PRACTICE NOTES
Introduction
The practice of an investor from one EU Member State relying on intra‑EU bilateral investment treaties (BITs) and the Energy Charter Treaty (ECT) to bring arbitration against another EU Member State as the host has sparked substantial controversy in recent years. That debate has underscored the friction between protections afforded by EU law and those conferred under BITs and the ECT. As explained further below, this issue is now, for the most part, resolved as a matter of EU law. Yet, strikingly, in almost all intra‑EU investor‑state arbitrations (under either BITs or the ECT) to date, tribunals have declined to dismiss cases for lack of jurisdiction on the basis of the intra‑EU objection. As a result, many EU investors are pursuing enforcement of arbitral awards against EU Member States outside the EU, and many others are opting to seat
Arbitration