Asia

Asian countries have signed over 1100 international investments agreements, most of which include the investor-state dispute settlement (ISDS) mechanism.

The Association of South-East Asian Nations or ASEAN (formed of Brunei, Burma, Cambodia, Indonesia, Laos, Malaysia, Philippines, Singapore, Thailand, Vietnam) also provides investor protection under the ASEAN Comprehensive Investment Agreement (ACIA) which was adopted in 2009.

In addition, new trade deals with ISDS provisions currently concern the region: the Trans-Pacific Partnership (TPP) and the Regional Comprehensive Economic Partnership (RCEP).

The TPP was sealed in October 2015 between Australia, Canada, Chile, Mexico, New Zealand, Peru, the United States and five Asian countries: Brunei, Japan, Malaysia, Singapore and Vietnam. Indonesia and Taiwan have claimed their intention to join in. The treaty has yet to be ratified.

The investment chapter has revealed the deal includes the investor-state dispute settlement (ISDS) mechanism that would give foreign investors the right to bypass national courts and resort to a parallel system of justice specifically made for them.

RCEP is currently being negotiated between the Asian states of Brunei, Cambodia, China, India, Indonesia, Japan, Laos, Malaysia, Myanmar, the Philippines, Singapore, South Korea, Thailand and Vietnam with Australia and New Zealand.

Although still under negotiations, RCEP has been reported to include ISDS provisions. Korea and Japan have submitted proposals likely to be similar to those in their own bilateral agreements and in the TPP text. India should table a different offer.

The Indian government has been considering a revised comprehensive model of bilateral investment treaty (BIT) that would reduce investor rights, compared to other versions of ISDS. An investor would have to exhaust all local remedies before initiating international arbitration. The model BIT is expected to exclude matters relating to government procurement, taxation, subsidies, compulsory licenses and national security.

India has been the most targeted country in the region, with about 15 disputes - the vast majority of which were initiated by West European countries.

End of 2014, Sri Lanka also announced its intention to move away from traditional models of BIT. It quoted thin relationship between BITs and foreign direct investment, past ISDS disputes and the tendency for BITs to constrain domestic policy space as reasons. Sri Lanka favours the enactment of appropriate domestic legislation to protect foreign investment.

In early 2014, Indonesia announced plans to terminate 67 of its BITs, former president Yudhoyono arguing he did not want multinational companies to pressure developing countries. Indonesia is now in the final stage of finalizing a new model of BIT. The country is currently facing a billion-dollar dispute from UK-listed Churchill Mining and a new US$600 million claim from the Indian mining investor India Metals & Ferro Alloys.

(November 2015)

| 9-Feb-2012
In a stinging indictment of the slow speed with which the higher judiciary decides cases and lackadaisical manner in which the government deals with disputes involving foreign companies doing business in India, a three-member international arbitration panel has decided a case against the Government of India and a PSU.
Livemint | 30-Jan-2012
The department of industrial policy and promotion has in principle decided not to include in bilateral trade pacts a clause that permits a foreign investor to sue the host country at an international dispute settlement agency.
DTE | 13-Jan-2012
Since the 1990s developing nations have been on a treaty spree, signing a vast number of bilateral and regional investment treaties to attract funds for development. But as the figure of investment treaties has shot up so have the claims for damages from investor companies, which are seeking billions of dollars in compensation on account of regulatory laws.
The Hankyoreh | 3-Jan-2012
The experiences of former judge Abner Mikva, an arbitrator in a NAFTA dispute, demonstrate how he was pressured to favor the interests of the American establishment
| 6-Dec-2011
Canadian company, the Loewen Group has found itself embroiled in a legal battle after investing in a U.S. funeral home project. Loewen was charged by the Mississippi state court with violating its contract.
| 4-Dec-2011
Judges are currently involved in a heated online and in-person debate over comments about the South Korea-U.S. Free Trade Agreement made by Incheon District Court Senior Judge Kim Ha-neul.
| 26-Nov-2011
Korea’s Office of the Minister for Trade recently attempted to recruit lawyers specializing in international trade before the effectuation of the free trade agreement with the European Union.
| 22-Nov-2011
The ruling Grand National Party (GNP) placed pressure on the Democratic Party on Monday to state how it would respond if a written agreement for investor-state dispute (ISD) provision renegotiations for the South Korea-U.S. Free Trade Agreement (KORUS FTA) were received from the South Korean and U.S. trade officials.
| 21-Nov-2011
The Federal Government’s plain packaging laws for cigarettes have now passed both houses of Parliament but are facing their first legal challenge.
| 9-Nov-2011
The Ministry of Justice submitted a formal opinion strongly recommending caution with regard to the investor-state dispute (ISD) system, a key item of contention with the South Korea-United States Free Trade Agreement.

0 | ... | 450 | 460 | 470 | 480 | 490 | 500 | 510 | 520 | 530 | ... | 540