Posted the: 2003-11-27 Numac: 2002015148 FEDERAL Foreign Affairs, external trade and development COOPERATION PUBLIC SERVICE July 19, 2002. -Law approving the agreement between the Belgo-Luxembourg Economic Union and the Republic of Armenia concerning the encouragement and reciprocal investment protection, signed in Brussels on 7 June 2001 (1) (2) (3) ALBERT II, King of the Belgians, to all, present and future, hi.
The Chambers have adopted and we endorse the following: Article 1. This Act regulates a matter referred to in article 77 of the Constitution.
2. the agreement between the Belgo-Luxembourg Economic Union and the Republic of Armenia concerning the encouragement and protection reciprocal investments, signed in Brussels on 7 June 2001, will release its full and complete effect.
Promulgate this Act, order that it self under the seal of the State and published by le Moniteur.
Given in Brussels, 19 July 2002.
ALBERT by the King: the Minister of Foreign Affairs, L. MICHEL Minister Assistant to the Minister of Foreign Affairs, Ms. A. NEYTS-UYTTEBROECK sealed with the seal of the State: the Minister of Justice, Mr. VERWILGHEN _ Notes (1) Session 2001-2002.
Documents. – Draft Bill, introduced on 12 March 2001, no. 2 - 1071/1.
-Report, n ° 2-1071/2.
Parliamentary Annals. -Discussion, meeting of April 25, 2002. -Vote meeting of April 25, 2002.
Documents. -Draft transmitted by the Senate, no. 50-1769/1.
Report, no. 50-1769/2. -Text adopted in plenary plenary and subject to Royal assent, no 50-1769/3.
Parliamentary Annals. -Discussion, meeting of 23 May 2002. -Vote meeting of 23 May 2002.
(2) see also the Decree of the Flemish Community of 19 July 2002 (Moniteur belge of 20 August 2002), the Decree of the Walloon Region of 13 November 2002 (Moniteur belge of 4 December 2002) and the order of the Brussels-Capital Region of 13 June 2002 (Moniteur belge of 12 July 2002).
(3) the exchange of the instruments of ratification took place on November 19, 2003. In accordance with the provisions of article 14 thereof, this agreement enters into force on 19 December 2003.
AGREEMENT between the UNION economic Belgo, of the first PART, and the Government of the Republic of Armenia, of other PART, concerning the ENCOURAGEMENT and the reciprocal PROTECTION of investments the Government Belgium Kingdom of, acting both on its behalf and on behalf of the Government of the Grand Duchy of Luxembourg, under existing agreements, the Walloon Government, the Flemish Government and the Government of the Brussels-Capital Region on one hand, and the Government of the Republic of Armenia, on the other hand (hereinafter referred to as the "Contracting Parties"), eager to strengthen their economic cooperation in creating favourable conditions for investments by investors of one of the Contracting Parties in the territory of the other Contracting Party, have agreed to the following: ARTICLE 1 DEFINITIONS for the purposes of this agreement: 1. the term "investor" means (: a) any natural person who, under the laws of the Kingdom of Belgium, the Grand Duchy of Luxembourg and the Republic of Armenia is considered a citizen of the Kingdom of Belgium, the Grand Duchy of Luxembourg and the Republic of Armenia respectively;
(b) any body corporate incorporated under the laws of the Kingdom of Belgium, the Grand Duchy of Luxembourg and the Republic of Armenia and having its registered office in the territory of the Kingdom of Belgium, the Grand Duchy of Luxembourg and the Republic of Armenia respectively.
2. the term 'investment' means assets, such as any direct or indirect contribution in cash, in kind or in services, invested or reinvested in all sectors of economic activity, whatever it is.
