On 7 July 2023 the European Commission published a formal proposal for the withdrawal of the European Union (EU) from the Energy Charter Treaty (ECT or the Treaty). The move comes after many years of intensive efforts (notably by the EU) to modernize the ECT, in response to concerns that the Treaty prevented ECT Contracting States from meeting their climate change mitigation obligations as set out in the Paris Agreement. The European Commission’s current proposal leaves much to be desired in terms of clarity and legal certainty. Energy companies covered by the ECT should therefore be well-advised to explore alternative sources of protection to ensure that their investments enjoy adequate coverage in case of disputes.
Emmanuel Giakoumakis
Officially Coming to a Country Near You: the UK Set to Accede to the CPTPP
By Emmanuel Giakoumakis & Christophe Bondy on
Posted in CPTPP
The United Kingdom (UK) is officially set to sign the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) at the CPTPP Ministerial-level Meeting, which is scheduled to take place on 15-16 July 2023 in Auckland, New Zealand.
As we previously reported, the UK will be the first country to accede…
The CPTPP Enters into Force for Chile – but Mind the Fine Print
On February 21, 2023, the Comprehensive and Progressive Agreement for Trans‑Pacific Partnership (CPTPP) formally entered into force for Chile, after undergoing an intense, four-year legislative process. The CPTPP covers the full range of modern trade agreements, including market access for goods and services, public procurement disciplines, temporary entry, and investment protection, among others. Despite the CPTPP’s entry into force, the future of investor-State dispute settlement (ISDS) in Chile remains a point of controversy.…
Continue Reading The CPTPP Enters into Force for Chile – but Mind the Fine Print
The Window for Putting a USMCA State Party on Notice of a NAFTA Legacy Investment Claim Closes at the End of March
Canadian, Mexican and United States investors considering bringing a claim under the North American Free Trade Agreement (NAFTA) against a NAFTA State Party should be aware that the three-year window for notifying their claim will soon come to an end. They must therefore take quick action to notify their claim by the end of March 2023 to be in a position to submit their request for arbitration before July 1, 2023, the final deadline for the submission of legacy NAFTA investment claims.
The NAFTA was terminated on July 1, 2020, with the entry into force on that same date of the United States-Mexico-Canada Agreement (USMCA). The USMCA Parties recognized the importance of a smooth transition from the NAFTA to the USMCA, particularly with regard to investors who had invested on the understanding that NAFTA’s Chapter Eleven (Investment) protections would be in place. Annex 14-C of the USMCA therefore maintains NAFTA provisions on the protection and promotion of legacy investments for a period of three years post entry into force of the new agreement. These provisions are consistent with the practice of Canada, the United States, and Mexico to provide a sunset period for investment protection under their bilateral investment agreements. …