Comments On The Extended Application Of The MFN Clause In ICSID Arbitration

In recent years , more and more the most favored nation clauses(MFN clause) are applied to dispute settlement proceedings in Intemational Centre for Settlement of Investment Disputes(ICSID)practice. Traditionally,MFN clause emphasized on the protection of the substantive rights while recently it begins to expand to protect the procedural rights and this leads to the expansion of the ICSID jurisdiction. However,experts both domestic and abroad have different opinions on whether should the MFN clause be expanded to apply to investment settlement of disputes to arbitration. I try to explain and analysis this problem and propose some countermeasures.Besides preamble and conclusion,the dissertation comprises three chapters:Chapter 1 mainly introduces basic content of the history,definition and the applicable conditions of the MFN clause,then introduces the MFN clause in international investment treaties and its latest development in ICSID arbitration practice.Chapter 2 as MFN clause has already been applied to dispute settlement proceedings in the early years of the 21st century, this chapter will quoet some cases to propose my views. Of these cases,those support MFN clause to be applied to dispute settlement matters are Maffezini V. Spain and Siemens V. Arfentina,and those objection ones are Plama V. Bulgaria and Salini V. Jordan.First I will analysis and make some comments on these two different views,and then try to discuss the pros and cons on trend that MFN clause applied to dispute settlement matters.Chapter 3 introduces the status quo of foreign investors that invest in China as well as China invests abroad, and discuss whether the expansion of MFN clause applied to dispute settlement proceedings which would lead to the expansion of the jurisdiction of ICSID would cause negative effects to China,if it does have bad influence,I would try to propose some Countermeasures to solve these problems.