Prof. Marboe’s seminal 2009 book has served as one of the leading texts on the topic of compensation and damages in international investment law. Most of the leading texts on international investment law focus on the legal principles, but devote considerably less attention to quantum. Conversely, the typical textbooks on valuation theory set out principles of finance and valuation, but fail to put those concepts within the framework of international investment law, and the resulting international disputes. Prof. Marboe’s book bridges that gulf.
In this second edition, Prof. Marboe updates the text to reflect developments and case decisions over the past several years. While the book follows the same logical organization as the first edition, it adds considerable new material, including a useful set of appendices setting out ICSID, NAFTA, ECT and Ad Hoc cases decided since 2008, including the amounts claimed and awarded, and the methods of calculation used.
In her introductory remarks, Prof. Marboe notes that what had been described in the first edition as a recent increased awareness of damage calculation has blossomed into a “remarkable increase in awareness of the importance of valuation in international investment disputes.” As she points out, while damages in an individual case primarily affect only the specific parties to that case, the calculations may also contribute – positively or negatively – to the development of legal certainty, since more thorough reasoning and explanation by parties, their experts and ultimately, the tribunal, will lead to greater acceptance of the moral and legal weight of the result.