This comment on Alan Sykes Article "Economic 'Necessity' in International Law" on AJIL UNBOUND discusses the application of necessity clauses from an economic perspective especially in light of the incentives of investors, who are the third party beneficiaries of the investment treaty/contract....

The chapter deals with international investment agreements and financial crises. Arbitral proceedings have highlighted the complex and sometimes problematic tension between necessary state measures to address crisis situations and obligations entered into vis-à-vis foreign investors mainly in...