Investor Presentaiton

181 Frivolous claims Provisional measures 212 (shareholder) seeks and recovers damages on its own behalf, they will be calculated based on the injury to that investor. The IIA should direct that claims for damage to the investment be paid directly to it in order to ensure that all those with an ownership interest in the investment can recover their appropriate share of the funds. 212 States that wish to ensure that preliminary objections are heard promptly whether they be that claims manifestly lack legal merit or that a dispute does not fall within a tribunal's jurisdiction might include in their IIAs a directive for tribunals to hear preliminary objections prior to the merits of the case whenever possible. The objective of this procedure is to avoid spending time and resources on adjudicating frivolous claims. In some cases, however, a tribunal might, after preliminary consideration, choose to defer a final decision on preliminary objections until after having heard the full arguments of the case, as it can be difficult to come to a final decision within a short time frame and with a less-than-full record. Arbitral rules typically permit tribunals to order interim measures of protection. In order to avoid challenges to the authority of a tribunal to issue these orders, it is useful for the ISDS provision to explicitly authorize this recourse. This will be relevant only for non-ICSID arbitration because the ICSID Rules and the ICSID Additional Facility Rules each include such a provision. UNCTAD Series on International Investment Agreements II

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