Through Which The "convention On The Settlement Of Investment Disputes Between States And Nationals Of Other States" Approved, Done At Washington On March 18, 1965

Original Language Title: Por medio de la cual se aprueba el "Convenio sobre arreglo de diferencias relativas a inversiones entre Estados y Nacionales de otros Estados", hecho en Washington el 18 de marzo de 1965

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267 OF 1996

(January 29)

Official Journal No. 42,704, January 30, 1996

By means of which the "Convention on the Arrangement of Differences Relating to Investments between States and Nationals of Other States" is approved, made in Washington on March 18, 1965.

Vigency Notes Summary



Having regard to the text of the "Convention on the Arrangement of Differences in Investment between States and Nationals of Other States", made in Washington on 18 March 1965.

Convention on Settlement of Differences in Investment between States and Nationals of Other States.

Submitted to the Governments by the Executive Directors of the International Bank for Reconstruction and Development.

March 18, 1965.

Material Index

Chapter Section Section


I.         International Fix Center

of Differences Relative to Investments 1-2-4

1. Creation and Organization 1-3

2. The Administrative Board 4-8

3. The Secretariat 9-11

4. Lists 12-16

5. Funding from Centre 17

6. Status, Immunities and Privileges 18-24

II.       Jurisdiction of the Centre 25-27

III.      The Conciliation 28-35

1. Reconciliation Request 28

2. Constitution of the Commission of the

Reconciliation 29-31

3. Conciliation procedure 32-35

V.        The Arbitration 36-55

1. Request for Arbitration 36

2. Constitution of the Tribunal 37-40

3. Powers and Functions of the Court 41-47

4. The Laudo 48-49

5. Clarification, Review and Anulation of the

Laudo 50-52

6. Recognition and Enforcement of Laute 53-55

V.       Replacing and Recusing the Conciliators

and Umpires 56-58

VI.       Costs of Procedure 59-61

VII.      Place of Procedure 62-63

VIII.     Differences between Contracting States 64

XI.                Amendments 65-66

X.                 Final provisions 67-75

Signature relative clause


" Convention on the Arrangement of Differences Relating to

investments between States and Nationals of other States "


Contracting States,

Considering the need for international cooperation for economic development and the role that international private investments play in this field;

Taking into account the possibility that differences may sometimes arise between Contracting States and Nationals of other Contracting States in relation to such investments;

Acknowledging that even when such differences are subject to national procedural systems, in certain cases the use of international methods of arrangement may be appropriate for their solution;

attributing particular importance to the availability of means of reconciliation or international arbitration to which the Contracting States and the Nationals of other Contracting States may, if they so wish, subject such differences;

Wishing to create such means under the auspices of the International Bank for Reconstruction and Development;

Acknowledging, that the parties ' mutual consent to submit such differences to conciliation or arbitration through such means constitutes a binding agreement, which requires in particular that due consideration be given to the recommendations of the conciliators and that the arbitral awards are met; and

Declaring that the mere ratification, acceptance or approval of this Convention by the Contracting State shall not be deemed to constitute an obligation to submit any specific difference to conciliation or arbitration, unless the consent of that State,

You have agreed to the following:






1. The International Centre for the Settlement of Investment Disputes (hereinafter referred to as the Centre) is hereby established by this Convention.

2. The aim of the Centre shall be to facilitate the submission of differences relating to investments between Contracting States and nationals of other Contracting States to a conciliation and arbitration procedure in accordance with the provisions of this Agreement. Convention.

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ARTICLE 2o. The headquarters of the Center shall be the head office of the International Bank for Reconstruction and Development (hereinafter referred to as the Bank). The seat may be moved elsewhere by a decision of the Administrative Council adopted by a two-thirds majority of its members.

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ARTICLE 3o. The Center will be composed of an Administrative Council and a Secretariat, and will maintain a list of conciliators and a list of arbitrators.



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1. The Administrative Board shall be composed of a representative of each of the Contracting States. An alternate may act as a representative in the event of the absence of the holder of a meeting or of incapacity for a meeting.

2. Except in the case of a different designation, the governor and the alternate governor of the Bank appointed by a Contracting State shall be ex officio the representative and alternate of that State, respectively.

