The Role of Corporate Social Responsibility in International Investment Law: The Case of Tobacco ^☆

Yulia Levashova is a PhD candidate at Utrecht University’s Molengraaff Institute, the Netherlands, and a researcher at the Center for Sustainability of the Nyenrode Business University, the Netherlands.

Abstract

Purpose

This chapter seeks to reveal what are the implications of the corporate social responsibility (CSR) debate on international investment law by focusing on the specific example of public health. The right to health is one of the human rights secured in international law and in the national legislation of a majority of States. This chapter will provide examples of investment cases concerning tobacco control measures, imposed by the Host States for the purpose of improving public health, though challenged by the tobacco companies under International Investment Agreements (IIAs) in investment tribunals. These specific examples cast rather general questions regarding the legal framework of international investment framework and its role in providing sufficient policy space for Host States to implement the public policies and to ensure that foreign companies adhere to the CSR standards.

Methodology/approach

In order to investigate what are the implications of the CSR debate on international investment law on the example of tobacco industry, the author performs a literature review and analyze two tobacco disputes and its possible implication on the public health debate and protection of foreign investors.

Findings

This case study illustrates the complex paradigm that interlink economic and human rights obligations of States on one side of the spectrum and property rights and social responsibilities of tobacco companies on the other side.

Originality/value of chapter

This chapter addresses a very topical and pertinent issue in public international law, namely: the role of public interest norms in the regime of foreign direct investment.

Citation

Levashova, Y. (2014), "The Role of Corporate Social Responsibility in International Investment Law: The Case of Tobacco ^☆

Yulia Levashova is a PhD candidate at Utrecht University’s Molengraaff Institute, the Netherlands, and a researcher at the Center for Sustainability of the Nyenrode Business University, the Netherlands.

", Communicating Corporate Social Responsibility: Perspectives and Practice (Critical Studies on Corporate Responsibility, Governance and Sustainability, Vol. 6), Emerald Group Publishing Limited, Leeds, pp. 131-153. https://doi.org/10.1108/S2043-9059(2014)0000006027