June 2013

A transatlantic

bill of rights

Investor privileges in EU-US trade deal 
threaten public interest and democracy

Leaked draft versions of the EU negotiating mandate for a far-reaching free trade agreement with
the US – to be approved at next week’s trade minister meeting (14 June) – reveal the European
Commission’s plans to enshrine more powers for corporations in the deal. The proposal follows
!"#$%&'&($)("*!+#!',)"-."')/0&(%."12--.",%20#&"!)/"1!3"4%+&"(2"$+#23$%"1!%,$"*2+#!)'$&"(2"
*5!11$),$"%$,01!('2)&"-2(5"!("52+$"!)/"!-%2!/"'6"(5$."!66$*("(5$'%"#%24(&7"8&"!"%$&01(9":;"+$+-$%"
&(!($&"*201/"&22)"4)/"/2+$&('*"1!3&"(2"#%2($*("(5$"#0-1'*"')($%$&("*5!11$),$/"')"&$*%$('<$9"
offshore tribunals where national laws have no weight and politicians no powers to intervene.

The Commission’s proposal for investor-state dispute settlement under the Transatlantic Trade
and Investment Partnership (TTIP)1 would enable US companies investing in Europe to skirt
:0%2#$!)"*20%(&"!)/"/'%$*(1."*5!11$),$":;",2<$%)+$)(&"!("')($%)!('2)!1"(%'-0)!1&9"35$)$<$%"
(5$."4)/"(5!("1!3&"')"(5$"!%$!"26"#0-1'*"5$!1(59"$)<'%2)+$)(!1"2%"&2*'!1"#%2($*('2)"')($%6$%$"3'(5"
(5$'%"#%24(&7":;"*2+#!)'$&"')<$&('),"!-%2!/"3201/"5!<$"(5$"&!+$"#%'<'1$,$"')"(5$";=7

8*%2&&"(5$"32%1/9"-',"-0&')$&&"5!&"!1%$!/."0&$/"')<$&(2%>&(!($"/'&#0($"&$((1$+$)("#%2<'&'2)&"')"
trade and investment agreements to claim dizzying sums in compensation against democratically-
made laws to protect the public interest (see Box 1). Sometimes the mere threat of a claim or its
submission have been enough for legislation to be abandoned or watered down. In other cases
tribunals – ad hoc three-member panels hired from a small club of private lawyers riddled with
*2)?'*(&"26"')($%$&(2 –"5!<$",%!)($/"-'11'2)&"26":0%2&"(2"*2+#!)'$&9"#!'/"20("26"(!@#!.$%&A"#2*B$(&7
 A transatlantic corporate bill of rights

BOX 1
Some emblematic investor-state disputes
C2%#2%!('2)&"<$%&0&"#0-1'*"5$!1(5"D"E5'1'#"F2%%'&"<7";%0,0!."!)/"80&(%!1'!G Through bilateral investment
treaties, US tobacco giant Philip Morris is suing Uruguay and Australia over their anti-smoking laws. The company
argues that warning labels on cigarette packs and plain packaging prevent it from effectively displaying its trademark,
causing a substantial loss of market share.3
C2%#2%!('2)&"<$%&0&"$)<'%2)+$)(!1"#%2($*('2)"D"H!(($)6!11"<7"I$%+!).G In 2012, Swedish energy giant
Vattenfall launched an investor-state lawsuit against Germany, seeking €3.7 billion in compensation for lost
!"#$%&'"()*%(+'%#'%,#'#-'.%&'/01)(*"'!#,("'!)*/%&2'34('1*&('-#))#,(+'%4('5("6*/'7#8("/6(/%9&'+(1.&.#/'%#'
phaseout nuclear energy after the Fukushima nuclear disaster.4
C2%#2%!('2)&"<$%&0&",2<$%)+$)("!*('2)"!,!')&("4)!)*'!1"*%'&$&"D"*5!11$),'),"8%,$)(')!"J"I%$$*$G
:4(/';"7(/%./*'-"#<('0%.).%='"*%(&'>(/("7=?',*%("?'(%12@'*/+'+(8*)0(+'.%&'10""(/1='./'"(&!#/&('%#'.%&'ABBCDABBA'$/*/1.*)'
crisis, it was hit by over 40 lawsuits from companies like CMS Energy (US) and Suez and Vivendi (France). By the end of
2008, awards against the country had totalled US$1.15 billion.5 In May 2013, Slovak and Cypriot investors sued Greece
for the 2012 debt swap which Athens had to negotiate with its creditors to get bailout money from the EU and the
International Monetary Fund (IMF).6 Both, the UN and the IMF have warned that investment agreements can severely
10"E'&%*%(&9'*E.).%.(&'%#'$74%'$/*/1.*)'*/+'(1#/#6.1'1".&(&27
C2%#2%!('2)&"<$%&0&"$)<'%2)+$)(!1"#%2($*('2)"D"K2)$"E')$"<7"C!)!/!G"On the basis of the North
American Free Trade Agreement (NAFTA) between the US, Canada and Mexico, US company Lone Pine
F(&#0"1(&'G/12'.&'+(6*/+./7'HIJAKB'6.)).#/'./'1#6!(/&*%.#/'-"#6'L*/*+*2'34('M1".6(9N'34('L*/*+.*/'!"#8-
./1('#-'O0(E(1'4*+'!0%'*'6#"*%#".06'#/'M-"*1P./79?'*++"(&&./7'1#/1("/&'*E#0%'%4('(/8."#/6(/%*)'".&P&'#-'%4.&'
new technology to extract oil and gas from rocks.8
C2%#2%!('2)&"<$%&0&"#0-1'*"5$!1(5"D"8*5+$!"<7"(5$"=12<!B"L$#0-1'*G At the end of 2012, Dutch insurer
Achmea (formerly Eureko) was awarded €22 million in compensation from Slovakia. In 2006, the Slovak
government had reversed the health privatisation policies of the previous administration and required health
./&0"("&'%#'#!("*%('#/'*'/#%D-#"D!"#$%'E*&.&29

As the main users of existing international investment Deluge of disputes

treaties, US and European companies have driven the L060)*%.8('/06E("'#-'1*&(&2'I#0"1(N'HTL3;V?'V#,/'%#'W*"%4
investor-state litigation boom of the past two decades.
By far the largest number of the 514 known disputes Total number of
500 known treaty-based
initiated by the end of 2012 were launched by US inves-
cases reaches 514
%#"&2'34(='4*8('$)(+'AQR'>CAS@'#-'*))'1*&(&2'T(U%'./')./('
are investors from the Netherlands (50 cases), the UK Number of countries
400 responding rises to 95
(30) and Germany (27). Together, investors from EU
6(6E("'&%*%(&'4*8('$)(+'QBR'#-'*))'P/#,/'1*&(&210
300
EU and US companies have used these lawsuits
to challenge green energy and medicine policies,
anti-smoking legislation, bans on harmful chemicals, 200
environmental restrictions on mining, health insurance
policies, measures to improve the economic situation 100
of minorities and many more. Now they are enthused
about the prospect of an investment chapter in the
EU-US free trade deal (TTIP), the biggest investment
deal ever negotiated. Year 1995 2000 2005 2010
2
 Investor privileges in EU-US trade deal threaten public interest and democracy

