In Re the Arbitration of Certain Controversies Between Science Applications International Corp. & Hellenic Republic
249 F. Supp. 3d 300
D.D.C.2017Background
- Leidos (formerly SAIC) obtained an ICC arbitral award against the Hellenic Republic on July 2, 2013; the award included € amounts, €8,115,607.64 in post-award/pre-judgment interest (6%), and €162,500 in arbitral fees.
- After the Greek Supreme Court ruled in favor of Leidos, this Court confirmed the ICC award in full in January 2017 and the Clerk entered a civil judgment on the docket on January 6, 2017.
- Leidos moved under Fed. R. Civ. P. 60(a) and/or 59(e) to correct the Clerk’s entry, asserting clerical oversights: omission of €162,500 in costs, omission of the tribunal-awarded 6% post-award/pre-judgment interest, conversion of the euro judgment into U.S. dollars, and entry of post-judgment interest under 28 U.S.C. § 1961.
- The Hellenic Republic argued Leidos waived some requests (denomination in dollars; interest on arbitral fees) by earlier filings requesting the judgment in euros.
- The Court concluded the Clerk omitted the awarded items and ordered correction: add the €162,500, add the tribunal-awarded 6% pre-judgment interest amounts, convert the total into U.S. dollars using the exchange rate on the award date, and apply post-judgment interest under § 1961.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Waiver of conversion-request and interest on fees | Leidos: not waived; Rule 59(e) and Rule 54(c) permit relief even if not previously demanded | Hellenic Republic: Leidos previously asked for judgment in euros, so late dollar-conversion request is waived | Court: No waiver; Rule 59(e)/54(c) and precedents allow conversion and interest claims post-confirmation |
| Clerical omission of arbitral costs (€162,500) | Leidos: Clerk omitted the arbitral fees though Court confirmed award in full and proposed orders included the fees | Hellenic Republic: argued waiver / procedural default (generally) | Court: Clerical mistake; add €162,500 to judgment |
| Post-award/pre-judgment interest at 6% (tribunal award) | Leidos: Tribunal awarded 6% on sums (except specified amount); Clerk failed to include it; Court intended to grant it | Hellenic Republic: disputed inclusion / waiver | Court: Include tribunal-awarded €8,115,607.64 and $34,031.51 interest on fees as part of corrected judgment |
| Denomination in U.S. dollars and date-of-award exchange rate | Leidos: Judgment should be converted to USD using exchange rate on arbitral award date to make creditor whole | Hellenic Republic: earlier consent to euro denomination / procedural objections | Court: Convert to USD using exchange rate on award date to prevent debtor benefit from delay |
| Post-judgment interest under 28 U.S.C. § 1961 | Leidos: statutory post-judgment interest mandatory from entry date until paid | Hellenic Republic: did not successfully oppose the statutory entitlement | Court: Award post-judgment interest at statutory rate per § 1961 |
Key Cases Cited
- Jackson v. Jackson, 276 F.2d 501 (D.C. Cir. 1960) (clerical corrections under Rule 60(a) to reflect court's contemporaneous intent)
- Continental Transfert Technique, Ltd. v. Government of Nigeria, [citation="603 F. App'x 1"] (D.C. Cir. 2015) (Rule 59(e) relief appropriate to convert award into U.S. dollars; Rule 54(c) supports granting relief not pleaded)
- Continental Transfert Technique, Ltd. v. Government of Nigeria, 850 F. Supp. 2d 277 (D.D.C. 2012) (failure to award post-judgment interest was a clerical oversight correctable under Rule 60(a))
- Continental Transfert Technique, Ltd. v. Government of Nigeria, 932 F. Supp. 2d 158 (D.D.C. 2013) (district court practice of entering judgments in U.S. dollars to protect creditor against currency depreciation)