Judge Louis Stanton
CONPROCA is a joint venture organized under Mexican law. Under 9 USC §§207 and 302 it sought to confirm two Mexican arbitral awards under which Petróleos Mexicanos and its affiliate Pemex Refinanción (collectively PEMEX) owe CONPROCA $311 million. PEMEX seeks to overturn the second so-called “Quantum Award” in Mexico. A Mexican court granted PEMEX reinstatement of its July 2012 suit, in Mexico, to vacate the subject arbitral awards. Thus PEMEX’s annulment petition remains pending in a Mexican court whose decision is subject to two potential levels of appellate review. PEMEX’s also sought dismissal of CONPROCA’s confirmation petition as barred by forum non conveniens. Despite denying dismissal, district court stayed action on CONPROCA’S confirmation petition for 30 days after the time to review the Mexican court’s ultimate decision on the awards’ validity. The litigation in Mexico challenges the Quantum Award’s validity, and may directly affect its enforcement. Mexico has an important interest in reviewing the arbitral awards. The better course of action is to respect Mexico’s interest in determining the validity of the awards under Mexican law and refrain from action until the Mexican courts render their judgment.