Are considered including, but not exclusively, as of the investments within the meaning of this agreement: a) movable and immovable property and any other real rights such as mortgages, privileges, liens, usufruct and similar rights;
b) shares, shares and other forms of equity in the capital of companies formed in the territory of one of the Contracting Parties;
c) obligations, claims and rights to all benefits with economic value;
(d) the copyright, the rights of industrial property, trade names and goodwill);
(e) public or contractual concessions, including prospecting, cultivation, extraction or exploitation of natural resources).
No change in the legal form in which the assets and capital have been invested or reinvested will affect their investment quality within the meaning of this agreement.
3. the term "earnings" means the amounts produced by an investment and in particular, but not exclusively, profits, interest, increases in capital, dividends or royalties.
4. the term "territory" means: (a) with regard to the Kingdom of Belgium and the Grand Duchy of Luxembourg, the territory of the Kingdom of Belgium, the territory of the Grand Duchy of Luxembourg, as well as the maritime zones, i.e. the marine and submarine areas that extend beyond the territorial waters of the State concerned and over which it exercises, in accordance with international law, sovereign rights and jurisdiction for the purpose of exploration exploitation and conservation of natural resources;
(b) with respect to the Republic of Armenia, the territory of the Republic of Armenia.
ARTICLE 2 PROMOTION OF INVESTMENT 1. Each of the Contracting Parties will encourage investment in its territory by investors of the other Contracting Party and admit such investments in accordance with its legislation.
2. in particular, each Contracting Party shall permit, in accordance with its legislation, the conclusion and performance of contracts and license agreements of commercial, administrative or technical, provided assistance that these activities have a report with the investments.
ARTICLE 3 PROTECTION OF INVESTMENTS 1. All direct or indirect investments made by investors of either of the Contracting Parties, shall enjoy on the territory of the other Contracting Party fair and equitable treatment.
2. subject to the measures necessary for the maintenance of public order, these investments will enjoy security and constant protection, excluding any unjustified or discriminatory measures that could obstruct the performance, in law or in fact, management, maintenance, use, enjoyment or the liquidation of such investments.
ARTICLE 4 DISPOSITION OF INVESTMENTS AND COMPENSATION Y RELATIVE 1. Each of the Contracting Parties undertakes to take no action of expropriation or nationalization or any other measures whose effect is to deprive the investors of the other Contracting Party of investments which belong to them its territory directly or indirectly.
2. If for reasons of public utility, security or national interest warranted a derogation from paragraph 1, the following conditions shall be met: has) measures taken under a legal procedure;
(b) they are not discriminatory or contrary to a specific commitment;
(c) they will be accompanied by provisions for the payment of compensation, in accordance with the legislation of each of the Contracting Parties.
3. the amount of compensation will correspond to the actual value of the investment on the eve of the day where measures have been taken or made public.
Such compensation will be paid in the currency of the State of which the investor is a national or in any other convertible currency. They will be paid without delay and shall be freely transferable. They shall bear interest at the normal commercial rate from the date of fixing their amount of their payment.
4. investors of one of the Contracting Parties whose investments have suffered damages due to war or other armed conflict, revolution, State of national emergency or revolt occurred in the territory of the other Contracting Party, will benefit, on the part of the latter, for treatment, with regard to the refunds, compensation, compensation or other damages, which shall be at least equal to that granted by the last contracting party to investors of the most favoured nation.
5. to the matters governed by this article, each Contracting Party shall accord to investors of the other Contracting Party treatment at least equal to that which it reserves on its territory to investors of the most favoured nation. This treatment is certainly not less favourable than that recognized by the General rules of international law.
ARTICLE 5 TRANSFERS 1. Each Contracting Party shall accord to investors of the other Contracting Party, after they are discharged their tax obligations, the free transfer of payments relating to an investment, and in particular: a) of monies intended to establish, maintain or develop the investment;
(b) amounts intended for the regulation of contractual obligations, including money for the repayment of loans, royalties and other payments arising out of licenses, franchises, concessions and other similar rights, as well as the salaries of expatriate staff;
(c) income from investments;
d) of the proceeds of the total or partial liquidation of investments, including gains or increases the capital invested;
compensation paid in pursuance of article 4.
