Abstract

The EU concluded multiple FTAs that contain state to state dispute settlement mechanisms as tools of enforcement for the FTA provisions. In order for these mechanisms to be effective and disputes to be solved, the panel selection processes should not be prone to blockages and delays. It is recommended that the FTAs regulate in detail the scenario in which there are lists of arbitrators established, as well as the one in which they are absent or incomplete, so as to avoid any gaps that would leave space for potential delays and even blockages at this initial stage. It is also important to provide that in case of no agreement between the parties, preference should be always given to names proposed by both parties, if there are such names and the selection by lot, when necessary, could be performed by an authority not interested in blocking the process.

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