Investor-State dispute settlement (CPTPP & Pacific Alliance) --- Amb. Rana, Investor-state dispute settlement (ISDS) is provided under Section 9B- Chapter 9 under the CPTPP.

Prior to commencing arbitration:

a)Claimant is required to serve a Written request for consultations. Brief description of facts regarding the measure or measures at issue (Article 9.18.2); b) Disputing Parties engage in consultations and negotiations for six months from the respondent’s receipt of the claimant’s written request for consultations (Article 9.19.1); c)The claimant is also required to serve a written notice of intent to submit a claim to arbitration containing specified details on the respondent 90 days before submitting a claim to arbitration (Article 9.19.3); d) Arbitration may be commenced in accordance with any of the following regimes: ICSID Convention and the ICSID Rules of Procedure for Arbitration Proceedings; the ICSID Additional Facility Rules; the UNCITRAL Arbitration Rules; or, any other arbitral institution or arbitration rules that the claimant and respondent agree on (Article 9.19.4); e) The arbitration must be commenced within three years and six months from the date on which the investor first acquired, or should have first acquired, knowledge of the breach (Article 9.21.1). Available at:

https://www.international.gc.ca/trade-commerce/trade-agreements-accords-commerciaux/agr-acc/tpp-ptp/text-texte/09.aspx?lang=eng

Additional Protocol to the Framework Agreement of the Pacific Alliance- Section B: Dispute Resolution between a Party and an Investor from another Party (Articles 10.15-10.27)

a)In the event of an investment-related dispute, the Disputing Parties must first attempt to resolve the dispute through consultation and negotiation, with a written request. The consultations shall take place for a minimum of six months. b) If a dispute has not been resolved within six months the claimant may submit a claim for arbitration in their own name; c) Unless the Disputing Parties agree otherwise, the tribunal shall be made up of three arbitrators; d)The Disputing Parties may agree on the legal place where any arbitration should take place; e) At the request of any of the Disputing Parties, before issuing a decision or award on liability, the tribunal shall communicate its proposed decision or award to the Disputing Parties and the non-Disputing Party; f) Within 60 days of communicating such proposed decision or award, the Disputing Parties may submit written comments to the tribunal concerning any aspect of its proposed award. The tribunal shall consider said comments and shall issue its decision or award no later than 45 days after the expiration of the 60-day comment period. Available at:

https://www.mfat.govt.nz/assets/Trade-agreements/Pacific-Alliance-NZ-FTA/FINAL-Consolidated-Pacific-Alliance-Additional-Protocol.docx

Source author: Cecilia Treemonisha Barros Ruiz cbarros@sre.gob.mx