AI Case Brief
Generate an AI-powered case brief with:
đKey Facts
âïžLegal Issues
đCourt Holding
đĄReasoning
đŻSignificance
Estimated cost: $0.10â$0.50 per brief, depending on opinion length and retries
Full Opinion
UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA VENCO IMTIAZ CONSTRUCTION COMPANY, Plaintiff. v. Civil Action No. 16-1737 (JDB) SYMBION POWER LLC, Defendant. MEMORANDUM OPINION A construction company and its subcontractor are engaged in a long-running dispute over payment for a power plant construction project in Kabul, Afghanistan, between 2008 and 2010. The subcontractor, Venco Imitiaz Construction Company (Venco), eventually won an arbitration award requiring the contractor, Symbion Power LLC (Symbion), to pay $ 8.5 million for the work that Venco performed. Venco now seeks enforcement of that award. Symbion challenges that award here, and also in a separate court proceeding in the United Kingdom. For the reasons explained below, the Court will grant Vencoâs motion for enforcement of the award, deny Symbionâs motion for a stay, and deny as moot Vencoâs motion, in the alternative, for security. BACKGROUND In 2008, the U.S. Agency for International Development began funding a project to build a power plant in Kabul. The delays and disagreements began shortly thereafter. The facts that follow are undisputed, however, unless otherwise noted. USAID hired a U.S.-based firm, The Louis Berger Group/Black & Veatch Special Projects Corporation (LBG/BV) to manage the project. LBG/BV then hired Symbion as is its primary contractor. Symbion in turn hired Venco as a subcontractor responsible for certain portions of the 1 plant construction, namely for the âpower blocksâ that would house the electrical generators. Resp.âs Br. [ECF No. 7] at 3. LBG/BV and Symbion had a dispute over who was responsible for construction delays (these disputes were unrelated to Vencoâs work) and, as a result, LBG/BV withheld payment from Symbion. Id. at 3â4; Pet.âs Br. [ECF No. 1-7] at 1. Symbion, in turn, withheld payment from Venco. Resp.âs Br. at 4; Pet.âs Br. at 1. Symbion argues that its contract with Venco permits this, i.e., that the contract conditions payment to Venco on Symbionâs receipt of payment from LBG/BV. Resp.âs Br. at 6. Venco takes the opposite view. Pet.âs Br. at 2â3. According to Symbion, in 2009 LBG/BV and Symbion began arbitration proceedings before a Tribunal of the International Court of Arbitration (ICC), as provided for in their contract. Resp.âs Br. at 5. That tribunal concluded that LBG/BV breached its contract and was not justified in withholding payment from Symbion, but also found that under the terms of the contract, Symbion could not rely on the invoices that it submitted as evidence that it was entitled to full payment. See ICC Case No. 16383/VRO, Symbion Power LLC v. LBG/BV, Final Award (Oct. 24, 2012), Ex. 4 to Resp.âs Br. [ECF Nos. 7-7â7-13] (hereinafter âPrior Awardâ) at 171â73. Instead, the tribunal found that Symbion was required to separately prove the value of its work with evidence beyond the invoices, and was only entitled to payment for the amounts it could separately prove. Id. Venco was not a party to that arbitration proceeding nor did it participate in it in any way. Separately, in 2013 Venco filed a request for arbitration with the ICC against Symbion, as required by the arbitration clause in their contract. Pet.âs Br. at 3; Resp.âs Br. at 6. A three- arbitrator panel was empaneled pursuant to ICC rules. Pet.âs Br. at 3â4; Resp.âs Br. at 6â7. Before the panel, Venco argued that Symbion had breached its contract by failing to make the required payments. Pet.âs Br. at 2â3; Resp.âs Br. at 6. Symbion argued that its payments to Venco were 2 predicated on receiving payment from LBG/BV, and also raised counterclaims against Venco for tortious interference with contract, breach of the implied covenant of good faith and fair dealing, and malicious prosecution and abuse of process. Resp.