From Calvo to CMS: Burying an International Law Legacy? Argentina's Currency Reform in the Face of Investment Protection: The ICSID Case CMS v. Argentina
Article from: TDM 2 (2006), in Case Comments & Awards
Abstract
By guaranteeing investors' rights bilateral investment treaties (BITs) increasingly create limits for the regulatory power of states. How far their scope of action can be restricted is illustrated by the landmark ICSID award CMS v. Argentina. The tribunal ordered the respondent to pay compensation of ca. 133 million US$ because Argentina's recent currency reform, the so-called pesification, violated the US-Argentina BIT. The decision contributes significantly to the international law concept of indirect expropriation, to the principle of fair and equitable treatment and to state ...