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itgatio
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\ttiui.uIIss.t
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US
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tetlietthe
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ided
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internationalIaw
playsa
roletn
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ussontent
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ute
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lidoes
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ese
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tespusi
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itis
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ational
Iaw
asa
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issven
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theinrerpretative
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bythe
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Com
mis
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2001:ibe
notesiaw
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htllsevurity
andproreution
inthe
si
I\
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notreciutte
iI reatm
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asdition
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itnu
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deemed
tobe
bindingby
tribunalsapplying
tlivN
;\iI
[titt0
isnot
nceessarilvrelevant
inother
disp
utes.
28
internationalL
awas
aF
loer
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il’uinI
iniv
inis
iviroent,
iii,tppls
ina
trett vtbat
requiresa
treatment
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thattditt
tegniredby
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.aiE
rms
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IIn
tetil
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it.t ilissis
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understood
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urI
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J uuls0O
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ww
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InternationalI.aw
asE
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ti,S
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applying,t
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laand
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tinn,affirm
edthat
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proteuttuutiis
tbsam
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underinternational
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ouldbe
applieableesen
iiidiv
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isp
eta
sLiuse
inthe
treats.ih
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analvsesthe
wording
otlite
treatand
aifirms
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fil
proteetionpussibly
suggestsi
itigberdegree
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itN
evertiteless,the
trihutnalends
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thvm
inimum
statidardof
vustomary
internationallaw
,Ihe
trihunalin
AM
liZ
airc,applving
siriestivtbat
eunsidetsilite
ilitilu
nuas
aFloor
forrhe
treatvproteetion.
assum
esIbut
litetteu
obligitinnhas
inbe
vonsistentw
iththe
minim
umrequired
byinternational
Iasv.ii
Also,
ehetribunal
inN
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enture.’i’
Rom
a,i,a,applving
atreaty
ditt
provides
fortreatm
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lessfavourable
thanrequtred
byit
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ms
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isdoubtful
wherher
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obligationis
largerthan
litegenviil
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providefor
fullprotection
andseu
riivin
eusiu
ntar
iilteFnttiofl.ili.u
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arbitraltribunal
renderedits
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respeu
tni
iltesiolattnn
utibe
inI
tectionaud
securitystandard
exclusivelvbs
reierenveto
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Is
desisiotu
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LSI
andcom
paringthe
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altbougbtlie
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was
quitedilferent
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ityand
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than
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’in
thetreaty
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tbeI
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ania,aud
them
ost
co
nsta
nt
prote
elio
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lsu
eurii
md
tbeiull
pin—teution
audseeurirv
requiredby
internationaliass
iiitbe
tie.itht
5seilt
Unired
States
audItaly.
Even
Ifnotin
thecontext
ofa
treatyon
investtnentp
rntec
tinn,iut,
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itribunal
recentlyvonfirm
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generalattiltale
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arbitiitunn
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accordingto
wbich
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nithc
standardunder
intertiatitutuallass
ssnuldnot
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proteutionaccorded
bylIte
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bud.para
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A.41’I
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len/ca,.thost’
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pris
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u4
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artni
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im
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Rull
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ati
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ni
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tes
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isus
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taken
some
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Jotu
ni
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tendto
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ritem
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tibs
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tate
sus
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liii
to
meet
iheobhgation.
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ssiiibe
seeluheiosi
tiis
ihela
kot
me,is
iure
sti
to’.
cmharm
tuieseuts,
thelaek
nim
eastirestO
101
01.
Illesutuatiun
plin
tto
Illetiauflutrui
event,or
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posutinnni
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ieadto
asunlatinn
nudir
staudord,
asin
thel’hna
aard
.Il
measures
havrbren
taken,thr
thiesluoldlot
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seems
tobe
quiielngh
‘Ihi/
uio
tun
nu
’/assord,ss
ssiIlbe
sresh
loss,assum
esthat
them
easurestalen
ma
seetiesi tonen
rilvti
ibus
h,uviauused
intolerableeonsequenees.
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ieex
cep
tion
tothe
triburtalsgeneral
Iluellilarlon1
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toju
st
sitt
tbequalitv
ottiw
measu
restaL
enis
thein
aoiiv
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r.SI.a
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\sss
iiibe
seell.
however,
tIispart
niihe
award
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irni
liiiuiis
unai
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Arhitral
i ribunolsolten
diseussiL
’quesu
innil
liiiita
ture
<ilube
oblugti
ois
itusing
ou
rof
thnstandard
olfull
proteetionm
dser
itt’iis.lite
ihatIpu
is,iihu
1’sin
tude,
asssiii
beseen
beloss,is
i hatthe
siandard
reujud
es
iS
otato
XC
i sii
tur
dih
genee
donto
ensure
the
safe
tvol
ilieu
tvis
ttH
eO
ls.
