ARE THERE VIABLE ALTERNATIVES TO INTERNATIONAL INVESTMENT ARBITRATION?

Abstract

Abstract: If a state intends to have a credible policy concerning the protection of its outward foreign direct investment without resorting to arbitration, this state is supposed to find ways of settling eventual investment disputes. Hence, the analysis of alternative methods to arbitration, a costly and unpredictable procedure, becomes important. In addition, the investigation of these alternative methods is warranted because UNASUR countries are currently negotiating the creation of a mediation center for settling investment conflicts. Thus, this paper will scrutinize the most common types of alternative methods to international investment disputes. This study will hence demonstrate that these alternative methods may become an interesting option to developing countries that have become exporters of investment and intend to protect this investment.