2. natural persons nationals of each of the authorized Contracting Parties, in respect of an investment by an investor of one of the Contracting Parties, to work on the territory of the other Contracting Party, are also allowed to make transfers.
3. transfers will be made in freely convertible currency at the applicable at the date of these course to cash transactions in the currency used.
4. each Contracting Party shall issue authorisations necessary to ensure without delay the execution of transfers and without other charges as taxes and fees everyday.
5. the guarantees provided for by this article shall be at least equal to those accorded to investors of the most favoured nation.
ARTICLE 6 SUBROGATION 1.
If one Contracting Parties or a public body it pays compensation to its own investors under a guarantee given for an investment, the other Contracting Party will recognize that the rights of investors are transferred to the Contracting Party or the public body concerned, in their capacity as insurer.
2. as regards the rights transferred, the other Contracting Party may assert against the insurer subrogated in the rights of compensated investors, obligations that legally or contractually to the latter.
ARTICLE 7 rules applicable when a question relating to investments is governed by this agreement and by the national law of one of the Contracting Parties or by international current or contracted agreements in the future by the Contracting Parties, the investors of the other Contracting Party may avail itself of the provisions which are more favourable.
SECTION 8 AGREEMENTS INDIVIDUALS 1. Investments were the subject of a special agreement between one of the Contracting Parties and investors of the other Contracting Party shall be governed by the provisions of this agreement and those of this particular agreement.
2. each Contracting Party undertakes to ensure compliance with the obligations it has assumed in the investors of the other Contracting Party at any time.
ARTICLE 9 SETTLEMENT OF DISPUTES RELATING TO INVESTMENT 1. Any dispute relating to investments between an investor of one of the Contracting Parties and the other Contracting Party, will be of a written notification, accompanied by an aide-mémoire suffisammentdetaille, on the part of the more diligent party.
Insofar as possible, the parties will attempt to settle the dispute by negotiation, possibly involving the specialized opinion of a third party, or by conciliation between the Parties through the diplomatic channel.
2 the absence of amicable settlement by direct arrangement between the parties to the dispute or by conciliation through diplomatic channels within six months of its notification, the dispute will be submitted, at the choice of the investor, either to the competent court of the State where the investment was made, or to international arbitration.
To this end, each of the Contracting Parties gives early and irrevocable consent that any dispute is subject to arbitration. This consent implies that they waive require exhaustion of internal judicial or administrative remedies.
3. in the event of recourse to international arbitration, the dispute will be submitted to one of the bodies of arbitration designated below, at the option of the investor:-to an arbitration tribunal ad hoc, established according to the rules of Arbitration Commission of the United Nations for the International trade law (UNCITRAL);
-at the international Centre for the settlement of disputes relating to the investment (Repubic), established by the Convention for the settlement of disputes relating to investments between States and nationals of other States, opened for signature at Washington, 18 March 1965, when each State party to this agreement will be a member of it.
As long as this condition is not met, each Contracting Party agrees that the dispute be referred to arbitration under the rules of the additional facility of the Repubic;
-to the Court of arbitration of the International Chamber of Commerce, Paris;
-to the Arbitration Institute of the Stockholm Chamber of Commerce.
If the arbitration procedure was introduced on the initiative of a Contracting Party, this writing prompt the investor concerned to express their choice regarding the arbitration body which shall be seised of the dispute.
4 none of the Contracting Parties, a party to a dispute, will raise objection, at any stage of the arbitration enforcement of an arbitration award, the fact that the investor party opposing to the dispute, would have received an indemnity covering all or part of its losses in pursuance of a policy of insurance or the guarantee laid down in article 6 of this agreement.
5. the arbitral tribunal shall decide on the basis of the domestic law of the contracting party party to the dispute on the territory of which the investment is located, including the rules relating to conflict of laws, as well as on the basis of the provisions of this agreement, terms of any specific agreement about investment and the principles of international law.
