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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.

Churchill Mining’s $1bn claim against Indonesia struck off
7-Dec-2016 Digital Look
A tribunal has struck out a claim by Churchill Mining for damages after Indonesia’s government revoked its licence for a coal project.
India and Brazil conclude negotiations of Bilateral Investment Treaty
7-Dec-2016 Lexology
The conclusion of negotiations between India and Brazil culminating in a near-final treaty between the two nations.
Scrapping TPP won’t make a lick of difference
6-Dec-2016 ABC
The problem with free trade deals is they rarely are about trade. In fact, trade usually is a side issue. And the TPP was a classic case in point.
EU closes in on TTIP-style deal with Japan
6-Dec-2016 Newstalk
Officials in Brussels have announced that they are close to securing a free trade agreement with Japan.
EU, RI look to negotiate CEPA points
1-Dec-2016 Jakarta Post
Indonesia will seek a win-win outcome for the Comprehensive Economic Partnership Agreement (CEPA) with the European Union, having exchanged views on a number of crucial sticking points ahead of the next round of negotiations in January.
Les Wallons ont-ils été grugés sur le Ceta et par qui?
30-Nov-2016 La Libre
La crise du mois d’octobre dernier était peut-être inutile.
EU Executive to step up efforts to set up international investment dispute settlement system
30-Nov-2016 Vieuws
The European Commission wants to give a strong push within the EU and around the globe for the establishment of a multilateral investment dispute settlement system.
EU asks India not to scrap bilateral investment treaties with member states
29-Nov-2016 Business Standard
The EU terms India’s move ’unilateral’, says lack of investor protection might stop European investments to India.
EU concerned as India won’t renew investment pact with Netherlands
24-Nov-2016 Hindustan Times
India will not renew an investment treaty with the Netherlands that will expire on November 30 as part of its plan to rework all similar pacts it signed with other countries.
A new, climate-friendly approach to trade
22-Nov-2016 Sierra Club
We urgently need a new approach to trade that prioritizes the needs of people and planet.
Hong Kong, Chile sign bilateral investment agreement
21-Nov-2016 Mexico Star
Hong Kong and Chile confirmed that they have signed a bilateral investment agreement at the APEC summit.
We must rethink globalization, or Trumpism will prevail
17-Nov-2016 The Guardian
Rising inequality is largely to blame for this electoral upset. Continuing with business as usual is not an option.
The Empire Files: Chevron vs. the Amazon - ending corporate tyranny
16-Nov-2016 TeleSUR
The oil giant Chevron Texaco and its decades-long battle to avoid paying damages it owes in one of the worst environmental disasters in history.
To safeguard the Paris agreement, trade deals must align with climate policy
16-Nov-2016 Alternet
Our trade agreements—current and proposed—don’t send the right signals for the U.S. and other countries to meet their Paris commitments.
Row over Romania’s land of Dracula and gold spills onto new international stage
10-Nov-2016 Reuters
A battle over plans to build a huge gold mine in Rosia Montana, a Romanian village boasting intact Roman mining shafts and 18th century houses, has moved to an international stage.
Global trade 101: How NAFTA’s Chapter 11 overrides environmental laws
9-Nov-2016 Mongabay
NAFTA, critics say, included investment provisions that inherently created an uneven playing field, allowing corporate investors to directly sue national governments for mega-millions and ultimately sidestep domestic environmental laws.
EU executive and Canada join forces to promote multilateral investment system to replace ISDS
8-Nov-2016 Vieuws
The move follows the Commission’s pledge from last year to “start work, together with other countries, on setting up a permanent International Investment Court.”
EU member states divided in face of Commission crackdown on intra-EU ISDS
3-Nov-2016 Bordelex
Once a desirable form of European international relations endorsed by the Commission, Bilateral Investment Treaties (BITs) became a problematic issue after the accession of former socialist countries in Central and Eastern Europe to the European Union, and with the emergence of the first intra-EU investment arbitration – ISDS – cases.
El Salvador lessons for the TPP fight
28-Oct-2016 Inequality
In a tale of people power over corporate power, a tribunal has ruled against a global company in a case over mining rights. Now we need to block trade deals that allow these “investor-state” lawsuits.
Peruvians urge Himes to oppose TPP
27-Oct-2016 Stamford Advocate
"Our experience in Peru demonstrates how the TPP model prioritizes trade and investment above the protection of the environment, ecosystems, and life itself."