Chile's Proposed Constitutional Changes To Natural Resources Rights Could Have Devastating Effects On Foreign Investors: How Can International Law Protect Them?
Published date | 04 August 2022 |
Subject Matter | Government, Public Sector, Energy and Natural Resources, Inward/ Foreign Investment, Energy Law, Mining, Constitutional & Administrative Law |
Law Firm | Jones Day |
Author | Ms Michelle Bradfield, James Egerton-Vernon, Mercedes Fern'ndez, Antonio Gonz'lez, Melissa Stear Gorsline, Fahad Habib, Maria Pradilla Picas, Ricardo Puente, Luis Riesgo and Sylvia Tonova |
Chile is currently considering a new Constitution-due to be put to a referendum in September-and foreign investors should be aware of its potential impact on their investments in the country. The proposed changes in the draft Constitution could reduce compensation awards for expropriated property, alter water rights, and freeze mining concessions. The draft would also grant wide discretion to the country's courts by allowing judges to decide on the amount of compensation owed for expropriated property. As to changes in the regulation of natural resources-if the draft is approved, the government would authorize only noncommercial...
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