Cost of Proceedings

The costs in cases governed by the ICSID rules consist of:

  1. the parties’ expenses, including the cost of legal representation;
  2. the fees and expenses of members of Tribunals, Conciliation Commissions, ad hoc Committees, Fact-Finding Committees or mediators, or assistants approved by the parties, and
  3. the Centre’s administrative charges and expenses.

Items (2) and (3) are paid from the advance payments made by the parties to ICSID.

The party(ies) seeking to institute the proceeding is (are) also required to pay a non-reimbursable lodging fee.  

Parties’ Legal Fees and Expenses

Parties are responsible for the fees and expenses of legal representation and experts appearing in the proceeding.  The overall cost of legal fees and expenses can vary depending on the complexity of the case and the number of pleadings and oral hearings.  In arbitrations and annulment proceedings, the Tribunal or the ad hoc Committee has discretion to order that these costs be reimbursed by the other party (ICSID Convention Article 61; ICSID Arbitration Rule 52; ICSID Additional Facility Arbitration Rule 62).

Advance Payments to ICSID

The Centre periodically requests parties to make advance payments to cover the costs of the proceeding.  The advance payments requested are not based on the amount in dispute.  They are estimated taking into account the costs to be incurred in the different phases of the proceeding, including the fees and reasonable expenses of the members of the Tribunal, Conciliation Commission, ad hoc Committee, Fact-Finding Committee or mediators, as well as the Centre’s administrative charges and expenses.  

The Centre requests:

The parties pay the advances as follows:

Each advance is payable upon request, and if payment is not made within 30 days after a request, the default procedure applies.   (ICSID Administrative and Financial Regulation 16; ICSID Additional Facility Administrative and Financial Regulation 8; ICSID Fact-Finding Administrative and Financial Regulation 8; ICSID Mediation Administrative and Financial Regulation 8).

The total cost of the proceeding paid from the parties’ advances depends on the complexity of the case, its length, as well as the number of pleadings, written statements, oral hearings or meetings, as applicable.  The Centre provides an interim financial statement to the parties with each request for a supplemental advance payment and at any other time upon request of a party; and a final financial statement at the conclusion of the proceeding.

Fees and Expenses of Members of Tribunals, Conciliation Commissions, ad hoc Committees, Fact-Finding Committees or mediators

Typically, the major part of the advance payments is used to pay the fees and expenses of members of Tribunals, Conciliation Commissions, ad hoc Committees, Fact-Finding Committees or mediators.  Each member is entitled to receive:

  • US$500 per hour of work performed in connection with the proceeding, including each hour spent participating in hearings, sessions and meetings
  • US$900 as a per diem for each day spent away from their city of residence while traveling in connection with a proceeding when overnight lodging is required, to cover all personal expenses, including lodging, tax on lodging, service charges, meals, gratuities, in-city transportation, laundry, personal communications and internet
  • US$250 for each hour of travel, and a per diem allowance of US$200 for travel to and from a hearing on a day when lodging is not required. For work performed during travel, members may charge the hourly rate for work (US$500) in lieu of the hourly rate for travel. For day trips not requiring overnight lodging, members are also entitled to a per diem of US$200
  • reimbursement for the costs of air and ground transportation to and from the city where the hearing, session or meeting is held, and
  • when not traveling, reimbursement of expenses reasonably incurred for the sole purpose of the proceeding.

The entitlements are further explained in the Memorandum on the Fees and Expenses and the Schedule of Fees.

The fees and per diem may not exceed the amounts in the Memorandum on Fees and Expenses.  Any request for a higher amount must be made before the constitution of the Tribunal, Conciliation Commission, ad hoc Committee, Fact-Finding Committee, or transmittal of the Request for mediation to the mediator(s).  Any such request must be made through the Secretary-General (not directly to the parties), must be accompanied by written justification, and must be approved by each disputing party (ICSID Convention Article 60; ICSID Administrative and Financial Regulation 14(2); ICSID Additional Facility Administrative and Financial Regulation 6(2); ICSID Fact-Finding Administrative and Financial Regulation 6(2); ICSID Mediation Administrative and Financial Regulation 6(2)).

ICSID’s Administrative Charges and Expenses

The Centre charges the parties an annual fee for its services in arbitration and conciliation proceedings, currently at US$52,000 (Schedule of Fees).  This fee is usually divided equally between the parties.  It applies to all ICSID cases and non-ICSID cases administered by ICSID.

The Centre charges US$200 per hour for staff services in mediation and fact-finding proceedings.

Additional charges include a US$200 hourly fee when the Secretary of the Tribunal, Conciliation Commission, or ad hoc Committee attends meetings; reimbursement of the travel and subsistence expenses of the Secretary when the meetings are held away from the seat of the Centre; and any charges by the host of the meetings. 

Additional services by other service providers, e.g., costs of interpretation, court reporting, catering, video-conferences and courier, are paid from the parties’ advances.

The use of ICSID’s hearing and meeting facilities at any World Bank premises is included in the administrative charge. Room rentals for hearings or meetings held outside of the facilities of the World Bank are paid from the parties’ advances.

For the fee in non-ICSID cases in which the parties and the Tribunal have selected limited assistance by the Secretariat, please contact ICSID.