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ARTICLE 5o. The President of the bank shall be a former official of the Administrative Council (hereinafter referred to as the President) but without the right to vote. In case of absence or incapacity to act and in case of vacancy of the office of the President of the bank, the person who replaces him in the bank will act as President of the Administrative Council.

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1. Without prejudice to the other powers and functions conferred upon it by other provisions of this Convention, the Administrative Council shall have the following:

a) Adopt the Center's administrative and financial regulations;

b) Adopt the procedure rules to follow to initiate reconciliation and arbitration;

c) Adopt the procedural rules applicable to conciliation and arbitration (hereinafter referred to as the Rules of Conciliation and Rules of Arbitration);

d) Approve the arrangements with the bank on the use of its administrative services and facilities;

e) Set the conditions for the performance of the duties of the Secretary-General and Assistant Secretaries-


f) Adopt the Center's annual revenue and expense budget;

g) Approve the Center's annual activity report.

For the approval of the provisions of (a), (b), (c) and (f), a two-thirds majority of the members of the Administrative Board shall be required.

2. The Administrative Board may appoint the commissions it deems necessary.

3. In addition, the Administrative Council shall exercise all powers and perform all functions which it considers necessary to bring into effect the provisions of this Convention.

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1. The Administrative Council shall hold an annual meeting, and any other meeting agreed by the Council, or convened by the President, or by the Secretary-General upon request of the latter not less than five members of the Council.

2. Each member of the Administrative Board shall have one vote, and, unless otherwise expressly provided for in this Convention, all matters before the Council shall be decided by a majority of votes cast.

3. There shall be a quorum at meetings of the Administrative Council when the majority of its members are present.

4. The Administrative Council may, by a majority of two-thirds of its members, establish a procedure whereby the President may request a vote from the Council without convening a meeting of the Council. This vote shall be considered valid only if the majority of the members of the Council cast their votes within the time limit laid down in that procedure.

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ARTICLE 8o. The members of the Administrative Board and the President perform their duties without remuneration from the Center.



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ARTICLE 9o. The Secretariat shall be constituted by a Secretary-General, by one or more Deputy General Secretaries and by the staff of the Center.

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1. The Secretary-General and the Deputy Secretaries-General shall be elected, on a proposal from the President, by the Administrative Council by a two-thirds majority of its members for a period of service not exceeding six years, and may be re-elected. After consulting the members of the Administrative Council, the president will present one or more candidates for each of those positions.

2. The posts of General Secretariat and Deputy Secretary General shall be incompatible with the exercise of any political function. Neither the Secretary-General nor any Assistant Secretary-General shall be able to carry out any duties or engage in any other activity, without the approval of the Administrative Council.

3. During the absence or incapacity of the Secretary-General and during the vacancy of the post, the Deputy Secretary-General shall act as Secretary-General. If there is more than one Deputy Secretary-General, the Administrative Council shall determine in advance the order in which they shall act as Secretary-General.

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ARTICLE 11. The Secretary-General shall be the legal representative and principal officer of the Center and shall be responsible for his administration, including the appointment of the staff, in accordance with the provisions of the of this Convention and the regulations issued by the Administrative Council, shall perform the function of registrar, and shall have the power to authenticate the arbitral awards dictated under this Convention and to confer certified copies of the "



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ARTICLE 12. The List of Councils and the List of Referees shall be made up of the names of qualified persons, designated as provided below, and who are willing to carry out their duties. charges.

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1. Each Contracting State may designate four persons for each list who may or may not be nationals of that State.

2. The President may designate ten persons for each list, taking care that the persons so designated are of different nationality.

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1. Persons appointed to appear on the lists must be given broad moral consideration, have a recognised competence in the field of law, trade, industry or finance, and should be given full confidence in their impartiality. judgment. Competition in the field of law will be particularly relevant for the persons designated in the List of Referees.

2. In making the appointment of persons on the lists, the President shall also bear in mind the importance of the fact that the main legal systems of the world and the most important branches of the world are represented on those lists. economic activity.

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1. The designation of the members of the lists shall be made for periods of six years, renewable.

