Further to its report on the outcome of the consultation on investment protection and investor-state dispute settlement in the TTIP, the EU Commission has issued a “Concept Paper” which envisages a very different future for resolution of investor-state disputes.
The Concept Paper builds on the four key areas which the Commission previously identified as requiring further consideration, explaining that there is opportunity for “profound reform” of the investment protection and ISDS systems. In particular, the Concept Paper contains two clear messages:
- Despite the outcome of last year’s con and the apparent weight of opinion in the European Parliament, the Commission is not minded to remove substantive investment protections or investor-state arbitration from the TTIP.
- The Commission envisages major changes in the future for ISDS which, if adopted in the TTIP and accepted more broadly in other free trade and investment agreements, would have significant implications for the way in which investors are able to protect their investments and resolve disputes with host states.
A summary of, and comment on, the Concept Paper can be found on our Public International Law Notes blog here.
For further information, please contact Andrew Cannon, Partner or Hannah Ambrose, Professional Support Consultant, or your usual Herbert Smith Freehills contact.