IliIs
usut
tiirett
kU
liiis
beiogan
obligatdinat
mea
fl snr
ohiig
atio
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india
1.O
sp
10
isedi
.11blia
-
tion
ofre
su
ir,also
refdrred10
Os
stri,
ilahiliiIhis
means
tht.uute
Stu
edcim
iito
havediseharged
us
obligationeven
illiii’
iiueasuues1,1ken
topiotre!
liiitilsist
ment
havenot
a.hievedthe
desiredplnteri
inn,
asking
asil
hosarted
dihugestls
While
thequalitv
ofthe
ohligaiionat
noenfeonduet
.uudnot
otri sult
isixplu
eitly.tfiirm
edin
mosi
awards,
inuebtem
aIns
tobe
spenilid
beinielite
omtO
r’eO
fltentol
thnohligation
isidr’nrifiable.
.\sille
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inille
1:,usufluuiin
i.u
scp
uus
it.th
egenera
lla
ssih
atio
nol
oblig.iiioiisinn
ohlmgatioius
oIresnll
iii
oiltio
ns
ofconduet,useful
as
itm
avbe
tor
sal
toits
plim
pose
sis
10suhist
11111rlItt
applie
atio
nin
theeoncrete
eireumsian.cs
ota
gis’nis.
\Vhai
seems
tobe
esiabhisluedis
thata
Staieis
tatudetto
ohigal nuru
ut
‘iIu
o.
md
does
not
gram
anln
suran
ce.Igainst
dam.ugr
thaim
asifici
ttlurtilsisrm
rIsl,°
nra
warranty
rhatproperty
shalincvcu
In00v
iurnm
stuilrs
hr’uo
uiptrrinr
distu
rbed,
44
iheStutte
isnot
undera
stilu
tIiaiailuu
v
IU
?,)1I)llli
i.6
Si.
li15.
tor
lIIl?,.
il:1
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po
ni
LI)’)
uIn
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.ihsr’
ii
p,,,,
10“fl
0:u
ni
ii
fl‘1
0’
si
n6
par..
484;Iiirn
r/iiIi
sio
ahiusei
0,p
su.
tI
11111‘sSI’
11‘u
rii
Isini
ili
/nil
Prnif/im
atu
/ ,Seurny
i),l1ht;’i/
Sa/d
iii
5tle
ut
Ut
1/aiic
dues:0
.i,tr
dseetli
ti)have
assumed
astrid
\i:nIlle
IIiI100JI
iniirtnedtilege
tara
liiess
thatthe
Stateis
underbl
itiu
iini
tigilante0’
Inundtlin
thohhatto
nw
asviolated
by
mere
ttagn
liin
ni
ihr’es
ni ing
t’altt
niihe
damagi
eausd’.Ihis
lineni
reasoningos
insuppni
ii
sto
rt
Iiahiliti be
tribrinalaliirtncd
thatit
didnot
intendta
li,je
io,ie
on
sshethetiie
Sta
teis
inu
iJil
)IiOatit)ll
of
reslilt
nr
of
OslO
si.
liti
tiinund
ihatdir
Nia
tessa
tesionsihle1kr
us
unabilitvto
pre
ven
t
stiii
teqlle
flset
ni
erein
t.it
iiri ribrinril
Ltd
IIIIied
tLit
theitb
lianot
niilie
N1tt
isa
durhiipetie
obligattoti.il
ssnuldL
isebeen
mote
dorre
ct
toir
fiu
tihat
tiwState
ssis
iesponsihlefo
tnot
hit
ingtaken
sulfieientnieasures
for
beprnter
ion
ni
ibensestnient,
u,iu heri
tattnu
not
havitugbeen
abieto
pre
Ven
t
toett
ut
ute
titt
ilinsta
nte
sut
ubease.
lorverern
isdtiu
ltto
on
ddeitb
tteite
nle
tli’.n
Ilerpulsuralirtu
pp
irtiu
igihe
vie
svo
lastridt
liability;5
iiiou
rI li
‘silit
badie
tnrii iied
i beex
Isteticeni
thedam
agea nu
badip
pa
ir
111kli
I.iu
uedihat
itbad
taLen
.inv
nte
asln
et
totC
VC
tltii.
fattn
siallisitt
tii hat
ihrsiandaid
nifull
ptniedon
md
securityis
notan
big
.atiu
n.n
ulp
eu
lsate
abilam
ageiii.
in
i.iaert
an
inv
estu
tten
t.but
attobli
to\e’sle
siiie
duligetitein
tereu
ttun
atis
suh
damage,
iLre
nia
Ln
sto
be
Iss
Ia
1i
el
tiilit
tpet
lita II.
ritt
ni
0/i/i
tror
rtdfltJatd
‘\
artis
tin
init
rrgiitdeliuies
as
toi be
tnnt’
nt
ni
ihednc
diligenreobligation,
il‘s
i;ltt
inru
.isu
teuhligatuitt
tot,ike
.iIntejsures
neressarto
ensureihe
tdts
t\u
tIlle
lirt’
\tllietlt.
inpartustulat.
ubetei’
nurlearlv
prevaulungview
asto
thet.ii
ure
iir I;,
ittd.t
i!.
sshet
lierit
isuhiet u
tenr
subjective.lite
latterview
seems
ii e
takti
[iibe
i ruhti mii
iiiI
mdi
i(
an
JrRrpuh/i
ihatsiated
thatute
meas
rirts
inb
tatn
stelli huse
reasnutableunder
theeircu
mstan
(eS)
8li
s,hu
Os
tti
rot
leir
ttitt
sshet brut h
Stat e
hatarted
ingm
udfaith
nrn0t.
