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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.

How foreign investor lawsuits stymie environmental protection
20-Mar-2026 Mongabay
New data reveal that lawsuits filed by corporations against Latin American and Caribbean countries are increasing, undermining government efforts to implement policies that could benefit the energy transition, human rights and the environment.
Singapore-based energy firm Sinolam files arbitration request against Panama
20-Mar-2026 The Straits Times
Singapore-based energy developer Sinolam International has filed for arbitration before a World Bank international court against Panama following the cancellation of its licence for a gas-fired power generation project.
Canada’s foreign investment problem is heading to arbitration
19-Mar-2026 Politis
Arbitration claims are costly to defend, politically sensitive, and, regardless of outcome, signal uncertainty to global investors.
Written notification of withdrawal from the Energy Charter Treaty
18-Mar-2026 Energy Charter
On 16 March 2026, Iceland deposited with the Energy Charter Secretariat, in its capacity as the Depositary of the Energy Charter Treaty on an interim basis.
Guinea faces second arbitration in six months over revoked mining permits
17-Mar-2026 Ecofin
Falcon Energy Materials, a UAE-based company, said it had initiated international arbitration proceedings against Guinea, alleging the “illegal expropriation” of its Lola graphite project.
S. Korea wins int’l arbitration case against elevator maker Schindler
16-Mar-2026 Yonhap
South Korea has won an international arbitration case brought by Swiss elevator manufacturer Schindler Holding AG, avoiding a potential payout of 320 billion won ($211.4 million) in damages, the justice ministry said.
Empowerment or exploitation? The false promise of a women-inclusive trade deal
13-Mar-2026 bilaterals.org
The Canada-Indonesia trade deal’s “women-inclusive” label masks a neoliberal agenda that benefits Canadian corporations more than Indonesian women. It exploits feminist language to legitimize market expansion, while reinforcing structural inequalities—especially the burden of unpaid care work on women—and enabling corporate power through costly investor rights (ISDS). True gender justice requires systemic change, not just market inclusion.
Honduras signs the ICSID Convention
10-Mar-2026 ICSID
The President of the Republic of Honduras today signed the Convention on the Settlement of Investment Disputes between States and Nationals of Other States, also known as the ICSID Convention.
Eni confirms deal with Nigeria to split OPL 245 oilfield into four licences
10-Mar-2026 CNBC Africa
The agreement includes the “mutually satisfactory settlement” of all claims related to OPL 245 and the termination of an international arbitration procedure, the Italian energy major said.
Fast-tracking the UAE-Ecuador BIT: Executive decrees, constitutional limits, and democratic resistance to ISDS
6-Mar-2026 CCSI
What makes this BIT remarkable is how it is being forced through despite clear constitutional text and two recent referenda rejecting ISDS.
AFTINET submission to reviews of ISDS in agreements with Egypt and Eastern European countries
5-Mar-2026 AFTINET
The submission recommends that Bilateral Investment agreements with Hungary, Poland, Czechia, Lithuania and Romania should be terminated without sunset clauses, which preserve existing investor rights to sue after agreements are terminated.
Lupaka Gold sues Peru in the US to enforce nearly US$70mn ICSID award
5-Mar-2026 BNamericas
The Canadian company Lupaka Gold sued Peru before the District Court of Columbia in the United States to enforce an ICSID arbitration award from June 2025 for around US$69 million.
Orca’s ICSID case and special dividend put Tanzania’s gas sector in focus
28-Feb-2026 The Citizen
Orca announced three arbitrations at the CSID: one under the Mauritius–Tanzania Bilateral Investment Treaty, and two under the PSA and GA. The claims-valued at roughly US$1.2 billion-allege Tanzania failed to extend the development licence, prolonged the “Protected Gas” regime beyond its contractual term.
Vinci Airports to operate Santiago SCL until 2038 following settlement with Chilean government
27-Feb-2026 Aviacionline
Following a favorable arbitration ruling, Nuevo Pudahuel has secured a 36-month extension to its contract at Santiago Airport, ending a multi-million-dollar dispute with Chile.
Honduran and international allies issue statement denouncing Honduras’ return to ICSID
26-Feb-2026 Terra Justa
Honduran and international civil society organizations that defend individual and collective human rights reject the new Honduran government’s decision to rejoin the International Centre for Settlement of Investment Disputes (ICSID).
Lukoil unit threatens legal action against Bulgaria over special administration
26-Feb-2026 SeeNews
Swiss-based Litasco, the international supply and trading arm of Russia’s Lukoil, may initiate arbitration proceedings against Bulgaria after the country transferred the management of Lukoil’s local subsidiaries to a special administrator.
Oil majors running Kazakh Kashagan field file arbitration over $4.6 billion fine
25-Feb-2026 Reuters
Shell, TotalEnergies, Eni, Exxon and other shareholders in Kazakhstan’s Kashagan oilfield have filed an arbitration claim against a 2023 environmental fine worth around $4.6 billion
To diversify trade, ditch the ideological baggage
23-Feb-2026 The Hill Times
Canada’s trade diversification policy amounts to signing more old school free trade and investment deals as quickly, and with as little debate, as possible.
S. Korea wins lawsuit seeking to revoke arbitration ruling in Elliott case
23-Feb-2026 Yonhap
South Korea has won a case filed at a British court seeking to reverse an international tribunal court’s order to pay more than US$100 million in damages to the US hedge fund Elliott Investment Management.
Mozambique and UAE discuss CEPA, investment protection, bilateral business forum and tourism MoU
23-Feb-2026 Club of Mozambique
During the meeting, the parties analysed the current status of negotiations on the Comprehensive Economic Partnership Agreement (CEPA) and discussed instruments for investment protection.