The Rise of Arbitral Power Over Domestic Courts

Abstract

INTRODUCTION 374 I. ANTISUIT INJUNCTIONS IN THE AGE OF INVESTOR ARBITRATION 376 A. The Transplantation of Antisuit Injunctions 377 B. Interim Measures to Suspend Court Proceedings 378 C. Arbitral Suspension of Judicial Action in Chevron v. Ecuador 380 II. DENIAL OF JUSTICE AND ITS TRIBUTARIES 383 A. Loewen and the Limits of Denial of Justice 385 B. Denial of Justice Recognized: Pey Casado and Siag 385 C. Saipem and the Expropriation Clause as a Check on Domestic Courts .... 387 D. The Effective Means Clause as a Check on Domestic Courts: Chevron I, White, and Potentially Chevron II 389 E. Denial of Justice Flows Underground, Even As Remedies Grow Bolder: Petrobart and ATA 392 III. EVALUATING ARBITRAL POWER OVER DOMESTIC COURTS 394 A. Legal Basis and Rationale 394 B. Specific Objections to Arbitral Power Over Domestic Courts 397 1. Privileging foreign investors 398 2. Independence of the judiciary 399 3. State consent 399 4. Undermining international law 402 IV. ARBITRAL PRUDENCE AND THE GENERAL CRITIQUES OF INVESTOR ARBITRATION 404 A. Institutional Flaws: Secrecy, Conflicts, and the Lack of an Appeal 404 B. The Tension Between Arbitration and Human Rights 409 C. Prudence and Arbitral Review and Suspension of Judicial Action 413 CONCLUSION 416