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Questions and Answers
Which country has had the most claims brought against it in investor-state disputes?
Which country has had the most claims brought against it in investor-state disputes?
Australian investors have been claimants in more than 10% of known global investor-state arbitrations.
Australian investors have been claimants in more than 10% of known global investor-state arbitrations.
False (B)
What is the name of the United Nations commission that introduced rules to promote transparency in investor-state arbitrations?
What is the name of the United Nations commission that introduced rules to promote transparency in investor-state arbitrations?
United Nations Commission on International Trade Law (UNCITRAL)
The United States is the most frequent ______ in investor-state disputes.
The United States is the most frequent ______ in investor-state disputes.
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Match the following countries with the number of claims brought against them:
Match the following countries with the number of claims brought against them:
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How many formal claims has Australia been on the receiving end of?
How many formal claims has Australia been on the receiving end of?
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Investor-State dispute settlement (ISDS) regimes are rarely used in Europe and the Americas.
Investor-State dispute settlement (ISDS) regimes are rarely used in Europe and the Americas.
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What industry often give rise to global investor-state arbitrations?
What industry often give rise to global investor-state arbitrations?
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What is the timeframe for which the Australia-India BIT remains in force for investments made before its termination?
What is the timeframe for which the Australia-India BIT remains in force for investments made before its termination?
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India's new model bilateral investment treaty has completely removed ISDS provisions.
India's new model bilateral investment treaty has completely removed ISDS provisions.
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Who authored the report published by the Department of Foreign Affairs and Trade in 2018 regarding economic engagement with India?
Who authored the report published by the Department of Foreign Affairs and Trade in 2018 regarding economic engagement with India?
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The Tethyan Copper Company Limited initiated a dispute against ______ in relation to the denial of a mining lease.
The Tethyan Copper Company Limited initiated a dispute against ______ in relation to the denial of a mining lease.
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What is a key point highlighted in the 2018 report by Peter Varghese regarding Australia's economic engagement with India?
What is a key point highlighted in the 2018 report by Peter Varghese regarding Australia's economic engagement with India?
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Match the following entities with their respective actions:
Match the following entities with their respective actions:
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The Australian government's focus has shifted away from the Indo-Pacific region.
The Australian government's focus has shifted away from the Indo-Pacific region.
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What does ISDS stand for?
What does ISDS stand for?
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What type of agreement did Kingsgate initiate arbitration under against Thailand?
What type of agreement did Kingsgate initiate arbitration under against Thailand?
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The claim by Emerge and Tantalum against Egypt has reached a merits hearing.
The claim by Emerge and Tantalum against Egypt has reached a merits hearing.
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The claim Kingsgate brought against Thailand has proceeded to a ______ hearing.
The claim Kingsgate brought against Thailand has proceeded to a ______ hearing.
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Which of the following is NOT a specific state act that Kingsgate alleges forms the basis of their claim against Thailand?
Which of the following is NOT a specific state act that Kingsgate alleges forms the basis of their claim against Thailand?
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There are currently fewer than five other Australian outbound investors that have launched claims in reliance on ISDS provisions.
There are currently fewer than five other Australian outbound investors that have launched claims in reliance on ISDS provisions.
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Match the companies with the country they are bringing claims against:
Match the companies with the country they are bringing claims against:
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The Emergency Arbitrator ordered Mongolia to release Munshi from detention.
The Emergency Arbitrator ordered Mongolia to release Munshi from detention.
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Munshi submitted an “Application for the Appointment of an Emergency Arbitrator” under the rules of the ______ Chamber of Commerce.
Munshi submitted an “Application for the Appointment of an Emergency Arbitrator” under the rules of the ______ Chamber of Commerce.
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Which of the following was NOT a condition for granting interim relief considered by the Emergency Arbitrator?
Which of the following was NOT a condition for granting interim relief considered by the Emergency Arbitrator?
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What has the disparity between the Australian government's defence spending and the costs order against Phillip Morris led to?
What has the disparity between the Australian government's defence spending and the costs order against Phillip Morris led to?
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Australia is likely to completely reject ISDS regimes in the future.
Australia is likely to completely reject ISDS regimes in the future.
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What is a strong defence available to States that can cancel claims from foreign investors?
What is a strong defence available to States that can cancel claims from foreign investors?
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As more disputes are awarded in favor of Australian outbound investors, it is likely that this mechanism will become more popular with other Australian outbound investors, encouraged by the possibility of protection and significant ______.
As more disputes are awarded in favor of Australian outbound investors, it is likely that this mechanism will become more popular with other Australian outbound investors, encouraged by the possibility of protection and significant ______.
