JEAIL > Volume 9(1); 2016 > Student Contribution
Research Paper
Published online: May 30, 2016

Investor-State Dispute between Lone Star and Korea: Legal and Policy Analysis

Joel K. Browning
1044 University Village Salt Lake City, Utah 84108 USA
Corresponding Author:

ⓒ Copyright YIJUN Institute of International Law
This is an Open Access article distributed under the terms of the Creative Commons Attribution Non-Commercial License ( which permits unrestricted non-commercial use, distribution, and reproduction in any medium, provided the original work is properly cited.


This paper examines critical issues in the current dispute between Lone Star and South Korea regarding Lone Star's investment in the Korea Exchange Bank that has culminated in an investor-State dispute claim against Korea before an International Centre for Settlement of Investment Disputes arbitration panel. It further evaluates the merits and potential outcomes of each issue through careful analogy to preexisting international investor-State dispute awards, textual analysis of the bilateral tax and investment treaties between South Korea and Belgium, and publically available information regarding events during the course of Lone Star's investments in Korea. In particular, it will address well-covered topics in international investment law such as nationality of corporations, fair and equitable treatment, and discriminatory treatment. It will also investigate burgeoning topics on breach of domestic law by third parties, breach of domestic law in the course of an investment, and the rights of an investor to raise tax-based investment claims.

Keywords : ISD, Korea, Lone Star, KEB, ICSID, BIT, BTT, FET

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