International investment law and arbitration : commentary, awards, and other materials / Chin Leng Lim, The University of Hong Kong; Jean Ho, National University of Singapore; Mārtiņš Paparinskis, University College London.
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International investment law and arbitration : commentary, awards, and other materials / Chin Leng Lim, The University of Hong Kong; Jean Ho, National University of Singapore; Mārtiņš Paparinskis, University College London.
Published
Cambridge [UK] ; New York : Cambridge University Press, 2018.
"What was once a contested body of principles applied peripherally to the international settlement of expropriation disputes has been transformed and in its place now stands an important area of international disputes practice. International Investment Law and Arbitration offers a comprehensive introduction to the subject. Presenting the facts of daily legal practice and the largely unaltered aims of the subject alongside a broad selection of key awards and original materials, historical developments are discussed in the context of the changing directions in the arbitral jurisprudence and current treaty and arbitration reform debate. Key features: accessible and engaging commentary integrated throughout, end of chapter questions test reader understanding, further reading lists support and encourage exploration of the subject. Suitable for postgraduate law students studying modules on international investment arbitration, International Investment Law and Arbitration offers an indispensable introduction to the subject"--Publisher's website.
Configuration 1-Matching Each Head of Claim to Its Governing Law
150
1.2.2.
Configuration 2-Renvoi to National Law
151
1.2.3.
Configuration 3-Composite National-International Law
153
1.3.
Arbitral Mandate and Choice-of-Laws
155
2.
Lex arbitri
156
3.
Lex loci arbitri
161
Conclusion
163
Questions
163
Suggestions For Further Reading
164
7.
Evidence
165
Chapter Outline
165
Introduction
165
1.
Burden of Proof
166
1.1.
Onus Probandi Acton Incumbit
166
1.2.
'Vanishing' Burden
167
1.2.1.
RosInvestCo Arbitration
168
1.2.2.
Hulley, Yukos and Veteran Petroleum Arbitrations
170
1.3.
'Shifting' Burden
172
2.
Standard of Proof
174
2.1.
Balance of Probabilities
174
2.2.
Circumstantial Evidence
174
2.3.
No Evidence
177
Conclusion
179
Questions
180
Suggestions For Further Reading
180
8.
Provisional Measures
181
Chapter Outline
181
Introduction
182
1.
Interim Measures and Sovereign Respondents
183
2.
Recourse to National Courts and the Power of ICSID Tribunals
186
3.
Other Types of Relief
192
4.
Test Applied by Tribunals
197
Conclusion
208
Questions
208
Suggestions For Further Reading
209
9.
Protected Investments
210
Chapter Outline
210
Introduction
210
1.
Subjective Meaning of Protected Investments
211
2.
Objective Meaning of Protected Investments
218
2.1.
ICSID Tests
219
2.2.
Non-ICSID Test
221
3.
Dual Meaning of Protected Investments
223
3.1.
Binding Objective Criteria
224
3.2.
Illustrative Objective Criteria
226
Conclusion
230
Questions
231
Suggestions For Further Reading
231
10.
Protected Investors
232
Chapter Outline
232
Introduction
232
1.
Nationality-Based Eligibility for Protection
234
1.1.
Form-Critical Date(s) of Nationality Possession
235
1.2.
Substance-Circumstances of Nationality Acquisition
236
1.2.1.
'Round-Tripping'
236
1.2.2.
Litigation-Oriented Nationality Acquisition
238
2.
Individual Investors
239
2.1.
Authentication of Nationality
239
2.2.
Dual Nationality/Permanent Residents
241
3.
Corporate Investors
244
3.1.
Place of Incorporation
244
3.2.
Foreign Control
247
4.
'Divisible' Investors
251
Conclusion
255
Questions
256
Suggestions For Further Reading
257
11.
Fair and Equitable Treatment, and Full Protection and Security
258
Chapter Outline
258
Introduction
258
1.
Relationship with an International Minimum Standard of Treatment
259
1.1.
'Minimum Standard' of Treatment
259
1.2.
Fair and Equitable Treatment
260
1.3.
Full Protection and Security
262
2.
Heads of Claim under FET and FPS, Their Evolution and Inter-Relationship
263
2.1.
Heads of Claim under FET
263
2.1.1.
Arbitrary and Discriminatory Treatment
263
2.1.2.
Violation of Due Process and Lack of Transparency
264
2.1.3.
Is There a Requirement of 'Bad Faith' on the Part of the Host State?
266
2.1.4.
Recent Developments in the Scope of the FET Rule: Protecting Investors' Legitimate Expectations, and the Stability of the Business and Legal Environment Surrounding the Investment
268
2.2.
Full Protection and Security
278
2.3.
Inter-Relationship of FET and FPS beyond Physical Security
281
3.
'Narrowing Down' FET: Some Recent Examples of Treaty Clauses
283
4.
'Qualified' and 'Unqualified' Treaty Clauses, and the Interaction of Treaty and Custom
284
4.1.
NAFTA and the 'North American' Model of 'Qualified' Treaty Clauses
284
4.2.
'Unqualified' FET Treaty Clauses and Their Relationship with International Custom
287
Conclusion
291
Questions
292
Suggestions For Further Reading
292
12.
Contingent Standards: National Treatment and Most-Favoured Nation Treatment
293
Chapter Outline
293
Introduction
293
1.
Nine Lives of National Treatment
295
1.1.
National Treatment
295
1.2.
