Europe's High Court Nixes Intra-EU Arbitration Under ECT

By Caroline Simson (September 2, 2021, 6:08 PM EDT) -- Europe's highest court on Thursday struck down an arbitration provision in the Energy Charter Treaty for disputes within the bloc, resolving a long-running controversy that arose after the court's 2018 ruling concluding that arbitration provisions in intra-European Union bilateral investment treaties are invalid under EU law.

As was widely expected, the European Court of Justice concluded that the arbitration clause in the ECT cannot be used to resolve disputes between the bloc's investors and EU member states since that might mean that arbitral tribunals would have to interpret EU law, which can only be legally done by an EU court....

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