1. This Article shall apply to disputes between a Party and an investor of the other Party concerning an alleged breach of an obligation of the former under this Chapter which causes loss or damage to the investor or its investment.
2. The parties to the dispute shall initially seek to resolve the dispute by consultations and negotiations.
3. Where the dispute cannot be resolved as provided for under
paragraph 2 within six (6) months from the date of a request for
consultations and negotiations, then, unless the disputing investor and the
disputing Party agree otherwise, or if the investor concerned has already
submitted the dispute for resolution before the courts or administrative
tribunals of the disputing Party, or if the dispute is already otherwise
subject to other binding dispute settlement proceedings (excluding
proceedings for interim measures of protection referred to in paragraph 5
below), the investor concerned may submit the dispute for settlement to:
(a) ICSID for conciliation or arbitration pursuant to Articles 28 or 36 of the ICSID Convention, if both Parties are parties to the ICSID Convention;
(b) arbitration under the UNCITRAL Arbitration Rules; or
(c) any other arbitration institution or under any other arbitration rules, if the disputing investor and the disputing Party agree.
4. Each Party hereby consents to the submission of a dispute to
conciliation or arbitration under paragraphs 3(a) to 3(c) in accordance
with the provisions of this Article, conditional upon:
(a) the submission of the dispute to such conciliation or arbitration taking place within three (3) years of the time at which the disputing investor became aware, or should reasonably have become aware, of a breach of an obligation under this Chapter causing loss or damage to the disputing investor or its investment;
(b) the disputing investor providing written notice (“notice of intent”), which shall be submitted at least thirty (30) days before the claim is submitted, to the disputing Party of its intent to submit the dispute to such conciliation or arbitration and which:1011
(i) states the name and address of the disputing investor and, where a claim is submitted on behalf of an enterprise, the name, address, and place of incorporation of the enterprise;
(ii) nominates either paragraph 3(a), 3(b) or 3(c) of this Article as the forum for dispute settlement (and, in the case of ICSID, nominates whether conciliation or arbitration is being sought);
(i) states the name and address of the disputing investor and, where a claim is submitted on behalf of an enterprise, the name, address, and place of incorporation of the enterprise;
(ii) nominates either paragraph 3(a), 3(b) or 3(c) of this Article as the forum for dispute settlement (and, in the case of ICSID, nominates whether conciliation or arbitration is being sought);
(iii) waives its right to initiate any proceedings (excluding proceedings for interim measures of protection referred to in paragraph 5) before any of the other dispute settlement fora referred to in paragraph 3 in relation to the matter under dispute;
(iv) for each claim, briefly summarises the alleged breach of the disputing Party under this Chapter, including the articles alleged to have been breached, and its legal and factual basis; and
(v) states the approximate amount of loss or damage allegedly caused to the disputing investor or its investment.
5. Neither Party Shall prevent the disputing investor from seeking interim measures of protection, not involving the payment of damages or resolution of the substance of the matter in dispute before the courts or administrative tribunals of the disputing Party, prior to the institution of proceedings before any of the dispute settlement fora referred to in paragraph 3, for the preservation of its rights and interests.
6. Neither Party shall give diplomatic protection, or bring an international claim, in respect of a dispute which one of its investors and the other Party shall have consented to submit or have submitted to conciliation or arbitration under this Article, unless such other Party has failed to abide by and comply with the award rendered in such dispute. Diplomatic protection, for the purposes of this paragraph, shall not include informal diplomatic exchanges for the sole purpose of facilitating settlement of the dispute.
7. The responsibility among the Parties for the assumption of expenses derived from their participation in the arbitration or conciliation shall be established:
(a) by the arbitration or conciliation institution which the dispute has been submitted to, according to its rules of procedure for arbitration or conciliation proceedings; or
(b) according to the rules of procedure for arbitration or conciliation proceedings agreed by the disputing investor and the disputing Party, where applicable.
Section 10.18. PUBLIC DEBT
1. The Parties recognize that the purchase of debt issued by a Party entails commercial risk. For greater certainty, no award may be made in favour of a disputing investor for a claim with respect to default or non payment of debt issued by a Party unless the disputing investor meets its burden of proving that such default or nonpayment constitutes an uncompensated expropriation for purposes of Article 10.10 (Expropriation and Nationalisation) or a breach of any other obligation under this Chapter.
2. No claim that a restructuring of debt issued by a Party breaches an obligation under this Chapter may be submitted to, or if already submitted continue in, arbitration under this Chapter if the restructuring is a negotiated restructuring at the time of submission, or becomes a negotiated restructuring after such submission, except for a claim that the restructuring violates Article 10.3 (National Treatment) or Article 10.4 (Most-Favoured-Nation Treatment).
3. Subject to paragraph 2, an investor of the other Party may not submit a claim under this Chapter that a restructuring of debt issued by a Party breaches an obligation under this Chapter (other than Article 10.3 (National Treatment) or 10.4 (MostFavouredNation Treatment)) unless two hundred and seventy (270) days have elapsed from the date of the events giving rise to the claim.
Article 10.19. SAVINGS CLAUSE
In the event that this Agreement is terminated, the following provisions shall continue in effect with respect to investments made or acquired before the date of termination of this Agreement for a further period of fifteen (15) years after the date of termination and without prejudice to the application thereafter of the rules of general international law:
(a) the provisions of this Chapter except Article 10.14 (Non Conforming Measures) and the commitments contained in Annex 11B (Peru’s CrossBorder Trade in Services and Investment Reservations for Existing Measures and Liberalisation Commitments), Annex 11C (Singapore’s Cross Border Trade in Services and Investment Reservations for Existing Measures and Liberalisation Commitments), Annex 11D (Peru’s CrossBorder Trade in Services and Investment Reservations for Future Measures) and Annex 11E (Singapore’s CrossBorder Trade in Services and Investment Reservations for Future Measures) in regard to investments and investors;
(b) the provisions in Chapter 17 (Dispute Settlement); and
(c) such other provisions in the Agreement as may be necessary for or consequential to the application of this Chapter.
Article 10.20. TERM OF THE BILATERAL INVESTMENT TREATY
1. Subject to paragraph 2, the Parties hereby agree that the Bilateral Investment Treaty, as well as all the rights and obligations derived from the said Treaty, will cease to have effect on the date of entry into force of this Agreement.
2. Any and all investments made pursuant to the Bilateral Investment Treaty before the entry into force of this Agreement will be governed by the rules of the said Treaty regarding any matter arising while the Treaty was in force. An investor may only submit an arbitration claim pursuant to the Bilateral Investment Treaty, regarding any matter arising while the said Treaty was in force, pursuant to the rules and procedures established in it, and provided that no more than three (3) years have elapsed since the date of entry into force of this Agreement.