2. In the event of the death or resignation of a member of any of the lists, the appointing authority shall be entitled to appoint another person to replace him in his duties for the remainder of the period for which he was appointed.

3. The components of the lists shall continue in the lists until their successors have been appointed.

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1. The same person may appear on both lists.

2. Where a person has been appointed to include a list by more than one Contracting State or by one or more Contracting States and the President, it shall be understood that he was appointed by the authority which appointed him first; but if one of those authorities is the State of which it is a national, it shall be designated by that State.

3. All designations shall be notified to the Secretary-General and shall enter into force on the date on which the notification was received.



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ARTICLE 17. If the expenses of the Center cannot be covered by the rights received by the use of its services, or with other income, the difference shall be borne by the Contracting States. members of the Bank in proportion to their respective capital subscriptions of the bank, and by the non-member Contracting States of the bank in accordance with the rules that the Administrative Council adopts.



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ARTICLE 18. The Center will have full legal, international personality. The legal capacity of the Centre includes, inter alia:

a) Contry;

b) Acquire movable and immovable property and dispose of them;

c) Appear in judgment.

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ARTICLE 19. For the Center to be able to fulfill its purposes, it shall enjoy, in the territories of each Contracting State, the immunities and privileges indicated in this Section.

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ARTICLE 20. The Center, its assets and rights, shall enjoy immunity from any legal action unless it renounces it.

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ARTICLE 21. The president, members of the Administrative Board, persons acting as conciliators or arbitrators or as members of a commission appointed in accordance with paragraph 3 of Article 52, and officials and employees of the Secretariat:

(a) They shall have immunity from prosecution in respect of the acts performed by them in the performance of their duties, unless the Centre waives such immunity;

b) Where they are not nationals of the State in which they perform their duties, they shall enjoy the same immunities as regards immigration, the registration of foreigners and obligations arising from military service or other similar services, and shall enjoy the same facilities as changes and equal treatment with regard to travel facilities, which the Contracting States grant to representatives, officials and employees of similar rank in other States Contractors.

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ARTICLE 22. The provisions of Article 21 shall apply to persons who appear in the procedures promoted under this Convention as parties, proxies, advisers, lawyers, witnesses or experts, with the exception of those contained in paragraph (b) thereof, which shall apply only in relation to their movement to and from the place where the proceedings are carried out and with their stay in that place.

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1. The archives of the Center, wherever they are, will be inviolable.

2. In respect of its official communications, the Center shall receive from each Contracting State a treatment no less favourable than that agreed to other international organizations.

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1. The Center, its patrimony, its assets and its revenues and the transactions and transactions authorized by this Convention shall be exempt from all taxes and duties. The Centre shall also be exempt from any liability in respect of the collection or payment of such taxes or duties.

2. The amounts paid by the Centre to the President or to the members of the Administrative Board on the basis of daily allowances, nor the salaries, allowances and other emoluments paid by the Centre to officials or employees of the Centre shall not be subject to tax. Secretariat, except the State's power to tax its own nationals.

3. Amounts received in the form of fees or allowances by persons acting as conciliators or arbitrators or as members of a Commission designated in accordance with the provisions of Article 52, in the procedures promoted under this Convention, for services provided in those procedures, if the only jurisdictional basis is the location of the Center, the place where develop the procedures or place of payment of the fees or allowances.



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ARTICLE 25. 199 of the Statute of the Alternative Dispute Settlement Mechanisms-Extraordinary Decree 1818 of 1998-which compiled this article, was repealed by the article 118 of Law 1563 of 2012. It goes into effect from October 12, 2012 >

Vigency Notes
Editor Notes
Previous Legislation
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ARTICLE 26. 200 of the Statute of the Alternative Dispute Settlement Mechanisms-Extraordinary Decree 1818 of 1998-which compiled this article, was repealed by the article 118 of Law 1563 of 2012. It goes into effect from October 12, 2012 >

Vigency Notes
Editor Notes
Previous Legislation
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ARTICLE 27. 201 of the Statute of the Alternative Dispute Settlement Mechanisms-Extraordinary Decree 1818 of 1998-which compiled this article, was repealed by the article 118 of Law 1563 of 2012. It goes into effect from October 12, 2012 >

Vigency Notes
Editor Notes
Previous Legislation





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ARTICLE 28. 95. >

1. Any Contracting State or National State of a Contracting State which wishes to initiate a conciliation procedure shall, for that purpose, send a written request to the Secretary-General who shall send a copy thereof to the other party.