âs Br. at 6. LBG/BV was not a party to the VencoâSymbion arbitration. The arbitration panel reviewed briefings, received written evidence, and held an evidentiary hearing from November 2 through November 11, 2015, where it heard testimony from fact and expert witnesses. See ICC Case No. 19335/AGF/ZF, Venco Imtiaz Constr. Co. v. Symbion Power LLC, Final Award (Jul. 11, 2016), Ex. 2 to Pet.âs Br. [ECF No. 1- 2] (hereinafter âFinal Awardâ) at 22â24. The panel ultimately issued an award on July 11, 2016, finding almost entirely in Vencoâs favor. See id. at 140â42. The panel ordered Symbion to pay all unpaid invoices that Venco had submitted, plus interest, attorneyâs fees, and the cost of arbitration. Id. It also dismissed all of Symbionâs counterclaims. Id. In total, this amounted to $ 8,462,516.78. Id. On August 8, 2016, Symbion filed a motion in the United Kingdom to set aside the award. Venco, in turn, filed the instant motion in this Court to confirm and enforce the award. Petition [ECF No. 1]. Symbion not only opposes Vencoâs motion, but also filed a motion asking this Court to stay further proceedings pending the outcome of the U.K. proceedings. Resp.âs Br. at 1â2. Symbionâs primary argument is that the arbitration proceeding at issue here interpreted the contract in a manner inconsistent with the prior arbitration award between Symbion and LBG/BV, and therefore enforcement of the award in this Court would violate the public policy of issue preclusion. Id. at 1. Venco opposes Symbionâs motion for a stay, but in the alternative, requests that if a stay is granted, that Symbion be required to post security in the full amount of the arbitration award. Pet.âs Reply & Oppân [ECF No. 13] at 1. Symbion opposes the request for security. Resp.âs Reply [ECF No. 17] at 1. 3 Since the parties completed briefing in this matter, the U.K. High Court of Justice in London, England, has dismissed Symbionâs challenge to the arbitral award. See Symbion Power LLC v. Venco Imtiaz Constr. Co., [2017] EWHC 348 (TCC) (March 10, 2017), Ex. 1 to Status Report [ECF No. 22-1]. Based on the partiesâ representation during a hearing before this Court on April 18, 2017, Symbion intends to seek leave to appeal that decision. This Court has not been advised of the time frame in which the U.K. appellate court would grant or deny leave to appeal, or of the time frame in which that court might issue a judgment on the merits, should leave to appeal be granted. LEGAL STANDARD Venco seeks enforcement of its arbitration award under the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards. See Convention on the Recognition and Enforcement of Foreign Arbitral Awards of June 10, 1958 (âNew York Conventionâ), 21 U.S.T. 2517, codified at 9 U.S.C. §§ 201â08. Under the New York Convention, which is codified as part of the Federal Arbitration Act (FAA), a âcourt shall confirm the award unless it finds one of the grounds for refusal or deferral of recognition or enforcement of the award specified in the said Convention.â Id. § 207. The FAA therefore ââreflects an emphatic federal policy in favor of arbitral dispute resolution.ââ Marmet Health Care Ctr., Inc. v. Brown, 565 U.S. 530, 533 (2012) (per curiam) (quoting KPMG LLP v. Cocchi, 565 U.S. 18, 21 (2011)). This emphatic federal policy is equally true in enforcing foreign arbitration awards. See TermoRio S.A. E.S.P. v. Electranta S.P., 487 F.3d 928, 933â34 (D.C. Cir. 2007) (citing Mitsubishi Motors Corp. v. Soler Chrysler-Plymouth, Inc., 473 U.S. 614, 631 (1985)); see also Newco Ltd. v. Govât of Belize, 650 F. Appâx 14, 16 (D.C. Cir. 2016) (nonprecedential). One of the enumerated grounds for a court to decline to enforce an award is if â[t]he 4 recognition or enforcement of the award would be contrary to the public policy of [the] countryâ where enforcement is sought. New York Convention, art. V(2)(b). Wary of the potentially vast possibilities of this exception, âcourts have been careful not to stretch the compass of âpublic policy.ââ TermRio, 487 F.3d at 938. Rather, the âpublic policy defense is to be construed narrowly to be applied only where enforcement would violate the [United Statesâ] most basic notions of morality and justice.