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In recent years, international arbitration has become plagued by
different forms of substantive and procedural abuse. For example,
we have witnessed a rise in cases where parties restructure their
investments in an abusive manner by altering one of its features
purely to gain access to ICSID arbitration. Similarly, the
increasingly common practice of initiating parallel arbitral
proceedings in order to maximise a party's chances of success, and
the undesirable possibility of inconsistent decisions pose a risk
to standards of fairness. Abusive practices designed by parties to
prejudice their opponents may undermine the fair resolution of
disputes and frustrate the administration of arbitral justice.
There are pre-existing tools and legal rules that can be utilised
to prevent abuse. However, these tools are inherently rigid in
their application and fail to remedy all forms of abuse. Abuse of
Rights in International Arbitration introduces the principle of
abuse of rights and considers its application as a general
principle of law to prevent different forms of substantive and
procedural abuse in international arbitration. The virtue of a
single theory with a wide scope and an overarching premise is that
it is a principle, which involves equity considerations, enjoys the
flexibility of general principles of law, and can address different
abusive behaviours. The author carefully examines the legal basis
and core elements of abuse of rights and analyses the relevant case
law to address how the principle may affect the administration of
arbitral justice. Arguing for the application of abuse of rights as
a general principle of law, the author expertly examines how it
could apply in both international commercial and investment
arbitration to tackle procedural misconduct and different abusive
practices.
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