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London Court of International Arbitration awards full victory to DP World in Djibouti dispute

posted on 22/02/2017: 947 views

A tribunal of distinguished arbitrators, acting under the rules of the London Court of International Arbitration, has exonerated DP World from all charges of misconduct in connection with the award of a 50-year concession to operate the Doraleh Container Terminal (DCT) in Djibouti.

The international tribunal was composed of distinguished arbitrators Lord Leonard Hoffmann, Sir Richard Aikens and Peter Leaver QC.

The claim, brought by the government of the East African country in 2014, accused DP World of illegal payments to the head of the country's port and free zone authority, Abdourahman Boreh, to secure the concession to run DCT in 2006. In March 2016, the English Commercial Court in London dismissed all charges against Boreh brought against him by the Government of Djibouti, related to his dealings with DP World.

Yesterday the London Court of International Arbitration fully exonerated DP World, stating in the Partial Final Award that: the claimants' claims all fail and are dismissed;the claimants must bear all costs of the arbitration to date and the claimants must pay the legal and other costs of the respondents in the arbitration upon an indemnity basis and in an amount to be determined by this tribunal in a further Award.

Built and operated by DP World, the Doraleh Container Terminal is the most technologically advanced container terminal on the African east coast. Launched in 2009, with direct road links to Ethiopia, the port lies on the major east-west trade route and provides a secure hub within the region for transhipment and relay activities. The terminal is Djibouti's biggest employer with almost 1,000 employees of whom 99 percent are Djibouti nationals. Throughout arbitration proceedings, DP World has continued to manage the port. – Emirates News Agency, WAM -


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