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Procedural Background<br />

3. On 4 December 2006, Max Solutions submitted a request <strong>for</strong> arbitration against<br />

Bela Rano Insularo to the International Centre <strong>for</strong> Settlement of Investment Disputes<br />

(“ICSID”) pursuant to Article 24 of the Treaty Between the Government of Oscania and<br />

the Government of Bela Rano Insularo Concerning the Encouragement and Reciprocal<br />

Protection of Investment (the “Treaty”).<br />

4. Claimant appointed Mr. Albert Viator, an arbitration practitioner and experienced<br />

commercial arbitrator, to the arbitral tribunal (the “Tribunal”) and Respondent appointed<br />

Professor Alessandra Iracunda, a prominent investment law academic and experienced<br />

arbitrator. Both party-appointed arbitrators accepted their respective appointments and<br />

nominated Dr. Humberto Honesta as Chair of the Tribunal. Dr. Honesta accepted his<br />

appointment on 13 February 2007.<br />

5. On 1 March 2007, Claimant submitted a Proposal to disqualify Professor Iracunda<br />

(the “Challenge”) in accordance with Article 57 of the ICSID Convention, claiming that<br />

Professor Iracunda’s academic publications in the field of investment law and her<br />

membership in the environmental organization Wilderness undermined her impartiality. 8<br />

6. In accordance with Arbitration Rule 9(4), Mr. Viator and Dr. Honesta (the “Two<br />

Members”) considered and ultimately dismissed the challenge to Professor Iracunda. 9<br />

Consistent with prior dismissals on similar grounds, the Two Members observed that it is<br />

common <strong>for</strong> legal scholars to act as arbitrators and that the mere expression of a viewpoint<br />

on a relevant legal issue cannot suffice to disqualify an arbitrator. If publication of a view<br />

did suffice, the Two Members found, only few scholars could arbitrate disputes and<br />

professional arbitrators would feel pressured to refrain from publication in order to avoid<br />

“viewpoint-based challenges.” 10 Such a development would, according to the Two<br />

Members, significantly undermine the future development of international investment<br />

law. 11<br />

8 UF, 3:155<br />

9 CD, 5:255<br />

10 CD, 9:435<br />

11 CD, 9:436-438<br />

2

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