Common use of Disputes between an Investor Clause in Contracts

Disputes between an Investor. and the Contracting State (1) Any dispute arising between one Contracting State and an investor of the other Contracting State concerning an investment by an investor of the latter in the territory of the former shall be settled amicably between the disputing parties. (2) If such a dispute is not solved amicably within six months following the date on which the dispute has been raised by either party, the Contracting States consent to submit the dispute to the International Centre for Settlement of Investment Disputes for settlement by conciliation or arbitration under the Washington Convention of 18 march 1965 on the Settlement of Investment Disputes between States and Nationals of Other States. If the parties to such a dispute have different opinions as to whether conciliation or arbitration is the more appropriate method of settlement, the investor shall have the right to choose. (3) For the purpose of this Article, any legal person which is constituted in accordance with the legislation of one Contracting State and in which before a dispute arises the majority of shares are owned by investors of the other Contracting State shall be treated, in accordance with Article 25 (2) (b) of the said Washington Convention, as a legal person of the other Contracting State.