1.

HISTORY
1648- Westphalia Peace
1776- US Independence
1789- French Revolution
1814-1815- Congress of Vienna
1821- Independence of Belgium
1861 –Italian Unification
1866- Venneto annexation to Italy
1869- opening of the Suez Canal
1870- Italy acquires the Asaab Bay
1871- Unification of Germany
1899-1907- The Hague Conventions
1903- Trans-Siberian Railway(first ride)
1912- Universal manhood suffrage in Italy
1914-1918- I World War
1917-Russian Revolution
1917- Balfour Declaration
1918- Wilson’s 14 points
1920- League of Nations
195- UK Gold Standard
1928- Briand- Kellog Pact
1929-Black Thursday Wall Street Crash
1930- Smoot Hawley Tariff Act
1932- US-F.D Roosevelt new Deal
1939-1945- II World War
1941- Atlantic Charter
1944- Bretton Woods
1945- UN Charter
1946- Italian Republic (women vote)
1947- GATT+Truman Doctrine(fold war begin)

1949- Council of Europe +NATO

1951-European Coal and Steel Community
1957-EAEC and EEC (Treaty of ROME)
1959- 1 BIT between Germany and Pakistan
1962-Permanent Sovereignty
1962- Algeria Independece
1967- Paolo VI ‘’Popolorum Progressivo’’
1945-1970- Decolonization of Asia and Africa
1955-1975- Vietnam War
1971-End of the Gild Standard
1973-1979-Oil crisis
1974-UN GA Resolution
1979- European Monetary System
1980- Gorbachev’s perestroika
1987-Italy overtook Britain’s economy
1989- Fall of the Berlin Wall
1991-Dissolution of the Soviet
 1992-Maastricht Treaty
1990-1999/2000= War in the former Yugoslavia
1980-1990- Rise of the Global Internet
1995-World Trade Organization
1995- Euro was born
2001- WTC Collapse
2007-2009- World Financial Crisis
2016- Brexit

Westphalia System
- The Peace of Westphalia ends the 30 years war in Europe, between protestants and
catholic States;
- Establish the right of Sovereigns to govern their peoples free outside of intervention
- Sates become the main players of the international law system and are all equal
- Custom main source of law, bilateral relationships between states

Russian Revolution (1917)

- The first challenge to the Westphalia System;
- Soviets undertook the nationalization of all industry trade and commercial property
without compensation
- The revolution substituted a new state for the old

Wilson’s 14 points (1918)

1. Transparency
2. Freedom of the seas
3. The removal so far as possible of all economical barriers
4. The evacuation of all Russian territory
5. The evacuation and restoration of Belgium
6. The liberation of France and return to it Lorraine and Alsace
7. Evacuation of occupation forces from Romania, Serbia and Montenegro; Serbia
should be accorded free and secure access to the Sea;
8. Autonomous development of the non-turkish peoples of the ottoman empire
9. An independent Poland to be established, with free and secure access to the sea
10. A general association of nation to be formed to guarantee to its member political
independence and territorial integrity.

Atlantic Charter (1941)

1. Any territorial adjustments would be made with the wishes of the affected people
taken into consideration;
2. self- determination was a right of all peoples;
3. a concerted effort would be made to lower trade barriers;
4. the global and social welfare cooperation would work to establish freedom from fear
and want;
5. the importance of freedom of the seas stated
De-Colonisation (1954-1960)
- a new challenge to the International law system of nations
- UNGA Resolution 3281. Charter of Economic Rights and Duties of States
 every State has and shall freely exercise full permanent sovereignty including possession
use and disposal over all its wealth, natural resources and economic activities
 each State has the right to regulate and exercise authority over foreign investment within
its national jurisdiction in accordance with its laws and regulations and in conformity
with its national objectives and priorities. No State shall be obliged to grant preferential
treatment for foreign investment
Washington Consensus
Is a set of 10 economic policy prescriptions considered to constitute the standard reform package
promoted for developing countries which are in crisis by Washington
1. Fiscal discipline
2. Public expenditure priorities
3. Tax reforms
4. Financial liberalization
5. Competitive exchange rate
6. Trade liberalization
7. Privatization
8. Deregulation
9. Property rights

