Vento initiated an arbitral claim against Mexico under NAFTA Chapter 11 due to Mexico’s denial of preferential tariffs, which allegedly caused Vento significant business losses.
The tribunal dismissed Vento’s claim, and the Application Judge upheld this dismissal. Vento appealed.
Procedural Fairness Issue:
Vento argues that the tribunal denied procedural fairness by not allowing a witness to respond to a credibility challenge, affecting its ability to present its case (Article 34(2)(a)(ii) of the Model Law).
Model Law and Test for Procedural Unfairness:
The Application Judge applied a stringent test for judicial intervention, focusing on "serious" conduct offending "basic notions of morality and justice."
Vento advocates for a standard emphasizing uniformity and good faith in international arbitration.
CIPPIC’s Motion to Intervene:
The Samuelson-Glushko Canadian Internet Policy and Public Interest Clinic (CIPPIC) sought to propose a "material" procedural fairness violation test.
The Court denied CIPPIC’s motion, citing insufficient relevance and potential to complicate the appeal.
Conclusion:
CIPPIC's intervention was denied due to lack of direct relevance and the risk of expanding the appeal's scope.