...What options do Foreign Investors have when States violate agreements? Foreign investment has played a critical role to the World’s economy, so promoting and protecting foreign investment can bring big benefits for the developing and developed countries. So when States violate agreements, the foreign investors may have some main options to protect their rights in the investment. First is the ICSID Convention and it stands for the Convention on the Settlement of Investment Disputes, also known as the Washington Convention, which is formulated by the World Bank. The Convention made the establishment on the International Centre for Settlement of Investment Dispute, which is an international organization to solve the investment dispute between the contracting states and the nationals of other Contracting States. The aim of the Center is to “promote an atmosphere of mutual confidence between States and foreign investors conducive to increasing the flow of private international investment.” Otherwise, there are sets of rules about arbitration or conciliation. So after meeting the requirements, foreign investors can be protected efficiently according to the ICSID Convention when the States violate the agreements. Another one is the BITs and it means bilateral investment treaties. The purpose of the BITs is to make a benefit to the State and also for the benefit of an investor, so according to the BITs, the rights of the foreign investors can be protected successfully when the...
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...by the Tanzania investment Act. Investment as defined in the Tanzania Investment Act, (1997) is the creation of or acquisition of new business asset and includes the expansion, restructuring or rehabilitation of an existing business enterprise. As part of this industry, The Foreign Direct Investment inflow is defined as the direct investment from foreign companies to host countries in order to gain certain lasting interests by Maina (2004). According to the guidewhois.com (2011) it can be looked at from different angles; the first angle, Horizontal Foreign Direct Investment arises where a firm duplicates its home country-based activities at the same value chain stage in a host country through foreign direct investment. The second angle; Platform Foreign direct investments where Foreign direct investment from a source country into a destination country for the purpose of exporting to a third country and the third angle, Vertical Foreign direct investment takes place when a firm through Foreign Direct investment moves upstream or downstream in different value chains. Tanzania in endowed with enormous natural resources and other economic potentials that provides for the escalating opportunities in the investment sector. As many other countries in the world, Tanzania depends on foreign direct investment so as to develop. In accordance with the Tanzania ministry of industry and trade website (2014) there are a lot of potential areas for investment in Tanzania, but...
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...3/7/2016 CHAPTER 3 Disputes involving private parties International disputes must either be heard • • DISPUTE RESOLUTION in a domestic system using domestic law (with the consent of both parties) unless the dispute is between 2 states (then an international tribunal/court can be convened). The law of the forum, where the dispute is being heard, will supply the procedural rules that will allow it to review the substantive matter (legal issues at stake). Disputes involving a private individual or company usually end up in a domestic court of a state. 3-1 © 2009 Pearson Education, Inc publishing as Prentice Hall Disputes between states 3-2 © 2009 Pearson Education, Inc publishing as Prentice Hall Are taken to an international tribunal, such as the ICJ (International Court of Justice) or the dispute resolution panel of the World Trade Organization (if both states are members) and the matter involves a trade in goods issue. The International Criminal Court (ICC) is a court of last resort which tries persons accused of the most serious crimes against humanity (crimes such as genocide). Settlement of Disputes in International Tribunals International Court of Justice International Criminal Court World Trade Organization Dispute Settlement Procedures 3-3 © 2009 Pearson Education, Inc publishing as Prentice Hall 4 © 2009 Pearson Education, Inc publishing as Prentice Hall 1 3/7/2016 ICJ...
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...Describe the various agencies of the World Bank Group and their missions. The World Bank Group is composed of five agencies: • the International Bank for Reconstruction and Development (IBRD) • the International Development Association (IDA) • the International Finance Corporation (IFC) • the Multilateral Investment Guarantee Agency (MIGA) • The International Center for Settlement of Investment Disputes (ICSID). In general, the World Bank Groups’ mission is to help with long-term growth in developing countries by providing funding for infrastructure, education, health and other necessary building blocks to establish a productive economy. The IBRD is the initial institution of the World Bank when it was establish after World War II to assist in the reconstruction of Europe and Asia. Today it has the stated goal to improve poverty in “middle-income countries’ and creditworthy poorer nations through sustainable development. They accomplish this through financial assistance (loans) as well as provide analysis and advice. The International Development Association (IDA) provides interest-free loans and grants to the world’s poorest countries. Similar to the IBRD the IDA promote economic growth by financing infrastructure, agriculture, health, education and similar activities, except the IDA services those countries which fall below the scope of the IBRD. The International Finance Corporation (IFC) supports development in the private sector by providing loans, offering management...
