Challenges to Transparency and Ethics in Alternatives to Arbitration in the Realm of International Investments

Arbitration has traditionally been considered the best way of resolving disputes on international investment. Yet, some parties involved in investment disputes, notably developing countries, have raised concerns about the effectiveness of arbitration. Alternatives to arbitration have been developed with a view to providing the international investment dispute system with more credibility. These alternatives are characterized by informality and tend to be less time-consuming than arbitration. Nonetheless, they also face challenges, especially a lack of transparency and legitimacy. This paper analyzes why arbitration has been criticized and investigates the main challenges to transparency and ethics in alternatives to arbitration in the field of international investment disputes