Peach Power, the state-owned electric company in the Federation of Peach, failed to fulfill the equipment contract it has with X Corp, a Brazilian company. The London Court of Arbitration has granted an arbitral award to X Corp that requires Peach Power to pay damages to the company. X Corp seeks to enforce the award in a British court, but Peach Power pleads immunity.

Write a paper to address these areas: Should the arbitration court give Peach Power immunity, and why or why not? Explain what the court is likely to decide.