CHAPTER I. PREFACE AND PROCEDURAL HISTORY
308. It was agreed at the second stage hearing that the Tribunal would make a Second Partial Award on the quantification of the compensation to be awarded and that the Disputing Parties would be given an opportunity to submit their claims in respect of costs, together with any submissions they wish to make, after they have seen the Second Partial Award.
309. Accordingly, all questions concerning costs under Articles 38 and 40 of the UNCITRAL Arbitration Rules are postponed to the Tribunal’s Final Award.
|The following abbreviations are adopted in this award:|
|CANADA||The Government of CANADA|
|CANS, and $||Canadian dollars|
|Disputing Parties||SDMI and CANADA|
|Majority||Mr Edward Chiasson QC and Prof J Martin Hunter|
|MEXICO||The United States of Mexico|
|NAFTA||The North American Free Trade Agreement|
|Parties||CANADA, MEXICO and the USA|
|SDMI||S. D. Myers, Inc|
|Transcript||Verbatim record of the hearing held in Toronto from 21 to 26 September 2001|
|Tribunal||Professor Bryan P Schwartz, Mr Edward C Chiasson QC and Professor J Martin Hunter|
|UNCITRAL||United Nations Commission on International Trade Law|
|UNCITRAL Rules||UNCITRAL Arbitration Rules, 1976|
|U.S. or USA||The United States of America|
|US$||United States dollars|
CHAPTER II. THE APPLICABLE RULES
CHAPTER III. THE COSTS OF THE ARBITRATION
CHAPTER IV. THE COSTS OF LEGAL REPRESENTATION AND ASSISTANCE
1. Were costs claimed in the arbitration?
2. Was it necessary to employ lawyers in the case in question?
3. Is the amount of costs reasonable?
4. Who should bear the costs? Are there circumstances in this case that make it reasonable to apportion costs?
* lead counsel fees - CAN$2,068,250.00
* lead counsel disbursements - CANS421,582.00
* legal consultant for strategic policy initiatives - CAN$49,797.00
* consultant law firm (including counsel at the damages hearing) - CAN$217,530.00
* other legal assistance - CAN$33,442.00
* damages consultants - CAN$937,914.00
* other secretarial and negotiation - CAN$12,446.00
The Tribunal noted at para. 125 that it is common in international arbitral proceedings that a losing party bear the costs of the arbitration as well as contribute to the prevailing party’s costs of representation. The tribunal noted that this practice ‘serves the dual function of reparation and dissuasion.'17
CHAPTER V. INTEREST
CHAPTER VI. DISPOSITIVE PROVISIONS OF THE AWARD