investor-state disputes | ISDS
Investor-state dispute settlement (ISDS) refers to a way of handling conflicts under international investment agreements whereby companies from one party are allowed to sue the government of another party. This means they can file a complaint and seek compensation for damages. Many BITs and investment chapters of FTAs allow for this if the investor’s expectation of a profit has been negatively affected by some action that the host government took, such as changing a policy. The dispute is normally handled not in a public court but through a private abritration panel. The usual venues where these proceedings take place are the International Centre for Settlement of Investment Disputes (World Bank), the International Chamber of Commerce, the United Nations Commission on International Trade Law or the International Court of Justice.
ISDS is a hot topic right now because it is being challenged very strongly by concerned citizens in the context of the EU-US TTIP negotiations, the TransPacific Partnership talks and the CETA deal between Canada and the EU.
South Korean state owned power utility Kowepo has begun international arbitration proceedings against India in Singapore for not honouring a fuel supply commitment to its Maharashtra power plant.
Climate campaigners are demanding that European Union countries pull out of the treaty unless they can negotiate an end to the pact’s investor-state dispute mechanism.
We – 278 environmental, climate, consumer, development, and trade related civil society groups, as well as trade unions – believe that the ECT is incompatible with the implementation of the Paris Climate Agreement.
Civil society groups are now calling on governments to reform their investor state dispute settlement because “it is being unfairly used by investors to sue states for millions of dollars.”
Spain has offered an olive branch in its long-running legal battle with renewables developers. But the fight isn’t over yet.
Most Bilateral Investment Treaties (BITs) are not just used by investors to inform their investment decisions, but are increasingly becoming tools used to sue States in a foreign or international court.
Reports claimed that foreign investors threatened to drag Andhra Pradesh to international arbitration for ‘cancelling’ renewable power purchase agreements.
An ICSID tribunal ordered Spain to pay two Dutch investors EUR 290.6 million in compensation for its breach of the FET standard under ECT
Thanks to the World Bank’s flawed and corrupt investment arbitration process, the rich are making a fortune at the expense of poor countries.
The government will offer subsidies which will allow investors that abandon litigation to maintain their current profitability rate of 7.39% until 2031.
An ICSID tribunal held that Spain violated Fair and Equitable Treatment under the Energy Charter Treaty.
In investor–state dispute settlement (ISDS), ironies do occasionally occur. Sometimes they’re bitter. Sometimes they’re carbon-intensive. Sometimes they’re radioactive.
Global investment governance needs to be redesigned for the 21st century, with people and the planet at the core.
Roads to the Amulsar gold mine have been closed for a year and a half by residents of neighboring communities opposed to the mine operated by Lydian who is considering international arbitration.
Aura Energy lodged a claim against Sweden to recover the losses incurred from the Haggan uranium project following the country’s decision to ban uranian mining.
ICSID dismisses lawsuit filed by Egyptian company.
The CTU is concerned that the "upgrade" of the New Zealand-China Free Trade Agreement has not removed the threat of investor suits against the New Zealand government.
Petroceltic, a UK-based global energy company, has initiated arbitration proceedings against the Egyptian General Petroleum Corporation.
The award granted WWM over US$ 40 million in damages, in addition to a substantial portion of its legal costs incurred in the proceeding.
The Karkey dispute between the government and a Turkish ship-based energy firm has finally been resolved due to efforts of Turkish government, Prime Minister Imran Khan said.