INVESTMENT-RELATED DISPUTE SETTLEMENT: REFLECTIONS ON A NEW BEGINNING

This report details the results of an expert meeting hosted by the International Institute for Sustainable Development (IISD) in October 2014 in Montreux, Switzerland. The meeting focused on rethinking international investment-related dispute settlement to move beyond the singular focus on investor rights and state obligations, proposing more inclusive models that allow stakeholders such as local communities and individuals to seek remedies for injuries or human rights abuses.

• Experts agreed that the current status quo of international investment-related dispute settlement is unsatisfactory and requires reform to broaden access to justice. They proposed including stakeholders beyond states and investors, specifically "individuals and communities affected by investment activities".
• The experts emphasized the need for alternative, non-adjudicative mechanisms, particularly mediation and conciliation, to resolve disputes. Some suggested mediation should be a "mandatory precondition" to formal settlement, while others advocated for a structured institution to provide these services.
• Investigation and fact-finding were identified as integral components of any new model, with some experts suggesting an inspection panel phase as a "mandatory first step", drawing inspiration from development bank inspection panels.
• There is a expressed preference for judicial mechanisms over arbitration due to perceived greater independence and predictability. To enhance accountability, some experts proposed the implementation of an appeals mechanism.
• The report outlines four proposed models for settlement: a "Toolbox" of ad hoc mechanisms; an International Investment Mediation Service (IIMS) with a permanent secretariat; a multilayered procedure starting with compulsory fact-finding; and a treaty-based international institution with combined judicial, investigative, and mediation functions.
• To ensure equal access to justice, experts explored funding mechanisms involving contributions from states and the private sector to cover costs of mediation or dispute settlement, as well as third-party funding for victims of investment impacts.

APA

International Institute for Sustainable Development (2015). INVESTMENT-RELATED DISPUTE SETTLEMENT: REFLECTIONS ON A NEW BEGINNING. https://www.iisd.org/system/files/publications/investment-related-dispute-settlement-expert-meeting-report.pdf

Chicago

International Institute for Sustainable Development. INVESTMENT-RELATED DISPUTE SETTLEMENT: REFLECTIONS ON A NEW BEGINNING. 2015. https://www.iisd.org/system/files/publications/investment-related-dispute-settlement-expert-meeting-report.pdf.

Wikipedia

{{cite report |author=International Institute for Sustainable Development |title=INVESTMENT-RELATED DISPUTE SETTLEMENT: REFLECTIONS ON A NEW BEGINNING |date=February 2015 |url=https://www.iisd.org/system/files/publications/investment-related-dispute-settlement-expert-meeting-report.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{internationalinstituteforsustainabledevelopment2015investmentrelated, author = {{International Institute for Sustainable Development}}, title = {{INVESTMENT-RELATED DISPUTE SETTLEMENT: REFLECTIONS ON A NEW BEGINNING}}, institution = {International Institute for Sustainable Development}, year = {2015}, month = feb, url = {https://www.iisd.org/system/files/publications/investment-related-dispute-settlement-expert-meeting-report.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }