Introduction As part of its 100-year anniversary in January 2017, the Arbitration Institute of the Stockholm Chamber of Commerce (“SCC”) launched its new Arbitration Rules. The product was the result of a three-year undertaking by the Rules Revision Committee, who met regularly to discuss existing practices and to respond to user demand. The SCC’s previous […]
ICSID Arbitration
ICSID Arbitration Rules
The ICSID Rules of Arbitration (hereinafter “ICSID Arbitration Rules”) have undergone a number of revisions since they were published in 1968, all of which may be found below. The ICSID Arbitration Rules (1968-today) The first version of the ICSID Rules of Arbitration was published in 1968, only two years after the ICSID Convention, and is […]
Cyprus Arbitration: Is Cyprus Liable under International Law?
Cyprus Arbitration: can depositors successfully sue Cyprus in international arbitration for the measures it took in 2013? In 2013, Cyprus introduced a number of measures to prevent its banks from becoming insolvent. Most notably, it introduced a bail-in measure whereby it converted depositors’ deposits into equity in banks. This brought new capital into banks, without […]
How Do Investment Arbitration Tribunals Interpret Investment Treaties?
When interpreting a treaty provision, arbitral tribunals should first and foremost look at the “ordinary meaning of the terms”. This methodology is prescribed by Article 31 of the 1969 Vienna Convention on the law of treaties (VCLT). VCLT Articles 31-32 are codifications of customary international law. The interpretative approach prescribed by these articles should be […]
Duty to Mitigate Damages in Investment Arbitration
Notion of the Duty to Mitigate Damages Along with contributory negligence, a duty to mitigate damages is considered as a “compensation-reducing”[1] factor. However, contrary to contributory negligence, the duty to mitigate damages arises only after the breach of an international obligation. It implies an obligation for an aggrieved party to “take steps to minimize his loss, on […]
ICSID Arbitration Rules Draft Amendments Issued
It has been 12 years since the ICSID Arbitration Rules’ latest update. ICSID Arbitration Rules draft amendments were published earlier this month. One of the overall goals of the amendments is to increase efficiency. Another is to increase transparency, especially with respect to third-party funding. These amendments may constitute the most significant changes made to […]
Choosing ICSID or UNCITRAL Arbitration for Investor-State Disputes
Should a foreign investor opt for ICSID arbitration or UNCITRAL arbitration when a choice exists? Foreign investors involved in a dispute with a host State of investment are often able to choose between initiating ICSID arbitration under the ICSID Convention or ad hoc arbitration under the UNCITRAL Arbitration Rules in order to resolve their investment dispute. This […]
Enforcing an Investment Arbitration Award: When States Refuse to Pay
Enforcing an investment arbitration award against a sovereign State is not easy. It is particularly hard when that State firmly refuses to pay after losing an arbitration. Such a situation is obviously problematic for an investor. An investor must spend considerable resources, usually in the realm of millions of dollars, prior to receiving a favorable […]
States as Claimants in Investment Arbitration
In classic investment arbitration disputes, an investor brings claims against a host country under an investment treaty, an investment contract, or both. Since only States are parties to bilateral investment treaties, they have obligations under these agreements. These treaties aim to give rights to foreign investors. Thus, the growth of investment disputes over the last […]