EU Economic Sanctions in Arbitration

Development summary

Tamás Szabados considers whether unilateral European Union economic sanctions are applied uniformly in arbitral proceedings. Although parties may choose arbitration and a particular seat to avoid sanctions, tribunals retain considerable discretion over whether to give them effect; because EU sanctions form part of the Member States’ public policy, disregarding them may expose an award to annulment or to refusal of recognition and enforcement within the EU.