The European
Federation for Investment Law and Arbitration (EFILA), on the occasion of celebrating
a decade of its repute as a major think tank for international investment
arbitration, hosted its Annual Conference in London this year. Several
prominent thought leaders and practitioners gathered to discuss and deliberate
on multifarious trends permeating the realm of investment law and arbitration
amidst the current geo-political climate of sanctions, tariffs, political
upheaval, and new emerging blocs of global trading powers. Central to the
discussions was the European Union’s (EU’s) continued stance against the
Investor-state Dispute Settlement (ISDS) regime in the aftermath of the Achmea
and Komstroy rulings, and its consequential gargantuan effects on the
investment community worldwide, with gradual unwavering attitudes from the
non-EU courts. Other intriguing themes included the recent revamp of the Energy
Charter Treaty (ECT), the urgent call to integrate climate and environmental
considerations into investment frameworks, and the emergence of new treaty
standards and alternatives to arbitration to tackle the current global
challenges. Collectively across the keynote speech and panel discussions,
participants emphasized that the legitimacy and effectiveness of ISDS hinged on
its adaptability to geopolitical disruption, climate imperatives, political
upheavals, shifting treaty practices, and the evolving demands of a fragmented
but interconnected international order.