LG&E Energy Corp. v. Argentine Republic
Tribunal of the International Centre for Settlement of Investment Disputes
I.C.S.I.D Case No. ARB/02/1 (Oct. 3, 2006)
Relevant factsFree
In response to a failing economy in the late 1990s, Argentina (defendant) passed regulations requiring conversion of U.S.-dollar deposits to pesos and restricting transfers of investment funds outside the country. LG&E Energy Corporation (plaintiff), a foreign investor, brought an arbitral claim against Argentina, arguing these measures violated the U.S.-Argentine Bilateral Investment Treaty and amounted to an indirect expropriation of its investment.
IssueFree
Whether an indirect expropriation occurs under international law when a government implements measures that effectively cancel out the benefits of property owned by an investor.