The International Centre for Settlement of Investment Disputes (ICSID) today proposed comprehensive changes to modernize its rules for resolving disputes between foreign investors and States.
“A trusted means of dispute settlement is at the heart of the rules-based system for managing international investment,” said Meg Kinnear, ICSID Secretary-General. “The proposed amendments are an important milestone in ensuring that the ICSID rules continue to provide States and investors with a range of modern dispute settlement options.”
The proposals update ICSID’s existing rules for arbitration, conciliation and fact-finding, and introduce a new set of mediation rules.
ICSID provides an effective means to settle disputes that may arise in the course of a cross-border investment, thereby making international investment more secure and predictable. The Centre’s procedural rules for arbitration and conciliation are the most commonly used in international investment disputes, having been incorporated by States into the majority of investment treaties.
The proposed amendments to the ICSID rules are the most far reaching in over 50 years. They draw on input received from governments, the private sector and the public. The proposed rules would:
• Reduce the time and cost of arbitration by making all filing electronic, introducing new timelines for various procedural steps, and offering an optional expedited arbitration process;
• Make case law more transparent with proposals for the publication of awards, decisions and orders;
• Enhance disclosure of potential conflicts of interest by arbitrators;
• Oblige disputing parties to declare third party funding as soon as a case is registered. Arbitrators would also need to disclose whether they have any relationship to the funder.
ICSID Member States are meeting on September 26-27, 2018, in Washington, D.C., to discuss the proposed amendments. States and the public are also invited to submit written comments on the proposals until December 28, 2018.
Amendments to the ICSID rules require the approval of two-thirds of ICSID Member States.
Further information on the current rules amendment process is available on the ICSID website in English, French and Spanish:
• English: https://icsid.worldbank.org/en/amendments
• French: https://icsid.worldbank.org/fr/amendments
• Spanish: https://icsid.worldbank.org/sp/amendments