Towards a bumpy ride into the sunset: on the mutual termination of IIAs and their sunset clauses

Abstract

Abstract Sunset clauses in International Investment Agreements (IIAs) have recently become the subject of renewed attention after the European Commission and European Union (EU) Member States announced their intention to abrogate sunset clauses found in intra-EU IIAs as part of their plan to end existing intra-EU IIAs. Sunset clauses (or survival clauses) are provisions commonly found in IIAs that extend their application for a given period of time after their termination. This article reflects on the consequences of terminating IIAs and simultaneously depriving sunset clauses of their legal effects, and explores how investors could nonetheless attempt to bring disputes arising out of their investments before arbitral tribunals.