Abstract
The purpose of the MFN clause in the International Investment Treaty is to promote the interests of the parties, not to derogate from their interests. From the perspective of the investor's home country, the MFN clause to expand the international arbitration practice applicable to the international investment dispute settlement procedure has the advantages and disadvantages of the investor's home country, and the overall situation is more harm than good. Which will seriously affects the investor's home country's own understanding of the obligations under the investment treaty, and thus inevitably affect the investor's home country on their own contract in the international law of the legitimacy of the judgments and expectations.
Highlights
Most-Favored-Nation Treatment refers to the treatment of a person or a person who has a relationship with the beneficiary or has a definite relationship with no less favorable than that accorded to a third country or to a person who has a relationship with the above the treatment of things
Maffezini (Argentina), a foreign investor, argued that the MFN clause could be applied to the investment dispute settlement procedure and that it could invoke the provision to enjoy a more favorable treatment of the dispute settlement procedure given by the host country (Spain) to a third country
Most of the most-favored-nation clauses are applied to the procedural matters of investment dispute settlement, which makes the application of the traditional MFN clause, which focuses on the protection of substantive rights, to the expansion of procedural rights
Summary
Most-Favored-Nation Treatment refers to the treatment of a person or a person who has a relationship with the beneficiary or has a definite relationship with no less favorable than that accorded to a third country or to a person who has a relationship with the above the treatment of things. Maffezini (Argentina), a foreign investor, argued that the MFN clause could be applied to the investment dispute settlement procedure and that it could invoke the provision to enjoy a more favorable treatment of the dispute settlement procedure given by the host country (Spain) to a third country. Most of the most-favored-nation clauses are applied to the procedural matters of investment dispute settlement, which makes the application of the traditional MFN clause, which focuses on the protection of substantive rights, to the expansion of procedural rights This practice of the International Arbitration Tribunal has caused great controversy in the international community, reflecting the collision of different legal rights. From the legal point of view, the host country and the investor's home country in the International Investment Treaty provisions of the most favored nation clause is intended to promote the interests of all Contracting Parties, rather than derogating from their interests. The question raised in this paper is: What is the effect of applying the most-favored nation clause on the international investment dispute settlement procedure to the investor's home country? Is it in line with the legal expectations of the investor's home country contract?
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