Iura Novit Curia Principle as a Basis of Environmentalization of the ICSID

Document Type : Research Paper

Authors

1 Associate Professor, University of Mazandaran, Iran

2 Master's Student in International Law, University of Mazandaran, Iran

10.22034/law.2024.60260.3360

Abstract

The increasing role of ICSID as an international forum for resolving investment disputes, particularly in light of the growing emphasis on foreign investments in developing countries, has raised new questions regarding the scope of arbitral authority. One such issue concerns the longstanding principle of Jura novit curia (the court knows the law), which is primarily used to explain the discretion or obligation of arbitral tribunals to interpret and apply norms and rules independently of the parties’ submissions. Since this principle is not explicitly provided for in the procedural rules of most institutional arbitrations, including ICSID, its application by arbitral tribunals has given rise to various questions and challenges. This article evaluates ICSID’s approach to invoking the principle of Jura nocturia and explores its potential to enable arbitrators to reference national and international environmental norms and standards. The findings of this study suggest that, in the current legal landscape where environmental considerations have gained significant importance in investment law, striking a balance between “protecting the principles of arbitration, particularly party autonomy” on the one hand, and “safeguarding the public (environmental) interests” on the other, requires ICSID’s vigilance. By adopting precedent-setting positions and applying principles such as jura novit curia, ICSID can achieve this critical balance. Such an approach would not constitute a departure from the limits of arbitral authority. On the contrary, it would preserve the enforceability and resilience of arbitral awards during recognition, enforcement, and annulment proceedings before national courts. Additionally, it would strengthen the institution’s legitimacy and sustainability, fostering greater public confidence in this vital forum for investment dispute resolution.

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Main Subjects

References

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Jurisprudence and Islamic Law
Volume 15, Issue 36
November 2025
Pages 235-258

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