â Id. (quoting Karaha Bodas Co. v. Perusahaan Pertambangan Minyak Dan Gas Bumi Negara, 364 F.3d 274, 306 (5th Cir. 2004)); see also Enron Nigeria Power Holding, Ltd. v. Fed. Republic of Nigeria, 844 F.3d 281, 289 (D.C. Cir. 2016); Belize Bank Ltd. v. Govât of Belize, 852 F.3d 1107, 1111 (D.C. Cir. 2017); cf. Natâl R.R. Passenger Corp. v. Fraternal Order of Police, No. 16-7004, slip op. at 9 (D.C. Cir. Apr. 28, 2017) (describing similar public policy exception in Railway Labor Act as only applicable when âarbitration award . . . transgresses well defined and dominant laws and legal precedentsâ (internal quotation marks omitted)). Here, Symbion, as the party challenging enforcement of the award, ââbears the burden of proofâ of meeting this exacting standard.â Belize Bank, 852 F.3d at 1111. ANALYSIS I. Issue Preclusion And The Public Policy Exception Symbion argues that the earlier arbitration award between Symbion and LBG/BV should have had a preclusive effect on the subsequent arbitration award between Symbion and Venco, and that enforcing this later award would violate the public policy of issue preclusion. In particular, Symbion argues that the LBG/BV award determined that a contractor (such as Venco) could not rely only on invoices to establish damages, and instead must prove the actual value of the work performed. See Resp.âs Br. at 9. Issue preclusion (sometimes known as collateral estoppel) âbars âsuccessive litigation of 5 an issue of fact or law actually litigated and resolved in a valid court determination essential to the prior judgment,â even if the issue recurs in the context of a different claim.â Taylor v. Sturgell, 553 U.S. 880, 892 (2008) (quoting New Hampshire v. Maine, 532 U.S. 742, 748 (2001)); see also Southern Pac. R. Co. v. United States, 168 U.S. 1, 48â49 (1897) (defining issue preclusion as the âgeneral principle . . . that a right, question, or fact distinctly put in issue, and directly determined by a court of competent jurisdiction, as a ground of recovery, cannot be disputed in a subsequent suit between the same parties or their priviesâ). Issue preclusion is â[a] fundamental precept of common-law adjudicationâ that saves litigants âfrom the expense and vexation attending multiple lawsuitsâ and âfosters reliance on judicial action by minimizing the possibility of inconsistent decisions.â Montana v. United States, 440 U.S. 147, 153â54 (1979). Symbion argues that because issue preclusion is a âfundamental precept of common-law adjudication,â id. at 153, it is therefore one of the âmost basic notions of morality and justice,â TermRio, 487 F.3d at 938. But a âpublic policyâ sufficient to fall within the exception to the Convention must be âwell defined and dominant . . . and not from general considerations of supposed public interests.â BCB Holdings Ltd. v. Govât of Belize, 110 F. Supp. 3d 233, 250 (D.D.C. 2015), affâd, 650 F. Appâx 17 (D.C. Cir. 2016). Symbion has cited no cases, nor can the Court find any, holding that the general policy of issue preclusion is such a âbasic notion of morality and justiceâ as to justify nonenforcement of an arbitration award under the public policy exception. The Court doubts that it is. However, even if the Court assumes that issue preclusion generally is a public policy goal that requires nonenforcement of an award, there are several reasons why the Court is skeptical that its application here would advance the policies behind issue preclusion. First and foremost, Venco was not a party to the arbitration between Symbion and LBG/BV. Symbion argues that âit is 6 settled law that even a nonparty to a prior proceeding may be collaterally estopped from re- litigating issues conclusively determined in a prior proceeding,â citing a litany of cases from 1986 through 2005. See Resp.âs Br. at 4. But Symbion ignores the fact that the Supreme Court weighed in on the issue in 2008 in Taylor v. Sturgell. There, the Supreme Court explained that far from being âsettled law,â the case law governing when a litigant could face preclusion based on a prior suit where it was a nonparty was âfar from consistent.