9
ii.e:tiP
tit,i
lii.1,’!
ti1
iiiiatfu
tits
lIse
eX
lstU
nd
eut
dsliduitg
su,alei .l.t
orur.
ta
iti.ii0
il5tiie
si ihigensth
oti
.111old
suhjeeiivetriterlon
toan
rik
1,5taid
ut
iglia
ns
e“
I)u
ue
1Itgetire
nsaid
intO
OS
lSt
of
uhereason
aisletiasiiir
ni
pi eseuttinn
ssbih
astell
alu
nin
uste
red
gosern
tfleflt
couldbe
t’
perat
1in
t\t
I titt
undtt
sim
ilat
tittum
sta
nres.
Ihem
ijotuty
ofthe
tribunaliho
iit
5’rin
ui
tii
ulo
tU
flSuuniu
sersu
ilssa
,questionung
titeprocedtire
il’.5
,,
ut
ii.
selilittet
itu
tN
uiI
.1i’ La
ut.u n
arniedacu
ion
undertakento
ritt.0
0!
Iu
t.lr
:lsa
ustlip
leil
hirstiurgetits.
All
tupnuallagers
ofA
APL
s‘i’’
‘i
.tis
lnis
tIin
titearea
0ss Ititli
theg
ov
ern
tllen
tbad
lostcontrol.
I)
Ii
;‘_
‘5.
i,,
‘.il..
NI’
.10,1I
liii
I,iit.i,
hivt
il.4
,10101.
were
susp
erred
of partueipat ungin
ibem
iiite
r111)11.
ibeiarnt
ss ardest
i-ii’ed
duin
grhe
armed
ad
tion
;ute
trubunal
innnr 1
ihatiite
ress
.istti)
Ilittliis
ite
er
st.ll
5e
at
tow
hatefT
eetiv
ely
causedlite
destrurtio
tt,ilossever,
titt’tiihu
naltnnsideird
ihatthe
government
shouldhave
tiiedpearehul
rnm
nllln
lcatin
nto
gei
tittsus
peet
eie
ments
exdudedfront
theinesunu
ssta
llhelore
underuakini,a
nnlitavsco
un
ter—
insu
rgencr
.1—
urther.tiw
tribuu
sa1ioutnd
th.utIlle
gitterut
metri
,buuldhave
institutedjudteual
investugationsagainst
tisesusperted
persouts.Il
buld
haveuurderuaken
necessarym
easuuesto
getib’un
iidthieidrutt,
)uIlle
Par
ithi
reasoning,ute
State’sresponsibihity
isdeem
edestab
ltsbed
,51
Aconsidered
dissentingopinion
pnint sottu
thatute
dispiuuedar.in
nssat
astraregie
ausdhighlv
setssitivesecttruu
opeiat iltutto
regalnroitim
lni
tittatea
of’unsurgenev.
takingp
iacin
asituau
not
nitta
tnin
a1
eu
tlerg
eut
5.A
.surt1inr
tothe
dissenringopinion,
tlsegovernuneuti
svas
under
asuunpeli
ittgsut
eieitt
tinn
toundertake
am
iliraryn
pera
uion
toutga
nrom
rolni
i beare,u.
litt,Im
oo
gan
dm
odalitues<il’Lise
operation,ihus
ihenuinotitv
nilise
iributsal,tnust
haistithin
thegoverusm
ent’sexelusuve
dittrei inn,and
theassattl
shouIdnot
qutsi hinlik
exerciseby
thesta
teol
ursown
sovereigulpuerogat
iset.
30vere
ign
ap
precla
rio
11
Iflite
exerciseof
duedihgence
isa
qu
esu
iousni
vem
tfitig
ubeabiltis
nititt’
meas
urestaken
torear,h
theairn,
astlse
unajolitsus
ibe,IA
I/rase
due’,iht
eis
tiserisk
of
inte
rhere
nce
with
sovere
ign
appre
iatin
n..is
poimed
not
iiititt’
tii
stilt
lulg
opin
ion.
liteprevailiutg
.uppuoaeitifl
;jrI)itrjtuo)u
lpuarulte
seeu
ttsin
betore
ti,lite
tuil)
examine
wherher
thcm
easurestaL
en[ix’
illeS
tate
obvln
usi
devu,uu.tio
iit.1
ni
soutahlestausdard,
rathertisan
suggesting.uhuernat
ter,
more
eflei.liten
teasurr
liselntertsarioutal
Court
of
Justuce(I(
J)rnuthm
nssdt,
ihe
Smaie
tnjo
ys
a
nseasiureofsovereign
.uppretuai.innin
utdecisu
ituu
inI
L,SI.I ,sen
ililie
autitn
rluit
sw
ereIkiuusd
tohave
toleratedthe
otru
patio
ttol
titt’b
ssorkers.be
pit’
teetinnaccorded
rou
teiu
tvesu
menu
wa
ulli
iutuutdtil
beh
iuts
ute
st..i,i.ird.
