Analysis

Intra-EU Arbitration Ruling Raises Question Of Response

By Caroline Simson (September 7, 2021, 8:16 PM EDT) -- A long-expected ruling last week from Europe's highest court conclusively barring the arbitration of disputes between member states and the bloc's investors has prompted important follow-up questions on how tribunals and enforcing courts outside of Europe will react.

The European Court of Justice on Thursday struck down an arbitration provision in the Energy Charter Treaty for disputes within the bloc, concluding that the clause could improperly allow arbitral tribunals to interpret European Union law without oversight from a European court. 

The ECJ relied heavily on the reasoning adopted in its seminal 2018 decision in the Achmea case — even reproducing a...

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