Question

11. Consider the following statements, regarding the Investor-State Dispute Settlement

Mechanism which was recently in the news,

1] This mechanism permits companies to drag governments to international arbitration without exhausting the local remedies and claim huge amounts as compensation citing losses they suffered due to reasons, including policy changes.

2] The world’s leading ISDS institution, the International Centre of Settlement of Investment Disputes (ICSID), is a member of the World Bank Group.

Which of the above statements is/are correct?

• A. a) 1 Only
• B. b) 2 Only
  
• C. c) Both 1 and 2
  
• D. d) Neither 1 nor 2

Answer 1

The correct option is C c) Both 1 and 2

Ans c)