Furtherm
ore,even
ufthelegal
systemit,ud
tearted.itter
.iuuundiun1tiettis
ii
time,
rheproteetiots
stasnot
deentedto
bebeloss
liii’suattdaid,
hetaust’ila
i’sta
t
am
echanisntits
pla
te.
54
‘litetribu
nalin
.Salukav
(.zt’cltR
i’
1’n/’1iu’intind
thaiute
nbhigatinn55.1k
1111
hreachedif
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hehavinnr\S
JS
nottnualiv
iuuireasutiableau
drin
itistinab
leby
turn
erational
legalpoliev;
ibatnte
,utiu
l’es
i,tketistud
liol
ii.itl%s
cm
iille
li:i,is
ola
legislatnu‘sdusereuuun
ifu
huev
weu
eitit
intalisdevnid
utlegal
tIllitt
mIl’.
‘115s1
sibid.,
tr
-II
SI,abostn
tOp
ila.
106tid..
ui.i..
tii,s.
•Ibid.,
pa
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I‘‘I’
I?j’uOO
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lbbc’111L
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IlltflhiC
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11
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I
seeuruty
,65
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toundthat
1110IttV
estO
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1.ioia
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ar
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11s5ts
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ahie,that
itsco
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al
i ughis55/O
tObroi1,h
ed
atb
itrarik
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pIliltiL
di
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ti
rcaScln
s.that
the1115
stur11.111
hull
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eo
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et;”
°bot
00110
utthis
50.11.outtstdt’rs’dto
be
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teetio
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seeUrity
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11115standard
uttlis’
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llni
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tophw
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en
lajority
ofthe
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inthe
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eS
nie
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en
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re
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Secu
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Ilys1cz/Sil/efy
Ii
Seope
ofA
pplieatio
nbcyond
Physk
alS
afety
assaidsdeem
utestam
laidut
fullpiote
Hun
audsesuriuv
toextend
heyondhe
mci
ph
skalsalet
utbe
i msi
ment.
\arious
degreesm
ay
bedetected
inhis
C\is
nsloiiut
tItC55
utapplisat ton
li4
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liteh
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Itlem
Iheaditiot
alscopt
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auunItas
some
tantifisationsthat
goheyond
them
eresSeis
ds
utpoii
sseu
s.Ihis
sunseins,pai tisulark,
theavailahility
oftheudis
iaI audadniinist
at isess
stemto
prutest
theintetests
utthe
investor.Ihus,
hsrtbuual
inna
iIept
lound
ihatone
ofthe
violationsofthe
obli
gat
mils
so
nite
sted
ssuli
fullprotestiun
audsesurity
was
thesir<um
stancethat
theStaie
badnot
imposed
an
sanstiu
ns
ag
ain
st
chosew
hohad
unlawfully
seiicd
\lsoin
Im
uli
JI(xuotbs
riibuitalatlirt
tedthat
theavailability
oftbe
jud
islal
sssisin
ssasan
slenientut
i befull
piotestion
audses urity
tobe
enjøyedby
ihejuss slui
Ini his
spes itisase,
howes
er,in
telationto
tbeinvestor’s
attemp
tto
isei se
ih5adm
miiIsimat
ise
measures
thatatlested
thcin
set,ument,
thetrihunal
louudthat
ile
lsgalssstem
ssassuffisteutls
asatlableaud
thestandard
badthere
forsnot
heei sio
late
dt5
Sunilaiisbom
theargum
entatiunof
ihedes
isio
nin
F’S
Iil
seems
thatthe
Intsruational(
omt
uttistise
sonsideredth
asailabilttyof
alegal
meehanism
tossitt
i hlass
Iuluessut
ulteiequisttion
utihe
plantas
anelem
entof
thefull
pioti
ion
andss
uiutsto
beeutjoed
h5the
it vestot.Ilow
eser,in
thespeeific
cirum
sta
us
es
tbe
i.ourt
thuudthat
thelegal
msshanisrn
was
presentandthat,even
titbe
tinie
taL
en
toobtatn
ads
sis
ion
16m
otibs
was
undoubtedlym
olong
itsould
no
th
Isemed
asa
denialutjustiss
audihe
obligationw
asnot
breaehed:’°A
lsoths
iibunal
inisnu/et
i(
zt/1R
spubiieafhrm
edthatthe
Statehas
aduty
toksep
thstidis
talss
sie
masatlable
audto
pruperlvexam
ineclaim
sand
decideassurding
ndoins
stis
audintetnational
law.
