Following the recent judgment of the Hague District Court
setting aside six Energy Charter Treaty (ECT) awards rendered against Russia in
favour of the former Yukos shareholders, this article explores the potential
effect of the Dutch judgment on enforcement of the underlying awards in England
and Wales. English courts have consistently held that they are not bound by the
setting aside of awards by the courts of the seat of arbitration. Nonetheless,
recent cases demonstrate a trend that such discretion will be exercised
sparingly, in accordance with the usual standards of English law applicable to
the recognition and enforcement of foreign judgments. Further, in appropriate
circumstances, the doctrine of issue estoppel may apply in enforcement actions
before the English courts. It is, as yet, uncertain whether the fact that the
awards arose under treaty will have any effect on the treatment by the English
courts of the Dutch judgment.