Volume 49 (2015) / Issue 2
TTIP provides for a unique opportunity to introduce procedural and substantive reforms for Investor-State Dispute Settlement (ISDS). The EU and the US can define a modern investment chapter protecting foreign direct investment against unjustifiable interferences by the host state whilst ensuring the sovereign right of the state to regulate. TTIP should create a system of binding international arbitration with a transparent system of adjudication made by impartial arbitrators and guaranteed by an appellate review conducted by independent 'judges'. Such an agreement would function as a catalyst to overcome the fragmented network of bilateral investment agreements. Not to include ISDS in TTIP would demonstrate that the two economic champions of the world are unable to lead by example.
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