2. SUBJECT OF INTERNATIONAL LAW

- States;
- International Organizations;
- Individuals and Investors;
- Non-governmental organizations and Private Associations.
Traditional theory: State are the only subject of IL (3 elements: territory, populations and
sovereignty)
At the beginning of the 20th century they were 50 acknowledged states. Before the WWII-about
75 states. By 2005- 192 states.
Effectiveness is the dominant principle nowadays: States is a political organization that exercise
its effective control over a territory and over the population located in this territory and has the
capacity to enter into relationship with other State.
Montevideo Conventions of 1933
State as a subject of IL, should possess the following qualifications:
- A permanent population
- Defined territory
- Its sovereignty
- The capacity to enter into relation with other States
The right of people to self-determination
- President W.Wilson was one of the first that contributed to the principle of self-
determination, he declared: "national aspirations must be respected; peoples may now be
dominated and governed only by their own consent;
- Atlantic Charter (1941) «Self-determination was a right of all people’
- President Roosevelt and Prime Minister Churchill declared inter alia, they desired to see no
territorial changes without the accord freely expressed with the wishes of all people.
- The right of self-determination applies in the context of decolonization.
- Principle of self-determination and territorial integrity of States must be balanced against each
other
- Canada/Quebec: The Supreme Court of Canada in the land mark ruling Secession of Quebec
pointed out that “[t]he recognized sources of international law establish that the right to self-
determination of a people is normally fulfilled through internal self-determination. In addition,
the principle of self-determination would enable a people to separate from a State only
exceptionally, when the rights of the members of the people are violated in a grave and massive
way.
- Respect for human rights: a State established in violation of the principle of self-
determination, and basic human rights such as racial discrimination, would not be considered as
a State under international law
International Organizations
The Organization shall enjoy in the territory of each of its Members such legal capacity as may
be necessary for the exercise of its function and the fulfillment of its purposes.”
Individuals/investors are addressees/beneficiaries of international law norms and are entitled to
demand redress and the respect of certain standards to the States
Right to resort directly against the State before international Courts or tribunals in case States do
not respect obligations undertaken vis à vis other States concerning individuals’ human rights
INTERNATIONAL INVESTMENT AGREEMENTS
- International agreements concluded by States, but providing some standards of protection of
foreign investments;
- States undertake reciprocally some obligations regarding the treatment of foreign investments
in their territories;
-States recognize to the foreign investor the right to resort directly against it, before an
international arbitration tribunal, in case of violation of the IIA
Non- Governmental Organizations
- contributes to the development of internal agreements
- lobbying

