The SA Government, in its contract with Pfizer, waived its sovereign immunity and the sovereign immunity of its state assets, including those controlled by any monetary authority of South Africa, in respect of the enforcement of any arbitral decision or reward, effectively putting national state assets at risk.
This means, should Pfizer obtain any arbitration award against the SA Government in terms of this contract, the Government and its assets will have no immunity or protection against seizure thereof and no law will be able to limit the Government’s obligation to pay damages arising from any of the indemnified claims, even if it is to the detriment of the national fiscus and the SA citizens.
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