Water-Related International Investment Disputes: A Fresh Look at Bayview Irrigation District v. United Mexican States

Abstract

Water is one of the most vital resources on Earth. Furthermore, agricultural, industrial, environmental, recreational, and domestic uses of water all require fresh water in one form or another. Earth's exceedingly limited supply of fresh water, however, has led to countless water-related disputes. There are many theories on how best to combat water dispute problems; however, finding the complete solution has proven elusive up to this point. A front-runner, at least at the international level, is the idea of commoditizing fresh water as a good and subjecting it to international trade laws. However, the idea of regulating fresh water using international law raises many important questions. Of particular importance: To what degree should the North American Free Trade Agreement (NAFTA) apply to water disputes at the domestic and international level? The answer to this question has the potential to have far-reaching implications for water dispute issues in North America, as well as the rest of the world. Specifically, NAFTA's effect on fresh water flowing throughout Canada, the United States, and Mexico would create a significant impact on international investment disputes, as well as regulation of fresh water resources at all levels. The article addresses this increasingly important issue through a studied analysis of Bayview Irrigation District et al. v. United Mexican States.