3. SOURCES OF INTERNATIONAL LAW

UN STATE MEMBERS:
- 1945- 51 members
- 2011- 193 members
Sources of IL:
- There is no world legislature: there is no corporate organ formally allowed to adopt laws
directly binding international legal subjects.
- The UN is not a world legislator
- There is no hierarchy between the international sources of law.
The Court whose function is to decide such disputes in accordance with international law, shall
apply:
- International conventions;
- International custom;
- The general principle of law recognized by civilized nations.
INTERNATIONAL CONVENTIONS:
 Maritime delimitations and territorial question between Bahrain and Qatar:
,,The Court would observe, in the first place, that international agreements may take different
forms and be given several names. In order to establish if an agreement of this kind has been
concluded , the Court first of all need to take in consideration the actual terms and particular
circumstances in which it was drawn up.
 Article 2, of the Vienna Convention on the Law of Treaties,May 1969:
,,Treaty’’ means an international agreement concluded between States in a written form and
governed by International law, indifferently if is incorporated in a single instruments or two, and
whatever of its particular designation.
1. Negotiation of the Treaty;
2. Signature of the treaty by head of a State, or government or legal representatives; with
the signature the text of the treaty is established as definitive and authentic;
3. The ratification (confirmation) of the treaty; ratification defines the international act by
which a state indicates its consent to be bound to a treaty.
In the case of bilateral treaties, the ratification is concluded by exchanging the requisite
instruments between States, while in the case of multilateral treaties the process is concluded by
collecting all the instruments of all States and deposit them together
4. Registration and Publication
Art. 102 of the UN Charter provides that:
- Every treaty and international agreement entered into by any Member of United Nations
after that this Charter comes into force, shall as soon as possible to be registered with the
Secretariat and to be published by it;
- Treaty and agreements that are not registered cannot be invoked before any organ of
United Nations. Registrations promote transparency and availability of the text of treaty
to the public;
International Conventions: Interpretation:
The Vienna Convention on the Law of Treaties(1969)
- A treaty shall be interpreted in good faith and in accordance with the ordinary meaning
given to the terms of the treaty and in accordance with its object nad purposes.
- Preparatory work of the treaty and circumstances of its conclusion are supplementary
means of the interpretation that serve for to confirm the meaning result from
interpretation of the text of treaty
International Conventions: Conflicts:
 - A treaty is null, if at the time of its conclusion , it conflicts with a peremptory norm of
general international law (jus cogens)
- Jus cogens: is a norm accepted and recognized by International Cummunity of States, as
a norm with no derogation permitted and can be modified only by term of general
international law which has the same character.
- In the event of a conflict between the obligations of Members of the United Nations
under the present Charter and under bligations of any other international agrements, the
obligations of the present charter shall prevail.
International Custom:
Customary law includes two elements:
1. The objectives or material elements; State practice: which is uniforme,extensive and
representative in character
- Doesn’t require a specific period of time;
- ,,Internal’’ uniformity, means that each States , whose behavior is taken into
consideration, must use the same way in all of the occasions in which is engaged in the
practice;
- ,,Collective’’ uniformity , means that any different State must not have engaged in
substantially different behavior, some doing one thing, some another.
- Extensive and Representative; it is not a simply question about how many States
participate in the practice, but which States; The practice must include those States
whose interests are esepecially affected.
2. The objective elements- a belief, on the part of the generality of States, that the practice
correspond to the legal obligations or to legal right.
- Multilateral treaties can be the impulse or model for the formation of the new customary
rules through State practice, for ex: International Military Tribunal found that the Hague
Convention IV on land warfare, enunciated new norms which had become generally
binding the rules of customary law;
- Multilateral treaties can assist in the crystallization of emerging rules of the customary
international law and in some exceptions case, the multilateral treaty can lead to a new
rules of customary law.
Generally Principle of Law, recognized by civilized nations
- Generally principles of law are basic rules, whose content is generally and abstract,
sometimes reducible to a maxim or a simple content;
- Generally principles of law are used primarily as ,, gap fillers’’ when treaties or
customary international law do not provide some rules of decision.
4.DISPUTE SETTLEMENT
The UN Charter stated that :
- All members shall settle their international disputes by peaceful means, in a such manner
that international peace, security and justice are not endangered;
- The parties of any dispute, the continuance of which can endanger the maintenance of
international peace and security, must first of all seek a solution by negotiation, enquire,
mediation, conciliation, arbitration , judicial settlement, or resort to a regional agency or
any other peaceful means on their own choice;
 - Parties are free to decide the particular means of dispute settlement they prefer;
- Under international law, any settlement will inevitably depend, directly or indirectly on
the agreement of State parties.
Pacific means of dispute settlement are divided in two groups:
- DIPLOMATIC MEANS: negotiation, enquiry , mediation, conciliation;
- ARBITRATION AND JUDICIAL SETTLEMENT.
In the case of diplomatic means, parties keep the control over the result of the procedure,
since any solutions proposed by third subject will not binding upon them, while in the case of
arbitration and judicial settlement parties are obliged to accept the final solution adopted
by the international arbitrator or judge.