Ibetribunal
fhundthat
titarduty
badnot
besusiolaisd
intltus
spesitissase
imiL
tiIsbe
tiibttnalin
Ssi!ukai
(iih
Repuh/zc
aflirmed
tbeobligation
tom
akcasailabls
appsalm
eshantsm
sagaiust
polisesearebes,
andadm
inistrativedes
tstuus
allestingi be
tusestment,
Italsu
hatid
t hati he
obligationbad
notbeen
iolatsdin
tU
s5lW
uss ase,
2
iÇJslI
su
nt
Isli
stilIt1
(//’tute/iu
t
sumssau
sgo
bsmd
tlteiesiuirentent
ihattIts
Statem
akesavailahle
itsjudi
sialaud
sdiiim
tiatm
sess
stsut
sotltat
theinsestur
sanpro
testits
interests,
and
955
15/f
labos
mmli
i
/515
‘15555(5,iboss’
.9p
u,
I‘I./
5/,.5
1)0
55
fl1(5
9.0
I1.
lai/
Iispuh/isIhoss
ss0
psss.Sli.
expresslyaffirm
thatthe
standardoff
ullpr
testionand
seeuuttyes.teuds
tothe
srahilityoftbe
investrnentelimate
andthe
Iet.altrainew
ork,A
salready
seenabove,
theaw
ardin
5i
5uns’u
vA
rs’utu
,iahas
,tspes
ialbasis
fuiafhrm
ingtbattbe
standardutprotestion
mteuds
toihe
legalsesuut5ut
theius
est—
mentaud
means,substam
ially,tbe
ss’rtaitltsut
tbelegal
system.
Inparttsular,the
wording
oftbeapplicable
treatyexplienly
rete
rsto
/eg
su
/sesurit),
as
oppu5sdto
thsotber
treatiesapplied
intbe
urisprudeneeibat
isexam
inedhere,
Anothcr
award
thatatfirm
stbis
largeondtrstandiug
uttbe
standaidis
MI
i
(zechR
epuh/zc.‘Ihem
ajorityof
tbetrihtinal
af{irmesl
ihattbe
Suateis
underthe
obligationro
ensurethat
neitherby
amendrnent
utus
lasssnor
baet tons
utits
administrative
hodiesis
theagreed
audapproved
sesuritvaud
puotestioiut
ilseinvestm
entwuthdraw
nur
dev
alued
,74
Itm
ustbe
temem
bered,hossessi,
ilsst
thisaw
ardis
aeeom
pan
iedby
ad
issemin
gopinion.
Also,
itniust
benottsed
ihatthe
CM
Etrib
un
alcom
esto
adesisio
nopposits’
toihe
des isiontaL
en,on
i besam
efacts
and
substan
tiallyb
etween
thesam
t’p
artie
s,
bytfse
tribunalin
ihsi
azu/si
i
czechR
epuhlicsase.
Forth
csake
ofcom
plemeness,
hossever,it
must
bepututed
outthat
theL
auderaw
ardis
decidedon
beIds’ts,aud
thatit
sannotbe
taktitas
i
positio
nin
prtns.ipleut’the
tribunalagainst
tbeextenston
utths’
smandaidut
isillpro
tection
aud
securiryto
thelegal
sceurity.‘lite
itibunalfound
inlaudu
rthat
theam
endntenrsm
adeto
the
med
ialeg
islation
wete
nota
tbreatto
thelusest
men
t.7’
Itrem
ainsopen
wbetber,
badthe
amendm
entsbeen
des’med
astuallsto
affectthe
investmenr,
thetrihunal
would
hasesonsideied
de
standardd
fullpro
tection
and
security
hreashed.A
lso,in
(.‘,SOB
vSlovak
Repubii
tbe
trihunal
foundibat
the
Stats
sondsist
ut
theinterpretation
uttheterm
softhe
sontlastdeprived
thein
sesto
rut
ausm
eaningful
proteetionf’dr
itsloan
audtitsis
hieasbedtItt’
soiuumiim
entto
giantfull
proteetionand
security
.76
Recently,
rbetrihunal
inl/vendi
vtlrentuua
Ilrendeted
anassamd
thatestsrm
sivelyexam
ninesthe
seopeofapplisation
ofthefull
protestiouaud
ss’suritstansi
ard.A
salready
mentiorm
edin
sestionB
above,th
etribunal
metetresi
topus’s ious
arbitralpraetice
andm
adean
antith
etisin
terpletatio
nut
thettsat5
baseslon
itsw
ord
ing
tosu
pport
usopin
ion
thatthe
standamsl
applyto5m
nyai
utm
easure
which
deprivean
investor’sinvesim
entut
protestiouau
dt’uII
sessiru
s.‘susli
aetionsur
measures
neednot
ibreatenphvsical
possesstonur
lIteisgallv
piums’stsl
terms
ofo
peratio
nof
the
investm
em.”
Assording
touhe
tuihunal,the
staudaidcan
apply
tom
ore
than
ph
ysisal
sesurity
utan
iitss’sts>ioi
uspiopsu
ts,s.ause
either
cou
ldbe
subjeet
tohaiassm
ent
witb
ou
tbs’titg
pltssmsalls
baiuu,dut
ssijsd,‘lite
Aw
arddoes
notid
entify
an>furihei
tbespes
ifissuutent
uiiltis
siaiidamsl
Iii
‘
Su’rns’nsi’
ligsntiim
,ibost
fl5
saSi.)
I
(lvii’i’
(ass/i
Rs’pu/s/zsahsss<
ssti
pir
a(il
“.
