396. Cases to which the rule is not applicable.

The exhaustion of local remedies rule1 has no application in cases where the essential basis of the claim by a state is one of direct injury to it caused by the acts of another state, and not a claim relating to treatment of its national2. It has also been suggested that where an injury is caused to a national of the claimant state, the rule does not apply unless there is some voluntary link between the national and the defendant state