Overview of ICSID Fact-Finding
ICSID has been offering fact-findings proceedings since 1978. Until 2022, fact-finding proceedings were administered under the aegis of the Additional Facility. Since July 1, 2022, they are governed by their own set of rules.
Fact-finding is a voluntary process in which an independent and impartial third party assists parties to determine facts that may be relevant to an on-going or future dispute. The fact-finder is tasked specifically with the fact-finding and will not intervene in the larger dispute, if any. The results of the fact-finding process will determine a contentious factual issue that may resolve the entire matter, but also can allow the settlement of a larger dispute to move forward. It is an efficient and cost-effective process that aims to assist parties in the management of their on-going or future dispute.
ICSID is authorized to administer fact-finding proceedings that relate to an investment, involve a State or a Regional Economic Integration Organization (REIO), and which the parties consent in writing to submit to ICSID (Fact-Finding Rule 2(1)). This offers broad access to fact-finding with States, State entities or REIOs relating to an investment.
Two distinct features of the scope of the Fact-Finding Rules are noteworthy:
- there is no nationality requirement for parties, and therefore ICSID fact-finding may involve investors and nationals of the State party to the proceeding
- there is no requirement for either party to be linked to an ICSID Convention Member State.
Parties wishing to institute a fact-finding proceeding file a joint request.
The ICSID fact-finding process may be visualized as follows:
An ICSID fact-finding proceeding is governed by:
- the ICSID Fact-Finding Rules
- the ICSID Fact-Finding Administrative and Financial Regulations.
The ICSID Fact-Finding Rules
The ICSID Fact-Finding Rules explain how to institute a fact-finding proceeding, including the contents of the Request for fact-finding, and how the process is conducted.
The ICSID Fact-Finding Administrative and Financial Regulations
The Fact-Finding Administrative and Financial Regulations contain provisions concerning: