Investment treaty arbitration—an introduction
Produced in partnership with Joe Tirado, Partner of Garrigues UK LLP and Elisa Vicente, Senior Associate of J&A Garrigues, S.A.
Investment treaty arbitration—an introduction

The following Arbitration guidance note Produced in partnership with Joe Tirado, Partner of Garrigues UK LLP and Elisa Vicente, Senior Associate of J&A Garrigues, S.A. provides comprehensive and up to date legal information covering:

  • Investment treaty arbitration—an introduction
  • Investment treaties
  • Resolution of investment treaty disputes
  • Common issues in investment disputes

BREXIT: As of exit day (31 January 2020), the UK is no longer an EU Member State. However, in accordance with the Withdrawal Agreement, the UK has entered an implementation period, during which it continues to be subject to EU law. This has an impact on this Practice Note. For further guidance, see Practice Note: Brexit—arbitration law and practice in England and Wales and News Analysis: Brexit Bulletin—key updates, research tips and resources.

This Practice Note provides an introduction to investment treaty arbitration.

Broadly, an investment treaty arbitration involves the resolution of (most commonly) a foreign investor’s claim against a respondent state for alleged breaches of investor protections contained in an investment treaty concluded between either two states or a group of states pursuant to an arbitration agreement contained within the investor-state dispute settlement provisions of the relevant treaty. ‘Investment treaty arbitration’ is sometimes contrasted with ‘international commercial arbitration’, and both forms of arbitration are sometimes referred to under the umbrella term ‘international arbitration’, see Practice Note: International arbitration—an introduction to the key features of international arbitration for consideration of the meaning of ‘international commercial arbitration’.

Investment treaties

Bilateral investment treaties (BITs) and multilateral investment treaties (MITs) are central to any consideration of investment treaty arbitration.

Bilateral investment treaties

A BIT is a treaty between two states by which each state