ISDS and ESG: Friends or Foes?
Traditionally, investor-state dispute settlement (“ISDS”) has not been linked to Environmental, Social, or Governance principles (“ESG”). At least not explicitly. Nevertheless, a growing number of arbitrations revolve around matters like environmental permits, green incentives, the need for a “social license,” and corruption. Interestingly, these matters have arisen even in the absence of explicit ESG regulations…