Reform of the rules of arbitration in the framework of the dispute settlement system between foreign investors and states

Abstract

The author's interest in the topic of the article is caused by the fact that in the conditions of the new geopolitical reality, international investment relations are changing very quickly, in connection with this, risks are increasing and therefore there is a need to strengthen the protection of the rights of foreign investors. In this article, the author examines important problematic issues of the autonomous system of dispute settlement between investors and states created by the Washington Convention of 1965. Since 2017 under the auspices of the UN Commission on International Trade Law, this system is being reformed in the direction of increasing the efficiency of its functioning. It concerns important aspects of this system and is aimed at improving the rules of arbitration procedure, improving the quality of work of arbitrators, strengthening the validity of decisions made by arbitrators on disputes, modernizing the procedure for financing disputes by a third party and ensuring its legal regulation by relevant legal acts, two such acts have already been developed and are currently being discussed by delegations of States and representatives of international organizations: Code of Conduct for Arbitrators and Regulation on the Financing of a Dispute by a Third Party.

Comparing the provisions of these documents with each other and with existing legal acts, the author comes to the conclusion that their implementation in the Arbitration Rules will contribute to improving the efficiency of judicial proceedings, increasing the role of arbitrators in managing all the mechanisms of the judicial process, speeding up the terms of dispute resolution and reducing the cost of procedural costs.