â Taylor, 553 U.S. at 895â96 (citing 18A Charles A. Wright & Arthur R. Miller, Federal Practice and Procedure § 4457 (2d ed. 2002), at 513 (describing nonparty preclusion as lacking a âclear or coherent theoryâ)). More importantly, the Court went on to explain that nonparty preclusion is only appropriate in extremely narrow circumstances, lest the due process rights of the nonparty be violated. See id. at 897â98. The Court instead outlined six grounds under which a nonparty could be precluded in a future action. See id. at 904. These six categories are as follows. First, when the nonparty in the first action (who is a party in the second action) agrees to be bound by the prior judgment. Id. at 893. Second, where the nonparty has a pre-existing âsubstantive legal relationship[]â with a party that is bound by the first action, such as a successive property owner, where the former property owner was bound by the first action. Id. at 894 (internal quotation marks omitted). Third, where the nonparty was ââadequately represented by someone with the same interests who [wa]s a partyâ to the [prior] suit,â such as a trustee or a guardian. Id. (first alteration in original) (quoting Richards v. Jefferson County, 517 U.S. 793, 798 (1996)). Fourth and fifth, when the nonparty and a party in the first suit are functionally each otherâs proxies. This might happen either because the nonparty was pulling the strings in the first action, or because the party from the first action is calling the shots in the second action. Id. at 895. And sixth, where there is a special statutory scheme, such as 7 bankruptcy, that ââexpressly foreclose[s] successive litigation by nonlitigants.ââ Id. (quoting Martin v. Wilks, 490 U.S. 755, 762 n.2 (2001)). The Supreme Court notably rejected any doctrine that âextend[s] nonparty preclusion beyond . . . the proper boundsâ delineated by those six categories. Id. at 904. Indeed, it explained that its decisions âemphasize the fundamental nature of the general rule that a litigant is not bound by a judgment to which she was not a party.â Id. at 898; see also Parklane Hosiery Co., Inc. v. Shore, 439 U.S. 322, 327 n.7 (1979) (âIt is a violation of due process for a judgment to be binding on a litigant who was not a party or a privy and therefore has never had an opportunity to be heard.â) Here, the only potentially applicable category is the third: that Venco was adequately represented by a party in the prior arbitration that had the same interests. The Supreme Court applied this theory of nonparty preclusion in Taylor. There, it explained that the litigant in the first suit could not have adequately represented the nonparty in that proceeding because ânothing in the record indicates that [the party in the first suit] understood himself to be suing on [the nonpartyâs] behalf, that [the nonparty] even knew of [the partyâs] suit, or that the Wyoming District Court took special care to protect [the nonpartyâs] interests.â 553 U.S. at 905; see also id. at 900 (âA party's representation of a nonparty is âadequateâ for preclusion purposes only if, at a minimum: (1) The interests of the nonparty and her representative are aligned; and (2) either the party understood herself to be acting in a representative capacity or the original court took care to protect the interests of the nonparty. In addition, adequate representation sometimes requires (3) notice of the original suit to the persons alleged to have been representedâ) (internal citations omitted). Symbion argues that Vencoâs interests were adequately represented in the first arbitration proceeding by Symbion itself. Symbion contends that its position with respect to LBG/BV is 8 identical to Vencoâs relationship to Symbion: that of a subcontractor to a contractor seeking payment for work performed. But as in Taylor, ânothing in the record indicates that [Symbion] understood [itself] to be [proceeding] on [Vencoâs] behalf.