Common use of Treatment of Investors and Investments Clause in Contracts

Treatment of Investors and Investments. 1. Subject to its legislation, each Party shall, in its territory, encourage and endeavor to create favorable conditions for investments by investors of the other Party and shall admit such investments. 2. Each Party shall accord in its territory to covered investments of the other Party and to investors with respect to their covered investments, fair and equitable treatment and full protection and security in accordance with paragraphs 3 through 7. 3. A Party breaches the obligation of fair and equitable treatment referenced in paragraph 2 if a measure or series of measures constitutes: (a) denial of justice in criminal, civil or administrative proceedings; (b) fundamental breach of due process, in judicial and administrative proceedings; (c) manifest arbitrariness; (d) targeted discrimination on manifestly wrongful grounds, such as gender, race or religious belief. 4. For greater certainty, "Full protection and security" refers to the Party's obligations relating to physical security of investors and covered investments. 5. For greater certainty, the "Full protection and security" standard does not imply, in any case, a better police protection than that accorded to nationals of the Party where the investment has been made. 6. For greater certainty, "Full protection and security", should not require in any case the treatment in addition to or beyond that which is required by applicable customary international law regarding treatment of aliens. 7. For greater certainty, a breach of another provision of this Agreement, or of any other international agreement, does not constitute a breach of this Article.

Treatment of Investors and Investments. 1. Subject to its legislation, each Party shall, in its territory, encourage and endeavor to create favorable conditions for investments by investors of the other Party and shall admit such investments. 2. Each Party shall accord in its territory to covered investments of the other Party and to investors with respect to their covered investments, fair and equitable treatment and full protection and security in accordance with paragraphs 3 through 7. 3. A Party breaches the obligation of fair and equitable treatment referenced in paragraph 2 if a measure or series of measures constitutes: (a) denial of justice in criminal, civil or administrative proceedings; (b) fundamental breach of due process, in judicial and administrative proceedings; (c) manifest arbitrariness; (d) targeted discrimination on manifestly wrongful grounds, such as gender, race or religious belief. 4. For greater certainty, "“Full protection and security" ” refers to the Party's ’s obligations relating to physical security of investors and covered investments. 5. For greater certainty, the "“Full protection and security" ” standard does not imply, in any case, a better police protection than that accorded to nationals of the Party where the investment has been made. 6. For greater certainty, "“Full protection and security"”, should not require in any case the treatment in addition to or beyond that which is required by applicable customary international law regarding treatment of aliens. 7. For greater certainty, a breach of another provision of this Agreement, or of any other international agreement, does not constitute a breach of this Article.