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I INTRODUCTION In international investment law, the phrase Full Protection and Security ('Fps') refers to a standard of protection for foreign investments that provides security against physical damage that may occur to a foreign investor's property arising from war or civil unrest in the host state. The Fps standard is now common to many of the more than two thousand Bilateral Investment Treaties ('BIT'S) concluded between states to attract foreign direct investment ('FDI') and protect multinational investors.' While the Fps standard was traditionally held to govern the physical security of investors' tangible assets, this understanding may need to be modified to fit the nature of security threats faced by investors in the 21st Century, namely the integrity of digital investments like computer systems and websites from attacks levied through or against the internet. An application of the FPS standard in this manner will be difficult because of the nature of control that host states retain over digital networks. Moreover a host state's fulfilment of its Fps commitment in a treaty instrument may involve security undertakings that are beyond its economic capacity, especially in the case of Developing States, where many so-called 'cyber attacks' are believed to originate. This
Journal of World Investment and Trade – Brill
Published: Jan 1, 2011
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