Diplomatic means
1. Negotiation
I. Good Offices: Third party, acting with the consent of the disputing States, serving as
friendly intermediar to convince them to negotiate between themselves, without giving
suggestions to the disputing States, for achieving the settlement.
II. Good Office could be the UN –Secretary General.
2. Enquiry
I. UN Charter: The Security Council may investigate any dispute or any situations
which may lead to an international friction, in order to determine if the continuance of
the dispute or situation can endanger the maintenance of international peace and
security.
II. UN GA Resolution ,1991: in performing their functions in relation to the maintenance
of international peace and security, the competent organ of UN should have full
knowledge of all relevant facts.
III. The States shall agree upon the enquiry, a special commission usually is appointed
IV. Over the past 20 years, many commissions have been established to evaluate the most
serious situations of human rights and humanitarian law violations across the world.
3. Mediation
I. Involves the participation of a third party with the aim of helping the parties to agree
a solution of the dispute;
II. Usually it involves the active participation of a Mediator for seeking to bring
together the parties for further negotiation on the basis of suggestions and proposals
of mediator along the process;
III. The Mediator may clarifiy and elucidate the fact of the dispute, to give the best
solution in his undertaking for the dispute settlement and to help parties for
implementation of the settlement;
IV. As a mediator could be State, International Organizations and NGO.
4. Conciliation
I. Conciliation is a half-breed methods for the settlement of disputes. It stand between
diplomatic methods for the settlement of disputes and arbitration/judicial settlement.
II. The Comission is usually composed of independent personalities , choosen by or
with the participation of the parties.
III. The proposed settlement may take into account legal aspects of the dispute, but there
is no a strict legal application of the law

Arbitration/Judicial Settlement.
1. State v. State
I. ICJ
- The Court shall be composed of bodies of independent judges, elected indifferently of
their nationality from among persons with a high moral character, who possesses the
qualifications required by their countries for appointment of higher judicial offices;
- The Court shall consist of 15 members;
- Only States may be parties of a case before the Court;
- The States which are not members of UN, may become party of ICJ Statute, on
conditions determined in each case by UNGA, upon the recommendation of the Security
Council;
- It has to be established that each states has given its consent that the Court should decide
the dispute brought before it
II. ITLOS
- International Tribunal of the Law of the Sea is a permanent international judicial body
established by UN Convention of Law of the Sea(UNCLOS);
- ITLOS is composed by 21 members (judges)
- ITLOS is opened to any State parties of the UNCLOS and to other entities than State
Parties;
- ITLOS has jurisdiction over any dispute concerning the interpretation and application of
the UNCLOS.
2. Individual v. State
- e.g. before the international investment atribitral tribunal;
- e.g.g before the European Court of Human Rights (also State v. State)
- The ECHR has jurisdiction on all matters concerning the interpretation and
application of the Convention on the Protection of Human Rights;
- The ECHR receive applications from any person, non-governmental
organizations, groups of individual claiming to be a victim of the violatin by
one of the High Contracting Parties of the rights set forth in the Convention.
3. International Community v. Individual
- International Criminal Court- has jurisdiction in a situation of :
1. Genocide;
2. Crimes against humanity
3. War crimes were committed on or after 1 July 2002;
4. Crimes committed by a national of a State party, or in the territory of a State
Party, or in another State which has accepted the jurisdiction of ICC;
- Complementarity: The ICC is intended to complemene, not to replace the
national criminal systems. It prosecutes cases, only if states are not willing
or enable to do it;
- Cooperation: The ICC doesn’t have its own police force or enforcement
body, in this case it relies on cooperation with countries worldwide to for
support, particularly for arresting, for transferring arrested people in the ICC
detention centre in the Hague.
 5. International Investment Law
1. Definitions
- Foreign Direct Investment (FDI) is defined as the transfer of the funds or materials from
one country to another country to be used in the conduct of enterprise in that country for
a direct or indirect participation in the earnings of company.
- Bilateral Investment Treaty (BIT), International Investment Agreements (IIAs), Free
Trade Agreement (FTA) are all agreements with the aim of regulation their investment
and trade relations.
- ICSID: International Centre for the Settlement of investment dispute, established in 1965.
Is the leading international arbitrational institution devoted to settle de investment
dispute.
2. International Investment Agreements (IIAs)
- Concluded by States, but providing some standards of protection in favour of foreign
investors;
- States undertakes reciprocally obligations in relation to the treatment of foreign investors
in their territories.
3. FDI
Salini test:
Main characteristic to qualify the specific ,,assets’’ as a form of investment under ICSID
Convention:
- Essential engagement of resources;
- A certain duration of the operation
- Risk;
- The contribution to the development of the Host State.
Foreign Direct Investment (FDI) is an investment made by a firm or individual in one country
into business interests in another country.
4. Standard of protection under international investment law:FET standard and
Expropriation
Relative Standard: a conduct of a state is compared with other conducts
- Most Favourite Nationa (MFN) Standard;
- National Treatment.
Absolute Standard: they don’t need to be compared with other conduct to determine the State
international responsibility
- Fair and Equitable Treatment (FET);
- Full protection and security.
FET: Party shall accord to cover the investment treaty in accordance with the international
customary law, including fair and equitable treaty and full protection and security.
FET Standards:
- Restrictive theory: FET Standard corresponds to the so called International Minimum
Standard ( Neer Case 1926);
- Extensive theory :
Expropriation
Expropriation identifies the taking of a property from its owner , for public use or benefit, by
the State or an authority.
In the context of International Investment agreement expropriation involves the transfer of a
wealth or a profit from one person (foreign investor) to another person (usually Host State or a
public person in the Host State).
- The state deliberately wants to deprive foreign investor , concerning his rights, in order to
satisfy public interest.
 Canada Expropriation Act provides that any interest in land or immovable real right …
that in the opinion of Minister, is required by the Crown for a public work or other public
purposes, may be expropriated by the Crown in accordance with the provisions of this
part.
 Rwanda Law according to Expropriation in the Public Interest provides that: Only
Government shall carry out the expropriation. The expropriation must by carried out only
in the public interest with prior, and compensation.
According to the IL States can expropriate:
International investment treaty provides usually a set forth of four precondition for a
expropriation to be valid:

1. The taking of property should be based on public reasons

2. Must respect the principle of non-discrimination
3. Due to process law
4. The state has to pay an adequate compensation to the foreign investor, whose property
was expropriated.
Prompt, Adequate and Effective Compensation
Compensation is the main element of the substantive protection in favour of foreign investors.
Treaties usually apply the Hull Formula, established by the US Secretary of State Cordel Hull,
which requires the payment of ,prompt, adequate, effective’’ compensation.
1. Prompt, refers that the payment need to be in a reasonable period of time after the taking;
2. Adequate , means that the compensation must be equivalent with the fair market value of
the expropriated investment, and must be calculated immediately before the expropriation
took place.
3. Effective means paid in a form which is real practical use for the person involved into,
and possibly convertible in a foreign exchange.
Indirect expropriation
Today investor-State tribunal mostly deals with indirect expropriationa rather than the direct one,
and IIAs in their majority refers to both direct and indirect expropriation.
Indirect expropriation refers to government’s measures, which have an negative effect on the
foreign investment, which do not involve transfer of the title of the investment, and do not impy
the transfer of wealth from the investor to the benefits of the State
 5. Dispute settlement
In case of a violation of the standards of International Investment Law, the foreign investors has
the right to resort directly against the state before an international investment artibtral tribunal.
The IIAs and BIT make reference to the International Centre for Settlement of Investment
Dispute (ICSID).
1. Ad hoc arbitration: The arbitral tribunals are appointed by parties and administered
autonomously.
2. Administered arbitration: Arbitration is administered by a professional arbitral institution,
and provide arbitral services such as:
- International Centre for Settlement of the Investment Dispute in Washington;
- The London Court of International Arbitration in London’
- The international Chamber Commerce in PARIS
- The Permanent Court of Arbitration at the Hague
- The Stockholm Chamber of Commerce.

