Introduction

In his recent book, Edward Guntrip refers to counterclaims in investment arbitration as "magic". The magic of counterclaims comes from their ability to right the imbalance in a system that focuses primarily on investor protection, rather than investor accountability. What is more, counterclaims are not limited to breaches of domestic law or State contracts, but can be used, as Guntrip argues, to enforce violations of international law on the part of the investor. Accountability of investors under international law (or rather lack thereof) is a common criticism of the ...