عنوان مقاله [English]
This article aims to discover the standard of compensation for the damages suffered by foreign investors as a result of non-expropriatory violations of international investment agreement (IIA). A review of the investment arbitration practice, which is a key source of Foreign Investment Law, reveals that in such cases, the amount of compensation is determined based on the standard put forward by the PCIJ in Chorzów Factory case as well as the relevant provisions of the ILC Articles on Responsibility of States for Internationally Wrongful Acts. In cases where the violation of the IIA has amounted to expropriation, the compensation to be paid to the aggrieved investor would be determined in the same manner as an unlawful expropriation. In other cases, however, the assessment of compensation lies in the existence of a causal link between the wrongful act of the host State and the damages incurred by the investor. Although the application of the compensation standard by arbitral tribunals in non-expropriatory violations appears to be rather consistent in similar cases, this article concludes that the method by which the causal link is examined by arbitral tribunals remains utterly inconsistent, which can undermine the coherence and predictability of the international investment arbitration.