Lobbying for the corporate  Industry will oppose any deal in 
‘gold standard’ which investment protection is traded 
off against public policy objectives, 
Investor-state dispute settlement under TTIP would empow-
er EU and US-based corporations to engage in litigious wars including human and labour rights.
of attrition to limit the power of governments on both sides of Pascal Kerneis, European Services Forum (ESF)
the Atlantic. The tremendous volume of transatlantic invest-
ment – both partners make up for more than half of foreign In numerous letters, seminars, breakfast debates and
+."(1%'./8(&%6(/%'./'(*14'#%4("&9'(1#/#6.(&'X'4./%&'*%'%4(' behind-closed-doors meetings with MEPs and the
sheer scale of the risk of such litigation wars. Additionally, European Commission, corporate lobby groups such as
%4#0&*/+&'#-'WH'*/+'HI'1#6!*/.(&'4*8('*Y).*%(&'*1"#&&'
BusinessEurope and national industry bodies such as
the Atlantic; under TTIP they could make investor-state
the German industry federation BDI lobbied against that
1)*.6&'8.*'%4(&('*Y).*%(&'./'#"+("'%#'1#6!()'%4(."'#,/'7#8-
U-turn. They made clear that industry would oppose any
ernments to refrain from regulations they dislike.
deal in which investment protection was “traded off against
Unsurprisingly, then, corporate lobby groups in both public policy objectives, including human and labour rights”,
the EU and the US have pressured for the inclusion of as Pascal Kerneis of the European Services Forum (ESF),
./8(&%#"D&%*%('*"E.%"*%.#/'./'33GZ2'34('W0"#!(*/'(6!)#=("&9' a lobby outlet for global service players such as Deutsche
federation BusinessEurope, the US Chamber of Commerce, \*/P?'G\]'*/+'^#+*-#/(?'%#)+'L#66.&&.#/'#Y1.*)&'+0"./7'*'
AmCham EU, the Transatlantic Business Council and other meeting on transatlantic investment.16
corporate lobby heavyweights all advocate such privileges
for foreign investors. This is also part of a hope that an While some argue that investor-state 
WHDHI'+(*)',#0)+'&(%'*'7)#E*)'M7#)+'&%*/+*"+9?'*'6#+()'
dispute settlement need not be part of 
for investment protection for other agreements around
the world.11 More and more countries are questioning the TTIP given the demonstrated US and 
and even abandoning investor-state arbitration globally EU commitment to the rule of law, the 
precisely because of negative impacts against the public Chamber insists that the United States 
interest;12 in response, business is demanding a “signal to
the world of our willingness to commit” to their gold stand-
and the EU must include these provisions.
ard of investment protection.13 US Chamber of Commerce to US negotiators17

The investment chapter of the 
TTIP should eventually serve  Expanding investor rights
as the ‘gold standard’ for other  G-'E.7'E0&./(&&'4*&'.%&',*=?'33GZ9&'./8(&%6(/%'!"#%(1%.#/'
investment agreements. provisions will be even more slanted in favour of corpora-
tions than current EU and US practice. While the European
US Chamber of Commerce to US negotiators14
Z*").*6(/%'4*&'"(!(*%(+)='&%"(&&(+'7#8("/6(/%&9'".74%'%#'
regulate in order to protect the environment, public health,
Ever since December 2009, when the EU got the power to workers and consumers, Peter Chase – a former US gov-
negotiate investment protection issues through the Lisbon ("/6(/%'#Y1.*)'/#,',.%4'%4('HI'L4*6E("'#-'L#66("1('./'
Treaty, industry associations have mobilised against any Brussels – has encouraged US negotiators to explain “the
opportunity this might afford to institute a fairer balance of dangers of the unneeded social, environmental and ‘right to
private and public interests.15 This is because the Treaty "(70)*%(9'!"#8.&.#/&'%4('W0"#!(*/'Z*").*6(/%'&((P&_218
opened a window of opportunity for the EU to learn from
the experience of existing investment agreements, address US energy giant Chevron, too, is lobbying for an investment
%4(."'[*,&'*/+'+(8()#!'*'/(,'7(/("*%.#/'#-'%"(*%.(&'– with- chapter which goes beyond the current US model treaty.
out investor-state dispute settlement, with investor obliga- Having been sued several times by Canadian companies
tions and more precise and restrictive language regarding under NAFTA, the US has twice revised its template for
their rights. Trade unions, public interest groups and international investment treaties to better protect its policy-
academics from across the world called for such a U-turn. space. Chevron wants a revival of some of these excessive
3
 A transatlantic corporate bill of rights

BOX 2
Risky business: how vulnerable are US and EU governments? 19

`' Globally, 514 investor-state disputes were known by the end of 2012.
`' Compared to the three decades before, the number of disputes has risen 250% since 2000.
`' 58'1)*.6&',("(')*0/14(+'./'ABCA'*)#/(?'%4('4.74(&%'/06E("'#-'P/#,/'+.&!0%(&'$)(+'./'#/('=(*"2
`' US and EU investors have initiated at least 329 (64%) of all known disputes.
`' The US has faced over 20'./8(&%6(/%'1)*.6&'0/+("'T;a3;9&'./8(&%6(/%'14*!%("2
M"15 EU member states are known to have faced one or more investor-state challenges.20
`' The Czech Republic is the 46(5 most sued country in the world.
M"More than half of foreign direct investment in the EU comes from the US; likewise over half the foreign
direct investment in the US comes from the EU.
`' Only 8 EU member states, all Eastern European, already have a bilateral investment treaty with the US21;
TTIP would contain one of the 4%&( EU-wide investment protection chapters.
`' Around 42% of the known concluded investor-state cases were decided in favour of the state, 31% in favour
of the investor and 27% of the cases were settled (many of the latter likely to involve payments or other
concessions for the investor).
`' The highest damages to date, US$1.77 billion, were awarded to US oil company Occidental Petroleum
against Ecuador.
`' Legal costs in investor-state disputes average over US$8 million, exceeding US$30 million in some cases;
they are not always awarded to the winning party.