â Id. at 905. In fact, quite the opposite: during the evidentiary hearing in the arbitration challenged here, Symbionâs CEO, Paul Hinks, testified that Venco was not informed of the prior arbitration, and that at the time Symbion viewed Venco as adverse to its interests: [Arbitrator]: And do you know whether Symbion or its lawyers ever asked [Venco] to participate in the prior arbitration? Hinks: No, we wouldnât have done it at that stage because of what position [Venco] had taken. Clearly, on the other side. [Arbitrator]: At that point, you were adverse to [Venco], correct? Hinks: Yes. It was clear that [Venco] was with [LBG/BV]. They were in cahoots. Hearing Tr., Ex. A, Pet.âs Reply & Oppân [ECF No. 13-1] at 1403:16â1404:7. Thus Symbion is left in the untenable position of arguing that it represented Vencoâs interests at the same time that it was adverse to those interests. Moreover, there is nothing in the prior award indicating that the tribunal took special care to protect Vencoâs interests. Symbionâs argument therefore fails. A nonparty cannot be adequately represented by a party whose interests are adverse. See Taylor, 553 U.S. at 900. Indeed, to conclude otherwise would raise serious due process concerns. See Kourtis v. Cameron, 419 F.3d 989, 998 (9th Cir. 2005) (âa conflict of interest between a non-party and his purported representative forecloses the possibility of privity because a nonparty cannot be adequately represented by a person with whom he is in conflictâ), abrogated in part by Taylor, 553 U.S. at 892 n.3. 1 But the Court need not actually decide whether or not issue preclusion should have bound 1 Even if Venco were in privity with Symbion in the earlier arbitration, issue preclusion of a nonparty based on a prior arbitration proceeding (rather than a court proceeding) might raise separate due process concerns. Arbitration is a private dispute resolution mechanism, and while there is a strong public policy in favor of enforcing arbitration awards between parties who have agreed to that arbitration, very different concerns could arise when enforcing a decision against a litigant who never consented to the first arbitration. 9 the second tribunal to the decisions of the first. For purposes of determining whether a public policy of issue preclusion requires this Court to set aside the award, it is enough to say that the Court has grave concerns over whether issue preclusion is even applicable in this instanceâand thus Symbion has not demonstrated that the âmost basic notions of morality and justiceâ require nonenforcement. 2 The Court therefore concludes that the public policy exception to the New York Convention does not apply, and the Court is therefore obligated to enforce the arbitral award against Symbion. II. The U.K. Proceedings, The Requested Stay, and the Requested Security Bond In August 2016 Symbion challenged the arbitration award in the U.K. High Court of Justice in London, England. Before this Court, it asks, in the alternative, for a stay pending the outcome of those proceedings. The High Court of Justice denied Symbionâs challenge and ruled in favor of Venco. See Symbion Power LLC v. Venco Imtiaz Constr. Co., [2017] EWHC 348 (TCC) (March 10, 2017). Symbion has indicated that it is seeking leave to appeal that decision. When evaluating a motion to stay enforcement of an arbitration award pending a foreign proceeding, courts generally look to the factors the Second Circuit identified in Europcar Italia, S.P.A. v. Maiellano Tours, Inc., 156 F.3d 310, 317â18 (2d Cir. 1998). See, e.g., Getma Intâl v. Republic of Guinea, 142 F. Supp. 3d 110, 114â15 (D.D.C. 2015); Gold Reserve Inc. v. Bolivarian Republic of Venezuela, 146 F. Supp. 3d 112, 135 (D.D.C. 2015). Those factors are: (1) the general objectives of arbitrationâthe expeditious resolution of disputes and the avoidance of protracted and expensive litigation; (2) the status of the foreign proceedings and the estimated time for those proceedings to be resolved; 2 There are other reasons why issue preclusion might not apply in the second arbitration proceeding. For example, it is not clear from the briefing whether the issue in the second arbitration proceeding was âactually litigatedâ in the first arbitration, because the subcontracts at issue are not identical. Although both Symbion and Venco are parties to the master contract with LBG/BV, the subcontract between Symbion and LBG/BV is different from the subcontract between Symbion and Venco. However, the Court need not reach this issue. 