Courts of Other Economic Communities: NAFTA

Abstract

This chapter focuses on investment arbitration disputes under the North American Free Trade Agreement (tNAFTAt or the tAgreementt), a multilateral agreement between Canada, the United Mexican States, and the United States of America. NAFTA Chapter 11 provides investors of each NAFTA Party who seek to make, are making, or have made an investment in the territory of another NAFTA Party with the ability to commence an arbitration against that other Party, on their own behalf or on behalf of their investment, for damages incurred as a result of breaches of certain obligations. This chapter analyzes the procedures applicable to NAFTA Chapter 11 claims and the arbitration cases that have been decided to date under the Agreement. The NAFTA also has influenced the recent development of investor-State arbitration. With a number of Chapter 11 cases currently pending against each NAFTA party, the NAFTA should continue to impact international arbitral practice. Keywords:international arbitral practice; investor-State arbitration; North American Free Trade Agreement (NAFTA)