Legal victory for the Dominican Republic: State wins multi-million dollar international arbitration
The Dominican State has achieved a resounding victory in the field of international arbitration, after obtaining a completely favorable decision in the proceedings initiated by Mr. Yves Martine Garnier. The litigation, which was based on the investment protection agreement signed between France and the Dominican Republic in 1999, concluded with the total dismissal of the claimant’s economic claims.
The Arbitral Tribunal issued an award on August 19, 2026, through which it rejected the claim for compensation exceeding 100 million dollars, a figure that amounts to more than 5.882 billion Dominican pesos. This case, administered by the Permanent Court of Arbitration, originated from the cancellation of a concession contract for solid waste collection that linked the company EGTT Dominicana, S.A. with the Santo Domingo Este City Council.
Validation of legal sovereignty
After analyzing the arguments presented, the court determined that the termination of the contract was carried out in accordance with the law, due to the evident deficiencies in the provision of services by the concessionaire company. Likewise, it was established that the plaintiff’s claims did not meet the necessary standards to demonstrate a violation of the international obligations of the Dominican State.
Defending the State is not solely about defending the public treasury: it is about defending the seriousness with which this country honors its commitments. The Dominican Republic fulfills its obligations to foreign investors and, precisely for that reason, firmly maintains its positions when a claim lacks foundation.
Yayo Sanz Lovatón, Minister of Industry, Commerce and MSMEsNational defense strategy
The representation of the State in this process was a joint effort coordinated by the Ministry of Industry, Commerce and Mipymes (MICM), in collaboration with the Santo Domingo Este City Hall and the support of the Ministry of Justice. In addition, technical advice was provided by the prestigious international firm Foley Hoag LLP.
This positive result reinforces the active defense policy promoted by the country to protect public resources and guarantee a climate of legal certainty, a fundamental pillar for the development and confidence of foreign investors in the Dominican Republic.