10 (3) whether the award sought to be enforced will receive greater scrutiny in the foreign proceedings under a less deferential standard of review; (4) the characteristics of the foreign proceedings including (i) whether they were brought to enforce an award (which would tend to weigh in favor of a stay) or to set the award aside (which would tend to weigh in favor of enforcement); (ii) whether they were initiated before the underlying enforcement proceeding so as to raise concerns of international comity; (iii) whether they were initiated by the party now seeking to enforce the award in federal court; and (iv) whether they were initiated under circumstances indicating an intent to hinder or delay resolution of the dispute; (5) a balance of the possible hardships to each of the parties . . . ; and (6) any other circumstances[.] Europcar, 156 F.3d at 317â18 (internal citations omitted). The Europcar court emphasized that a stay âshould not be lightly granted lest it encourage abusive tactics by the party that lost in arbitration.â Id. at 317. Thus, because the âprimary goal of the Convention is to facilitate the recognition and enforcement of arbitral awards, the first and second factorsâ should have the most weight. Id. at 318. Here, the first and second factors both weigh in favor of enforcing the award and denying a stay. This Court has already determined that enforcement is appropriate, and further delay would lead to more protracted and expensive proceedings than have already occurred. Venco first requested arbitration approximately four years ago, which is a length of time that courts often consider long enough to justify immediate enforcement. See Chevron Corp. v. Republic of Ecuador, 949 F. Supp. 2d 57, 72 (D.D.C. 2013) (six years between beginning of arbitration and confirmation of award weighs in favor of denying a stay); G.E. Transp. S.P.A. v. Republic of Albania, 693 F. Supp. 2d 132, 139 (D.D.C. 2010) (four year delay weighs in favor of denying a stay). In Getma International v. Republic of Guinea, the court disagreed, holding that while denying the stay might promote a swift resolution in the short term, if a foreign court reached the opposite conclusion, then unwinding the payments would lead to more extended litigation in the 11 long run. 142 F. Supp. 3d at 114. Thus, a court âcannot âoverlook agreed-upon arbitral procedures,ââ i.e., the right of a party to challenge the award in court, âin favor of the enforcement of an arbitration award.â Id. (quoting Polimaster Ltd. v. RAE Sys., Inc., 623 F.3d 832, 841 (9th Cir. 2010)) (some internal quotation marks omitted). But that court explained the risk of a foreign court setting aside the award was particularly great because no foreign tribunal had yet ruled on the matterâunlike in this case. See id. at 115. That brings us to the second factor. The foreign proceeding here has completed its first phaseâthe High Court of Justice ruled in favor of Venco. This suit is therefore unlike Getma on both the first and second factors. Compare Getma Intâl, 142 F. Supp. 3d at 115â16 (finding second factor weighs in favor of stay because no foreign tribunal had yet ruled on validity of award), with Chevron Corp., 949 F. Supp. 2d at 72, affâd, 795 F.3d 200 (D.C. Cir. 2015) (finding the first and second factors weigh in favor of enforcement because one foreign tribunal ruled in favor of the award), and G.E. Transp., 693 F. Supp. 2d 139 (same). Moreover, this Court has no way of knowing whether an appeal in the U.K. proceeding will be permitted at all, much less how long any appeal might take, and is thus hesitant to stay enforcement indefinitely. Thus both the first and second factors weigh in favor of enforcing the award immediately, especially given that one U.K. court has already confirmed the award. The third factor, however, weighs in favor of staying enforcement. As Venco concedes, the U.K. Arbitration Actâs standard of review is slightly less deferential than that of the New York Convention, giving that court more leeway to not enforce the award. See Pet.