Convention on the Settlement of Investment Disputes Between States and Nationals of Other StatesDone at Washington on 18 March 1965PREAMBLEThe Contracting States Considering the need for international cooperation for economic development, and the role of private international investment therein;Bearing in mind the possibility that from time to time disputes may arise in connection with such investment between Contracting States and nationals of other Contracting States;Recognizing that while such disputes would usually be subject to national legal processes, international methods of settlement may be appropriate in certain cases;Attaching particular importance to the availability of facilities for international conciliation or arbitration to which Contracting States and nationals of other Contracting States may submit such disputes if they so desire;Desiring to establish such facilities under the auspices of the International Bank for Reconstruction and Development;Recognizing that mutual consent by the parties to submit such disputes to conciliation or to arbitration through such facilities constitutes a binding agreement which requires in particular that due consideration be given to any recommendation of conciliators, and that any arbitral award be complied with; andDeclaring that no Contracting State shall by the mere fact of its ratification, acceptance or approval of this Convention and without its consent be deemed to be under any obligation to submit any particular dispute to conciliation or arbitration,Have agreed as follows:CHAPTER I International Centre for Settlement of Investment DisputesSection 1 Establishment and OrganizationArticle 1(1) There is hereby established the International Centre for Settlement of Investment Disputes (hereinafter called the Centre).(2) The purpose of the Centre shall be to provide facilities for conciliation and arbitration of investment disputes between Contracting States and nationals of other Contracting States in accordance with the provisions of this Convention.Article 2The seat of the Centre shall be at the principal office of the International Bank for Reconstruction and Development (hereinafter called the Bank). The seat may be moved to another place by decision of the Administrative Council adopted by a majority of two-thirds of its members.Article 3The Centre shall have an Administrative Council and a Secretariat and shall maintain a Panel of Conciliators and a Panel of Arbitrators.Section 2 The Administrative CouncilArticle 4(1) The Administrative Council shall be composed of one representative of each Contracting State. An alternate may act as representative in case of his principals absence from a meeting or inability to act.(2) In the absence of a contrary designation, each governor and alternate governor of the Bank appointed by a Contracting State shall be ex officio its representative and its alternate respectively.Article 5The President of the Bank shall be ex officio Chairman of the Administrative Council (hereinafter called the Chairman) but shall have no vote. During his absence or inability to act and during any vacancy in the office of President of the Bank, the person for the time being acting as President shall act as Chairman of the Administrative Council.Article 6(1) Without prejudice to the powers and functions vested in it by other provisions of this Convention, the Administrative Council shall:(a) adopt the administrative and financial regulations of the Centre;(b)adopt the rules of procedure for the institution of conciliation and arbitration proceedings;(c)adopt the rules of procedure for conciliation and arbitration proceedings (hereinafter called the Conciliation Rules and the Arbitration Rules);(d)approve arrangements with the Bank for the use of the Banks administrative facilities and services;(e)determine the conditions of service of the Secretary-General and of any Deputy Secretary-General;(f)adopt the annual budget of revenues and expenditures of the Centre;(g) approve the annual report on the operation of the Centre.The decisions referred to in sub-paragraphs (a), (b), (c) and (f) above shall be adopted by a majority of two-thirds of the members of the Administrative Council.(2) The Administrative Council may appoint such committees as it considers necessary.(3) The Administrative Council shall also exercise such other powers and perform such other functions as it shall determine to be necessary for the implementation of the provisions of this Convention.Article 7(1) The Administrative Council shall hold an annual meeting and such other meetings as may be determined by the Council, or convened by the Chairman, or convened by the Secretary-General at the request of not less than five members of the Council.(2) Each member of the Administrative Council shall have one vote and, except as otherwise herein provided, all matters before the Council sh