Ruby River Capital LLC v. Canada

Claimants

The claimant is Ruby River Capital LLC, a U.S. corporation organized under the laws of Delaware. Ruby River is owned and controlled by Freestone International LLC (Freestone) and Breyer Capital LLC (Breyer Capital), both U.S. corporations.

Ruby River Capital LLC submits its claim on behalf of Symbio, a Quebec limited partnership, which owns two other Quebec companies, GNL Québec Inc. and Gazoduq Inc., established to build and operate a natural gas liquefaction complex in Saguenay, Quebec (the GNLQ Project) and a natural gas pipeline connecting the northeast of Ontario to Saguenay (the Gazoduq Project).

Agreements

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

Articles

• CUSMA Annex 14-C
• NAFTA Article 1102 (National Treatment)
• NAFTA Article 1103 (Most-Favored-Nation Treatment)
• NAFTA Article 1105 (Minimum Standard of Treatment)
• NAFTA Article 1110 (Expropriation and Compensation)

Damages claimed

US$ 1,004,648,000 plus interest and costs

Status

Active.

Arbitration rules

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

Summary

Procedural history

On October 19, 2022, Ruby River served the Government of Canada with a Notice of Intent to Submit a Claim to Arbitration. On February 17, 2023, Ruby River filed a Request for Arbitration against the Government of Canada. The tribunal was established on June 22, 2023 (Ms. Carole Malinvaud, presiding, and Professor Zachary Douglas KC, and Mr. Barton Legum). Claimant's Memorial on Jurisdiction and the Merits was submitted on November 21, 2023. On December 31, 2023, the tribunal rejected Canada’s December 22, 2023 request to suspend the proceedings. On January 4, 2024, Quebec filed a request to be allowed to submit an amicus brief. The next day, January 5, 2024, Canada submitted its request for bifurcation on jurisdictional matters. On April 26, the tribunal rejected Canada’s request for bifurcation. Canada will be submitting its Counter-Memorial in the coming months.

Factual overview and nature of the claim

The Claimant relies on the Legacy-claim annex of CUSMA and alleges that Canada breached NAFTA, Article 1102 (National Treatment), Article 1103 (Most-Favored-Nation Treatment), Article 1105 (Minimum Standard of Treatment) and, Article 1110 (Expropriation and Compensation) for the non-approval of the GNLQ and the Gazoduq Projects by the Government of Quebec and the Government of Canada. The Claimant is seeking damages of no less than $US 1,004,648,000 in sunk costs and future lost profits, plus losses (to be quantified), interest and costs.

Legal documents

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

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