Canevaro claim (Italy / Peru)

The firm of José Canevaro & Sons was a Peruvian company which held payment drafts in the amount of 77,000 pounds sterling, issued by the Peruvian government in December 1880 in order to settle a previous debt to this firm. These drafts were not paid at the date fixed for payment.

 

In 1889 Peru enacted legislation concerning the settlement of its domestic debt, which provided that the debt would be paid in the form of bonds bearing interest at the rate of one per cent. In reliance on this law, Peru refused the full payment of the Canevaro firm’s claim. The Canevaro firm transferred the payment drafts to two of the heirs of José Canevaro, who were Italian nationals, who in turn sought payment.

 

Italy and Peru agreed to submit to arbitration the questions whether the Italian claimants were entitled to demand the amount claimed, and whether the Peruvian government was obligated to pay in cash or in accordance with the 1889 legislation. The Tribunal found that the payment was due under the 1889 law, notwithstanding that the payment instruments had entered into the possession of foreigners. The Tribunal ordered the Peruvian government to pay its debts in the form prescribed in the 1889 law, with interest.


Case information

Name(s) of Claimant(s)
Name(s) of Respondent(s) ()
Names of Parties

Representatives of Italy:

Professor Vittorio Scialoja, Senator of the Kingdom of Italy

Assistant counsel, Count Giuseppe Francesco Canevaro

 

Representative of Peru:

Mr. Manuel Maria Mesones

Case number 1910-01
Administering institution Permanent Court of Arbitration (PCA)
Case status Concluded
Type of case Inter-state arbitration
Subject matter or economic sector Financial and insurance
Rules used in arbitral proceedings - Other -
Treaty or contract under which proceedings were commenced -
Language of Proceeding French
Seat of Arbitration (by Country) - N/A -
Arbitrator(s)

L. Renault

G. Fusinato

M.A. Calderon

Representatives of the Claimant(s)

 

Representatives of the Respondent(s)

 

Representatives of the Parties
Number of Arbitrators in case 3
Date of commencement of proceeding 25 April 1910
Date of issue of final award 03 May 1912
Length of Proceedings 1-2 years
Additional notes -

Attachments

Award or other decision
Award of the Tribunal

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