Commercial
Arbitration
We are experts in investment arbitration, also known as Investor-State Dispute Settlement (ISDS). This advanced mechanism allows for the resolution of disputes between foreign investors and the host states. Originally designed to address conflicts that historically generated political and economic tensions due to issues of national sovereignty and strong economic interests, the system has expanded globally to facilitate greater capital flow between economies.
In the case of Mexico, Investment Arbitration is widely established, with nearly 30 Bilateral Investment Treaties (BITs) signed and approximately 13 Free Trade Agreements, most of which include an investment chapter. The most common protections in these international instruments include National Treatment and Most-Favored-Nation Treatment, protection against direct or indirect expropriation without compensation, transparency and predictability of the legal framework, access to investment arbitration, prohibition of performance requirements, repatriation of capital, umbrella clauses, among others.
Due to the nature of these disputes, they typically begin with administrative and/or legislative actions by the State that undermine the economic interests of foreign investments in Mexico. Therefore, attention to such disputes starts early, carefully managing every aspect of domestic administrative litigation until it becomes an investment arbitration.
Our lawyers have the experience to identify and address investment disputes at an early stage to prepare the best legal strategy for investment arbitration. As part of the services we offer, in addition to legal representation, we assist clients with financing the dispute through external funders.