The Siemens v. Argentina case reaffirmed investor protections under BITs, ruling Argentina’s termination of Siemens’ contract as unlawful expropriation. The ICSID tribunal awarded Siemens over $217 million, reinforcing fair treatment and state obligations in investment disputes.

An umbrella clause in investment treaties mandates host states to honor commitments related to investments, elevating breaches of local obligations to international disputes. It enhances investor protection, though its scope and applicability remain debated in arbitration.