bilaterals.org logo
bilaterals.org logo

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.

Experts caution Uganda on investment treaties
5-Dec-2019 Daily Monitor
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.
How World Bank arbitrators mugged Pakistan
27-Nov-2019 Project Syndicate
Thanks to the World Bank’s flawed and corrupt investment arbitration process, the rich are making a fortune at the expense of poor countries.
Spain offers green energy investors incentives to drop lawsuits
27-Nov-2019 Reuters
The government will offer subsidies which will allow investors that abandon litigation to maintain their current profitability rate of 7.39% until 2031.
Amulsar uncertainty continues: A local activist and diaspora armenians share their concerns
18-Nov-2019 HETQ
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 files claim against Sweden to recover losses following uranian mining ban
12-Nov-2019 Stock Market Wire
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.
CTU concerned with "upgrade" of China Free Trade Agreement
6-Nov-2019 Scoop Politics
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.
Pakistan escapes $1.2 billion penalty as Turkey helps resolve Karkey dispute
5-Nov-2019 Business Recorder
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.
Stop the unfair investor-state dispute settlement against Africa
4-Nov-2019
Civil society and trade union statement to oppose the recent World Bank Court ruling against Tanzania.
It’s time to scrap the Energy Charter Treaty
30-Oct-2019 Euractiv
The EU taxpayer is the main loser from the continuation of the Energy Charter Treaty which locks Europe into carbon and energy injustice at a high cost to taxpayers.
Trade agreements pre-empt sissent: An interview with AFTINET’s Dr Patricia Ranald
30-Oct-2019 Sydney Criminal Lawyers
Interview with AFTINET convenor Dr Patricia Ranald about how the ISDS regime developed, the reasons why these mechanisms are so detrimental, and the impact the TPP-11 agreement could have on Australia.
Activists demand Trade Democracy at the site of Peterloo
30-Oct-2019 Trade Action Blog
200 years ago, democracy activists died in Manchester, while peacefully campaigning for the vote. On the bicentennial of the massacre, activists protested against the threat to democracy from the corporate court system.
Connecting trade and climate chaos
28-Oct-2019 The Ecologist
We must call for an end to the deregulatory ‘free trade’ and tax policies that make practices like re-importation and redundant trade profitable.
EU Member States agree on a plurilateral treaty to terminate bilateral investment treaties
28-Oct-2019 European Commission
EU Member States committed to terminate their intra-EU bilateral investment treaties in a coordinated manner by means of a plurilateral treaty.
Bad bilateral trade deals haunting Africa
28-Oct-2019 The East African
The growing number of legal suits that multinational companies are bringing against Tanzania and other African countries is a major concern.
Estado peruano pagaría US$ 2,000 millones el año 2022 por arbitraje del gasoducto en el CIADI
25-Oct-2019 Gato Encerrado
Peritos contratados por Enagás determinaron que el valor actualizado de los activos del Gasoducto que quedaron en manos del Estado (ductos, maquinarias, etc.) alcanza los US$ 1,980 millones.
India tries to loosen RCEP tangle ahead of Leaders Summit on November 4
22-Oct-2019 The Hindu Business Line
Indian negotiators are in Bangkok trying to insert crucial provisions in the proposed Regional Comprehensive Economic Partnership (RCEP) pact.
’$1.2b penalty in Karkey case likely to be waived’
21-Oct-2019 Express Tribune
International institutions, through high-level backdoor contacts, have agreed to waive off the $1.2 billion penalty Pakistan has to pay to Turkey’s Karkey, senior lawyer Babar Awan said.
Global climate laws threatened by rise in investor-state disputes
21-Oct-2019 Euractiv
A global rise in investor lawsuits against nation-sates is putting climate protection laws under threat, activists warn.
RCEP: As deadline looms, trade unions call out dangerous clauses
21-Oct-2019 People Dispatch
Negotiators representing 16 countries have been tasked with arriving at an agreement on the controversial Regional Comprehensive Economic Partnership by October 19 but trade unions say the deal has grave consequences.
AFTINET fears that assurances sought by Labor will not prevent harmful impacts from Indonesia and other trade deals
21-Oct-2019 AFTINET
Organisations representing millions of Australians wrote to Labor MPs last week asking them to implement their policies against harmful proposals including special rights for foreign investors to sue governments for millions over domestic laws.