NAFTA - Chapter 11 - Investment

Cases filed against the Government of Canada

Koch Industries, Inc. and Koch Supply & Trading, LP v. Government of Canada

Claimants

The claimants are Koch Industries, Inc. and Koch Supply & Trading, LP (collectively, "Koch").

Koch Industries, Inc. is a company incorporated under the laws of Kansas. Koch Supply & Trading, LP ("KS&T") is a partnership organized under the laws of Delaware and an indirect, wholly owned subsidiary of Koch Industries, Inc.

Agreements

NAFTA (North American Free Trade Agreement), CUSMA (Canada-United States-Mexico Agreement)

Articles

• Article 1105 (Minimum Standard of Treatment)
• Article 1110 (Expropriation and Compensation)

Damages claimed

No less than US$30,158,240.95, plus interest and costs.

Status

Pending

Arbitration rules

International Centre for Settlement of Investment Disputes (ICSID) Arbitration Rules.

Summary

Procedural history

On February 20, 2020, Koch served the Government of Canada with a Notice of Intent to Submit a Claim to Arbitration. On December 7, 2020, Koch filed a Request for Arbitration against the Government of Canada.

The Tribunal was constituted on April 27, 2021 and issued Procedural Order No. 1 concerning procedural matters on June 29, 2021.

On October 6, 2021, Koch filed a Memorial on Jurisdiction and the Merits.

Factual overview and nature of the claim

The Claimants allege that the Province of Ontario's cancellation of its cap and trade program in 2018 breached NAFTA Articles 1105 (Minimum Standard of Treatment) and 1110 (Expropriation and Compensation). The Claimants are seeking damages of not less than US$30,158,240.95, plus interest and costs. This amount represents the purchase price of the emission allowances acquired by Koch Supply & Trading, LP in May 2018 at an Ontario-Québec-California joint auction.

Legal documents

This case is governed by the ICSID Arbitration Rules. Additional documents related to this case can be viewed on the ICSID website.

Copies of all legal documents posted have been prepared in a language of operation of the Tribunal or Court in question. The Government of Canada has not modified or changed them in any way. As such they have not been translated from the original. They are provided in Acrobat (pdf) files. To view or download pdf files you need Adobe® Acrobat® Reader™ a free software that you can download from the web.

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