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.

Russel Norman – climate change and free trade

21-Feb-2019 Daily Blog

The panel on a sustainable world at the hui in October 2018 on What an Alternative and Progressive Trade Strategy for New Zealand argued for major changes to address pressing environmental issues.

Much to fear from post-Brexit trade deals with ISDS mechanisms

21-Feb-2019 The Guardian

Investor-state dispute settlement is a threat to human rights, health and the environment, say representatives of trade unions, charities and faith groups.

Q&A: Stop corporate courts

15-Feb-2019 Global Justice Now

A Q&A to deal with tricky questions about corporate courts and our campaign against them.

Investor-state dispute settlement in Tanzania

12-Feb-2019 The Citizen

Tanzania has embarked on process of regulation of its foreign investment regime by enacting legislation, which exclude international arbitration.

The EU-Singapore investment protection agreement

11-Feb-2019 SOMO

An analysis of its impact on managing government bonds and capital flows.

MEPs take note: EU-Singapore deal could hinder fight against fraud and corruption.

11-Feb-2019 Stop ISDS

The most worrying thing about the EU-Singapore deal is not the risk that Singapore firms themselves pose, but the fact that the agreement looks set to be used as a model for reinvigorating ISDS.

US investors demand $96m for loss of Rwanda contracts

11-Feb-2019 The East African

A group of US investors have taken Rwanda to an international court, seeking compensation of $95 million after the government seized their mining concessions, effectively denying them operating licences.

Turkish RPP ship: Pakistan breathes $900mn sigh of relief

8-Feb-2019 Express Tribune

Pakistan said to have gathered fresh ‘evidence of corruption’ in the procurement of a rental power project (RPP) contract by the Turkish company.

Sued for existing – ancient Romanian town on the frontline of the battle against ISDS

6-Feb-2019 Stop ISDS

Today, the 6th of February 2019, the Romanian town of Roşia Montană celebrates its 1888th year of existence. Over the past 20 years, residents have fought against a proposed multi-billion dollar mining project.

Arbitration ruling from the ICSID delivered in favor of Sodexo’s benefits and rewards activities in Hungary

5-Feb-2019 Globe Newswire

Hungarian State has been ordered to pay Sodexo an award of about 73 million euro, before interest.

Stop ISDS! Rights for people, rules for corporations

30-Jan-2019

EU-Canada trade deal is lawful: EU court adviser

29-Jan-2019 Reuters

The EU-Canada free trade deal’s provisions on investor protection are in line with EU law, a senior court adviser said in a recommendation to the European Court of Justice.

Meet the corporations who sue governments to undermine progressive change

24-Jan-2019 Open Democracy

Campaigners dressed as wolves in suits invaded the streets of Davos to highlight the real face of private-sector influence.

Belarus faces its first investment claims

22-Jan-2019 Belarus Digest

In late 2017 and 2018, Belarus faced a record-breaking three investment arbitration claims.

Stop ISDS! Rights for people, rules for corporations

22-Jan-2019 TNI

Join the movement to end corporate privilege, sign the petition!

Most EU countries to terminate intra-bloc bilateral investment treaties

18-Jan-2019 New Europe

22 of the 28 EU nations have committed to terminate their bilateral investment treaties and use their influence as home states and respondent-states to notify tribunals of the non-arbitrability of intra-EU bilateral investment treaties and Energy Charter Treaty claims.

Corporate social responsibility clauses in investment treaties

17-Jan-2019 IISD

Corporate social responsibility provisions do not change the corporate or ethical duties of companies into enforceable legal obligations in the context of dispute settlement proceedings but they could help significantly moralize the use of treaty-based arbitration.