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Match the terms to their corresponding descriptions related to investor-state dispute settlement (ISDS):
Match the terms to their corresponding descriptions related to investor-state dispute settlement (ISDS):
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What is one reason why Australia might accept some exposure to claims from foreign investors?
What is one reason why Australia might accept some exposure to claims from foreign investors?
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Claims against Australia have not influenced the exclusions it has incorporated into subsequent investment agreements.
Claims against Australia have not influenced the exclusions it has incorporated into subsequent investment agreements.
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What does Australia need to be prepared to do to achieve a greater objective, like all trade and investment agreements?
What does Australia need to be prepared to do to achieve a greater objective, like all trade and investment agreements?
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Which arbitration rules are associated with the Stockholm Chamber of Commerce?
Which arbitration rules are associated with the Stockholm Chamber of Commerce?
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What does 'A-HKFTA' stand for?
What does 'A-HKFTA' stand for?
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Which agreement contains the investment rules linked to A-HKFTA?
Which agreement contains the investment rules linked to A-HKFTA?
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What does BIT stand for?
What does BIT stand for?
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India unilaterally _____ the Australia-India BIT on 23 March 2017, although it remains in force for investments made prior to termination for 15 years from the date of _____.
India unilaterally _____ the Australia-India BIT on 23 March 2017, although it remains in force for investments made prior to termination for 15 years from the date of _____.
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What has influenced Australia's use of ISDS provisions and what case exemplifies this?
What has influenced Australia's use of ISDS provisions and what case exemplifies this?
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What was the first claim on record by an Australian investor?
What was the first claim on record by an Australian investor?
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In what year was the first successful claim by an Australian investor brought against a foreign state?
In what year was the first successful claim by an Australian investor brought against a foreign state?
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What did the Tribunal issue its award based on in the Phillip Morris arbitration?
What did the Tribunal issue its award based on in the Phillip Morris arbitration?
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Flashcards
Investor-State Dispute Settlement (ISDS)
Investor-State Dispute Settlement (ISDS)
A system where investors can sue governments if they believe their investments have been unfairly treated.
Investment Treaties
Investment Treaties
Agreements between countries that protect investments made by investors from one country in another.
Australian Investors as Claimants
Australian Investors as Claimants
The number of cases where Australian investors initiated disputes against foreign governments.
Australia as a Respondent
Australia as a Respondent
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Arbitration
Arbitration
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UNCITRAL Rules on Transparency in Treaty-based Investor-State Arbitration
UNCITRAL Rules on Transparency in Treaty-based Investor-State Arbitration
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Australia's ISDS Record
Australia's ISDS Record
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Increase in ISDS Cases with Australian Involvement
Increase in ISDS Cases with Australian Involvement
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Bilateral Investment Treaty (BIT)
Bilateral Investment Treaty (BIT)
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International Investor-State Dispute Settlement (ISDS)
International Investor-State Dispute Settlement (ISDS)
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Australia's Indo-Pacific Re-focus
Australia's Indo-Pacific Re-focus
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Australia-India Comprehensive Economic Cooperation Agreement (CECA)
Australia-India Comprehensive Economic Cooperation Agreement (CECA)
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Tethyan Copper Company Limited
Tethyan Copper Company Limited
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Tethyan Copper v. Pakistan
Tethyan Copper v. Pakistan
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Australia-Pakistan BIT
Australia-Pakistan BIT
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Notice of Arbitration
Notice of Arbitration
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Expropriation
Expropriation
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Kingsgate v Thailand
Kingsgate v Thailand
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Jurisdictional Challenge
Jurisdictional Challenge
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Merits Hearing
Merits Hearing
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Significant Award
Significant Award
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What is the Energy Charter Treaty (ECT)?
What is the Energy Charter Treaty (ECT)?
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What was Gobi Coal?
What was Gobi Coal?
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What is a loan default?
What is a loan default?
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What is an arbitration center?
What is an arbitration center?
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What is an ECT Claim?
What is an ECT Claim?
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What are interim measures?
What are interim measures?
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What is irreparable harm?
What is irreparable harm?
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What is urgency?
What is urgency?
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What is proportionality?
What is proportionality?
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What is access to counsel?
What is access to counsel?
