Azurix Corporation v Argentina, Award, ICSID Case No ARB/01/12, IIC 24 (2006), 23rd June 2006, despatched 14th July 2006, United Nations [UN]; World Bank; International Centre for Settlement of Investment Disputes [ICSID]
Whether the standard of fair and equitable treatment under the Treaty Concerning the Reciprocal Encouragement and Protection of Investment (14 November 1991) Senate Treaty Doc 103–02, entered into force 20 October 1994 (“Argentina–US BIT’, ‘BIT’) entails obligations for Argentina which are additional to those required by the minimum standard of treatment of aliens under customary international law.
Whether the standard of ‘full protection and security’ merely provides for the guarantee of the physical security of the investor; or whether it is broader and protects investors against the instabilities of legal and business environment.
Whether the arbitrary impairment standard under Article II(2)(c) of the BIT requires a showing of bad faith, or whether it is an objective standard.
Whether Argentina's actions were tantamount to expropriation.
Whether the failure of Argentina's water regulatory authority to publish its regulations was a breach of Argentina's obligation to act transparently under Article II(7) of the BIT.
Whether Argentina breached Article II(2)(c) of the BIT (umbrella clause) which required it to ‘observe any obligations that it had entered into with regard to investments’ when there was no direct contractual relationship between Argentina and Azurix.
Whether the standard/measure of compensation for expropriation cases, involving fair market value, could be invoked in a case involving breaches of non–expropriation standards of treatment, such as fair and equitable treatment.