants, and ordered the Claimants to pay USD 7,000,000.00 to the Respondent to cover their arbitration costs. Dissenting Opinion of Gary Born It should be emphasized that the co-arbitrator appointed by the Claimant, Gary Born, submitted a concurring and dissenting opinion. In this opinion, Gary Born stated that he dissents on two issues. Both of these issues concern the interpretation of Article 3(2) of the BIT. Firstly, Gary Born stated that he does not agree with the conclusion that Uruguay’s failure to provide the Claimants with any means of ju- dicial recourse following the contradictory decision of the Uruguayan Supreme Court and the TCA did not constitute a denial of justice. Secondly, Born is of the opinion that Uruguay’s “single presenta- tion requirement” for tobacco products constitutes denial of fair and equitable treatment. Consequently, Gary Born opined that Uruguay violated the relevant article of the BIT on these two issues. Conclusion This recent arbitral award put an end to the six-year legal battle between the Claimants and Uruguay. The award is important, since it will set an important precedent for other similar cases, especially for tobacco companies on the one hand who are planning to sue against the implementation of similar measures, and on the other hand, for states who are considering to implement similar measures. This award is also important because, for the first time, it deals with the issues pertaining to the sale and marketing of tobacco prod- ucts. Philip Morris Asia has also challenged the tobacco plain packag- ing legislation under the 1993 Agreement between the Government of
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