Briefing Document / Nov. 28, 2008

Liberia needs to learn lessons from Firestone contract renegotiation

On 28 February 2008, the Government of Liberia announced that it had signed the Amended and Restated Concessions Agreement with Firestone Liberia (Amended Agreement). The contract was the result of a private renegotiation: despite appeals from local civil society for a three-month public review period, the Government proceeded to ratify the Amended Agreement after only two days of public consultation.

A number of clauses in the Amended AgreementC deserve careful attention as they may carry undesirable implications for the Government and the Liberian people in the mid-to-long term. This overview and attached report (Annex "A") examine the significant changes in the new contract with the purpose of highlighting issues that the Government and the Liberian people may wish to consider when negotiating concession contracts in the future.