Kluwer: Can a Breach of Constitutional Law of the Host State Nullify Investment Protection? The Case of Energía y Renovación Holdings v. Guatemala

In investment arbitration, it is widely recognized that to benefit from the protection of an investment treaty, the investment must be legal. Tribunals assess this legality either because the treaty explicitly mandates it (e.g., Ecuador-Sweden BIT) or because the tribunal assumes this authority even if the treaty is silent (e.g., Worley v. Ecuador). In either...