./8(&%#"'".74%&'&014'*&'%4('M06E"())*'1)*0&(9'./'33GZ?',4.14' contamination in the Amazonian rainforest, as ordered

,#0)+'1#/&.+("*E)='(U!*/+'*'&%*%(9&'#E).7*%.#/&'>&(('*//(U' by Ecuadorian courts. The case has been lambasted as
for more details). Chevron has also proposed that invest- “egregious misuse” of investment arbitration to evade
ments protected under TTIP should include “both existing justice.23 No wonder Chevron dedicated its complete
and future investments”.22 When an investor-state dispute 1#/%".E0%.#/'%#'%4('HI'7#8("/6(/%9&'33GZ'1#/&0)%*%.#/'%#'
mechanism is combined with such open-ended clauses, investment protection, “one of our most important issues
risks for costly legal proceedings grow considerably. globally” as they put it.24

The US-side should clearly explain  Chevron views investment 
the dangers of the unneeded  protection as one of our most 
social, environmental, and  important issues globally.
‘right to regulate’ provisions the  Chevron to US trade negotiators
European Parliaments seeks.
Peter Chase, US Chamber of Commerce
In Europe, Chevron wants the “the strongest possible
protection” from government measures to “mitigate the
risks associated with large-scale, capital intensive, and long
Paving the way for dirty gas term projects […] such as developing shale gas”. Because of
its health and environmental impacts, several EU govern-
Chevron is currently engaged in a controversial legal ments have decided to put a break on shale gas develop-
battle with Ecuador. The company initiated arbitration to 6(/%'>M-"*1P./79@2'33GZ9&'!"#!#&(+'./8(&%6(/%'!"#%(1%.#/'
avoid paying US$18 billion to clean up oil-drilling-related chapter would empower energy companies like Chevron to
4
 Investor privileges in EU-US trade deal threaten public interest and democracy

challenge such precautionary measures because it would %4('W0"#!(*/'L#66.&&.#/?'6(6E("'&%*%('#Y1.*)&'*/+'

oblige governments “to refrain from undermining legitimate MEPs to “informal but informed” roundtable discussions
investment-backed expectations”, as Chevron demands (see and webinars with their clients – including several who
Box 1 for a legal precedent under NAFTA). The mere threat have sued countries under existing investment treaties
of a million-Euro investor-state lawsuit could be enough to such as Deutsche Bank, Shell and energy giant GDF Suez.
scare governments into submission and weaken or prevent 34(."'6(&&*7(N'%4("(',*&'*'/((+'-#"'4.74'&%*/+*"+&'#-'
-"*1P./7'E*/&'*/+'&%".1%'"(70)*%.#/2'G/'L4(8"#/9&',#"+&N' investor protection and in particular investor-state arbitra-
“Access to arbitration [...] increases the likelihood that inves- tion; and investment protection should not be linked to
tors and host states are able to resolve disagreements and labour or environmental standards.30
negotiations in a successful and equitable manner.”25
One of the main concerns put forward by lawyers was the
I’ve seen the letters from the New York and  politicisation of investment policy as a result of the Lisbon
Treaty. The involvement of the European Parliament was a
DC law firms coming up to the Canadian 
particular thorn in their side. At a conference in December
government on virtually every new  2009, Daniel Price, an ex-US trade negotiator and former
environmental regulation [...]. Virtually  co-chair of the Transatlantic Economic Council31 who now
all of the initiatives were targeted and  mainly works as lobbyist, investment lawyer and arbitrator,
warned of the potential “steady deterioration” of investment
most of them never saw the day of light.
treaties which he had witnessed in the US. The involvement
!"#$%#&'()(*+()&,"-%#)$%).&"/0+(12&3&4%(#5&(6.%#&78!98:5& of Congress had led to controversy and later to a review of
investor-state provisions came into force26
the US investment policy which Price considered “unhelp-
ful”. This review tried to better balance investor and state
rights through more precise legal language. In January
!"#$%&'($)*++,-./$0*&$12(324$ 2010, shortly after Price had walked through the revolv-
interests ing door from the Bush administration, he wrote to the
L#66.&&.#/'#Y1.*)'"(&!#/&.E)('-#"'%4('./8(&%6(/%'$)(&'*/+'
Whenever policy-makers in the EU and the US have set offered “to assist you in thinking through these issues.” He
out to change international investment treaties in recent *++(+N'g;&'=#0'P/#,?'6='7"#0!'4*&'*+8.&(+'E#%4'#0%E#0/+'
=(*"&?')*,'$"6&'*/+'./8(&%6(/%'*"E.%"*%#"&'%#7(%4("'
investors and governments on investment policy issues”.32
,.%4'./+0&%"='*&&#1.*%.#/&'4*8('6#0/%(+'$("1(')#EE=./7'
campaigns to counter reforms to better balance public
and private interests.27 This is not surprising – investment A pure power grab
arbitration is big business for them. The tabs racked up by
().%(')*,'$"6&'1*/'E('HIJC?BBB'!("'4#0"?'!("')*,=("'./' I#6('#-'Z".1(9&'*"E.%"*%#"'1#))(*70(&'4*8('*)"(*+='1#6('
investment treaty cases, with whole teams handling them. out defending TTIP investor-state dispute settlement provi-
The private lawyers who decide these disputes, the arbitra- sions against more cautious voices warning of litigation risks
tors, also line their pockets, earning daily fees of US$3,000 and questioning the need for extra-judicial enforcement in
and more.28 The more investment treaties and trade agree- two sophisticated legal systems such as the US and the EU.
ments with investor-state dispute settlement provisions Simon Lester, for example, policy analyst of the libertarian
exist, the more business for these lawyers. Cato Institute and usually a proponent of investor-state
arbitration, has warned of the unprecedented litigation risks
WH'*/+'HI')*,=("&'+#6./*%('%4('$()+?'&((P./7'#0%'(8("=' that such a dispute settlement system would create in the
opportunity to sue countries. Nineteen of the top-20 law 1#/%(U%'#-'%4('(/#"6#0&'%"*/&*%)*/%.1'./8(&%6(/%'[#,&233
$"6&'"(!"(&(/%./7'1)*.6*/%&'*/+b#"'+(-(/+*/%&'./'&014'
disputes are headquartered in Europe or the US, the large
With the amount of investment 
6*c#".%='#-'%4(6'>CQ@'HI'$"6&2'd0%'#-'%4('CK'*"E.%"*%#"&'
,4#'4*8('+(1.+(+'KKR'#-'%4('%#%*)'./8(&%#"D&%*%('+.&!0%(&' that would be covered in a US-EU 
known today, ten are from the EU or the US.29 agreement, US and EU leaders might 
have to start contemplating the 
Since the entry into force of the Lisbon Treaty in Europe
in 2009,')*,'$"6&').P('e#7*/'f#8())&'*/+'e("E("%'I6.%4' impact of investor-state losses.
a"((4.))&'4*8('E((/'P((/'%#'./[0(/1('%4('+(E*%(?'./8.%./7' ;+$")&<%5.%#2&9#(*%&="1+04&8)(145.2&'(."&>)5.+.?.%34
5
 A transatlantic corporate bill of rights