Expropriation
297
1.3.
Fair and Equitable Treatment
297
1.4.
Other Examples
298
2.
Interpretation and Application of National Treatment
299
2.1.
Like Circumstances
300
2.2.
Distinctions in Treatment
304
2.3.
Justification
306
3.
Most-Favoured Nation Treatment and Primary Obligations
309
4.
Most-Favoured Nation Treatment and International Dispute Settlement
314
4.1.
Applicable, with Public Policy Exceptions
316
4.2.
Inapplicable, Unless Explicitly Provided for
317
4.3.
Applicable to Admissibility, But Not Jurisdiction
318
4.4.
Applicable to Objectively Unfavourable Treatment
319
4.5.
Recent Developments
320
Conclusion
321
Questions
322
Suggestions For Further Reading
322
13.
Expropriation
323
Chapter Outline
323
Introduction
323
1.
Object of Expropriation
324
1.1.
Property Rights
325
1.2.
Contractual Rights
326
1.2.1.
Contract as Property
327
1.2.2.
Sovereign Contractual Interference
329
1.3.
Shareholder Rights
332
2.
Existence of Expropriation
334
2.1.
Direct Expropriation
334
2.2.
Indirect Expropriation
335
3.
Legality of Expropriation
338
3.1.
Public Purpose
338
3.2.
Compensation
339
3.2.1.
Rule of Compensation for Expropriation
339
3.2.2.
First Exception to the Rule of Compensation for Expropriation: Investment Valued at Nil
341
3.2.3.
Second Exception to the Rule of Compensation for Expropriation: Regulatory Taking
342
3.3.
Due Process
342
3.4.
Circumstances Precluding Wrongfulness and Non-Precluded Measures
344
Conclusion
346
Questions
347
Suggestions For Further Reading
348
14.
Umbrella Clauses
349
Chapter Outline
349
Introduction
349
1.
Umbrella Clause
350
2.
Awards
352
2.1.
SGS v. Pakistan
352
2.2.
SGS v. Philippines
355
2.3.
Matter of Treaty Construction?
357
2.4.
Spectre of 'the Two "SGS" Arbitrations' Lurks
363
2.5.
Distinguishing Treaty Law from Contract Law
366
2.6.
Forum Selection Clauses
368
3.
Examples of Umbrella Clauses
369
Conclusion
372
Questions
373
Suggestions For Further Reading
373
15.
Defences
374
Chapter Outline
374
Introduction
374
1.
Concept of Defences
376
2.
Defences in Obligations
381
3.
Defences in Exceptions
383
3.1.
Non-Precluded-Measures Clause
383
3.2.
Modern Exceptions
387
4.
Defences in Circumstances Precluding Wrongfulness
389
4.1.
Consent
390
4.2.
Countermeasures
392
4.3.
Necessity
395
4.4.
Consequences
397
Conclusion
399
Questions
400
Suggestions For Further Reading
400
16.
Remedies
401
Chapter Outline
401
Introduction
401
1.
Principle of Full Reparation for Internationally Wrongful Acts
402
2.
Compensation and Restitution
403
2.1.
Compensation for Expropriation
404
2.2.
Compensation for Violations of Other Treaty Standards
406
2.3.
Moral and Punitive Damages
408
3.
Methods of Valuation
410
3.1.
Discounted Cash Flow (DCF)
411
3.2.
Damnum Emergens Plus Lucrum Cessans (DELC)
417
4.
Interest
422
Conclusion
423
Questions
424
Suggestions For Further Reading
424
17.
Costs and Legal Fees
425
Chapter Outline
425
Introduction
425
1.
Question of Costs in the Context of Investment Arbitration
426
2.
Types of Costs
427
2.1.
'Arbitration Costs' or 'Costs of the Proceedings'
427
2.2.
'Legal' or 'Party' Costs
429
3.
Cost Allocation by the Tribunal
430
3.1.
UNCITRAL and ICSID Rules
430
3.2.
Tribunal Considerations
431
4.
'Loser-Pays' Principle, or 'Costs after the Event'
434
5.
Security for Costs
440
Conclusion
444
Questions
446
Suggestions For Further Reading
446
18.
Challenging and Enforcing Awards, and the Question of Foreign State Immunities
447
Chapter Outline
447
Introduction
447
1.
ICSID and 'Non-ICSID' Awards
448
2.
'Non-ICSID' Arbitration
449
3.
ICSID Arbitration
452
4.
Foreign State Immunity, Act of State and Non-Justiciability
460
4.1.
Foreign State immunity
460
4.2.
Pleas of Act of State and Non-Justiciability
466
5.
Attachment of Assets: The 'Final Refuge'
474
Conclusion
476
Questions
476
Suggestions For Further Reading
476
19.
New Directions in International Investment Law and Arbitration
477
Chapter Outline
477
Introduction
477
1.
Backlash
479
1.1.
Backlash to NAFTA and in the United States, 2001-2004
479
1.2.
Global Backlash Begins in Earnest, 2007-Date
483
1.3.
Treaty Terminations Begin
491
2.
New Treaty Clauses
495
2.1.
Reforming Treaty Substantive Rules in Recent Treaties
496
2.1.1.
Reforming the FET Rule
496
2.1.2.
Reforming the Expropriation Rule
498
2.1.3.
Other Innovations in Substantive Standards of Treaty Protection
499
2.2.
Procedural Innovations
500
3.
European Proposal for a Multilateral Investment Court
