Abstract

This article discusses the development of the theory of lex mercatoria in the context of trade, economic and financial sanctions in arbitration. It is argued that the recent spike in the scale and outreach of international sanctions will result in a more widespread use of lex mercatoria as a governing law in arbitration proceedings, especially where a party from a sanction- affected state is involved. Not least this is because such parties seemingly view lex mercatoria as a safe and neutral choice of law, which excludes the application of sanctions that would otherwise be part of an ...