âs Reply & Oppân at 27. This âweighs mildly in favorâ of granting a stay. See Getma Intâl, 142 F. Supp. 2d at 116 (citing Interdigital Commcâns Corp. v. Samsung Elecs. Co., 528 F. Supp. 2d 340, 361 (S.D.N.Y. 2007)). 12 The fourth factor does not weigh in favor of either party. On the one hand, â[Symbion] initiated the foreign proceeding to set aside the award, which weighs against a stay.â Getma Intâl, 142 F. Supp. 2d at 116 (citing Chevron Corp., 949 F. Supp. 2d at 72). But on the other hand, Symbion filed its suit in the U.K. first, which weighs in favor of a stay out of respect for âinternational comity.â See Europcar, 156 F.3d at 318; Telcordia Techs., Inc. v. Telkom SA, Ltd., 95 F. Appâx 361, 362 (D.C. Cir. 2004) (nonprecedential). Venco asserts that Symbion only filed the U.K. suit as a delay tactic, the next in a long line of similar obstructionist actions. Symbion disagrees, and asserts the subcontract between Venco and Symbion specifically designates the United Kingdom as the proper forum to challenge the awardâand thus that Symbionâs suit is well within its legal rights as agreed to by Venco. See Resp.âs Reply at 3. Based on the materials submitted, âthe Court cannot say that [Symbionâs actions] are so obviously either legitimate or vexatious that this factor should sway its analysis.â Chevron Corp., 949 F. Supp. 2d at 72. Thus the fourth factor is a wash. The fifth factor, much like the second, weighs in favor of denying the stay. Although there is a risk that the U.K. appellate court could set aside the award, on balance the need for prompt enforcement of the award outweighs that risk. See id. at 72â73. Finally, neither party has identified any additional information that is relevant to the Courtâs consideration, and hence, the sixth factor is not relevant. In summary, the first and second factors, which are the most important, weigh in favor of enforcement, as does the fifth. The third weighs against enforcement. Given this balance of the factors, the Court finds that granting a stay would not be appropriate under the Europcar framework. 13 CONCLUSION For the reasons stated above, Vencoâs petition to confirm the arbitral award will be granted, and Symbionâs motion for a stay will be denied. 3 Vencoâs alternative motion for security will be denied as moot. A separate order has been issued on this date. ______________/s/ JOHN D. BATES United States District Judge Dated: May 31, 2017 3 Venco requests payment of (i) â$4,068,659, plus post-award interest at a rate of 4% per annum compounded monthly from May 1, 2016 until full payment thereofâ; (ii) past interest âin the sum of $1,243, 580.73, plus post- award interest at the rate of 4% per annum, compounded monthly from May 1, 2016 until full payment thereofâ; (iii) $2,690,277 in legal costs of the arbitration proceeding, âplus post-award simple interest at a rate of 4% per annum from July 12, 2016 until full payment thereofâ; and (iv) $460,000 in payment for the costs of the arbitration, âplus post-award simple interest at a rate of 4% per annum from July 12, 2016 until full payment thereof.â Pet.âs Br. at 10â 11. These are the same amounts and interest rates that are contained in the arbitration award. Award at 140â141. Symbion does not contest that the tribunal ordered payment in these amounts and at these interests rates, nor does Symbion raise any arguments that these interest rates are improper. Therefore, the Court will order the requested payments. Venco also requests that Symbion be ordered to pay its attorneyâs fees and costs for this petition to confirm the award. Pet.âs Br. at 11. However, Venco has not briefed this issue or provided any basis in statute, contract, or this Courtâs inherent authority for the Court to award attorneyâs fees in this matter. Neither has Symbion responded to this request in its briefing. The Court will therefore deny Vencoâs request for attorneyâs fees and costs incurred in this civil action. 14
Case Information
- Court
- D.D.C.
- Decision Date
- May 31, 2017
- Status
- Precedential