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...markets. www.lexmundi.com A Guide to Doing Business in Bangladesh Prepared by: Amir & Amir Law Associates Email: info@aalabd.com Web: www.aalabd.com Updated 29th December 2011 Limitations of Scope: This guide contains a general introduction to the subject. The information in this guide is meant for the purposes of reference and should not be used as legal advice. Source of Information: The information provided in this guide has been obtained from various sources, namely the Bangladesh Board of Investment (BOI) and the Bangladesh Bank. 1 A GUIDE TO DOING BUSINESS IN BANGLADESH CONTENTS I. BANGLADESH AT A GLANCE I.A. Key Facts I.B. Infrastructure I.B.1. Telecommunications I.B.2. Transport I.B.2.a) Land I.B.2.b) Water II. INVESTMENT OPPORTUNITIES IN BANGLADESH II.A. Bangladesh Investment Climate II.B. Economic Overview II.C. Investment Opportunities II.C.1. Resource Advantages II.C.2. Development Opportunities II.D. Foreign Investors II.E. Sectors with Investment Opportunities III. GENERAL CONSIDERATIONS III.A. Diplomatic Relations III.B. Bangladesh’s History and Government III.B.1. History III.B.2 Government III.C. Legal System III.C.1. Common Law System III.C.2....
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...Egypt Investment Climate • • • • • • • • • • • • • • • • • • • Openness to Foreign Investment Conversion and Transfer Policies Expropriation and Compensation Dispute Settlement Performance Requirements and Incentives Right to Private Ownership and Establishment Protection of Property Rights Transparency of Regulatory System Efficient Capital Markets and Portfolio Investment Competition from State Owned Enterprises Corporate Social Responsibility Political Violence Corruption Bilateral Investment Agreements OPIC and Other Investment Insurance Programs Labor Foreign-Trade Zones/Free Ports Foreign Direct Investment Statistics Web Resources Return to top Openness to Foreign Investment Egypt has experienced profound political changes over the past year. On February 11, 2011, President Hosni Mubarak’s 30-year rule came to an end under intense popular pressure as hundreds of thousands of Egyptians converged on Tahrir Square. Transition to democratic rule has been marked by advances and challenges. Egypt has seen several prime ministers and multiple cabinet changes since the revolution, and many investors have reported that the constant shuffle and interim tenure of government officials have contributed to a difficult business environment. Nonetheless, in January 2012 Egypt seated its first parliament elected in free and fair elections, and many of the members have identified increasing foreign investment as a top priority for the government. Egypt continues to honor its pre-revolution...
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...June 2007 International Dispute Resolution Overview A. Arbitration International arbitration is the process of resolving disputes between or among transnational parties through the use of one or more arbitrators rather than through the courts. It requires the agreement of the parties, which is usually given via an arbitration clause that is inserted into the contract or business agreement. The decision is usually binding. Arbitration is today most commonly used for the resolution of commercial disputes, particularly in the context of international commercial transactions (International Commercial Arbitration). It is also used in some countries to resolve other types of disputes, such as labour disputes, consumer disputes, and for the resolution of certain disputes between states and between investors and states. As the number of international disputes mushrooms, so too does the use of arbitration to resolve them. There are essentially two kinds of arbitration, ad hoc and institutional. An institutional arbitration is one that is entrusted to one of the major arbitration institutions to handle, while an ad hoc one is conducted independently without such an organization and according to the rules specified by the parties and their attorneys. Ad hoc, or unadministered, arbitration is flexible, relatively cheap and fast way of dispute settlement – if the parties co-operate. When parties are not able to co-operate, the assistance of an institution to move the arbitration forward...
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... replacing the General Agreement on Tariffs and Trade (GATT). It is an organization that intends to supervise and liberalize international trade and to resolve trade disputes. Based on these objectives of WTO and our papers, we will divide our presentation into three parts. First, I will talk about economic sanctions and its impact on trade, then Lisa is going to impact of trade liberalization in developing countries, and finally Jessie will present developing country use of the WTO dispute settlement system. Economic sanctions was defined as economic pressures or punishments which are utilized by “sender countries” against the “target countries” And sanctions can be classified into three main types, which are “boycotts”, “embargoes” and “financial sanctions”, respectively. Economic sanctions are often directly associated with retaliatory action resulting from the conclusion of a WTO dispute settlement process (which will discuss further by my partner Jessie later). One example is the withdrawal of trade concessions by the United States in retaliation against the European Union’s banana regime, which was found to be inconsistent with WTO’s rule of trade liberalization. However, economic sanctions can also be adopted by countries under WTO provisions but which are unrelated to the WTO dispute settlement process. The legal basis of their justification under WTO rules is the protection of “national security”. The relevant legal text is Article XXI (21) of GATT. Take embargoes...