One of the usual arguments for investor-state arbitra- announced that it “will not support any [trade agreement]
tion – the need to grant legal security to attract foreign that provides for investor-state dispute resolution” because
investors to countries with weak court systems – turns to it interferes with their “capacity and responsibility as state
dust in the context of TTIP. If US and EU investors already legislators to enact and enforce fair, nondiscriminatory
make up for more than half of foreign direct investment rules that protect the public health, safety and welfare,
./'(*14'#%4("&9'(1#/#6.(&?'%4(/'.%'.&'1)(*"'%4*%'./8(&%#"&' assure worker health and safety, and protect the environ-
seem to be happy enough with the rule of law on both sides ment.”39 MEPs from the Greens, Socialists and the Left
#-'%4(';%)*/%.12'34.&'.&'1#/$"6(+'E='*/'./%("/*)'W0"#!(*/' Group in the European Parliament seem equally concerned.
Commission report from 2011 stating that “it is arguable
that an investment protection agreement with the US
It doesn’t make any sense to apply this 
would be needed with regard to the rule of law.”35
system in relations between the EU and 
the United States. Any claim should go 
What possibly could be the explanation 
through ordinary judicial system.
for why you would need extra-judicial 
MEP David Martin, Socialists & Democrats40
enforcement and additional property 
rights with respect to an agreement with 
When US-Congressman Alan Grayson alerted the public
the European Union? Is it the US position  that TTIP would include an investor-state system allowing
that Europe’s courts are crappy and that  consumer protection, environmental safeguards and labour
their property laws are scandalous?  laws to be “struck down by international tribunals”, this
They are not. Investor-state in TTIP is a  generated nearly 10,000 angry comments from citizens in
little more than 24 hours.41
pure power grab from corporations.
Lori Wallach, Director Global Trade Watch
at Public Citizen36
Why are our representatives 
thinking about handing 
over our sovereign rights 
Growing public outcry to huge corporations who 
care nothing about us?
Citizens and organised civil society, on the other hand,
One of many concerned citizens in her
oppose investor-state dispute settlement. According to
0").#+@?.+")&."&A?@1+0&99>=&0")5?1.(.+")&+)&B;42
a statement by the Transatlantic Consumer Dialogue,
supported by consumer groups from the EU and the US,
TTIP “should not include investor-state dispute resolution.
Investors should not be empowered to sue governments Beware of the EU agenda
to enforce the agreement in secretive private tribunals,
and to skirt the well-functioning domestic court systems Some EU member states also seem to question the need
and robust property rights protections in the United States for investment protection clauses between two legal
and European Union.”37 The federation of US trade unions, systems which are as sophisticated as in the EU and the
AFL-CIO, similarly argues that “given the advanced judicial HI2'I#6('-(*"'*'[##+'#-'1)*.6&'-"#6'%4('HI',.%4'.%&'6#"('
systems of both the US and EU”, investor-state dispute set- aggressive legal culture. There are concerns that the US
tlement “is an unwarranted risk to domestic policy-making $/*/1.*)'&(1%#"'1#0)+'*%%*1P'!#).1.(&'%#'%*1P)('W0"#!(9&'
at the local, state and federal levels.”38 Digital rights activ- economic crisis such as bail-outs and debt restructuring.
ists, environmentalists and health groups have also come On the other hand, member states such as Germany and
out against the threat of a corporate assault on democracy. the Netherlands, which support far-reaching investor rights,
rather want to avoid pro-public interest legal language
The US National Conference of State Legislators, which which is more common in the US and which, in their view,
represents all 50 US state parliamentary bodies, has also ,#0)+'M+.)0%(9'./8(&%6(/%'!"#%(1%.#/&2
6
 Investor privileges in EU-US trade deal threaten public interest and democracy

But the US government and the European Commission It is high time that governments and parliaments on both
seem to be determined to use TTIP to empower foreign &.+(&'#-'%4(';%)*/%.1'7"*&!'%4('!#).%.1*)'*/+'$/*/1.*)'".&P&'
investors to bypass local courts and sue states directly at of investor-state dispute settlement and axe the plans
international tribunals when democratic decisions impede for this looming transatlantic corporate bill of rights. The
%4(."'(U!(1%(+'!"#$%&2'G/')(*P(+'8("&.#/&'#-'.%&'!"#!#&(+' European Parliament in particular should put a leash on the
negotiation mandate, the Commission made detailed sug- L#66.&&.#/',4.14'.&'#E8.#0&)='+.&"(7*"+./7']WZ&9'1*))'-#"'
gestions for a “state-of-the-art investor-to-state dispute “major changes”44 in the international investment regime
settlement mechanism” and investor rights which mirror (see annex).
the proposals from business lobby groups.43 The proposal
will put many policies at risk and most likely create a Why on earth should legislators grant business such a
chilling effect on governments looking to pass new rules to powerful tool to rein in democracy and curb sound policies
protect the environment and society (see annex). made in the interest of the public?

ANNEX:
The devil is in the (TTIP) detail

Trade speak: what the EU wants   Translation: what it means in practice 46

to negotiate 45

The investment protection chapter V($/.%.#/&'#-'g./8(&%#"_'*/+'g./8(&%6(/%&_'*"('P(='E(1*0&('%4(='

“should cover a broad range of investors +(%("6./(',4#b,4*%'.&'1#8("(+'E='%4('14*!%("2';'E"#*+'+($/.%.#/'/#%'
and their investments […] whether the only covers actual enterprises in the host state, but a vast universe
investment is made before or after the ranging from holiday homes to sovereign debt instruments, exposing
%).#4&+)."&6"#0%&"6&.C%&8,#%%$%).DE &%*%(&'%#'0/!"(+.1%*E)(')(7*)'".&P2'\"#*+'+($/.%.#/&'*)&#'#!(/'%4('+##"'%#'
mailbox companies abusing the treaty via “treaty shopping”, allowing, for
(U*6!)(?'*'HI'$"6'%#'&0('%4('HI'8.*'*'V0%14'6*.)E#U'1#6!*/=2

>).%11%0.?(1&A#"A%#.4&#+,C.5&F>=GH& The investor-state disputes of tobacco company Philip Morris against

