Lisbon Court of Appeal | New York Convention 1958 | Liquidated Damages Clause | International Public Policy | 12-07-2012 | Case #0030

Lisbon Court of Appeal
Date: 12-07-2012
Case Nr. 7328/10.0TBOER.L1-1
LINK DGSI

Related CASE: Supreme Court of Justice | 14-03-2013 | Case #031

Headline:

Evidences of the circumstances set forth in Art. V(1) of the NYC shall be introduced within 10 days after the respondent has been summoned.

Liquidated damages clauses are not contrary to the international public policy of Portugal.

Summary:

1. In a recognition procedure, the defendant may produce the evidences of the circumstances referred to in Art. V(1) of the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards of 1958 within ten days after being summoned for the recognition procedure.
2. Such recognition procedure shall take place before the Court of First Instance and not before the Court of Appeal, being applicable the provisions of Art. 1096 and 1097 of the Portuguese Code of Civil Procedure.
3. The arbitral award that ordered the respondent to pay the claimant an amount under a liquidated damages clause does not violate the principles of international public policy of Portugal. Such clause is also admitted under Arts. 810 et seq. of the Portuguese Civil Code.