Credibility International Undertakes Study of Damages in Investment Treaty Arbitration

World Bank BuildingWashington D.C., June 19, 2014 – Credibility International is pleased to release its study of the damages in investment treaty arbitration.  As leading experts in damages in international arbitration with particularly deep experience in investment treaty cases, Credibility has conducted a study of all of the historic awards in cases at the International Center for the Settlement of Investment Disputes (“ICSID”).

The study is focused upon the damages claimed and awarded in these investment treaty cases as well as interest and the costs in these awards.  To date, there has been no comprehensive study that has focused upon the quantitative aspects of the investment treaty cases.  Credibility’s study was undertaken to provide insight into not just the damages, interest and costs, but also the results achieved by the parties involved – the arbitrators, law firms and damages experts.

Tim Hart, the founder and president of Credibility, stated, “Much has been written and studied in the field of investment treaty arbitration around the legal issues, yet we are not aware of any comprehensive study of damages and the other financial issues in investment treaty cases.  Considering that the investment treaty cases as a group are probably the largest quantitative claims in the world and involve foreign direct investment around the globe, we felt that it was important to study the damages in these cases.”

Among other things, the study includes:

  • Case-by-case listing of damages claimed and awarded
  • Analysis and ranking of damage claims and awards
  • Analysis and rankings of the law firms
  • Analysis of the tendencies of the arbitrators
  • Analysis and rankings of the damages experts
  • Analysis of the costs of arbitration and the factors that drive those costs
  • Analysis of the relationship between party costs and case outcome
  • Analysis of the interest typically awarded along with damages
  • Our scoring method to count wins and losses for the parties involved

Certain key factual and statistical findings are:

  • Publicly reported damages awarded at ICSID are nearly $4.5 billion
  • The respondent won in nearly 80% of the reported cases
  • Damages claimed on the publicly reported awards totaled $22.8 billion
  • Only 9% of cases with merit awards resulted in awards of 100% of the claimed amount
  • The 30th ranked damages award is 11% of the 30th ranked damages claim

For highlights of the study findings and to download the study itself, please click here.

About Credibility International

With expertise in forensic accounting and finance, Credibility International has professionals who are CPAs, fraud examiners and valuation professionals. Tim Hart has once again been recognized this year by Who’s Who Legal as one of the top expert witnesses in international arbitration. The Credibility team has native language capabilities in Russian and Spanish. For more information visit