5C"?1*&@%&+)01?*%*&+)&.C%&*%I)+.+")&"6& Uruguay and Australia show the risks of this proposal (Box 1). In another
J+)-%5.$%).5:&."&@%&A#".%0.%*&@4&99>=E IPR-based claim, US drug giant Eli Lilly is attacking patent laws in Canada
,4("(E='*'6(+.1./(9&'!*%(/%*E.).%='60&%'E('+(6#/&%"*%(+',4(/'$)./7'*'
patent47. Public health lawyers have lambasted TTIP-like deals a “booby
trap for access to medicines”.48

>)-%5."#5&5C"?1*&@%&.#%(.%*&+)&(&K6(+#& ;'1*%14D*))'!"#8.&.#/'6#&%'"().(+'#/'E='./8(&%#"&',4(/'&0./7'&%*%(&2'G/'hQR'
()*&%L?+.(@1%D&F!M9H&N(42&K+)01?*+),&(& of the cases where US investors won, tribunals found an FET violation. In
prohibition of unreasonable, arbitrary or Tecmed v. Mexico, for example, the tribunal found that Mexico had not
*+50#+$+)(."#4&$%(5?#%5DE acted “free from ambiguity and totally transparently”. Due to environmental
concerns, a local government had not relicensed an operating waste treat-
ment plant.49 The EU is likely to propose a broad version of the clause,
(8(/'!"#%(1%./7',4*%'./8(&%#"&'1#/&.+("'%4(."'M)(7.%.6*%(9'(U!(1%*%.#/&'-"#6'
M0/!"(+.1%*E)(9'!#).1='14*/7(2';'E*/'#/'*'14(6.1*)'-#0/+'%#'E('4*"6-0)'%#'
public health could be considered a violation of this provision. Investors will
*)&#'E('(/*E)(+'%#'14*))(/7('&1.(/%.$1'c0&%.$1*%.#/&'#-'*'!#).1='*/+'M*"E.%"*"=9'
#"'M0/"(*&#/*E)(9'"()*%.#/&4.!&'E(%,((/'*'!#).1='*/+'.%&'#Ec(1%.8(2

>)-%5."#5&5C"?1*&@%&A#".%0.%*&K(,(+)5.& From a certain, investor-friendly view, almost any law or regulatory

*+#%0.&()*&+)*+#%0.&%OA#"A#+(.+")D2& 6(*&0"('1*/'E('1#/&.+("(+'*/'M./+."(1%'(U!"#!".*%.#/9',4(/'.%'4*&'%4('(--(1%'
+)01?*+),&.C%&#+,C.&."&0"$A%)5(.+")E #-')#,("./7'-0%0"('(U!(1%(+'!"#$%&2'I(8("*)'%".E0/*)&'4*8('./%("!"(%(+')(7.%.-
mate environmental and other public policies in such a way.
7
 A transatlantic corporate bill of rights

The agreement should also include an This would bring all obligations a state assumed with regards to an
K?$@#%11(&01(?5%DE ./8(&%6(/%'0/+("'%4('33GZ'M06E"())*9'>).P('*'1#/%"*1%',.%4'#/('./8(&%#"@?'
multiplying the risk of costly lawsuits.

The agreement should guarantee the This provision would allow the investor to always withdraw all
“free transfer of funds of capital and investment-related monies, reducing the ability of countries to deal
A(4$%).5&@4&+)-%5."#5DE ,.%4'&0++(/'*/+'6*&&.8('#0%D'*/+'./[#,&'#-'1*!.%*)?'E*)*/1('#-'
payment and other macroeconomic crises.

>)-%5.$%).&A#".%0.+")&K5C"?1*&@%&N+.C"?.& This paragraph provides false comfort. It links public policy to a

prejudice to the right of the EU and the necessity test, placing a big burden of proof on governments to justify
Member States to adopt and enforce […] %4(."'*1%.#/&2'G&';0&%"*).*9&'!)*./'!*1P*7./7')*,'-#"'1.7*"(%%('!*1P&'
measures necessary to pursue legitimate /(1(&&*"='%#'!"#%(1%'!0E).1'4(*)%4i':*&'5("6*/=9&'(U.%'-"#6'/01)(*"'
public policy objectives such as social, energy necessary? Might there not have been other, more effective
environmental, security, stability of the measures? It would be up to an offshore tribunal of private lawyers
I)()0+(1&545.%$2&A?@1+0&C%(1.C&()*&5(6%.4& with lack of accountability to decide.
+)&(&)")P*+50#+$+)(."#4&$())%#DE

The arbitrators who decide investor- 34.&'"(&!#/+&'%#',.+(&!"(*+'1#/1("/&'*E#0%'1#/[.1%&'#-'./%("(&%'*6#/7'

5.(.%&01(+$5&5C"?1*&@%&+)*%A%)*%).E the 3-lawyer panels which ultimately decide investor-state disputes. Unlike
c0+7(&?'%4(='4*8('/#'[*%'&*)*"='E0%'(*"/'6#"('%4('6#"('1)*.6&'%4(='"0)('
on. Existing codes of conduct have not prevented a small club of arbitrators
from deciding on the majority of investor-state disputes, paving the way for
more business in the future with expansive, investor-friendly interpretations
#-'%4(')*,2':4(%4("'%4('WH',.))'%*1P)('%4('1#/[.1%&'#-'./%("(&%'#-'%4(&('
M(/%"(!"(/(0".*)'*"E.%"*%#"&9'"(6*./&'%#'E('&((/2'j0&%'1)*.6./7'%4*%'%4(='*"('
./+(!(/+(/%'1)(*")=',#/9%'E('(/#0742

There should be a “possibility of binding This should allow governments to monitor and control how the law that
+).%#A#%.(.+")&"6&.C%&8,#%%$%).&@4&.C%& they created is interpreted. Following a wave of investor claims under
=(#.+%5DE T;a3;?'%4('HI?'L*/*+*'*/+'](U.1#'4*8('.&&0(+'&014'c#./%'1)*".$1*%.#/&'
of vaguely formulated investor rights. In practice, arbitrators have proven
%4*%'%4(='*"(',.))./7'%#'.7/#"('%4(&('ME./+./79'./%("!"(%*%.#/&250

>)-%5."#5&5C"?1*&@%&(@1%&."&?5%&K(5&N+*%& 34('./&%.%0%.#/'%4*%'*+6./.&%("&'*/'./8(&%#"D&%*%('+.&!0%('6*%%("&N'-#"'
a range of arbitration fora as is currently (U*6!)(?',4(/'.%'*!!#./%&'*"E.%"*%#"&'#"'"(&#)8(&'1#/[.1%'#-'./%("(&%'
(-(+1(@1%&?)*%#&.C%&Q%$@%#&;.(.%5:& claims against them. A “wide range” of fora could include purely
@+1(.%#(1&+)-%5.$%).&(,#%%$%).5DE business-orientated organisations such as the Paris-based International
L4*6E("'#-'L#66("1('>GLL@?'#/('#-'%4(',#")+9&'6#&%'./[0(/%.*)'
corporate lobby groups. Can such a business site really be considered
an independent forum for an investor-state dispute?

