ILLEGALITY OF INVESTMENTS AS A HOST - STATE ’S DEFENCE IN INVESTOR - STATE ARBITRATION

Abstract

The objectives of this research article are 1) to study the problem of irregularities in arbitral awards regarding actions of foreign investors that are contrary to the laws of the investment recipient state in investor-State arbitrations and 2) to Analyze and determine guidelines for applying factors affecting consideration and awarding of cases to disputes that arise on the said issue. This research is qualitative research and uses documentary research methods. which studied and researched documents in Thai and foreign languages. The results of the research found that, number one, the arbitral awards in this matter are inconsistent, that is, generally when foreign investors have acted contrary to the law of investment recipient state Arbitrators should deny protection to such investments on the basis of consent and clean hands principles. But even so, the award appears in such a way that the arbitrator still has jurisdiction over the dispute. But due to the shortcomings of the content, it is not appropriate to accept it in the admissibility stage, and there are even cases where the arbitrator accepts the dispute in the merit stage as well. Secondly, the researcher sees that in order to solve the said problem from The study can analyze, draw conclusions and make recommendations in such a way that The arbitrator should take into account the following factors: Legal requirements Content and severity of the act The time period of the offense and the offense of the investee state These are all factors that affect the unevenness. Let's consider them in order as mentioned. It will help to consolidate irregularities and create a systematic norm for further arbitrations.