IsjiS
(/5’7i
(ass/i
1/spiSs/i,ahost
ss1(1
s,sma
ilI
6(
,5QJ
v5/om
sil’Rspmsh/u,,iIii,c
ss,
s,st,i
I‘
ISvs’ndmi
.4tssm
ustm
a,.iho
ss5
pas,s.
aI’s
/all Jro
h1w
ian
iarttt
IA
pp/icattonIn
3vm1
PI’yiani
Sa/ity
14
:0v
sut
rot.ft
livti
ihunai
div!iu
nrvntloiiut
siola
tten
etL
ii.’,
Oil
sv.
1,1li
st.lnd,IId
,an
id
mv
d.ih
ihedotltin
sand
Omis—uoro
dl
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LV
ruliv
tijrv
as
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im.Iple
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andev]u
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ar
mer
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arg
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sv01k
of
liviblig
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tofull
proteetlonaud
syv(1
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V
\%%
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on
,il
itu’
11111vn
ett
md
vby-
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svit
i hougitthey
make
noexpress
dlca
nv:V
rt
itrunnv
toll,
i hesous
.iid.tpplicd
drostandard
as
iti
was
m{l\
.11vit
tou
rO,id
Jtv
t.uitl
liau
d1tni.tblv
([uR
tI000t.
liws
sviiibe
exainlO
vVyl
ivkuss
V
airo
isobsv
ied
iv
Vvtron
IIah
uv,
how
erdrirg
vnihe
t reatle
sapplied
v.
tItI
mil
(tis
forvin
mo
hase
plaVv
Ii
srg
nitiv
an
irele
inthe
dclinitien
irvp:
om.ippln
.uiruiiui
uteuandard
iiiiau
ardren
dered
in.Sanit’ns
i’
VII
‘ull
VIs
assud
i hargis
v’sPR
ivular
nu
deratio
nto
thew
ord
Ingvil
tltvti
ar,
\invvIllu
lUI
betssevn(
rman
.undA
rgemina
provides,as
mv
nro
irr(IV
trorlvg.ui
syv
ulit
VI liv
werd
rng
vdiv’
ei hertreaties
uponw
hichthe
VIS
di:ro:t
1011vvi borv.umv
based.u
vnei
venipat.ubl.
\X’h
ileibe
treatiesapplied
:nir
iE
uro,!tur
uiuvl5
nv.’
jjr’vls
v(lIV
Sid
Cf
ihutsso
ob
liatiens
assepar
11
vi
vnivauv
sll
kv!
111iho
‘i1iand
inliv
‘trond,Il
awards
v,onsiderthe
11.t
tnO
tfull
pr
otv
4to
iiiis
asjiO
vdiv
at
lot
oftbe
eblig
ation
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airaudL
(U1
ldi
ivr
vrtrrrv
nr’
V
()‘verlapV
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tand
ards
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itiii
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on
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hasan
uneertarnborder
i,
ru)thv
ple
srs
iuns
irsrIaiis
ven
iauilv
’vl
innvvsln
ldnt
treatie
s.
By
tarihe
mest
.rnpor
1,1111IV
Iro,nisiv’
ihar
rvv
Iulriu
sa
,1reitil
vil
itdtii.iiio
uIS
thatujt-
biirau
dequit
,ibtvilvatrruv
i,A
lsu,u
tepr
srsIeils
onrv
irnbrirsetn
cnel
dam
ages
dncto
aetion
siii
voirthati
Sv0v
vasrotirlls
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aso
verlap
pin
gw
ithtise
ob
ligatjo
nIl!
toi
pmoit
vutena
rrdSO
v11111
V
liiiull
mr/lit
J,V
SV
tilfllt)11
ithas
by
vn
pi
ivttis
i finruivd
ininbli
rat
et
I r.tvrive,
idrexaniple
bythe
irihtrnaiIII
ilit
i(I
1111ltd
11111I liv
Ih1tgitlu
at
off
ullpie
tevtjo
n,iud
sovitrity
may
bev
ntv
v’,
:fil
jlsSiv.ll
selv’iivv
etdam
.geevvurrv’d
andgees
bevendpoliee
Om
‘lvr
mlv
IldIS
nmivdintil)
svnr’v’lite
mvvstirm
v’tri
vliV
IiO
llIlte
ltt,80
Simultaneouslv.
tv
ViS
S.sivllv
et’ nr‘vd
audvn
vnmphasiivd
ti.11
iheteis
anim
erV
reia
tionsh
ipw
it hlt(
iIn,
ut
‘I
ti)‘ti
.ltOf,rii
.urdt’v
1ttitablv
’treatnlv’tlt,aud
fou
nd
rhaiihe
StateL
uled
lepro
vid
elair
audeq
ttttable
treatn
iv’m
tt.i
idthv’i’vluo,’.
ssli
liii5,11)1v
lvIlO
tIS,
alsebreavhed
tlreeb
hg
atienet
iiii
pruutev[O
il.111v!
sOv
iltit5
.111v
iriflU
rLuu
thatthe
two
standard
sdro
oloselvin
terrelated,
audreferivd
recailier
ti ibunalsthat
hadfound
thatthe
obhgationet
fullproteuron
audsov
ni
insvas
hrvavliei
hecaun’i be
iuvestm
en
tss
as
suhevi
tonuniarr
.tlldIn
ov
1tiitable
tieatm
viin,ts
ull
iIlvO
cczvIenia/i’
L’utlul(/O
r0,1
50.
til’,veliv
ers
yis’.
teund
i1,11
bi(‘,lv
ivil
ItiliIrie
vin
’n
aud
seeu
ritv
cau
ses
abreavlu
etih
eta
:raud
equtiabletle
atln
erll
si,irivlatvl,is
111W
enai
I’ypi.