“The investor-to-state dispute settlement Another paragraph providing false comfort. None of the controversial
mechanism should contain safeguards attacks on sound public policies mentioned in Box 1 would be dismissed
(,(+)5.&6#+-"1"?5&01(+$5DE under such a mechanism – because they are based on allegations of real
violations of investment treaties as these tend to be so broad. Claims are
only considered frivolous when there is a complete lack of legal merit.
Under existing rules, states can already ask arbitrators to swiftly dispose
of frivolous claims, but not a single such case is known.51

“Consideration should be given to the Unlike in proper court systems, decisions by investor-state arbitration
possibility of creating an appellate panels are non-reviewable (except for annulment proceedings that
mechanism applicable to investor- address a narrow range of procedural errors and are not heard by judges
to-state dispute settlement under the but by another arbitration tribunal). An appeal mechanism could contribute
8,#%%$%).DE to more coherent decisions, but as things currently stand, this is a long
way from becoming a reality.

8
 Investor privileges in EU-US trade deal threaten public interest and democracy

Endnotes
1 ;')(*P(+'%(U%'#-'%4('$"&%'WH'+"*-%'6*/+*%(?'+*%(+'CA']*"14'ABCS?' [15-05-2013]. In their contributions to the 2012 and 2013 consulta-
was published by Inside US Trade, 4%%!Nbb./&.+(%"*+(21#6bG/&.+(D tions on TTIP in the EU and the US, all these lobby groups have
3"*+(D5(/("*)bZ0E).1DL#/%(/%DI!(1.*)D5;LLDZ"#6#b6(6E("D advocated investor-state dispute settlement.
&%*%(&D&((PD6#"(D&!(1.$1&D./D0&D(0D6*/+*%(D!"(&&Dc0".&+.1%.#/b
menu-id-1040.html [15-04-2013]. A revised version, dated 21 12 In spring 2011, the Australian government announced that it would
May, was published by Netzpolitik, 4%%!&Nbb/(%<!#).%.P2#"7bABCSb no longer include investor-state dispute settlement provisions in its
leak-aktueller-entwurf-des-verhandlungsmandates-zum-eu-usa- trade agreements. Bolivia, Ecuador and Venezuela have terminat-
-"(.4*/+()&*EP#66(/b [31-05-2013]. ed several bilateral investment treaties and have withdrawn from
the World Bank facility for settling such disputes, the International
2 a#"'%4('1#/[.1%&'#-'./%("(&%?'&(('14*!%("'Q'#-'L#"!#"*%('W0"#!(' Centre for Settlement of Investment Disputes (ICSID). South Africa
dE&("8*%#"=b'3"*/&/*%.#/*)'G/&%.%0%('>ABCA@'Z"#$%./7'-"#6'G/c0&%.1(?' and India are reviewing their treaties.
4%%!Nbb1#"!#"*%((0"#!(2#"7b!0E).1*%.#/&b!"#$%./7D-"#6D./c0&%.1(b
who-guards-guardians [15-05-2013]. 13 Statement of the U.S. Chamber of Commerce on the Transatlantic
3 Z#"%("$()+?']*%%4(,'L2'*/+'\="/(&?'L4".&%#!4("'F2'>ABCC@'Z4.).!' 3"*+('s'G/8(&%6(/%'Z*"%/("&4.!'%#'%4('dY1('#-'%4('H2I2'3"*+('
Morris v. Uruguay. Will investor-State arbitration send restrictions Representative, May 10, 2013, 4%%!Nbb,,,2"(70)*%.#/&27#8btu+#10
on tobacco marketing up in smoke? Investment Treaty News, 6(/%V(%*.)qVkHI3FDABCSDBBCrDBAQC [23-05-2013].
4%%!Nbb,,,2..&+2#"7b.%/bABCCbBhbCAb!4.).!D6#"".&D8D0"070*=D,.))D 14 Ibid.
investor-state-arbitration-send-restrictions-on-tobacco-marketing-
0!D./D&6#P(b [15-05-2013]. 15 See, for example, Corporate Europe Observatory (2011)
G/8(&%6(/%'".74%&'&%.[('+(6#1"*1=?'4%%!Nbb1#"!#"*%((0"#!(2#"7b
4 \("/*&1#/.Dd&%(",*)+("?'T*%4*).(b'e#--6*//?'F4(*'3*6*"*' !0E).1*%.#/&b./8(&%6(/%D".74%&D&%.[(D+(6#1"*1= [23-05-2012].
(2012) The German Nuclear Phase-Out Put to Test in International
Investment Arbitration? Background to the new dispute Vattenfall 16 Internal European Commission report of a meeting on EU invest-
v. Germany (II), 4%%!Nbb,,,2..&+2#"7b!0E).1*%.#/&b!0E2*&!Ui.+kClCS ment policy and the EU-US investment dialogue, organised by
[23-05-2013]. AmCham EU on 8 July 2011. Obtained through access to docu-
5 Z4.)).!&?'3#/='>ABBm@';"7(/%./*'^("&0&'%4(':#")+'\*/PN'a*."'Z)*=' ments requested under the information disclosure regulation. On
or Fixed Fight?, Center for International Policy (CIP), 4%%!Nbb,,,2 $)(',.%4'LWd2
1.!*6(".1*&2#"7b*"14.8(&bCQSQ [15-05-2012]. Peterson, Luke Erik 17 Statement of the U.S. Chamber of Commerce on the Transatlantic
>ABBm@'F#0/+DH!N':4("('%4./7&'&%*/+',.%4';"7(/%./*'*/+'.%&'6*/=' 3"*+('s'G/8(&%6(/%'Z*"%/("&4.!'%#'%4('dY1('#-'%4('H2I2'3"*+('
investment treaty arbitrations, Investment Arbitration Reporter, 17 Representative, see endnote 13.
December.
18 Chase, Peter H. (2011) The United States, European Union and
