A/HRC/33/40
(b)
Lone Pine Resources Inc. v. Canada, concerning a precautionary fracking
moratorium enacted in Quebec;
(c)
Vattenfall AB and others v. Germany (2009), concerning the imposition in
Hamburg of environmental standards for water use at a coal-fired power plant;
(d)
Vattenfall AB and others v. Germany (2012), concerning the decision of
Germany to phase out nuclear energy;
(e)
TransCanada Corporation and TransCanada PipeLines Limited v. The
United States of America, in connection with President Obama’s decision to oppose
building the controversial Keystone XL pipeline as part of the commitment of the United
States to tackle climate change;
(f)
Cosigo Resources, Ltd. and others v. Colombia, concerning denial of a
permit to mine in the Amazonian rainforest. Colombia is being sued for $16.5 billion in
“lost profits.”
46.
Moreover, the same type of cases already decided by investor-State dispute
settlement arbitrators in favour of corporations could be filed under the proposed
investment court system, including:
(a)
William Ralph Clayton and others v. Canada, concerning an environmental
impact assessment that prevented the construction of a large quarry and marine terminal in
an ecologically sensitive locality;
(b)
Metalclad Corporation v. Mexico, concerning the denial of a permit for a
toxic waste deposit.
47.
Those cases raise both human rights and constitutional questions. Can a State
constitutionally allow such interference with its policy space? Can a State repudiate its duty
to take precautionary measures, demand human rights, health and environmental impact
assessments,38 regulate taxation or raise the minimum wage? The State has a constitutional
obligation to protect the population not only from an invading enemy army but also from
private actors, including monopolies, cartels and corporate predators. The State has the
obligation to prohibit certain business activities in order to protect the lives and welfare of
the population. No State can turn its back on independent, transparent and accountable
public courts.
48.
Another question concerns the legal effect of the consent purportedly given. Have
States that ratify bilateral investment treaties and free trade agreements effectively given
consent to the run-away jurisdiction of investor-State dispute settlement or the investment
court system? Is consent perfected or only inchoate? There is a peremptory norm of
customary international law that jurisdiction is based on consent. That norm is based on the
practice of sovereign States.
49.
To illustrate that point, it is instructive to recall that the jurisdiction of the
International Court of Justice is not universal or automatic, but conditioned on a declaration
given by the State pursuant to Article 36 of the Statute of the International Court of Justice.
That declaration of consent can also be withdrawn. Two or more States can consent to the
jurisdiction of the International Court of Justice by ad hoc compromis. Yet another
possibility of establishing jurisdiction is through treaty clauses, by virtue of which a State
undertakes to accept the jurisdiction of the Court. Over 300 treaties contain such clauses,
38
GE.16-11938
Guiding principles on human rights impact assessments of trade and investment agreements; James
Harrison and Alessa Goller, “Trade and human rights: what does ‘impact assessment’ have to offer?”,
Human Rights Law Review, vol. 8, No. 4 (2008), pp. 587-615.
11
Select target paragraph3
Connect to a paragraph
Connect to an entity
Disable highlights
Add to table of contents