International Arbitration

Electric Utility vs. Nuclear Equipment Vendor

Electrical Power Nuclear

Providing Insight for ICC Rules Arbitration

When an electric utility filed a claim against a nuclear equipment vendor, Exponent investigated defects in a power plant design and the vendor's proposed solution.

The Challenge

An electric utility submitted a claim to arbitration under the International Chamber of Commerce (ICC) rules against a nuclear equipment vendor, seeking to hold the vendor responsible for defects discovered in critical equipment at a nuclear power plant.

The utility asserted that the vendor failed to properly design the equipment components and systems and were contractually required to repair or replace them but failed to do so.

The vendor responded that the equipment was designed and manufactured with the utility's full supervision and approval and in accordance with well-established and accepted codes and standards.

The Exponent Approach

The utility's outside counsel retained Exponent was retained by outside counsel to investigate the cause of the observed defects and offer a detailed review of the vendor's design-stage analysis of the equipment and their proposed repair.

Exponent's team testified at the arbitration hearing.