2. The application shall contain the data relating to the subject matter of the difference, the identity of the parties and the consent of the parties to the conciliation, in accordance with the rules of procedure to be followed for the initiation of conciliation and arbitration.

3. The Secretary-General shall record the application unless, for the information contained in that application, he finds that the difference is manifestly outside the jurisdiction of the Centre. It shall immediately notify the parties of the act of registration of the application or its refusal.

Vigency Notes



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ARTICLE 29. 96. >

1. Once the application has been registered in accordance with Article 28, the Constitution of the Commission of Conciliation (hereinafter referred to as the Commission) shall proceed as soon as possible.

2. (a) The Commission shall consist of a single conciliator or an odd number of conciliators, appointed as agreed by the parties;

(b) If the parties do not agree on the number of conciliators and how to appoint them, the Commission shall be constituted with three appointed conciliators, one for each party and the third, to be chaired by the Commission, by common agreement.

Vigency Notes
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ARTICLE 30. 97. > If the Commission does not become a member within 90 days of the date of dispatch of the notification of the act of registration, made by the Secretary-General in accordance with paragraph (3) of the Article 28, or within any other period of time the parties agree, the President shall, at the request of any of the parties and, where possible, after consultation of both parties, appoint the conciliator or the conciliators who have not yet been appointed.

Vigency Notes
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ARTICLE 31. 98. >

1. The appointed conciliators may not belong to the list of Councils, except where the name of the President is referred to in Article 30.

2. Any conciliator who is not appointed to the List of Councils shall meet the qualities set out in Article 141).

Vigency Notes



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ARTICLE 32. 99. >

1. The Commission will decide on its own competence.

2. Any claim of a party that the difference falls outside the limits of the Centre's jurisdiction, or which for other reasons the Commission is not competent to hear it, shall be considered by the Commission, which shall determine whether it is to be resolved as a matter. or together with the substance of the matter.

Vigency Notes
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ARTICLE 33. 100. Any conciliation procedure shall be processed in accordance with the provisions of this Section and, unless otherwise agreed by the parties, in accordance with the Rules of Conciliation in force in the date on which the parties gave their consent to the conciliation. Any question of procedure not provided for in this Section, in the Rules of Conciliation or in the other rules agreed by the parties, shall be resolved by the Commission.

Vigency Notes
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ARTICLE 34. 101. >

1. The Commission must clarify the points at issue and endeavour to achieve the compromise between them, under conditions acceptable to both parties. To this end, the Commission may, in any state of the procedure and as many times as be appropriate, propose to the parties formulas of compromise. The parties shall cooperate in good faith with the Commission in order to enable it to comply with its objectives and to give its recommendations, the utmost consideration.

2. If an agreement is reached by the parties, the Commission shall draw up a record and record the points at issue. If, in any state of the proceedings, the Commission considers that there is no likelihood of an agreement between the parties, the Commission shall conclude the procedure and draw up an act, stating that the dispute was brought to a conciliation without The compromise will be achieved. If a party does not appear or will not participate in the proceedings, the Commission shall record this in the minutes, and the procedure shall be completed.

Vigency Notes
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ARTICLE 35. 35. Unless otherwise agreed by the parties, none of them may invoke, in any other proceeding, whether arbitration or judicial or any other authority, the considerations, statements, admission of facts or offers of compromise, made by the other party in the conciliation procedure, or the report or recommendations proposed by the Commission.

Vigency Notes





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ARTICLE 36. 202 of the Statute of the Alternative Dispute Settlement Mechanisms-Extraordinary Decree 1818 of 1998-which compiled this article, was repealed by the article 118 of Law 1563 of 2012. It goes into effect from October 12, 2012 >

Vigency Notes
Editor Notes
Previous Legislation
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