Ecuador ban on ISDS clauses

Ecuador has voted to affirm its constitutional ban on ISDS clauses, which I call "I Sue Democratic States" clauses.

Some have criticized my term, saying that ISDS clauses are not specifically limited to democratic states. That is true — but in practice it tends to be democratic states that are targets for them. That's because the kind of law that foreign corporations target that way is a kind that tends to be passed by democratic states. Most dictators rarely pass laws that would make foreign corporations treat the populace better.

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