Facts
On June 30, 1977, the Yugoslav company I. and the French company [C. SA] concluded a contract for the construction of an ammonia plant in Yugoslavia. According to the contract, a three-member ICC arbitral tribunal seated in Zurich was to decide disputes arising from the contract, applying Swiss Code of Obligations, subject to mandatory Yugoslav legal provisions.
With a claim filed with the ICC on April 15, 1987, [C. SA] initiated the arbitration proceedings. On October 20, 1987, I. filed a statement of defense and a counterclaim. By judgment dated December 18, 1989, the arbitral tribunal upheld - in addition to ongoing default interest - the main claim for 8,170,771 FF plus accrued interest of 4,967,609 FF, and the counterclaim for 3,362,615 FF, 3,100 US-$, and 7,406,700 Din plus accrued interest of 3,148,192 FF, 1,597 US-$, and 61,324,264 Din, which - converted to French Francs - resulted in a balance of 6,495,539 FF plus interest of 11.5% on 4,776,808 FF since January 1, 1989 in favor of the claimant. The arbitral tribunal allocated the court costs 17% to the claimant and 83% to the respondent.
Considerations
The respondent filed a constitutional appeal against the arbitral award for violation of Art. 190 para. 2 lit. c, d and e PILA.
The Federal Supreme Court dismissed the appeal to the extent it entered into it. It held that Art. 190 para. 2 PILA, in contrast to the Concordat on…