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The document analyzes the 'fair and equitable treatment' (FET) standard in international investment agreements (IIAs), highlighting how vague treaty language allows arbitral tribunals to impose expansive obligations on host states. It contrasts the 'customary international law' approach with the 'autonomous' or 'plain meaning' approach, noting that the latter provides tribunals more discretion to sanction states for altering regulatory frameworks or failing to meet investor 'legitimate expectations'. The guide recommends that states use precise definitions, link FET to the minimum standard of treatment under customary international law, and include preambles that protect regulatory flexibility to avoid unpredictable legal outcomes.