Paul Hastings Secures Appellate Victory Compelling Arbitration of Algerian Power Project Dispute

Paul Hastings LLP successfully represented General Electric (GE) in securing a significant appellate win, as the U.S. Court of Appeals for the Eleventh Circuit upheld a lower court ruling compelling parties to arbitrate a dispute related to the failure of a turbine at an Algerian power plant.

The owner of the plant sought to avoid arbitration despite being a third-party beneficiary of a services contracted between GE and the plant operator. The Eleventh Circuit ruled that the owner received clear benefits under the contract, making it subject to the arbitration provision. The court also affirmed that an arbitrator should decide which of claims fall within the arbitration agreement.

On March 18, 2025, a three-judge panel, led by U.S. Circuit Judge Adalberto Jordan, issued the opinion, emphasizing that the contract granted the owner rights such as directing service modifications and accessing critical reports — further reinforcing the intent to confer benefits under the agreement and the applicability of the arbitration clause.

The Paul Hastings team included Kurt W. Hansson, William K. Whitner, Stephen B. Kinnaird, Eric D. Stolze and James L. Ferguson. The outcome is the latest in a series of arbitration success by Paul Hastings.

Please find an article published by Law360 on the win here.

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