{"id":2009,"date":"2024-09-02T04:21:32","date_gmt":"2024-09-02T08:21:32","guid":{"rendered":"https:\/\/www.packagingindustrynews.com\/?p=2009"},"modified":"2024-09-02T04:21:32","modified_gmt":"2024-09-02T08:21:32","slug":"smurfit-westrock-awarded-473-2m-in-venezuela-dispute","status":"publish","type":"post","link":"https:\/\/www.packagingindustrynews.com\/?p=2009","title":{"rendered":"Smurfit Westrock awarded $473.2m in Venezuela dispute"},"content":{"rendered":"


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Smurfit Westrock is a provider of sustainable paper and packaging. Credit: Patcharanan via Shutterstock. <\/figcaption><\/figure>\n<\/p><\/div>\n

Smurfit Westrock, a provider of paper-based packaging solutions, has been awarded more than $473m in compensation by the International Centre for Settlement of Investment Disputes (ICSID).\u00a0\u00a0<\/p>\n

The decision, dated 28 August 2024, responds to claims made by Smurfit Holdings BV, a subsidiary of Smurfit Westrock, against the Venezuelan government for the expropriation of its business operations.\u00a0<\/p>\n

The arbitral tribunal, under the World Bank\u2019s ICSID, ruled in favour of Smurfit, ordering Venezuela to pay $468.7m in damages, $4.5m in legal costs, and interest from 31 May 2024 until the payment date.\u00a0\u00a0<\/p>\n

This award stems from a dispute filed in December 2018, following the Venezuelan government\u2019s occupation and subsequent deconsolidation of Smurfit Kappa Group<\/a>\u2018s Venezuelan operations in August 2018.\u00a0<\/p>\n

By a majority decision, the tribunal dismissed Venezuela\u2019s jurisdictional objections and found that Venezuela had violated several protections under the investment treaty with the Netherlands.\u00a0\u00a0<\/p>\n

These included protections against unlawful expropriation, unfair treatment, and restrictions on dividend repatriation.\u00a0<\/p>\n

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