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...Introduction Free Trade Agreements (FTAs) have proved to be one of the best ways to open up foreign markets to U.S. exporters. Trade Agreements reduce barriers to U.S. exports, and protect U.S. interests and enhance the rule of law in the FTA partner country. The reduction of trade barriers and the creation of a more stable and transparent trading and investment environment make it easier and cheaper for U.S. companies to export their products and services to trading partner markets. Agreement | Countries | Enters into force | Advantages | Disadvantages | NAFTA | Mexico, Canada and United States of America | January 1st of 1989 | Market Access for Goods, Protection for Foreign Investment, Protection for Intellectual Property, Easier Access for Business Travelers, Access to Government Procurement. | U.S. Jobs Were Lost,U.S. Wages Were Suppressed,Mexico's Farmers Were Put Out of Business,Maquiladora Workers Were Exploited,Mexico's Environment Deteriorated | FTA Nicaragua | Mexico and Nicaragua | July 1st of 1998 | Provisions on national treatment and market access for goods andservices; rules of origin; agriculture; sanitary and phytosanitary measures; telecommunications;financial services; | The FTA does not include a chapter on competition policy, energy, environment, labor, or transportation. | FTA Costa Rica | Mexico and Costa Rica | January 1st of 1995 | Provisions on national treatment and market access for goods, the agreementcontains provisions on agriculture...
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...factors ……………………………………………… 3 3. International Dispute …………………………………………. 4 4. The Dispute Settlement Understanding ……………………... 7 5. Main types of international court ……………………………. 10 6. World Trade Organization ….……………………………….. 13 7. Examples - Settlement of international Commercial disputes ………………………………………….. 16 8. Conclusion …………………………………………………….. 18 9. References …………………………………………………….. 19 Introduction: There are various types of disputes. The appropriate way of resolving most disputes is by adjudication. In the event of such cases, the most important question would be whether litigation or arbitration is the appropriate procedure and if the issues for adjudication can be clarified or narrowed in any useful way. Negotiation or mediation can be used for the solution of other disputes. The assistance and dynamism of a neutral third party who may introduce carefully devised procedures for examining and where appropriate perhaps evaluating the issues, for exploring interests, concerns and options, for dealing effectively with emotional and hidden factors, and for generally assisting the parties towards settlement, may well facilitate and expedite resolution. In finding a solution for dispute, the nature and implications of the disputes have to be properly understood. Many commercial and investment disputes are entirely appropriate to be resolved by adjudication. In domestic disputes, the debate about the advantage to arbitrate or to...
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...Number: 25 of 2007 CONCERNING INVESTMENT Logo BKPM THE INVESTMENT COORDINATING BOARD (BADAN KOORDINASI PENANAMAN MODAL) Jl. Gatot Subroto No 44, Jakarta 12190, Indonesia Tel.: (62-21) 5252008, 5254981, 5253866 Fax: (62-21) 5254945, 5253866 Website: http://www.bkpm.go.id E-mail: sysadm@bkpm.go.id PRESIDENT OF THE REPUBLIC OF INDONESIA LAW OF THE REPUBLIC OF INDONESIA Number: 25 of 2007 CONCERNING INVESTMENT IN THE NAME OF ALMIGHTY GOD PRESIDENT OF THE REPUBLIC OF INDONESIA, Considering : a. that, to realise prosperous an community impartial, based on Pancasila (National Ideology) and the 1945 Constitution of the Republic of Indonesia, it is necessary to develop sustainable national economy based on economic democracy in order to achieve the objective of having a state; b. that, pursuant to mandate written in the Decision of the People Consultative Assembly of the Republic of Indonesia Number: XVI/MPR/1998 concerning Political Economic in the framework of Economic Democracy, investment policy should properly be -2- based on people economy by involving the development of micro, small and medium-sized enterprises, and cooperatives; c. that, to accelerate national economic development, as Indonesian well as political sovereignty, it to and is economic necessary increase investment for economic potential ...
