Common use of Prudential Measures Clause in Contracts

Prudential Measures. 1. Where an investor submits a claim to arbitration under Article XII, and the disputing Contracting Party invokes Article III(3) or V(4) of Annex I, the tribunal established pursuant to Article XII shall, at the request of that Contracting Party, seek a report in writing from the Contracting Parties on the issue of whether and to what extent the said paragraphs are a valid defence to the claim of the investor. The tribunal may not proceed pending receipt of a report under this Article.

Prudential Measures. 11 . Where an investor submits a claim to arbitration under Article XIISection C, and the disputing Contracting Party invokes paragraphs 2 or 3 of Article III(3) 10, or V(4) paragraph 6 of Annex IArticle 14, the tribunal Tribunal established pursuant to Article XII 22 or 23 shall, at the request of that Contracting Party, seek a report in writing from the Contracting Parties on the issue of whether and to what extent the said paragraphs are a valid defence to the claim of the investor. The tribunal Tribunal may not proceed pending receipt of a report under this Article.