6. International Minimum Standard Treaty

International Law has always been careful not to place the burden of host States decisions on
shoulders of foreigners.
States have progressively elaborate a set of customary and treaty norms with the aim of
guaranteeing a certain degree of protection to nationals to their property aboard: called
International Minimum Standards of treatment.
The minimum standard of treatment bind host state to adopt a serios of actions and behavior
to foreigner subject and their property in its territory.
The violation of this standard involve the host States international responsibility, and allow
the State of individual whose right have been breached to resort to Diplomativ protection.
Diplomatic Protection may be exercised through diplomatic channel, or if both States agree
through International Arbitration.
Compensation (Hull Formula)
- In relation to the protection of the economic interest of foreigners, customary
international law recognize the power to expropriate as an undisputed ritgh of the States,
but it also provides some guarantees to the foreigners whose property was taken, and in
particular the right of compensation.
- The US apply the so called Hull Formula, elaborated by the US Secretary of State Cordel
Hull. The payment of compensation must be prompt, adequate and effective. Prompt
means that the payments must be in a reasonable period of time, after taken. Adequate to
be equivalent with the fair market value, and calculated immediately before the
expropriation took place. And the effective means to be paid in a form , which is real
practical use to the persons involved into, and possibly in a convertible foreign exchange.
The Charter of Economic Rights and Duties of States:
 - Requires the State to pay ,,appropriate’’ compensation, which pretend to be something
less than ,, prompt, adequate and effective’’ compensation;
- Appropriate compensation must be paid by States, taking into account all the relevant
laws and regulations , asa well all the circumstances;
- The States are obliged to grant only the compensation it subjectively thinks to be
appropriate, taken in consideration the local law and circumstances, and not necessary the
international law.
The National Treatment Principle:
- Art 9 of the Convention on Rights and Duties of States stated that: national and
foreigners are under protection of the same law, and national authorities and foreigners
cannot claim other rights, than those of the nationals;
- The view is based on the principile of equity: foreigners should not aspire to a privileged
position, but they should benefit of the same treatment as nationals;
- The national Principle Treatments was also at the bases of so called Calvo Doctrine;
- The Calvo Doctrive was included to waive any claim that foreigners may have to
diplomatic protection by his State of nationality, in relation to matters arising out of the
contract.
Emerging of the BITs network
- After II World War , the investment treatment have progressively outshone the customary
international law, as a source of investment law;
- States started to negotiate a significant number of investment agreements, highly similar
in content and all providing for security of foreign investments and for international
arbitration on investor-State disputes;
- Today, foreign investors are protected primarily by the network of international
investment treaties, and secondary by international customary law that intervenes to
complement treaties' provisions or to regulate those investment relations that are not
covered by treaties
Reasons:
- Fall of the Berlin Wall;
- Washington Consensus;
- New Technology;
- Globalization
Washington Consensus:
1. Fiscal Discipline;
2. Public expenditure priorities
3. Financial liberalization
4. Tax reform
5. Deregulation
6. Privatization
7. Competitive exchange rate
8. Property rights
9. Trade liberalization
 7. The EU Investment Law and Human Rights
- MULTINATIONAL ENTREPRISE it is the main type of foreign investor making FDI;
it generally consists of a group of corporations, each established under the law of some
State, linked by common managerial and financial control;
- HUMAN RIGHTS: Human rights are rights inherent to all human beings, whatever their
nationality, place of residence, sex, ethnic origin, colour, religion, language, or any other
status. All human are all equally entitled to human rights without discrimination;
Criticism against Multinationals and IIAs
- Multinationals don't respect human rights standards of protection and/or reduce the
standards when carry out business abroad;
- Multinationals do not take responsibility for their actions/omissions abroad ;
- IIAs doesn't take in consideration the need of the State to protect human rights and to
take care of public interest issues.
2011 UN Guiding principle on Business and Human Rights;
- Endorsed by the UN Human Rights Council on June 2011;
- They have become the first globally accepted standard covering the responsibilities of
States and businesses in preventing human rights abuse;
- They establish duties and responsiblities of both States and businesses:
 States have the duty to protect against human rights abuses by third actors,
including businesses ;
 Businesses have the responsiblity to respect human rights across the value chain
French Due Diligence Law (2017):
- the French National Assembly approved a new bill imposing due diligence obligations, as
to human rights, health, safety and the environment, upon multinational enterprises
headquartered in France;
- These obligations cover not only multinationals’ activities in France, but also the
activities undertaken abroad by subsidiaries and entities, within the multinationals’
supply chain;
- The bill takes inspiration from the UNGPs and it is the first piece of domestic legislation
imposing specific due diligence obligations in the human rights area upon companies,
both within the national territory and abroad