Sanum V. Lao Government Case Study

With the continuous growth of investment and trade between China and foreign countries,international investment disputes are frequent.After three rounds of repeated arbitration by the arbitral tribunal in the case of Sanum V.Lao government,the final court ruled that the sino-laos-Bit could be applied to Macao until the case was concluded.The development of this case is tortuous and repeated,and it is difficult to draw a conclusion.It shows that there is no clear and definite definition whether the BIT can be applied to Hong Kong and Macao.In this case,the application of the expropriation compensation clause is also one of the issues that need to be resolved.Treaty interpretation plays an extremely important role in solving this problem.Treaty interpretation can be said to be an important and complex issue of international law.With the trend of globalization,the number of treaties is increasing.The importance of the role of treaty interpretation in the international legal order is therefore obvious.The purpose of this paper is to explain the principles of treaty interpretation from the point of view of treaty interpretation,the method of treaty interpretation and the principles of treaty interpretation This paper provides some suggestions on the difference between Chinese and foreign BIT application in Hong Kong and Macao as well as the application of expropriation compensation clause in bilateral treaties.The first chapter mainly explains the basic situation of Sanum V.Laos.Firstly,the paper expounds the background and progress of the case of Sangum V.Lao government.Secondly,it draws out the focus of the dispute of whether the sino-foreign BIT and the expropriation and compensation arbitration clause can be applied to Hong Kong and Macao.Chapter two makes a legal analysis on the applicability of the chinese-foreign BIT in Hong Kong and Macao--Whether the old BIT can be applied to Macao.First of all,the author makes a theoretical analysis of the two viewpoints of supporting the application of chinese-foreign BIT in Hong Kong and Macao and not supporting the application of chinese-foreign BIT in Hong Kong and Macao,in the end,it is concluded that the old BIT is not applicable to Hong Kong and Macao,and it is not applicable to the legal basis of the "subsequent interpretation" method.The third chapter mainly analyzes the second focus of Sanum V.Lao PDR--whether or not it can enlarge the interpretation of the expropriation compensation arbitration clause.Firstly,it introduces the Arbitration Tribunal’s interpretation of the middle-old Bit Expropriation Compensation Clause;secondly,it combines the Most favoured nation clause with the applicable rules of the expropriation compensation clause under the principle of effective interpretation,and concludes that the early expropriation compensation arbitration clause should not be extended;Finally,the author proposes China’s countermeasures when iias make a broader interpretation of this issue.The Fourth Chapter Mainly Studies the Enlightenment of the Sanum V.Lao government case to China.The author studies the two wrong arbitration results,that is,the arbitration tribunal applied to Hong Kong and Macao to the sino-lao BIT and extended the interpretation of the expropriation compensation arbitration clause,this paper puts forward the solution to the problem of whether the BIT can be applied to Hong Kong and Macao in the future,and provides the countermeasures for the levying compensation system in China’s bilateral investment agreements from the aspects of clarifying the treaty interpretation and refining the legal provisions.