6. the arbitration award shall be final and binding for the parties to the dispute. Each Contracting Party undertakes to execute sentences in accordance with its national law.
ARTICLE 10 treatment NATIONAL and NATION more FAVORISEE for all matters relating to the treatment of foreign investment, the investors of each Contracting Party shall enjoy, on the territory of the other Contracting Party, of the most-favoured-nation treatment.
In regards to the operation, management, maintenance, use, enjoyment, sale or any other form of disposal of investment, each Contracting Party shall accord its territory to investors of the other Contracting Party treatment which will be no less favourable than that it accords to its own investors or to investors of any third State, if this treatment is more favourable.
Such treatment shall not extend the privileges a Contracting Party accords to investors of a third State, under its participation or its association to a free trade area, a customs union, a common market or any other form of regional economic organization.
The provisions of this article shall not apply to tax matters.
ARTICLE 11 DISPUTES BETWEEN THE CONTRACTING PARTIES CONCERNING THE INTERPRETATION OR APPLICATION OF THIS AGREEMENT 1.
Any dispute concerning the interpretation or application of this agreement will be resolved, if possible, through the diplomatic channel.
2 the absence of regulation through diplomatic channels, the dispute will be submitted to a joint commission composed of representatives of both Parties. It shall meet at the request of the most diligent party and without undue delay.
3. If the Joint Committee may settle the dispute, it will be submitted, at the request of one or the other Contracting Party to an arbitral tribunal constituted for each individual case, in the following manner: each Contracting Party shall appoint an arbitrator within a period of two months from the date on which one of the Contracting Parties has expressed to the other of its intention to submit the dispute to arbitration. In the two months following their appointment, the two arbitrators shall appoint by common accord a national of a third State which will exercise the function of Chairman of the arbitral tribunal.
If these time limits are not observed, one or the other Contracting Party shall invite the President of the International Court of Justice to proceed with the appointment or appointments necessary (s).
If the President of the International Court of Justice is a national of another Contracting Party or of a State with which one or the other Contracting Party has no diplomatic relations, or if for any other reason, he is unable to perform this function, the Vice President of the International Court of Justice will be invited to proceed to the appointment or appointments necessary (s).
4. the tribunal thus constituted shall determine its own rules of procedure. Its decisions will be taken at the majority of votes; They shall be final and binding for the Contracting Parties.
5 each Contracting Party shall bear the costs related to the designation of the arbitrator. Disbursements inherent in the appointment of the third arbitrator and the costs of operation of the tribunal shall be borne equally by the Contracting Parties.
ARTICLE 12 investments earlier this agreement also apply to investments made prior to its entry into force by investors of one Contracting Party on the territory of the other Contracting Party in accordance with the laws and regulations of the latter.
ARTICLE 13 amendments and amendments this agreement may be subject to amendments and modifications through the mutual consent of the Contracting Parties. Amendments and changes will take the form of additional protocols and train part inseparable from the agreement.
Amendments and changes will take effect in the manner prescribed by Article 14 of this agreement.
ARTICLE 14 ENTRY INTO FORCE AND DURATION 1. The present
Agreement shall enter into force one month from the date on which the Contracting Parties have exchanged their instruments of ratification. It shall remain in force for a period of ten years.
Unless one of the Contracting Parties denounces at least six months before the expiry of its period of validity, it will be every time be tacitly renewable for a period of ten years, each Contracting Party reserves the right to denounce it by a notification introduced at least six months before the date of expiry of the current period.
2. as regards the investments effected prior to the date of expiry of this agreement, the provisions of the latter remain them applicable for a period of ten years from the expiry date.
In witness whereof, the undersigned representatives, duly authorized by their respective Governments, have signed this agreement.
Done at Brussels, 7 June 2001, in two originals, each in the languages Dutch, English, French and Armenian, all texts being equally authentic. The English text shall prevail in case of conflict of interpretation.