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FET and Expropriation in the (Invisible) EU Model BIT

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image of The Journal of World Investment & Trade

Although it was undisputed in the institutions of the European Union (eu) that future eu investment protection treaties should provide for clauses on expropriation and fair and equitable treatment their exact content is under discussion. Before this background, this article first addresses the expropriation standard keeping in mind that the eu Commission announced that it intends to reaffirm the State’s right to regulate in future eu investment treaties. Subsequently, it provides an overview of the traditional approaches to fair and equitable treatment (fet) and focusses on the antagonism between a requirement of legal stability and the need to allow for regulatory space. Furthermore, it analyses the new definition of the fair and equitable treatment standard in the Comprehensive Economic and Trade Agreement (ceta) which for the first time aims at defining the contents of fet.

Affiliations: 1: University of Vienna, Vienna, Austria,


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