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Jurisdictional Defense
Jurisdictional Defense
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Compromise in Trade Agreements
Compromise in Trade Agreements
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Investment Protection
Investment Protection
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UNCITRAL Rules on Transparency
UNCITRAL Rules on Transparency
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Australia's ISDS Approach
Australia's ISDS Approach
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SCC Arbitration Rules
SCC Arbitration Rules
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Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA)
Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA)
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ASEAN-Australia-New Zealand Free Trade Area (AANZFTA)
ASEAN-Australia-New Zealand Free Trade Area (AANZFTA)
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Free Trade Agreement between Australia and Hong Kong
Free Trade Agreement between Australia and Hong Kong
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Free Trade Agreement between Australia and Peru
Free Trade Agreement between Australia and Peru
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Misima Mines v Independent State of Papua New Guinea
Misima Mines v Independent State of Papua New Guinea
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Russell Resources International & Ors v Democratic Republic of Congo
Russell Resources International & Ors v Democratic Republic of Congo
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Churchill Mining PLC and Planet Mining Pty Ltd v Republic of Indonesia
Churchill Mining PLC and Planet Mining Pty Ltd v Republic of Indonesia
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Study Notes
Australian Resources & Energy Law Journal, Volume 39, Number 1, August 2020
- The journal is published by AMPLA Ltd.
- Dr Alexandra S. Wawryk is the editor.
- Volumes 1997-2002 were previously titled Australian Mining and Petroleum Law Journal.
- Volumes prior to 1997 are cited as the AMPLA Bulletin.
- Copyright for all articles is held by AMPLA Limited.
- Contact information for AMPLA is included.
- The journal's views and opinions are not necessarily those of the publishers, editorial staff, or board.
- No responsibility is assumed for any opinion or information expressed or contained within the journal.
Foreign Investors' Increasing Awareness of Investor-State Arbitration
- Investor-State dispute settlement (ISDS) is frequently used in Europe and the Americas.
- Argentina, Spain, and Venezuela have received the most ISDS claims.
- The US is the most frequent claimant in ISDS cases.
- There are over 1,000 known treaty-based ISDS cases globally.
- Transparency in ISDS procedures is limited.
- Australia has been involved in approximately 16 investor-state arbitrations as a claimant, and in two as a respondent.
- Claims against Australia increased in recent decades.
- Early Australian claims in the 1990s and early 2000s were discontinued.
- Subsequently, there have been thirteen claims by Australian investors against other states for investment treaty breaches.
- These breaches included expropriation, lack of effective claim assertion mechanisms, violation of fair and equitable treatment, etc.
Political Background
- Australia's approach to ISDS provisions is influenced by its response to inbound foreign investment arbitrations.
- The Phillip Morris case (2011), arising from Australia's plain packaging tobacco legislation, was a significant development, prompting a shift in how Australia views ISDS regimes.
- Australia has adopted a "case by case" assessment approach to ISDS provisions.
Cases Brought by Australian Investors
- Misima Mines Pty Ltd v Independent State of Papua New Guinea: Discontinued in 2001.
- Russell Resources International Limited v Democratic Republic of Congo: Discontinued for lack of payment of required advances.
- Churchill Mining and Planet Mining v Republic of Indonesia: Challenged/discontinued due to fraud, forged documents and lack of jurisdiction. Costs and other fees were considerable.
- Lighthouse Corporation v Timor-Leste: Failed jurisdictional challenges due to lack of consent to ICSID arbitration and whether the Lighthouse entities qualified as foreign investors.
- White Industries Australia Limited v The Republic of India: Successful case; significant award. This was the first ISDS claim with an award against a state.
- Tethyan Copper Company Limited v Islamic Republic of Pakistan: Successful cases and substantial awards were made in dispute against Pakistan.
- Munshi v Mongolia: Successful case using emergency arbitration. This case demonstrated the importance of emergency arbitration in seeking urgent interim relief.
Cases Brought Against Australia
- Phillip Morris v Australia: Challenges the introduction of tobacco plain packaging legislation (TPP). Jurisdictional issues were raised, and the outcome was that the case was inadmissible.
- APR Energy & Ors v Australia: Dispute related to wind turbines and registration of interests. Australia argued lack of jurisdiction.
- NuCoal v Australia: Dispute concerning the cancellation of mining licenses. Jurisdictional challenge.
- Mineralogy v Australia: Related to a mining lease agreement. Ongoing dispute.
Conclusion
- Mixed experiences with ISDS claims show wins and defeats for Australian parties.
- Jurisdictional challenges are prevalent.
- Some ISDS cases led to substantial awards for Australian investors, and others were not successful for a variety of reasons.
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Description
Test your knowledge on the Australian Resources & Energy Law Journal, including its history, editorial process, and key topics like investor-state arbitration. Explore specific cases and broad implications of ISDS in different regions, including Europe and the Americas.