5. For the purposes of article I of the New York Convention, it shall be considered that the claim is submitted to arbitration under this section arises out of a commercial relationship or transaction.
Article XVIII. Payments Under a Contract of Insurance or Guarantee
In an arbitration under this section, a contracting party not used as a defense, contra-reclamación, right of set-off or other litigant, that the investor has received or will receive pursuant to a contract of insurance or guarantee, indemnification or other compensation for all or part of the alleged damages.
Section 2: disputes between the Contracting Parties
Article XIX. Disputes between the Contracting Parties
1. Any dispute between the contracting parties concerning the interpretation or application of this Agreement shall be settled as far as possible, by mutual agreement.
2. If the dispute cannot be settled in this way within six months from the beginning of negotiations, the dispute shall be submitted, at the request of either of the contracting parties to an arbitration tribunal.
3. The arbitration tribunal shall be constituted as follows: each Contracting Party shall appoint one arbitrator and these two arbitrators shall elect a national of a third State as Chairman. the arbitrators shall be appointed within three months and the Chairman within five months from the date on which either Contracting Party has informed the other of its intention to submit the dispute to an arbitration tribunal.
4. If one of the Contracting Parties has not appointed its arbitrator within the deadline, the other Contracting Party may invite the President of the International Court of Justice to make the appointment. if the two arbitrators cannot reach an agreement on the appointment of the third arbitrator within the prescribed period, either Contracting Party may invite the President of the International Court of Justice to make the appointment.
5. If in the cases referred to in paragraph 4 above, the President of the International Court of Justice cannot discharge the said function or is a national of either Contracting Party, the Vice-President shall be invited to make the necessary appointments. if the Vice-President cannot discharge the said function or is a national of either Contracting Party, the appointment shall be made by the most senior member of the said Court who is not a national of any party contratantes.párrafo 4 above, the President of the International Court of Justice cannot discharge the said function or is a national of either Contracting Party, the Vice-President shall be invited to make the necessary appointments. if the Vice-President cannot discharge the said function or is a national of either Contracting Party, the appointment shall be made by the most senior member of the said Court who is not a national of either of the Contracting Parties.
6. The arbitral tribunal established under this section shall decide the dispute in accordance with this Agreement and applicable rules and principles of international law.
7. Unless the Contracting Parties decide otherwise, the tribunal shall determine its own procedure.
8. The tribunal shall reach its decision by a majority of votes and it shall be final and binding on the contracting parties.
9. Each Contracting Party shall bear the costs of the arbitrator appointed by it and its representation in the arbitral proceedings. the other expenses, including the President, shall be borne in equal parts by the contracting parties.
Chapter IV Final provisions
Article XX. Additional Obligations
If the obligations arising out of an international agreement to which both parties are contracting parties contain rules under which must be accorded to investors and to investments of investors of the other contracting party to a more favourable treatment than that provided for in this Agreement, such rules shall prevail over this agreement to the extent that they are more favourable.
Article XXI. Scope
This Agreement shall also apply to investments made before its entry into force by investors of one Contracting Party in accordance with the laws of the other Contracting Party in the territory of the latter.
Article XXII. Entry Into Force
1. Each Contracting Party shall notify the other in writing and through diplomatic channels on the fulfilment of their constitutional requirements in relation to the approval and Entry into Force of this Agreement.
2. This Agreement shall enter into force thirty days after the latter two of the notifications referred to in paragraph 1 above anterior.párrafo 1.
Article XXIII. Duration and Termination
This agreement is concluded for a period of 10 years. thereafter it shall continue in force until the expiration of twelve months from the date on which either contracting party notifies the other in writing of its intention to terminate it. the provisions of this Agreement shall remain in force in respect of investments made during its effect for a period of ten years from the date of termination and thereafter without prejudice to the application of the general rules of International Law.
Article XXIV. Repeal
This Agreement after its Entry into Force, repeals and replaces the Agreement for the reciprocal promotion and protection of investments between the United Mexican States and the Kingdom of Spain, which entered into force on 18 December 1996. however, a claim submitted to arbitration before the Entry into Force of this Agreement shall be settled in accordance with the previous agreement.
Conclusion
This is a faithful and complete copy in English to the Agreement on the reciprocal promotion and protection of investments between the United Mexican States and the Kingdom of Spain, signed in Mexico City on 10 October two thousand and six.
I, this twenty four pages useful in Mexico City, Federal District, on 7 April two thousand and eight in order to incorporate the decree promulgating. record -. - heading.