Croatia

Croatia

NO. Year of initiation Short case name Full case name Applicable IIA Arbitral rules Administering institution Summary Details of investment Outcome of original proceedings Respondent State Home State of investor Economic sector Economic subsector Arbitrators Amount claimed Amount awarded (or settled for) Breaches alleged Breaches found Decisions Individual opinions Follow-on proceeding type Follow-on proceeding status Follow-on decisions Follow-on individual opinions ICSID annulment committee members
1 2019 Mihaljevic v. Croatia Marko Mihaljevic v. Republic of Croatia (ICSID Case No. ARB/19/35) Croatia - Germany BIT (1997) ICSID ICSID Investment: Ownership rights over purchased real estate.

Summary: Claims arising out of the alleged invalidation by Croatia’s courts of a transaction between the claimant’s father and the State relating to real estate assets on the grounds that the transaction was not carried out in conformity with local law.
Ownership rights over purchased real estate. Pending Croatia Germany Tertiary: L - Real estate activities 68 - Real estate activities Data not available Data not available Data not available Data not available Pending Data not available Data not available None None None None None
2 2019 Société Générale v. Croatia Société Générale S.A. v. Republic of Croatia (ICSID Case No. ARB/19/33) Croatia - France BIT (1996) ICSID ICSID Investment:

Summary:
Pending Croatia France Tertiary: K - Financial and insurance activities 64 - Financial service activities, except insurance and pension funding Data not available Data not available Data not available Data not available Pending Data not available Data not available None None None None None
3 2018 Korsgaard v. Croatia Haakon Korsgaard v. Croatia Canada - Croatia BIT (1997) UNCITRAL Data not available Investment: Acquisition of real estate property in Croatia through local companies ReCap International d.o.o. and Zagreb Panorama d.o.o.

Summary: Claims arising out of the Government’s alleged measures to prevent the claimant from obtaining ownership over several formerly socially-owned real estate properties in Croatia, mostly located on the Adriatic coast. According to the claimant, it acquired the real estate from Serbian companies via two local subsidiaries.
Acquisition of real estate property in Croatia through local companies ReCap International d.o.o. and Zagreb Panorama d.o.o. Pending Croatia Canada Tertiary: L - Real estate activities 68 - Real estate activities Name not available - President

Name not available - Claimant

Name not available - Respondent
200.00 mln EUR (224.30 mln USD) Data not available Data not available Pending Data not available Data not available None None None None None
4 2017 Addiko Bank v. Croatia Addiko Bank AG and Addiko Bank d.d. v. Republic of Croatia (ICSID Case No. ARB/17/37) Austria - Croatia BIT (1997) ICSID ICSID Investment: Investments in the banking industry in Croatia.

Summary: Claims arising out of the law that prescribed a change in the currency of loans, issued in Croatia, from Swiss Franc to the Euro.
Investments in the banking industry in Croatia. Pending Croatia Austria Tertiary: K - Financial and insurance activities 64 - Financial service activities, except insurance and pension funding Kalicki, J. E. - President

Tawil, G. S. - Claimant

Olik, M. - Respondent
Data not available Data not available Data not available Pending None None None None None None None
5 2017 Elitech and Razvoj v. Croatia Elitech B.V. and Razvoj Golf D.O.O. v. Republic of Croatia (ICSID Case No. ARB/17/32) Croatia - Netherlands BIT (1998) ICSID ICSID Investment: Investments in constructing a golf resort development near Dubrovnik.

Summary: Claims arising out of Croatia’s allegedly arbitrary and unfair actions that have led to a standstill in construction of a golf resort. Related facts include opposition from local politicians and residents, who complained that the project would damage the environment and threaten Dubrovnik's UNESCO World Heritage Site status, and the Croatian court rulings attempting to overturn the energy and environment ministry approval of the resort’s construction.
Investments in constructing a golf resort development near Dubrovnik. Pending Croatia Netherlands Tertiary: F - Construction

Tertiary: R - Arts, entertainment and recreation

Tertiary: L - Real estate activities
41 - Construction of buildings

93 - Sports activities and amusement and recreation activities

68 - Real estate activities
McRae, D. M. - Respondent (replaced)

Kaufmann-Kohler, G. - President

Gotanda, J. Y. - Claimant

Stern, B. - Respondent
500.00 mln USD Data not available Data not available Pending None None None None None None None
6 2017 Erste Group Bank AG and others v. Croatia Erste & Steiermärkische Bank d.d., Erste Group Bank AG, and Steiermärkische Bank und Sparkassen AG v. Republic of Croatia (ICSID Case No. ARB/17/49) Austria - Croatia BIT (1997) ICSID ICSID Investment: Investments in the banking industry in Croatia.

