GCNet ¢4bn arbitration claim thrown out; tribunal awards $2.2m costs to Ghana

An international arbitration tribunal in London has dismissed GCNet's claims against Ghana, awarding the country $2.18 million in legal fees.

The dispute arose after Ghana terminated a 2000 service agreement with GCNet for managing customs systems, citing procurement law violations.

GCNet sought over GH¢3.3 billion in damages, claiming wrongful termination and losses from government exemptions.

Ghana, represented by Attorney-General Godfred Dame, argued the termination was lawful, citing a $6 million compensation cap in the contract.

The tribunal upheld Ghana’s position, ruling the termination valid and awarding GCNet $5.4 million for early termination.

Ghana's successful defense avoided billions in liabilities and reinforced adherence to contractual laws.