A/HRC/33/42 44. In Glamis Gold v. United States (2009), an arbitration panel found against the company, which had been refused access to a sacred area of the Quechan tribal nation. The decision hinged on the tribunal’s position that its role was to assess if the customary international law standard of fair and equitable treatment had been breached and not to assess if the State had fairly balanced the competing rights of the Quechan nation and the company. It held that the State had been justified in relying upon the opinion of the professionals it had engaged and that, as the investor’s expectations had not been induced by the State in a quasi-contractual manner, they did not trigger a treaty breach. The decision also pointed to the significance of the highly regulated environment in California with respect to environmental measures in general and mineral exploration in particular, which should have tempered the investor’s expectations. The tribunal accepted the Quechan amicus submission but did not engage with its argument that international human rights law as it pertained to indigenous peoples was applicable in the case. 45. In Grand River Enterprise Six Nations, Ltd. v. the United States (2011), a tobacco company owned by members of the Canadian Haudenosaunee nations challenged measure taken by the United States. One of the issues raised by the company was the absence of prior consultation in relation to some of the measures. While finding that no expropriation had occurred, the tribunal stated that it may well be that there does exist a principle of customary international law requiring governmental authorities to consult indigenous peoples as collectivities on governmental policies or actions significantly affecting them. As the enterprise was owned by individuals, the tribunal held that it did not have to address the issue of prior consultation. It did, however, add that a good case could be made that consultations should have occurred with governments of the native American tribes or nations in the United States, whose members and sovereign interests could, and apparently are, being affected by the measures to regulate commerce in tobacco.12 46. In the Permanent Court of Arbitration case South American Silver Mining v. the Plurinational State of Bolivia, the company is seeking $387 million for the alleged expropriation of 10 mining concessions and violations of fair and equitable treatment, pursuant to the bilateral investment treaty between the United Kingdom of Great Britain and Northern Ireland and the Plurinational State of Bolivia. The company holds that it made legitimate efforts with the communities to achieve an overall consent and that opposition to the project is from a small group of illegal miners and certain indigenous organizations, with the Government fomenting conflict. It argues that the communities have repeatedly requested it to move forward with the project, and alleges that the Plurinational State of Bolivia failed to provide full protection and security, noting its “patently unreasonable” decision not to prosecute indigenous leaders, given the implications for its investment. 13 47. The Plurinational State of Bolivia responded that: (a) it had acted in the public interest and had been justified in reverting ownership to the State in accordance with the principles of proportionality and necessity, to avoid security concerns arising out of indigenous peoples’ opposition to the project and to restore public order; (b) it was enforcing domestic legislation that should have tempered the company’s legitimate expectations, as the State made no commitment to stability; (c) the project violates rights recognized in the United Nations Declaration on the Rights of Indigenous Peoples; (d) the company had attempted to fabricate consent in total disregard for the right to selfgovernment of the concerned indigenous peoples; (e) the bilateral investment treaty had no applicable law clause, so there should be “systemic interpretation” in accordance with article 31 (3) (c) of the Vienna Convention on the law of treaties, including human rights 12 13 See Grand River Enterprises Six Nations, Ltd. v. United States, paras. 210 and 212, available from www.state.gov/documents/organization/156820.pdf. See notice of arbitration and claimant’s reply, available from https://pcacases.com/web/view/54. 11

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