Summary: Claims arising out of the law that prescribed a change in the currency of loans, issued in Croatia, from Swiss Franc to the Euro.
Investments in the banking industry in Croatia. Pending Croatia Austria Tertiary: K - Financial and insurance activities 64 - Financial service activities, except insurance and pension funding Rigo Sureda, A. - President

Bucher, A. - Claimant

Tomov, L. - Respondent
150.00 mln EUR (180.00 mln USD) Data not available Data not available Pending None None None None None None None
7 2017 Raiffeisen v. Croatia Raiffeisen Bank International AG and Raiffeisenbank Austria d.d. v. Republic of Croatia (ICSID Case No. ARB/17/34) Austria - Croatia BIT (1997) ICSID ICSID Investment: Investments in the banking industry in Croatia.

Summary: Claims arising out of the law that prescribed a change in the currency of loans, issued in Croatia, from Swiss Franc to the Euro.
Investments in the banking industry in Croatia. Pending Croatia Austria Tertiary: K - Financial and insurance activities 64 - Financial service activities, except insurance and pension funding Reed, L. - President

Alexandrov, S. A. - Claimant

Tomov, L. - Respondent
Data not available Data not available Data not available Pending None None None None None None None
8 2016 Amlyn v. Croatia Amlyn Holding B.V. v. Republic of Croatia (ICSID Case No. ARB/16/28) The Energy Charter Treaty (1994) ICSID ICSID Investment: Investments in the construction of a biomass power plant.

Summary: Claims arising out of a series of State measures that allegedly delayed and frustrated the claimant’s biomass power plant project, including the cancellation of a power purchase agreement with the Croatian Energy Market Operator (HROTE) and legislative changes that allegedly deprived the claimant of its status as an eligible power producer.
Investments in the construction of a biomass power plant. Pending Croatia Netherlands Tertiary: D - Electricity, gas, steam and air conditioning supply 35 - Electricity, gas, steam and air conditioning supply Alexandrov, S. A. - Claimant

Stern, B. - Respondent

Drymer, S. L. - President
Data not available Data not available Data not available Pending None None None None None None None
9 2016 UniCredit Bank and Zagrebačka Banka v. Croatia UniCredit Bank Austria AG and Zagrebačka Banka d.d. v. Republic of Croatia (ICSID Case No. ARB/16/31) Austria - Croatia BIT (1997) ICSID ICSID Investment: Investments in banking services and debt instruments.

Summary: Claims arising out of Croatia’s law on conversion of loans denominated in Swiss francs into loans denominated in euros, requiring the claimants to adjust the respective terms of contract with customers and convert loans.
Investments in banking services and debt instruments. Pending Croatia Austria Tertiary: K - Financial and insurance activities 64 - Financial service activities, except insurance and pension funding Reichert, K. - Claimant

Low, L. A. - President

Olik, M. - Respondent
Data not available Data not available Data not available Pending Decision on Jurisdictional Objections dated 12 October 2018 None None None None None None
10 2015 B3 Croatian Courier v. Croatia B3 Croatian Courier Coöperatief U.A. v. Republic of Croatia (ICSID Case No. ARB/15/5) Croatia - Netherlands BIT (1998) ICSID ICSID Investment: Ownership of a postal services enterprise, City Ex.

Summary: Claims arising out of the Government’s alleged failure to implement measures required by EU law since Croatia’s EU accession in 2013 for the liberalization of the country’s postal services market, as well as the allegedly anti-competitive market practices of the incumbent Croatian Post.
Ownership of a postal services enterprise, City Ex. Decided in favour of neither party (liability found but no damages awarded) Croatia Netherlands Tertiary: H - Transportation and storage 53 - Postal and courier activities Hanotiau, B. - President

Stern, B. - Respondent

Alexandrov, S. A. - Claimant
53.00 mln EUR (57.80 mln USD) 0.00 mln USD Fair and equitable treatment/Minimum standard of treatment, including denial of justice claims

Indirect expropriation
Fair and equitable treatment/Minimum standard of treatment, including denial of justice claims Award dated 5 April 2019 None None None None None None
11 2013 MOL v. Croatia MOL Hungarian Oil and Gas Company Plc v. Republic of Croatia (ICSID Case No. ARB/13/32) The Energy Charter Treaty (1994) ICSID ICSID Investment: Controlling shareholding (49 per cent) in Industrija nafte, d.d. (INA), a Croatian oil and gas company 44.8 per cent owned by the State.

