
Eureko's investment in the Polish health insurance market was a significant step towards establishing a strong presence in the region.
Eureko acquired a 51% stake in PZU Życie, a Polish life insurance company, in 2002.
This move marked a major milestone in Eureko's expansion into Central and Eastern Europe.
Eureko's investment in PZU Życie was a strategic decision to tap into the growing Polish market and gain a foothold in the region.
By acquiring a majority stake in PZU Życie, Eureko was able to leverage its expertise in the health insurance sector to drive growth and profitability in Poland.
The Treaty
The Treaty played a significant role in the Eureko case, outlining specific rights and protections for investors.
The Treaty granted Eureko title to money and other assets, as well as the right to conduct economic activity, all of which were granted under contract.
Eureko's investments were also protected under Article 5, which prohibited the government from depriving the company of its investments without fulfilling certain conditions.
The conditions mentioned in Article 5 were not met, which raised concerns about the government's actions.
Here are the specific rights granted to Eureko under the Treaty:
- title to money and other assets
- right to conduct economic activity
- right to investments under contract
Eureko and Parties

Eureko and Parties were significant players in the company's history. Eureko was founded in 1992 as a joint venture between the Dutch insurer Delta Lloyd and the Australian insurance company AMP.
The partnership with Delta Lloyd gave Eureko a strong presence in the Dutch market. Eureko's success in the Netherlands helped the company expand into other European countries.
Eureko's partnership with AMP provided access to new markets and expertise. The Australian company brought experience in managing insurance companies in Asia.
Analysis and Findings
The Republic of Poland has been found to have breached several provisions of the Treaty, specifically Article 3(1) by failing to ensure fair and equitable treatment of Eureko's investments.
The Tribunal has identified that Article 3(1) has been violated due to unreasonable and discriminatory measures that have impaired the operation, management, maintenance, use, and enjoyment of Eureko's investments.
Article 3(2) was also breached, as the Republic of Poland failed to accord Eureko's investments full security and protection, which is not less than that accorded to investments of its own investors or of investors of any third State.
The Polish Civil Code, specifically Articles 33 and 34, has been taken into consideration in this analysis.
The Tribunal has also looked into the ILC Articles on Responsibility of States for Internationally Wrongful Acts, which are referenced in Exhibit R-1.
Investment Protection
Eureko's investment is entitled to protection under the treaty, covering a wide range of assets. This includes movable and immovable property, as well as any other rights in rem in respect of every kind of assets.
The protection extends to rights derived from shares, bonds, and other kinds of interests in companies and joint ventures. This means that Eureko's investments in various business ventures are safeguarded.
Rights to conduct economic activity, including prospecting, exploring, extracting, and winning natural resources, are also protected. This includes rights granted under contract, administrative decisions, or the legislation of the Contracting Party.
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Investment Entitled to Protection
Eureko's investment is entitled to protection under the treaty, and that's a good thing for investors. This means that their assets and rights are safeguarded.
Movable and immovable property, as well as any other rights in rem, are protected. This includes real estate, vehicles, and other tangible assets.
Rights derived from shares, bonds, and other interests in companies and joint ventures are also protected. This gives investors peace of mind when investing in businesses.
The title to money and other assets, as well as any performance having an economic value, is protected. This includes bank accounts, investments, and intellectual property.
Rights in the field of intellectual property, technical processes, goodwill, and know-how are protected. This is a big deal for businesses that rely on their intellectual property for success.
Rights to conduct economic activity, including rights to prospect, explore, extract, and win natural resources, are also protected. This gives investors the freedom to pursue their business ventures without fear of interference.
Rights Regarding IPO
You have the right to be informed about the company's financial situation before investing in an IPO.
The company must provide you with audited financial statements and other relevant information to help you make an informed decision.
The IPO prospectus must be registered with the relevant regulatory body, such as the Securities and Exchange Commission (SEC).
You have the right to file a complaint with the SEC if you feel the prospectus contains false or misleading information.

The prospectus must include a description of the company's business, management team, and financial condition.
You should carefully review the prospectus and do your own research before investing in an IPO.
The IPO price is usually determined by the company and its underwriters, but you can try to negotiate a lower price if you're buying a large number of shares.
The IPO shares are typically sold through a network of brokers and dealers, but you can also buy them directly from the company in some cases.
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EU Arbitration in Slovakia
In Slovakia, the European Union's (EU) arbitration rules apply to disputes between Eureko and its Slovakian partners. The Slovakian Arbitration Act of 1994 governs arbitration in the country.
Eureko had a significant presence in Slovakia, with a major stake in the country's largest insurance company, Slovenská poisťovňa. This partnership allowed Eureko to tap into the Slovakian market.
The EU's arbitration rules in Slovakia are based on the UNCITRAL Model Law on International Commercial Arbitration. This law provides a framework for resolving disputes between parties from different countries.
Eureko's experience in Slovakia was marked by controversy, with the company facing allegations of aggressive business practices. The company's Slovakian partners eventually sold their shares back to Eureko.
The Slovakian Arbitration Act requires that arbitration proceedings be conducted in a language agreed upon by the parties. In the case of Eureko, English was the language of choice for its arbitration proceedings.
Sources
- https://jusmundi.com/en/document/decision/en-eureko-b-v-v-republic-of-poland-partial-award-friday-19th-august-2005
- https://www.prnewswire.com/news-releases/bny-mellon-reappointed-by-eureko-bv-in-the-netherlands-to-service-eur38bn-mandate-130961858.html
- https://pca-cpa.org/en/cases/28/
- https://arbitrationblog.kluwerarbitration.com/2012/08/28/investment-arbitration-under-intra-eu-bits-recent-developments-in-eureko-v-slovakia/
- https://www.insurancejournal.com/news/international/2001/04/04/12835.htm
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