Common use of Derogation Clause in Contracts

Derogation. This Agreement shall not derogate from: a) laws and regulations, administrative practices or procedures, or administrative, or adjudicatory decisions of either Contracting Party, b) international legal obligations, or c) obligations assumed by either Contracting Party, including those contained in an investment agreement or an investment authorization, that exist at present or established hereafter and that entitle investments or associated activities to treatment more favourable than that accorded by this Agreement in like situation 1. For the purpose of solving disputes concerning the investments between a hosting Contracting Party and an investor of the other Contracting Party, consultations will be held between the Contracting Parties concerned with a view to solving the case, as far as possible, amicably. 2. If these consultations do not result in a solution within six months from the date of request for settlement, the investor may submit the dispute, at his choice, for settlement to: a) the International Centre for Settlement of Investment Disputes (ICSID) set up by the "Convention on Settlement of Investment Disputes between States and Nationals of other States" (in case both Parties become signatories of this Convention); b) an ad hoc court of arbitration laid down under the Arbitration Rules of Procedure of the United Nations Commission for International Trade Law (UNCITRAL); c) the Court of Arbitration of the Paris International Chamber of Commerce; d) the local Court 3. The arbitral tribunal shall decide the dispute in accordance with the provisions of this Agreement and the applicable rules and principles of International law. The arbitration awards shall be final and binding for all parties in dispute. Each Contracting Party commits itself to execute the award according to its national law. 4. The Contracting Party which is a party to the dispute shall, at no time whatsoever during the procedures involving investment disputes, assert as a defense its immunity or the fact that the investor has received compensation under an insurance contract covering the whole or part of the incurred damage or loss.