6 Perry, Sebastian (2013) Bondholders pursue Greece over debt
International Investment, GMF policy brief, July, p.8, 4%%!Nbb,,,2
haircut, Global Arbitration Review, 7 May.
76-0&2#"7b*"14.8(&b%4(D0/.%(+D&%*%(&D(0"#!(*/D0/.#/D*/+D
7 UNCTAD (2011) Sovereign Debt Restructuring and International ./%("/*%.#/*)D./8(&%6(/%b [15-05-2013].
G/8(&%6(/%';7"((6(/%&?'G&&0(&'T#%('T#'A?'j0)=?'0/1%*+2#"7b
(/bV#1&b,(E+.*(!1EABCC+Sn(/2!+-'oCKDBKDABCSpq'G/%("/*%.#/*)' 19 HTL3;V'>ABCS@?'&(('(/+/#%('CBq';P4%*"?'I4*=("*4'G).*&b':(.&&?'
Monetary Fund (2012) The Liberalization and Management of Martin A. (2013) U.S. International Investment Agreements. Issues
L*!.%*)'a)#,&N';/'G/&%.%0%.#/*)'^.(,?',,,2.6-2#"7b(U%("/*)b/!b!!b for Congress. Congressional Research Service, April 29, www.fas.
(/7bABCAbCCCQCA2!+- [15-05-2013]. #"7b&7!b1"&b"#,bFQSBKA2!+- [23-05-2-13].
8 L#"!#"*%('W0"#!('dE&("8*%#"=b'L#0/1.)'#-'L*/*+.*/&b' 20 Czech Republic (20 claims), Poland (14), Slovak Republic (11),
Transnational Institute (2013) The right to say no. EU-Canada Hungary (10), Romania (9), Lithuania (5), Estonia, Germany, Latvia
trade agreement threatens fracking bans, 4%%!Nbb1#"!#"*%((0"#!(2 (all 3 claims), Slovenia and Spain (2 claims), Belgium, France, Italy
#"7b!0E).1*%.#/&b".74%D&*=D/#D(0D1*/*+*D%"*+(D*7"((6(/%D and Portugal (all one claim).
threatens-fracking-bans [15-05-2013].
21 Bulgaria, Czech Republic, Estonia, Latvia, Lithuania, Poland,
9 Hall, David (2010) Challenges to Slovakia and Poland health policy Romania and Slovakia.
+(1.&.#/&N'0&('#-'./8(&%6(/%'%"(*%.(&'%#'1)*.6'1#6!(/&*%.#/'-#"'
"(8("&*)'#-'!".8*%.#/b).E("*).&*%.#/'!#).1.(&?'j*/0*"=?'4%%!Nbb,,,2 22 L4(8"#/'L#"!#"*%.#/N'L#66(/%&'#/'Z"#!#&(+'3"*/&*%)*/%.1'3"*+('
!&."02#"7b"(!#"%&bABCBDBADeD%"*+()*,2+#1 [23-05-2013]; Peterson, and Investment Partnership, May 7, 2013, 4%%!Nbb,,,2"(70)*%.#/&2
Luke Eric (2012) Investor Announces Victory in Intra-EU BIT 7#8btu+#106(/%V(%*.)qVkHI3FDABCSDBBCrDBBKQ [23-05-2013].
Arbitration with Slovakia Arising out of Health Insurance Policy 23 See the website 4%%!Nbb14(8"#/%#U.1#21#6b2'a#"'L4(8"#/9&'8("&.#/'
Changes, Investment Arbitration Reporter, 10 December.
of the story, see 4%%!Nbb,,,2%4(*6*<#/!#&%21#6b.
10 UNCTAD (2013) Recent Developments in Investor-State Dispute
Settlement (ISDS), No 1, Revised, May, p. 4, 0/1%*+2#"7b(/b 24 Chevron Corporation, see endnote 22.
V#1&b,(E+.*(.*ABCBSn(/2!+- [15-05-2013], with additional 25 Ibid.
research in the UNCTAD database of investor-state disputes,
4%%!Nbb0/1%*+2#"7b(/b!*7(&bVG;WbG/%("/*%.#/*)RABG/8(&%6(/%RAB 26 Greider, William (2001) The Right and US Trade Law. Invalidating
;7"((6(/%&RABRAmGG;RArbGG;D3##)&2*&!U [26-05-2013]. the 20th Century, The Nation, 4%%!Nbb,,,2%4(/*%.#/21#6b*"%.1)(b
".74%D*/+D0&D%"*+(D)*,D./8*).+*%./7DAB%4D1(/%0"=t [15-05-2013].
11 See, for example, the joint letter of AmChamEU, BusinessEurope,
the Transatlantic Business Dialogue, the U.S. Chamber of 27 I((N'L#"!#"*%('W0"#!('dE&("8*%#"='>ABCC@?'&(('(/+/#%('CKq'
Commerce and others on the EU-US Investment Dialogue, dated L#"!#"*%('W0"#!('dE&("8*%#"=b'3"*/&/*%.#/*)'G/&%.%0%('>ABCA@'
16 November 2011, 4%%!Nbb,,,2*614*6(02(0bZ#"%*)&bBbABCCb Z"#$%./7'-"#6'G/c0&%.1(?'14*!%("&'S'*/+'Q?'4%%!Nbb1#"!#"*%((0"#!(2
V#106(/%&bj#./%;&&/3WLL#D14*."&G/8(&%6(/%f(%%("ABCCCCCK2!+- #"7b!0E).1*%.#/&b!"#$%./7D-"#6D./c0&%.1( [15-05-2013].
9
 28 OECD (2012) Investor-State Dispute Settlement. Public 39 An Open Letter From U.S. State Legislators to Negotiators of the
L#/&0)%*%.#/N'Cl']*='X'AS'j0)='ABCA?'!2'AB2'G/%("/*%.#/*)'L(/%("' 3"*/&DZ*1.$1'Z*"%/("4&.!'H"7./7'%4('F(c(1%.#/'#-'G/8(&%#"DI%*%('
for Settlement of Investment Disputes (2008) Schedule of Fees Dispute Settlement, July 2013.
(Effective January 1, 2012), p.1.
40 S&Ds raise concerns about investor-state arbitration mechanism,
29 L#"!#"*%('W0"#!('dE&("8*%#"=b'3"*/&/*%.#/*)'G/&%.%0%('>ABCA@' 23 May 2013, 4%%!Nbb,,,2&#1.*).&%&*/++(6#1"*%&2(0b7!(&b!0E).1b
Z"#$%./7'-"#6'G/c0&%.1(?'&(('(/+/#%('Ah2 +(%*.)24%6i.+kCSmAKls&(1%.#/kTWFs1*%(7#"=kTW:Is&%*"%!#&ks%
#!.1.+ks"(v0(&%n)#1*)(kWT [26-05-2013].
30 Background material for the foreign investment roundtable
organised by Hogan Lovells in Frankfurt on 7 June 2010 and the 41 4%%!Nbb*)*/7"*=&#/(6*.)&2%06E)"21#6b!#&%bKBKSSCSASlmb%"*+(D&())D
internal Commission report on the EU foreign direct investment out-out-of-the-mouths-of-citizens [24-05-2013].
roundtable organised by Hogan Lovells in Brussels on 7 December
42 4%%!Nbb,,,2"(70)*%.#/&27#8btu+#106(/%V(%*.)qVkHI