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...Nationalization under international law 5 1: Public Purpose 6 2: Discrimination 7 3: Due Process 8 4: Compensation 9 Investment Treaties 9 Chapter 3: YPF; Yacimientos Petrolíferos Fiscales 13 Short history 13 April 2012 14 Chapter 4: Nationalization of YPF under international law 15 Access to the ICSID 17 Application of the law 18 Ad. 1: Public interest 18 Ad. 2: Discriminatory measures 19 Ad. 3:In accordance with the law (Due process) 20 Ad. 4: Adequate compensation 20 Conclusion 23 Bibliography 24 Introduction On the 16th April 2012 Argentine president Cristina Fernandez de Kirchner stated that her government was going to renationalize 51 per cent of the 58 per cent share of Yacimientos Petrolíferos Fiscales (YPF) owned by Repsol. YPF is the biggest Argentine oil company, since 1999 partly owned by the Spanish multinational Repsol. After months of negotiations the Argentine government accused Repsol of not investing sufficiently in YPF to maintain or recover reserves. Due to Repsol’s alleged neglect towards YPF the country was no longer self-sufficient in fuel. As result Argentina had to import fuel, at a huge expenditure each year, approximately 9 billion US$. On the 3rd of December 2012 Repsol filed a complaint against the Argentine government at the International Centre for the Settlement of Investment Disputes (ICSID). Argentina has many outstanding debts, even if Repsol would win the case with the...
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...Introduction The purpose of this briefing is to prospect indirectly expropriation and state compensation by analysing the case of Metalclad Corporation v. The United Mexican States. With the growing economic globalization, larger flows of foreign investment occur from industrial countries to non-industrial countries. During the international investment practice, there is bound to be conflicts of interests between exporters of capitals and importers of capitals. How to avoid this problem on the basis of gaining profits becomes the main concern of investors. Metalclad Corporation, a US company, in order to establish a waste landfill in the Mexican Municipality of Guadalcazar, acquired a landfill by buying COTERIN, the owner of record of the landfill property as well as the permits and licenses. In May 1994, under SLP’s agreement to support the project, Metalclad started to construct the landfill. However, the state government and local bodies opposed the project on mandatory environmental safety requirements. As a result, the company was asked to apply for a municipal construction permit. The company applied for a permit and completed the landfill in 1995. But the Municipality of Guadalcazar refused Metalclad’s application for a permit and consequently the Governor of the State issued an ecological decree prohibiting the use of waste landfill. At the NAFTA Tribunal, the company argued that Mexico breached Articles and 1110 of NAFTA. The Tribunal decided that Mexico had breached...
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...need was felt for a faster dispute resolving mechanism. That’s why “Arbitration Act” was provided with a view to give speedy justice to the people and also to avoid unnecessary court case expenses. It is an informal dispute settlement mechanism. Bangladesh has recently enacted a new arbitration law, known as “The Arbitration Act, 2001. The Act came into force on April 10, 2001. The Act has repealed The Arbitration (Protocol and Convention) Act, 1937 and The Arbitration Act, 1940. With this new enactment Bangladesh has kept pace with the recent trends in the field of international arbitration in the rest of the world. According to the topic of this assignment, I also agree that although arbitration was introduced for settling dispute but it is not serving it purpose entirely and precisely. Now I’m going to discuss about the reasons which are making difficulty for arbitration to serve its purpose completely. Meaning of Arbitration: Before discussing about the ineffectuality’s of arbitration, first we should briefly know what Arbitration really means. The word “Arbitration” means mediation, negotiation, adjudication etc. This means settlement of arguments, disagreement, and clash between two parties. It is a process in which a disagreement between two or more parties is resolved by impartial individuals, called arbitrators, in order to avoid costly and lengthy court case or legal actions. Arbitration is the most traditional form of dispute resolution. Arbitration is...
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...alternative dispute resolution mechanism of solving disputes arises out of international trade and commerce. It has been vastly developed as one of the most efficient and preferable method of commercial dispute resolution internationally and resulting in the involvement of parties from around the globe that come from different legal systems. Now a day’s developing countries institutions are increasingly entering the IP market, and multiparty, multinational IP relationships are becoming more common, and even essential to socio-economic development. Through transactions involving these relationships scientific, technical, entrepreneurial, creative, and traditional knowledge is exchanged. This leads to increase a large number and type of international disputes. For resolving these disputes the arbitration mechanism is adopted as it resolve disputes (commercial or political) quickly through practical solutions rather than relying on the inflexible and lengthy processes of national litigation that the existing systems had to offer. In modern times, with the rapid growth and expansion of international business transactions Commercial arbitration is an efficacious alternative dispute resolution technique in business community. Though, it is a private, cost-effective and prompt method of resolving cross-border disputes, which makes the parties to opt for this mechanism over domestic litigation. But at the same time it is not a “neutral” venue or system, requires the foreign party to...
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