In investor¿state arbitration, foreign investors can bring states before an arbitral tribunal and claim damages for losses incurred due to prohibited state action. This mechanism for dispute resolution is present in most international investment agreements and has experienced a surge of popularity in the last twenty years. However, increased use of investor¿state arbitration has generated increased criticism. The sharpest criticism has come from the state parties themselves. Some question the system¿s legitimacy, while others worry that it does too little to protect state sovereignty.
Rebalancing Legitimacy and Sovereignty in International Investment Agreements,
Emory L. J.
Available at: https://scholarlycommons.law.emory.edu/elj/vol61/iss3/4