Introduction

There is a well established principle of transnational public policy that a State party cannot improperly invoke its own internal law to avoid its contractual obligation to arbitrate (the "Internal Law Principle"). The Internal Law Principle contemplates a contract between a State (or a public administration within a State, or a State-owned entity) and a foreign contractor or investor containing an agreement to arbitrate. The applicable law is the law of the State party. Subsequently, a dispute arises between the contracting parties. The foreign investor wishes to submit ...