Introduction

On 3 October 2006 the ICSID tribunal in the LG&E v. Argentina[1] case rendered its decision on liability. This award broadly addresses the issue of state of necessity both under general international law as well as under the applicable treaty clause of the Argentina-US BIT[2] and concludes that such a situation prevailed in Argentina during a 15-months period between 2001 and 2003 exempting the respondent state of its responsibility for violating various investment standards under the Argentina-US BIT. The LG&E tribunal thereby departs from the result reached in the CMS v. ...