Monday September 09, 2013 09:11 AM

Venezuela's withdrawal from certain institutions of law and dispute settlement on the grounds of impartiality has not been an impediment for the country to be sued by companies claiming damages upon the State's actions.

Venezuela, a member of the International Center for Settlement of Investment Disputes (Icsid) since its creation in the 1960s, denounced the Icside Convention on January 26, 2012. Six months later, it ceased to be an official member of the international institution.

However, since Venezuela's withdrawal, seven cases have been filed with the Icsid's Secretariat against the country.

According to Icsid, Venezuela is currently facing over 20 cases and arbitration claims.

Cases related to the nationalization of companies in areas such as industrial production, metallurgy, mining, hydrocarbons, and tourism have arisen following Venezuela's withdrawal.

Based on think tank Ecoanalítica's estimates, the country faces claims amounting to USD 13.72 billion, all of which are related to the wave of expropriations taking place after 2007.

etovar@eluniversal.com