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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.

UK-India investment treaty lets companies sue government, sources say
5-May-2025 The Straits Times
An investment treaty between Britain and India will contain a provision that allows companies to sue either government if they believe policy changes unfairly harm their investment or profits.
Argentina still on hook for BIT arbitral award
5-May-2025 iclg
ICSID tribunal rejects Argentina’s request to reconsider award based on the judgment in entirely separate litigation proceedings.
Settlement of claim against Mozambique Government
2-May-2025 London stock exchange
This announcement contains inside information for the purposes of Regulation 11 of the Market Abuse (Amendment) (EU Exit) Regulations 2019/310. With the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.
Emmerson seeks $2.2 billion in arbitration against Morocco over potash project
2-May-2025 Yabiladi
Emmerson Plc, a Moroccan-focused potash development company, has filed a Request for Arbitration (RFA) seeking $2.2 billion in compensation from the Kingdom of Morocco, claiming «expropriation» of its Khemisset Potash Project.
The climate crisis & the threat of investment agreements
2-May-2025 Ngā Toki Whakarururanga
Aussie mining billionaire sues Australia for A$420 billion... Yes, this could happen in Aotearoa!!!
International investment law: Origins, imperialism and conceptualizing the environment
29-Apr-2025 Colorado Environmental Law Journal
This paper explores the origins of international investment law and their implications for foreign investment protection law and policy in the twenty-first century.
End harmful treaties, says Nalunga
25-Apr-2025 Monitor
Treaties and agreements should facilitate a green and equitable transition by channeling investments into renewable energy, circular economies, and sustainable infrastructure.
Mexico faces French expropriation arbitration
24-Apr-2025 CDR
The expropriation of a hydrogen plant in Mexico early last year has led to the filing of an investment arbitration against the state.
Energy Charter Treaty irrelevant to Africa
15-Apr-2025 Monitor
The Energy Charter Treaty not only locks countries into outdated fossil fuel investments but also hampers their ability to pursue sustainable, climate-friendly energy policies.
Romania’s biggest ICSID cases, and what they mean for foreign investment
14-Apr-2025 EU Observer
Romania currently has nine pending cases with the International Centre for the Settlement of Investment Disputes. Here are three of three of the biggest cases in the last few years, and what they mean for foreign investors in Romania.
Thousands of people protest for more climate protection
14-Apr-2025 blue News
In Bern, several hundred people on the Bundesplatz criticized the federal government, which wants to modernize the International Energy Charter Treaty that came into force in 1998. They called for an exit.
UAE investor files arbitration against Comoros
9-Apr-2025 CDR
A Swiss law firm is representing a UAE company in an ICSID arbitration against the African island nation, alleging expropriation of investments and unfair treatment.
Israeli developer accuses Cyprus of political persecution in landmark lawsuit
4-Apr-2025 Ynetnews
The lawsuit, filed against the Republic of Cyprus, is based on a 1998 bilateral investment treaty between Cyprus and Israel.
Estonia wins 30-year-long Seaplane Harbor ownership dispute tribunal
3-Apr-2025 ERR
An international arbitration tribunal has ruled that Estonia acted lawfully in restoring ownership of the Seaplane Harbor (Lennusadam) and ending a 30-year dispute.
Conflicts of interest and sovereignty at stake: The Ecuador-Canada FTA
2-Apr-2025 CEPR
Ecuador’s free trade agreement with Canada presents a glaring conflict of interest for President Noboa, whose family, one of Ecuador’s wealthiest, has a sizable financial stake in a Canada-based mining company.
First Quantum to discontinue two Cobre Panama arbitration proceedings
2-Apr-2025 Reuters
First Quantum Minerals said it had agreed to discontinue two arbitration proceedings related to its Cobre Panama copper mine.
Investment treaties: Protecting transition investments, but are they just?
1-Apr-2025 Business Human Rights Journal
The urgent demand for critical minerals has led to the expansion of mining operations, often accompanied by significant human rights and environmental abuses that cause social unrest and spark disputes between states and foreign investors.
The financialisation of international investment law
28-Mar-2025 TNI
The landscape of financial profiteering from investor-state dispute settlement claims.
Kazakhstan ratifies investment protection agreement with Kyrgyzstan
28-Mar-2025 Xinhua
The lower house of Kazakhstan’s parliament has approved the law on ratifying the agreement between Kazakhstan and Kyrgyzstan on encouragement and mutual protection of investments.
British oil company files lawsuit against Kazakhstan
26-Mar-2025 Azernews
British oil and gas company Victoria Oil & Gas has filed a lawsuit against Kazakhstan, citing provisions under the Energy Charter Treaty.