Jurisdiction(s):
United Kingdom

US Supreme Court poised for narrow FSIA ruling: likely rejection of minimum contacts for foreign states in award enforcement; arbitration exception and state-owned enterprise due process issues likely remitted

Published on: 18 March 2025

Published by a Law360 reporter

Legal News

Article summary

Background and procedural history

This dispute originates from an International Chamber of Commerce (ICC) arbitration between two Indian companies. In 2005, Devas Multimedia, an Indian telecoms business, entered into a contract with Antrix, a state-owned enterprise, to deliver telephone and internet services to Indian users via government-owned Indian satellites. When Antrix brought the agreement to an end in 2011, Devas commenced an ICC arbitration seated in India and governed by Indian law, ultimately securing an award of US$562.5m—later accruing to US$1.3bn with interest. In September 2018, Devas applied to the US District Court for the Western District of Washington to recognise the award under the FSIA arbitration exception, which removes a foreign state’s immunity in proceedings to enforce an arbitral award against a foreign state, as defined in the FSIA, provided specified conditions are satisfied. Antrix sought dismissal of the recognition action for want of personal jurisdiction, conceding that the statutory foundation for jurisdiction, ie, an FSIA immunity exception, was met through the arbitration exception, yet asserting that it remained entitled to due process safeguards, including minimum contacts, which had not been shown...

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