Rule of Law in Investment Treaties

The Rule of Law in investment treaties ensures that foreign investors are treated fairly and consistently according to clear legal standards. It requires that governments apply laws transparently, fairly, and predictably when making decisions affecting investments. This principle helps prevent arbitrary actions, ensuring investors can rely on stable legal protections, such as fair treatment and enforcement of contracts. Essentially, it promotes a transparent legal framework that safeguards investors' rights while allowing governments to regulate in the public interest within a predictable and lawful system.