ABCB?'+*%(+'AC'V(1(6E("'ABCB?'3F;VW'a2A'L\b];fbE*2'dE%*./(+'
TR-2013-0019-0256 [24-05-2013].
through access to documents requested under the information
+.&1)#&0"('"(70)*%.#/2'd/'$)(',.%4'LWd2 43 Revised EU Draft Mandate, dated 21 May. Leaked version
published by Netzpolitik, 4%%!&Nbb/(%<!#).%.P2#"7bABCSb)(*PD
31 The Transatlantic Economic Council (TEC) brings together
aktueller-entwurf-des-verhandlungsmandates-zum-eu-usa-
W0"#!(*/'L#66.&&.#/'*/+'HI'7#8("/6(/%'#Y1.*)&2'G%',*&'&(%'0!'
-"(.4*/+()&*EP#66(/b, [31-05-2013].
by Commission President Barroso, German Chancellor Merkel and
US President Bush in 2007 to advance the transatlantic economic 44 European Parliament resolution of 6 April 2011 on the future
integration. W0"#!(*/'./%("/*%.#/*)'./8(&%6(/%'!#).1='>ABCBbAABS>GTG@?'l';!".)'
2011.
32 W0"#!(*/'L#66.&&.#/'>ABBr@N'].&&.#/'F(!#"%2'KB'=(*"&'#-'\.)*%("*)'
Investment Treaties Conference – Frankfurt 1-3 December 2009; 45 Revised EU Draft Mandate, dated 21 May. See endnote 43.
email from Daniel Price to Jean-François Brakeland, head of the 46 HTL3;V9&':#")+'G/8(&%6(/%'F(!#"%'ABCA'7.8(&'*'7##+'#8("8.(,'
&("8.1(&'*/+'./8(&%6(/%'0/.%'./'%4('L#66.&&.#/9&'%"*+('+(!*"%- of the risks of certain investment protection provisions and how
ment, dated 5 January 2010. Both obtained through access to they could be addressed.
documents requested under the information disclosure regulation.
d/'$)(',.%4'LWd2 47 Public Citizen (2013) U.S. Pharmaceutical Corporation Uses
T;a3;'a#"(.7/'G/8(&%#"'Z".8.)(7(&'F(7.6('%#';%%*1P'L*/*+*9&'
33 See the blog exchange between Simon Lester, trade policy Patent Policy, Demand $100 Million for Invalidation of a Patent,
analyst at the Cato Institute, and arbitrator Mark Kantor, 4%%!Nbb March, 4%%!&Nbb,,,21.%.<(/2#"7b().D).))=D./8(&%#"D&%*te-factsheet
,#")+%"*+()*,2%=!(!*+21#6b.()!E)#7bABCSbBAb%"*/&D*%)*/%.1D%"*+(D
[26-05-2013].
and-investor-state.html [15-05-2013].
48 Baker, Book K. (2013) Corporate Power Unbound. Investor-State
34 Ibid.
Arbitration of IP Monopolies on Medicines – Eli Lilly and the TPP,
35 Internal European Commission report of a meeting on EU invest- PIJIP Research Paper Series, Paper 36, 4%%!Nbb+.7.%*)1#66#/&2,1)2
ment policy and the EU-US investment dialogue, organised by *6(".1*/2(+0b"(&(*"14bSl [26-05-2013].
AmCham EU on 8 July 2011with the European Services Forum,
49 Public Citizen (2012) Memorandum. “Fair and Equitable
13 December 2011, dated 17 December 2011. Obtained through
3"(*%6(/%_'*/+'G/8(&%#"&9'F(*&#/*E)('WU!(1%*%.#/&N'F0)./7&'./'
access to documents requested under the information disclosure
H2I2'a3;&'s'\G3&'V(6#/&%"*%('aW3'V($/.%.#/']0&%'E('T*""#,(+?'
"(70)*%.#/2'd/'$)(',.%4'LWd2
,,,21.%.<(/2#"7b+#106(/%&b]I3D](6#2!+- [26-05-2013].
36 Interview with Lori Wallach, Director Global Trade Watch at Public
50 Z#"%("$()+?']*%%4(,'L2'>ABCS@';'V.&%./1%.#/':.%4#0%'*'V.--("(/1(i'
Citizen, 6 May 2013.
The Interpretation of Fair and Equitable Treatment Under
37 Transatlantic Consumer Dialogue (2013) EU and US consumer Customary International Law by Investment Tribunals, Investment
7"#0!&9'./.%.*)'"(*1%.#/'%#'%4('*//#0/1(6(/%'#-'*'3"*/&*%)*/%.1' Treaty News, 22 March, 4%%!Nbb,,,2..&+2#"7b.%/bABCSbBSbAAb*D
Trade and Investment Partnership, 5 March, 4%%!Nbb,,,2 distinction-without-a-difference-the-interpretation-of-fair-and-
%*1+2#"7b./+(UA2!4!i#!%.#/k1#6n+#16*/s%*&Pk+#1n equitable-treatment-under-customary-international-law-by-
8.(,s7.+kSKQsG%(6.+kQB [15-05-2013]. ./8(&%6(/%D%".E0/*)&b [26-05-2013].
38 AFL-CIO (2013) U.S.-EU Free Trade Agreement, 4%%!Nbb,,,2*[1.#2 51 Inside US Trade (2013) Revised EU Mandate Seeks To Prevent
#"7bG&&0(&b3"*+(bH2I2DWHDa"((D3"*+(D;7"((6(/% [15-04-2013]. Ma".8#)#0&9'G/8(&%#"DI%*%('L)*.6&?'AS']*=2

Corporate Europe Observatory (CEO) is a research and campaign The Transnational Institute was founded in 1974. It is an
group working to expose and challenge the privileged access and international network of activist-scholars committed to critical
./[0(/1('(/c#=(+'E='1#"!#"*%.#/&'*/+'%4(."')#EE='7"#0!&'./'WH' analyses of the global problems of today and tomorrow.
policy making. CEO works in close alliance with public interest TNI seeks to provide intellectual support to those movements
groups and social movements in and outside Europe to develop concerned to steer the world in a democratic, equitable and
alternatives to the dominance of corporate power. environmentally sustainable direction.
www.corporateeurope.org www.tni.org