Ihetribunal
inA
zu,,xtu
rther
potlite
vi
Ottn
i hatru
ilIvapplivahiv
trearyhetsseen
rheU
uttedS
tate
sau
dA
rgv’trtuuailie
tssoo
bIiatiu
ns
ei(ull
piu
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tattaudev1uiia
bie
ite.lilile
nt
arv’
sup
.0.llv
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livi
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tbetreats
apphedin
thalo
renreu
lioned
()cidinial
aw
ard
.Ibe
iribnitu,rluuutrved
thar,neveriheless,
div
viulaijensof
thefri li
pte
tdon
arrdsev
ur
ttsstand.iid
is
utnsi&red
absorbedin
dsv’u
ufair
audiurquiiablv
tlv’arm
elit
iniliv
0:11v’ilal
award.
IheAzurzxasvard
alsedues
so,ag
din
111s1iite
eithe
werduug
ettiiv
’trydis,
which
consadersibe
wo
sta
uv
lards
.issep
drate
.5
‘iheline
oftlioughiut
tlieatureineuttriuvd
0’
Idt
lltlijWarvi
Isili.t
ito,
stahtliivef
theIegal
aud
hu.siues.sl’rarnesserk
isan
essetuial
element
oftitt
oblrgatiertto
avcordro
theinvesim
cmi,tatr
and
vvjuitabletreatm
vni.
IIhe
tinbumr.iIv’stahlislsed
thatthcre
badbeen
.iV
aelationtil
[hota
llaudev1uit.ab
leire.li
111cm
ellilgateie
.undaihrm
edrilat
libecom
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to.tddii
toll
tirery’SS
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.1bre
av
iotm
ilpretevtion
audseL
ti ruy, as
atreat
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mo
r1,11r
audev
vrrtaile
,itttri—
maticaliy
entaiisan
abseuve
etfull
pretevdon
audS
tv11111
ei
the1115v
sirst
nt
Aceording
totbe
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, n,tdur’,.rItvration
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iv!1’
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Seclirity
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invond
Phyzcal Safetyi 4
9
protestto
iaudxxiii
iiiaud
toasxotd
fairaud
cqtmahle
iteatmeu
tastw
ose
para
te
itittda
dsI1t
s losetcLit
ishiphstsscen
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itaudatclof
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rote
t.tion
audss’s
ut
tiattd
ht.o
ltitgatio
ttto
at.s otdla
i1
klequttable
i reatmeni
ispointed
(titta R
oiti
iht.I
iI6
iIn
lay
assard,ihat
liids
thatonly
exceptionallyw
illthe
standatdix
islatt.dto
ahroads’r
attihitthan
tht.phvsical
set.uritas
iheafore
metitiotis
d(
idiparttal assatd
hadpostuL
itsdaud,
insush
ase,therew
ouldbe
ss’ii
st.slattoti
tothe
lattaud
squiuble
treatmeut
ob
ligatio
n.
89
‘Iheaw
ardalL
iitis’dili is
inpent.tal
terussaud
didnot
seemto
attachparticuhir
import
ant.cx
ihs
dflerettse
inssoidiiig
hetweeu
ihetreaty
appliedin
theC
/vl[aw
ard(sshen.
Itil
g0k
stm
iiaud
seur
iiiis
isp
es
iRat ton
offair
audequitable
treatm
ent)a tid
iLetieats
appltsabktti
i be
I’I’6
case(w
hersthe
two
standardsare
sepatatsobhpations).
Ilit.uitits
dii
todtstttiguisht
ixlw
eeum
ctw
ostaudards
isevidern
a6oin
titeahxads
tnenttonedassard
itiis
nuu
ti
Aii’,ir,n
aihat,
alsobased
onthe
word
ingol
iti
u,
s xplis1tI
appitesi be
ilauda
idof
proteetionto
thelegal
securiii
iatusriL
into
i be
ilissisal
sesutiti
ofihe
tnvestment,
Renegotiat
ion
of
thet,o
ntl
at.Is
loititt.
soLputpose
oltedusiug
iheprise
audw
ithoutany
declar-atx
nof
puititstu
tets
st,delaied
ga>
ment
wi
houtauy
basison
thecontract
ortitt.
applisaLle
ispiilattott.ot
dstiiaiof
assessto
administrative
filesfor
fihingan
appealall
tixse
lotmi
olbehaviour
att.’deeiued
toviolate
boththe
standardof
fairaud
squ
tabletit.atm
eutaud
ihatol
fullg
otectionaud
securityY°
‘Thetreaty,
hovvesst
ptoidt.
