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271 PRIVATIZATION AND PROJECT FINANCE IN RUSSIA AND POLAND AND THE PROBLEMS OF VALUATION (PART II)* Duncan Miller Lecturer in Law, University of Buckingham, UK 3. Other Laws That Commonly Impact On Foreign Investment and Whose Operation Is Dependent on Preconditional Valuation Tasks In the 1970's and 1980's, those states in Central and Eastern Europe which sought to attract foreign investment did so by establishing legal frameworks which were directed at encouraging and incorporating such investments as a part of, rather than apart from, their domestic centrally-planned econo- mies. 140 It was also common practice for direct private foreign investment to be linked to bilateral treaties that contained provisions which mutually encouraged trade and protected foreign investment property. This practice which has been continued in recently years, particularly by the USA,'4' evolved directly from a 1970 decision of the International Court of Justice in the Case Concerning the Barcelona Traction, Light and Power Co. Ltd (Second Phase)'42 which determined as an overriding principle that while an investment-receiving state is bound to extend some protection in law to the investments concerned, they do not thereby become an insurer of that part of the investing state's wealth corresponding to such
Review of Central and East European Law – Brill
Published: Jan 1, 1994
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