Kluwer: Navigating the Intersection of Sovereign Acts and Commercial Activities: Insights from Omega v. Panama

Published on June 20, 2024

By Rebeca Mosquera (Reed Smith)

In the 2022 case of Omega Engineering LLC and Oscar Rivera v. Republic of Panama (ICSID Case No. ARB/16/42), the Tribunal faced the challenge of distinguishing between a state’s sovereign acts and its commercial activities. This case raised the critical question of when a state’s conduct shifts from exercising sovereign authority to acting as a...