Jul 22, 2008
This publication provides current and comprehensive information on possible legal consequences of recent steps taken by certain Latin American states respecting the protection of foreign investment in those jurisdictions. Such steps include actions to terminate or threaten to withdraw from state obligations arising out of membership in the 1965 International Convention for Settlement of Investment Disputes (ICSID). They also include unilateral declarations of termination of certain bilateral investment treaties, or BITs. They further encompass steps toward the amendment of national legislation and constitutional frameworks to prohibit or circumscribe the possibility of submitting certain kinds of investor-related disputes to international arbitration. These developments have given rise to an increasing uncertainty and insecurity on the part of foreign investors, including those currently planning investments in such countries, regarding the extent and scope of protection of their investments. This latest issue of the Shearman & Sterling German-language Client Newsletter examines these developments, including from the perspective of German BITs with Latin American states. It outlines various existing and potential challenges and open issues as well as possible solutions going forward.
Click below to view the full German-language Client Newsletter.