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The Jurisdictional Maze: Dual Nationality in International Investment Arbitration
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p class="MsoNormal"Investors initiating investment arbitration against a host
state must satisfy a series of prerequisite conditions, one of which includes
being a qualified investor protected under the investment treaty. In cases of
dual nationality, determining which nationality is applicable in investment
arbitration can be highly complex. This complexity arises because most
international investment agreements (IIAs) need to clearly define whether individuals
with dual nationality are eligible to qualify as investors. A significant issue
is balancing protecting investors’ rights and respecting states’ sovereignty.
Principles such as the‘effective nationality’exemplified in the Nottebohm case
play a crucial role in addressing dual nationality issues by highlighting the
importance of the tangible connection between individuals and their countries
of nationality. This article takes the dispute points in the International
Centre for Settlement of Investment Disputes (ICSID) case of Hussein Nuaman
Soufraki v. The United Arab Emirates (UAE) as an example. It discusses the
different cases of different arbitral institutions and recent cases. These
results suggest the need for more precise guidelines and more consistent
application of principles to address dual nationality issues in the future.
Future research should focus on developing unified criteria for nationality
determination and exploring the implications of nationality issues in emerging
investment scenarios.o:p/o:p
Title: The Jurisdictional Maze: Dual Nationality in International Investment Arbitration
Description:
p class="MsoNormal"Investors initiating investment arbitration against a host
state must satisfy a series of prerequisite conditions, one of which includes
being a qualified investor protected under the investment treaty.
In cases of
dual nationality, determining which nationality is applicable in investment
arbitration can be highly complex.
This complexity arises because most
international investment agreements (IIAs) need to clearly define whether individuals
with dual nationality are eligible to qualify as investors.
A significant issue
is balancing protecting investors’ rights and respecting states’ sovereignty.
Principles such as the‘effective nationality’exemplified in the Nottebohm case
play a crucial role in addressing dual nationality issues by highlighting the
importance of the tangible connection between individuals and their countries
of nationality.
This article takes the dispute points in the International
Centre for Settlement of Investment Disputes (ICSID) case of Hussein Nuaman
Soufraki v.
The United Arab Emirates (UAE) as an example.
It discusses the
different cases of different arbitral institutions and recent cases.
These
results suggest the need for more precise guidelines and more consistent
application of principles to address dual nationality issues in the future.
Future research should focus on developing unified criteria for nationality
determination and exploring the implications of nationality issues in emerging
investment scenarios.
o:p/o:p.
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