SETTING ASIDE PUBLIC POLICY: THE PEMEX DECISION AND THE CASE FOR ENFORCING INTERNATIONAL ARBITRAL AWARDS SET ASIDE AS CONTRARY TO PUBLIC POLICY

摘要

In the recent Pemex case, a U.S. district court recognized an international arbitral award which had been "set aside" or annulled by a court in Mexico, the place of arbitration, on the ground that the award was contrary to public policy. To reach its decision, the U.S. court relied on the permissive language of the New York and Panama Conventions, but ignored its obligation to refuse recognition of the award under the U.S. Federal Arbitration Act (FAA). This Note argues that the FAA should be amended to preclude U.S. courts from refusing to recognize awards which have been set aside on public policy grounds. Under this amendment, the Pemex court would have reached the desirable result without bypassing its obligations under the FAA.