Cyprus Arbitration: can depositors successfully sue Cyprus in international arbitration for the measures it took in 2013? In 2013, Cyprus introduced a number of measures to prevent its banks from becoming insolvent. Most notably, it introduced a bail-in measure whereby it converted depositors’ deposits into equity in banks. This brought new capital into banks, without […]
How Do Investment Arbitration Tribunals Interpret Investment Treaties?
When interpreting a treaty provision, arbitral tribunals should first and foremost look at the “ordinary meaning of the terms”. This methodology is prescribed by Article 31 of the 1969 Vienna Convention on the law of treaties (VCLT). VCLT Articles 31-32 are codifications of customary international law. The interpretative approach prescribed by these articles should be […]
Duty to Mitigate Damages in Investment Arbitration
Notion of the Duty to Mitigate Damages Along with contributory negligence, a duty to mitigate damages is considered as a “compensation-reducing”[1] factor. However, contrary to contributory negligence, the duty to mitigate damages arises only after the breach of an international obligation. It implies an obligation for an aggrieved party to “take steps to minimize his loss, on […]
ICSID Arbitration Rules Draft Amendments Issued
It has been 12 years since the ICSID Arbitration Rules’ latest update. ICSID Arbitration Rules draft amendments were published earlier this month. One of the overall goals of the amendments is to increase efficiency. Another is to increase transparency, especially with respect to third-party funding. These amendments may constitute the most significant changes made to […]
Choosing ICSID or UNCITRAL Arbitration for Investor-State Disputes
Should a foreign investor opt for ICSID arbitration or UNCITRAL arbitration when a choice exists? Foreign investors involved in a dispute with a host State of investment are often able to choose between initiating ICSID arbitration under the ICSID Convention or ad hoc arbitration under the UNCITRAL Arbitration Rules in order to resolve their investment dispute. This […]