I.D.
END TERM EXAMINATION, APRIL 2017
B.A.LL.B. (HONS.)
SEMESTER-VIII X
T&I-International Investment Law (Hons.-II)
Max. Marks: 60 Time Allowed: 3:00 Hrs.
Note: Answer five questions including Question No. 1 which is compulsory. The marks carried by each
question are indicated at the end of the question.
1. Answer the following (each answer should be in approximately 100 words): (Marks 2×10=20)
a. Washington Consensus
b. Regulation of Investment Incentives under international investment law
c. Emergence of International Minimum Standard
d. Why the definition of Investment is important for dispute settlement under international
investment law?
e. Discuss the different modes of Consent to Arbitration under international investment law.
f. Article 25 of ICSID convention as a jurisdictional gateway
g. Customary International Law as a source of international investment law
h. Principle of Necessity as discussed in ILC article on state responsibility
i. Briefly discuss the standing of the tribunal regarding FET in Tecmed v. Mexico, Award, 29
May 2003
j. Nationality Planning under international investment law
2. The era of modern investment treaties began in 1959 when Germany and Pakistan adopted a
bilateral agreement which entered into force in 1962. But the concept of protection of alien
interest is not so new but the roots of modern treaty rules on foreign investment can be traced
back to 1778 when United States and France concluded their first commercial treaty followed
in the nineteenth century by treaties between United States and their European allies and
subsequently the new Latin American states. Even after 1919, the United States negotiated a
series of agreements on friendship, commerce and navigation followed by another
series of treaties between 1945 and 1966.
Critically analyze the abovementioned paragraph and discuss in detail the evolution of
International Investment Law with the role played by Carlos Calvo and Recardo hull.
(Marks 10)
3. The policy decision of the host state whether or not to grant a right of admission is
fundamental for all parties to investment treaties. According to T. Pollan in Legal Framework
for the Admission of FDI there are basic differences in the regulatory approach of
existing investment treaties on the issue of admission and establishment.
On the basis of abovementioned paragraph discuss in detail the different treaty models and
various approaches regarding the right of admission and establishment under international
investment law. (Marks 10)
4. At first sight, the traditional notion of 'full protection and security' is amorphous and not
readily amenable to operational applicability. However, as is the case for other standards
contained in BITs, arbitral jurisprudence has gradually refined the understanding of the term.
Therefore, discuss in detail the concept of 'full protection and security' under international
investment law and its standard of liability. Also discuss the extent of 'full protection and
security' with the help of relevant case laws and treaty provisions. (Marks 10)
PTO
5. The principle of permanent sovereignty over natural resources developed over a period of
time in the United Nations General Assembly. It was first introduced by Chile in the United
Nations Commission on Human Rights in 1952 and has subsequently been inserted into
numerous resolutions, the number of declarations evolving into a declared right vested in
states as well as countries, nations and peoples. As mention by R Dolzer in "Permanent
Sovereignty over Natural Resources and Economic Decolonization" (1986) 7 Human Rights
Law Journal 217-230 at 222, during this development process the principle was understood
by different states in different ways. A shift in emphasis was seen, from the notion that the
concept was a corollary of political and legal call for decolonization and self-determination,
to its transformation into the political demand for a New International Economic Order
(NIEO).
With reference to abovementioned paragraph, discuss in detail the concept and historical
development of the principle of 'permanent sovereignty over natural resources'. Also discuss
whether the principle of permanent sovereignty over natural resources forms part of the
general principles of public international law? (Marks 10)
6. The dispute settlement is one of the most important issues under foreign investment. But the
role of domestic courts is very limited in International Investment Dispute settlement
mechanism. Give valid reasons for the limited usefulness of domestic courts and also describe
the alternate mechanisms available under ICSID convention. (Marks 10)
7. Write short notes on any two of the following: (Marks 5×2=10)
a. Discuss the obligation of foreign investor to promote economic development of host state
b. Indirect expropriation of property under international investment law
c. Briefly discuss the major efforts made for multilateral investment agreement within WTO