Annulment of International Arbitration Awards in the Light of foreign Investment Law

Subject Areas : علوم سیاسی

Tannaz Koohpaie ¹ , Mohsen Mohebbi ² , Saeed Mansouri ³

1 - South Tehran Branch
2 - Department of Law
3 - Department of Law, South Tehran Branch, Islamic Azad University, Tehran, Iran

Received: 2022-06-08 Accepted : 2022-08-23 Published : 2022-08-30

Keywords: Annulment, International Arbitration Awards, Foreign Investment Law,

Abstract :

With the spread of economic crises in recent decades, the number of disputes between the host government and the investor has increased. Mechanisms have been established to resolve these disputes, which maintain order and security in the international community. Among these mechanisms is investment arbitration. Arbitration decisions are final, binding and one-step. But sometimes the issued vote has such damages and defects that it needs serious correction and annulment. It seems that prescribing the implementation of such decisions is like participating in injustice. Therefore, the development of codified and consistent rules regarding annulment in organizational and case arbitrations, as well as the arbitration rules of countries, will lead to encouraging foreign investment. Regarding the annulment of arbitration opinions, their advantages and disadvantages, no written research has been done, and cases of annulment have only been mentioned during the writing of some books or articles, without the precise interpretation of its existence. Especially, despite the importance and effect of Article 52 of the ICSID, the framework of this article has not been accurately calculated in arbitration procedures. Therefore, according to the philosophy of arbitration, the cases of revoking the vote should be limited to specific cases so that the vote is not swayed due to the non-compliance of minor matters. It should be kept in mind that the request to annul the arbitration opinion is not an obstacle or limitation of the arbitration and the purpose of these mechanisms is not to question the one-stage nature of the arbitration. In this research, it is tried to state that the purpose of establishing the revocation mechanism is not to weaken the arbitration procedure, but to create fairness and balance. Because it lacks causes the lack of transparency and accuracy of arbitration opinions, which is undeniable.