Summary: Claims arising out of the alleged failure by the Government to improve the gas trading business of the company in which MOL had invested (which was loss making), as well as alleged delays and irregularities in granting licenses and the criminal prosecution of claimant's chief executive.
Controlling shareholding (49 per cent) in Industrija nafte, d.d. (INA), a Croatian oil and gas company 44.8 per cent owned by the State. Pending Croatia Hungary Primary: B - Mining and quarrying

Tertiary: D - Electricity, gas, steam and air conditioning supply
6 - Extraction of crude petroleum and natural gas

35 - Electricity, gas, steam and air conditioning supply
Berman, F. - President

Park, W. W. - Claimant

Stern, B. - Respondent
Data not available Data not available Indirect expropriation

Umbrella clause
Pending Decision on Respondent's Application under ICSID Arbitration Rule 41(5) dated 2 December 2014 None None None None None None
12 2013 van Riet v. Croatia Chantal C. van Riet, Christopher van Riet and Lieven J. van Riet v. Republic of Croatia (ICSID Case No. ARB/13/12) BLEU (Belgium-Luxembourg Economic Union) - Croatia BIT (2001) ICSID ICSID Investment: Ownership of 47 plots of land along the Zablacé peninsula, acquired for developing a 15-villa luxury beachside resort.

Summary: Claims arising out of the alleged misrepresentation by Croatian authorities to the claimants by issuing them certificates affirming that certain land plots were located within the allowed construction area for the development of a real estate project, and later refusing them permission to construct on the basis that the plots were outside the construction zone and noting that the previous certificates were issued in disregard of the applicable planning laws.
Ownership of 47 plots of land along the Zablacé peninsula, acquired for developing a 15-villa luxury beachside resort. Decided in favour of State Croatia Belgium Tertiary: L - Real estate activities 68 - Real estate activities Böckstiegel, K.-H. - President

Fadlallah, I. - Claimant

Landau, T. - Respondent
30.00 mln USD Data not available Unclear None - all claims dismissed at the merits stage Award dated 2 November 2016 None None None None None None
13 2012 Gavrilovic v. Croatia Georg Gavrilovic and Gavrilovic d.o.o. v. Republic of Croatia (ICSID Case No. ARB/12/39) Austria - Croatia BIT (1997) ICSID ICSID Investment: Ownership and operation of a meat processing factory; ownership of related agricultural and grazing land in Croatia.

Summary: Claims arising out of disagreements over claimants' title to agricultural and grazing land for the investor's meat processing business in Croatia that led to unsuccessful domestic litigation for Mr. Gavrilovic and his company and the alleged subsequent statutory expropriation of his lands and commercial properties.
Ownership and operation of a meat processing factory; ownership of related agricultural and grazing land in Croatia. Decided in favour of investor Croatia Austria Secondary: C - Manufacturing 10 - Manufacture of food products Pryles, M. C. - President

Alexandrov, S. A. - Claimant

Scherer, M. - Respondent (replaced)

Thomas, J. C. - Respondent
198.20 mln EUR (231.80 mln USD) 20.20 mln HRK (3.20 mln USD) Direct expropriation

Indirect expropriation

Fair and equitable treatment/Minimum standard of treatment, including denial of justice claims

Umbrella clause

National treatment
Direct expropriation Award dated 26 July 2018 None None None None None None
14 2007 Adria Beteiligungs v. Croatia Adria Beteiligungs v. Croatia Austria - Croatia BIT (1997) UNCITRAL PCA Investment: Rights under two joint venture agreements concluded with the state-owned Croatian Lottery to exploit gaming arcades and casinos in Croatia.

Summary: Claims arising out of the termination of the claimant's concession to operate casinos and gambling halls in Croatia, in the context of Croatia's war of independence in 1991.
Rights under two joint venture agreements concluded with the state-owned Croatian Lottery to exploit gaming arcades and casinos in Croatia. Decided in favour of State Croatia Austria Tertiary: R - Arts, entertainment and recreation 92 - Gambling and betting activities Hobér, K. - President

Kaplan, N. - Unknown

Sikiric, H. - Unknown
80.00 mln EUR (107.60 mln USD) Data not available Indirect expropriation

Fair and equitable treatment/Minimum standard of treatment, including denial of justice claims
None - all claims dismissed at the merits stage Award dated 21 June 2010 None Judicial review by national courts Award/decision upheld (Judicial review by national courts) Ruling on the Application to Set-Aside the Award by the Hague Court dated 15 August 2012 (Judicial review by national courts) None None
15 2004 Ulemek v. Croatia Mr. Nedjeljko Ulemek v. Croatia Canada - Croatia BIT (1997) UNCITRAL None Investment: Shareholding in local joint venture engaged in activities concerning office machinery and equipment.

