Private Authority and Transnational Governance: The Contours of the International System of Investor Protection


Van Harten, Gus. 2005. "Private Authority and Transnational Governance: The Contours of the International System of Investor Protection." Review of International Political Economy 12(4): 600-23.


"Conventionally, investors could not sue states directly under international law and arbitration tribunals did not have general jurisdiction over international investment disputes. This has changed, especially since the early 1990s, with the emergence of an international system of investor protection that combines investor-state arbitration and broad standards of investor protection. The system elevates the legal status of investors (but not other individuals) in international law by allowing them to make international claims for damages against host states. Although the system depends on state authority for its establishment and ongoing effectiveness, the system adopts private authority as a method of transnational governance by permitting private investors to make claims and by giving private arbitrators the power to resolve those claims. This provides significant advantages to multinational enterprises at the expense of governmental flexibility in both capital-importing and capital-exporting states, as revealed by the recent explosion of investor claims. This article examines the legal architecture of the system in order to demonstrate how it expands private authority in the context of transnational governance." - Academic Search Premier

Keywords: private security, global governance

Topics: Military Forces & Armed Groups

Year: 2005

© 2023 CONSORTIUM ON GENDER, SECURITY & HUMAN RIGHTSLEGAL STATEMENT All photographs used on this site, and any materials posted on it, are the property of their respective owners, and are used by permission. Photographs: The images used on the site may not be downloaded, used, or reproduced in any way without the permission of the owner of the image. Materials: Visitors to the site are welcome to peruse the materials posted for their own research or for educational purposes. These materials, whether the property of the Consortium or of another, may only be reproduced with the permission of the owner of the material. This website contains copyrighted materials. The Consortium believes that any use of copyrighted material on this site is both permissive and in accordance with the Fair Use doctrine of 17 U.S.C. § 107. If, however, you believe that your intellectual property rights have been violated, please contact the Consortium at