A two-tiered justice system ? – Or how to attract foreign investors through the State justice mechanisms

Investors settle where conditions (wages, tax, …) would make them the most competitive. However, globalisation has lead the States to reshape their regulations to encourage investments. States compete with each other also through their judiciary. Investors are paying attention to the effectiveness and the quality of the judicial system of a chosen State of settlement. In Europe, Brexit gave a new kick to this phenomenon. Some States are now creating ad hoc domestic English-speaking Courts for international commercial disputes to lure corporations, allowing them to benefit from a legitimate court but with looser procedures. In Belgium, the Brussels international Business Court will be established and will follow arbitration procedures. It is ironic for a country that almost teared down the CETA negotiations because of an ISDS clause. Our paper addresses the tension between this dynamic and the notion of sovereignty, and a shift from an independent judiciary to a hybrid justice system.