ilot
lati
audequitahle
trentment
audfull
protectionaud
legales
urtii
istss
xpatats’
taudamds;
ihetithttt
nifa
iisto
elaborateon
thedistinc
tioiiii
ihislic
at
lxtiiss’tI
tlietw
ostandatds,
\lso,ih
s’(
SOl1
asvaidutade
nefe
teu
se
toI.
iiaud
equitabletieatm
entandfull
gii ite
siton
tid
ses
ut
iti ogs’tlx
idtin
spilt.’
oft be
appi icabletre
aty
ihatpro
vid
es
lottiso
spatut.
obhigatmous.
litt.pat
tiilassitd
issmts’t.iin
(‘mil
i(
IR
cpubliclailed
todistitsguish
ilietimli
piotssti
inaud
ss’sutitilioni
otlxistaitdirds,
audsaw
tbesam
eastiotis
andin
is tionstitt
stedto
t eniose
tIme isstinn
audIegal protestion
ofthe
investmentas
i basislot
thsslatin
lotexpropi
lamaud
equitahletreatrn
ent,
9discrim
’inatt.
nim
s’asut.
iaud
lithlplots’s
imonaud
sesitntty’t5
‘liteoverlap
between
thest,nsl,iisi’,
igossihhs
s’xplaiueslin
viessof
titt.’applisabie
Bl’l’that
considersthe
ibli‘attoti
tostisuts’
Itmllgiolesim
onaud
5sst
ty,ts
aspecific
atio
nofthe
standardit
lattaud
s’1itti,iblstts’atm
s’nt
6i
,tt
t,‘
Ifl!
ilti
fl6
tidO
S4$)
5a
i/
bt.
ti
i/‘
i,tlsj’,s
tt,i
6I’)
i’i
iI
pi
ththi
soiis’t,tm
,s’ni
tPsl
Ini
md
s’qsttt,thIsin
arm
eni.
‘iheV
ivendivArgenrina
llaward,finally,suhoidiuated
tbesiaudaid
olliii!gro
tectionand
securityto
tbeprinsipie
offiii
andequm
tabietieatm
eut.lhe
standardis
saidto
applyto
auyast
on
measitre
sshit.lidepnisss
aniusestor’s
i nyeIm
t.in
ofprotection
audsesunity,
providedmi
son
.slitittes
alsouulaii
audmmit.t.i uiablc
ireatmen
t.9
6‘Ihis
isexphisitly
hast.don
utespesilis
siotdingof
thseticaty,
whit.b
suhjecin
theobligation
togiovide
fullprotes
t monaud
set.u
tiii
totitt.
gitts ipit.
olIdirand
equitabietreatinent.
Aften
haviugaisesset.ItIiis
iutenielatiouship[sstsses’n
thetw
ostandards,
theassard
ignotedthe
standardol
fullp
tote
slio
naud
st.’surttyaud
nteasuredthe
State’shehaviour
i.xc lusisel>agam
nstibe
gi ineipls’
olfai
iaud
equitabietreatm
ent.
9’‘Ihe
ovenlapof
tbei w
osta
ndard
s,in
50115lusmon,
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lite
wording
oftbe
ireatyouly
inille
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audin
titt.ienende
lIsan.
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awards
havesim
plydisregarded
thatute
respesiRe
i teatieslisted
lItem
ostand—
ardini
two
separateobligatton
iandhast.
tie,iiedi bent
aset.iu
ivaie
nt,”
As
alreadyseen,
soineaw
ard
sopenly
alhrmi hat,
iltite
ttitt.iple
olLiii
audequitable
treatment
basheen
violated,ubers’
isuo
ued
tot. stablisb
inat.it.iim
tona
violationof
tIteprovision
onfull
gimiles
tion
audse
sunimy.(‘Itbei,mnands
donot
statethis
expressiybut
neide,frc’ro
inassordause
witb
thisappioat.It,
iatlmug
aspectfic
elaborationm
ittwhat
exat.ml>diiim
npuisbesomie
stattdatdftoum
liteotbsn
rnakestbe
standardoffuli
pro
testio
naiit.Isecuiity
tedutidaut,as
itis
imot
imis
tbie
toidentify
whish
asnonsor
ontissioims
uta>sonslitu
tt.v
iolatm
oii
ilteneI
on,in
indepetidentbasis.
Aiio
nen
combai
Anorher
situationw
hcreoscaslonally
awatds
basesbossn
tmnsc’nt,tint
inlite
choiceof
wbich
treaty’provision
toapply,
isw
henube
pbysisaldam
tiagsto
thein
vesto
ris
dncto
armited
action.In
tbesssast.’s,
ihert.’m
aybe
ahnl,
tothc
piosi
sionsthat
thctreaties
rnaycontain
ondam
agesdutc
toat.
iion
int.om
bau.‘lhuis,
them
ajorityin
AM
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olR
is,Si,us
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inthe
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titt.pitvision
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hat,or
inh
oth
d9
Iheseaiiei uatist.’
basessin
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ute
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wbo
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io
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ipecea/e
ailmau
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ibetuic
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