Two ICSID ad hoc committees have recently considered applications regarding stays of enforcement of awards against Venezuela.

An ad hoc committee has rejected Venezuela's application to continue a stay of enforcement of an award issued against it in March 2015. The ad hoc committee agreeing with the investor, found that Venezuela had not satisfied its burden to prove circumstances in accordance with Article 52(2) of the ICSID Convention requiring a continued stay of enforcement, which it opined was by no means automatic. It thus declared the provisional stay terminated.

In another case concerning stay of enforcement of an award against Venezuela, an ad hoc committee rejected Flughafen's request to have the stay terminated. However, in order to maintain a balance between the parties (namely the right to bring annulment proceedings and the presumption of validity of ICSID awards), the committee ordered that Venezuela post an unconditional and irrevocable bank guarantee in the total amount of the award (about $USD19 million including interest and costs) to be provided within 45 calendar days and to remain in place until the committee's decision on annulment. The guarantee was to be obtained from an internationally recognised financial institution not based in Venezuela, Chile or Switzerland.

Cases: OI European Group BV v Bolivarian Republic of Venezuela (ICSID Case No. ARB/11/25) (Annulment Proceeding) and Flughafen Zürich AG and Gestión e Ingeniería IDC S.A. v Bolivarian Republic of Venezuela (ICSID Case No. ARB/10/19).