VII Standards of Protection
Rudolf Dolzer, Christoph Schreuer
- International economic law — Fair and equitable treatment standard — National treatment — Most-favoured-nation treatment (MFN) — Full protection and security — Settlement of disputes — Umbrella clause
Most bilateral investment treaties (BITs) and other investment treaties provide for fair and equitable treatment (FET) of foreign investments.2 For instance, the BIT between Argentina and the United States in Article II(2) a) states: ‘Investment shall at all times be accorded fair and equitable treatment … ’ Today, this concept is the most frequently invoked standard in investment disputes. It is also the standard with the highest practical relevance: the majority of successful claims pursued in international arbitration are based on a violation of the FET...