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“ICC Rejects Micheletti’s Case Against Ghana Over Stadium Rehabilitation”

Story Highlights
  • ICC dismisses Micheletti's case against Ghana government.
  • Case involved alleged breach of contract for stadium rehabilitation.
  • ICC ruled that the action was beyond the legal time limit.
  • Tribunal to decide on costs to be awarded to Ghana government.

The International Chamber of Commerce (ICC) has dismissed an international arbitration case brought by Micheletti Company Limited against the government of Ghana. The case was filed in May 2023 and concerned alleged damages for breach of contract related to the rehabilitation of the Accra Sports Stadium.

The ICC Tribunal, composed of President Sadaff Habib and members Shadrack Arhin and Justin Amenuvor, upheld the Attorney-General of Ghana’s contention that the arbitration proceedings were statute-barred. The Tribunal agreed that the action had been initiated beyond the time limit specified by Ghana’s Limitation Act.

In April 2006, the Government of Ghana entered into an agreement with Waterville Holdings (BVI) Limited for the rehabilitation of several sports stadiums, including the Accra Sports Stadium. Micheletti was the local sub-contractor for the Accra Sports Stadium, while Consar Limited was the sub-contractor for the Baba Yara Sports Stadium.

On August 1, 2006, the government terminated the agreement, citing the lack of Cabinet approval. Subsequently, negotiations were held with Micheletti and Consar to continue the rehabilitation work, and the value of the work completed by the contractor was certified and paid for by the government.

However, Micheletti initiated arbitration proceedings in 2023, claiming special damages amounting to $400,000, interest, administrative fees, and arbitral costs. The Tribunal dismissed Micheletti’s claims entirely, finding that the action was statute-barred under Ghanaian law, and is now considering submissions on the costs to be awarded to the government.

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