14th Frankfurt Investment Arbitration Moot Court (2021/2022)
28 February – 4 March 2022
The Frankfurt Investment Arbitration Moot Court is hosted for the fourth time by the Max Planck Institute for Legal History and Legal Theory in cooperation with the international law firm Morgan, Lewis & Bockius LLP. It is the oldest and most prestigious student competition in the area of investment protection law. In 2022, the Moot Court will be held in its 14th edition. The event will take place in a virtual format from 28 February to 4 March 2022. Further information can be found at https://www.investmentmoot.org/.
This year‘s case study is based on the historical events surrounding the Fugger family and the Spanish state bankruptcy in 1557. The Fugger family started their business in weaving and trade but later expanded this into silver mining and banking. As part of their business, they also lent money to the Emperor of the Holy Roman Empire and to the Spanish Crown. This year’s case revolves around these loans and their fate during the Spanish state bankruptcy.
The Fugger banking business and the family’s preeminent role in this area began when they supported Charles V in his candidature to become Emperor of the Holy Roman Empire. His election success in 1519 made him not only Emperor, but also King of Spain and Portugal. During his reign, Charles borrowed extensive amounts of money from the Fuggers; a practice that was later continued by his son and heir Philippe II, who ascended the Spanish throne in 1556. When severe financial difficulties arose, Philippe decreed that no further payments should be made and started negotiating with his creditors about a composition of debt. The Fuggers did not accept at first but were eventually forced to agree to a less favourable settlement in 1562. Consequently, they lost a significant part of their claims.
This year’s case presupposes that a Constitution of Commerce, the “Constitutio Commercialis Carolina” (CCC), has been implemented in all territories governed by Charles V. In their letter to the ICSID, the Fugger claim payment of debts owed, based on violations of Articles 10, 13 and 14 of the CCC regarding their investments.
Further information on the details of the case, the appendices and the full case study are available at: https://www.investmentmoot.org/case-study/.
The Moot Court lasts several rounds, in which the participating student teams compete against each other, preparing pleadings for both sides. The winner advances to the next round until only two teams remain. These teams will compete against each other in a final pleading, which will take place on 4 March 2022, 16:00 – 18:00 (CET). The final can be watched at: https://youtu.be/9-6BfqmNxhw