Summary: Claims arising out of the alleged mistreatment to claimant's investment in the Croatian joint venture Jugoturbina Select; particularly, concerning allegations that as a result of the general state of armed conflict and the claimant's Serbian ancestry, he was allegedly forced to leave Croatia in the spring of 1991, and his investment was confiscated and transferred to other companies.
Shareholding in local joint venture engaged in activities concerning office machinery and equipment. Decided in favour of State Croatia Canada Secondary: C - Manufacturing 28 - Manufacture of machinery and equipment n.e.c. Magnusson, S. - President

Rubins, N. - Claimant

Barbic, J. - Respondent
2.60 mln USD Data not available Direct expropriation

Fair and equitable treatment/Minimum standard of treatment, including denial of justice claims

Full protection and security, or similar

National treatment

Most-favoured nation treatment

Other
None - all claims dismissed at the merits stage Award dated 28 May 2008 None Data not available Data not available Data not available Data not available Data not available
NO. Year of initiation Short case name Full case name Applicable IIA Arbitral rules Administering institution Summary Details of investment Outcome of original proceedings Respondent State Home State of investor Economic sector Economic subsector Arbitrators Amount claimed Amount awarded (or settled for) Breaches alleged Breaches found Decisions Individual opinions Follow-on proceeding type Follow-on proceeding status Follow-on decisions Follow-on individual opinions ICSID annulment committee members
1 2013 Tvornica Šećera v. Serbia Tvornica Šećera Osijek d.o.o. v. Republic of Serbia Croatia - Serbia BIT (1998) ICC ICC Investment:

Summary:
Decided in favour of State Serbia Croatia Secondary: C - Manufacturing 10 - Manufacture of food products Name not available - President

Name not available - Claimant

Name not available - Respondent
Data not available Data not available Data not available None - jurisdiction declined Award dated 15 July 2015 None None None None None None
2 2005 HEP v. Slovenia Hrvatska Elektroprivreda d.d. v. Republic of Slovenia (ICSID Case No. ARB/05/24) The Energy Charter Treaty (1994) ICSID ICSID Investment: Rights under a 2001 agreement concluded between Slovenia and Croatia in order to resolve their disputes over a certain nuclear plant and resume electricity delivery.

Summary: Claims arising out of a dispute between the investor -Croatia's national electric company- and Slovenia concerning the ownership and operation of the Krško nuclear power plant; particularly, alleged losses resulting from Slovenia's failure to resume electricity deliveries during a certain time period.
Rights under a 2001 agreement concluded between Slovenia and Croatia in order to resolve their disputes over a certain nuclear plant and resume electricity delivery. Decided in favour of State Slovenia Croatia Tertiary: D - Electricity, gas, steam and air conditioning supply 35 - Electricity, gas, steam and air conditioning supply Williams, D. A. R. - President

Brower, C. N. - Claimant

Paulsson, J. - Respondent
5752.00 mln SIT (34.00 mln USD) Data not available Indirect expropriation

Fair and equitable treatment/Minimum standard of treatment, including denial of justice claims

Full protection and security, or similar

Umbrella clause

Arbitrary, unreasonable and/or discriminatory measures
None - jurisdiction declined Decision on the Treaty Interpretation Issue dated 12 June 2009 Individual Opinion of Jan Paulsson (Decision on the Treaty Interpretation Issue) None None None None None
3 2005 Pren Nreka v. Czech Republic Pren Nreka v. Czech Republic Croatia - Czech Republic BIT (1996) UNCITRAL None Investment: Lease agreement concluded between the claimant and the Pedagogical Centre of Prague, an educational entity created by the Czech government, to renovate certain portions of a building and to lease two floors of that building for commercial activities.

Summary: Claims arising out of the invalidation by respondent’s courts of a 15-year lease agreement concluded between the claimant and the Pedagogical Centre of Prague, resulting in the forced vacation of the investor's leased floors used as a pizzeria restaurant.
Lease agreement concluded between the claimant and the Pedagogical Centre of Prague, an educational entity created by the Czech government, to renovate certain portions of a building and to lease two floors of that building for commercial activities. Decided in favour of investor Czechia Croatia Tertiary: N - Administrative and support service activities 77 - Rental and leasing activities Caflisch, L. - President

Schütze, R. A. - Claimant

Wennerholm, F. - Respondent
26.00 mln CZK (1.50 mln USD) 1.50 mln USD Indirect expropriation

Fair and equitable treatment/Minimum standard of treatment, including denial of justice claims
Fair and equitable treatment/Minimum standard of treatment, including denial of justice claims Award dated 5 February 2007 None Judicial review by national courts Award/decision upheld (Judicial review by national courts) Recours en Annulation (Paris Court of Appeal) dated 25 September 2008 (Judicial review by national courts) None None