International Commercial Arbitration (ICA) and International Investment Arbitration (IIA) differ in scope, legal frameworks, and policy concerns. ICA resolves private disputes, while IIA involves state sovereignty, public interest, and investment treaty obligations.

The Chorzow Factory case (1927) established that unlawful expropriation by a state requires full reparation, restoring the injured party to its original position or providing compensation, setting a precedent in international law on state responsibility.