Stockholm Arbitration Institute grants Armenia`s motion to bifurcate  proceedings in case of Liormand Holdings Limited and Karapetyans v.  Armenia.

ArmInfo.The SCC Arbitration Institute, by a decision dated 16 June 2026, granted Armenia's request to bifurcate the proceedings in the arbitration  case of Liormand Holdings Limited and the Karapetyans v. Armenia. 

According to the government's press service, Armenia submitted  objections to jurisdiction, arguing that the arbitral tribunal lacks  jurisdiction over the dispute. The tribunal found sufficient grounds  to treat Armenia's jurisdictional objections as a separate  preliminary phase of the proceedings.  One of Armenia's main  arguments is that the Karapetyans do not meet do not meet the  definition of "investors" under the applicable international  investment agreement and that they have also breached Article 9(2) of  that agreement. 

"This important decision allows the international tribunal to  consider jurisdictional issues at a much earlier stage and dismiss  all claims brought against Armenia in their entirety," the statement  reads.

Recall, the case of "Liormand Holdings Limited and the Karapetyans v.  Armenia" is an international investment arbitration (conducted at the  Arbitration Institute of the Stockholm Chamber of Commerce) initiated  by a Cypriot company and members of the Karapetyan family against the  government of Armenia, stemming from the attempted nationalization of  the Electric Networks of Armenia (ENA) CJSC.  In July 2025, an  emergency arbitrator issued a ruling on interim measures, ordering  Armenia to refrain from enforcing mandatory expropriation laws,  though the arbitrator dismissed the plaintiffs' remaining claims. In  November 2025, the Public Services Regulatory Commission (PSRC) of  Armenia revoked the electricity distribution license held by ENA. In  December 2025, the Stockholm arbitral tribunal issued its final  award. It fully dismissed the motion filed by the Karapetyan family,  ruling that the requested interim measures were unfounded, and  ordered the plaintiffs to cover the legal costs.  Businessman Samvel  Karapetyan was arrested in Armenia in the summer of 2025; his  pre-trial restriction was later modified to house arrest and bail.  The investigation into his criminal case—which includes charges of  tax evasion, embezzlement, and money laundering—was concluded in the  spring of 2026.