The Interplay of Contract Claims and Treaty Claims: Bayindir v. Pakistan
Article from: TDM 2 (2006), in Case Comments & Awards
An increasingly common problem in the investor-State sphere is how to reconcile different dispute resolution mechanisms in a contract and a bilateral investment treaty ("BIT"). Often, a contract provides for disputes to be resolved through local courts in the host State, while an applicable BIT provides for disputes to be resolved through arbitration before the International Centre for Settlement of Investment Disputes ("ICSID"). If the foreign investor opts for ICSID arbitration under the BIT (before or after commencing local proceedings under the contract), the host State ...