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Legal empowerment for local resource control

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32<br />

that characterised the Cold War, no right-to-property provision was included in<br />

either of the two main UN human-rights Covenants (the ICCPR and the<br />

ICESCR). There<strong>for</strong>e, at the global level, treaty provisions on the right to<br />

property are confined to specific aspects, particularly in relation to the natural<br />

<strong>resource</strong> rights of indigenous peoples (ILO Convention 169) and to nondiscrimination<br />

in property relations on the basis of gender (article 15 of the<br />

CEDAW) and race (article 5(d)(v) of the ICERD).<br />

Despite the weakness of the global human-rights protection of property,<br />

regional human rights systems in Europe and (to a lesser extent) the Americas<br />

have developed standards of protection similar to those applicable to <strong>for</strong>eign<br />

investment under international economic law. 15 But differences remain, <strong>for</strong><br />

instance with regard to requirements concerning exhaustion of domestic<br />

remedies 16 and to standards of compensation. 17<br />

However, the gap between the protection of property rights under economic<br />

and human rights law is much wider in Africa. Here, the human rights<br />

protection of property remains weak. This is due to the more vague <strong>for</strong>mulation<br />

of the right to property under the African Charter on Human and Peoples’ Rights<br />

(ACHPR) which does not require payment of compensation <strong>for</strong> takings of<br />

property. 18 It is also linked to the less effective remedies provided by the African<br />

human rights system compared to its European and American counterparts (e.g.<br />

the African Court of Human and Peoples’ Rights was only established in 2006). 19<br />

15. In Europe, under article 1 of Protocol 1 of the European Convention on Human Rights (ECHR) and the<br />

extensive case law developed on the basis of this article. In the Americas, under article 21 of the American<br />

Convention on Human Rights (ACHR) and the (more limited) case law based on it. The ACHR case law<br />

specifically tackles the protection of <strong>local</strong> <strong>resource</strong> rights within the context of <strong>for</strong>eign investment projects,<br />

namely in the cases Mayagna (Sumo) Awas Tingni Community v. Nicaragua and Maya Indigenous Communities of<br />

the Toledo District v. Belize.<br />

16. Under human rights treaties, persons claiming that their rights have been violated can access international<br />

human rights institutions only after having unsuccessfully brought their claims be<strong>for</strong>e national courts<br />

(“exhaustion of domestic remedies”). On the other hand, where international arbitration applies, <strong>for</strong>eign<br />

investors can access it without having to go be<strong>for</strong>e domestic courts first.<br />

17. Standards of compensation <strong>for</strong> takings of property tend to be stronger under international economic law<br />

than under human rights treaties (see e.g. the ECHR case James v. UK).<br />

18. Article 14 of the ACHPR affirms: “The right to property shall be guaranteed. It may only be encroached<br />

upon in the interest of public need or in the general interest of the community and in accordance with the<br />

provisions of appropriate laws”. Thus, article 14 of the ACHPR does not explicitly require payment of<br />

compensation <strong>for</strong> takings of property – it merely refers to the “provisions of appropriate laws”.<br />

19. Until the creation of the African Court in 2006 based on a 1998 ACHPR Protocol, successful ACHPR cases<br />

only led to the non-binding decisions of the African Commission on Human and Peoples’ Rights. Even after the<br />

establishment of the Court, the Commission is likely to continue to play a key role due to limits in access to the<br />

Court <strong>for</strong> individuals and groups. The non-binding nature of the Commission’s decisions contrasts with the<br />

final and binding nature of international arbitral awards under international economic law. The judgements<br />

of the African Court are binding – but sanction mechanisms <strong>for</strong> state non-compliance remain unclear. On the<br />

other hand, <strong>for</strong>eign investors may rely on final arbitral awards to seize host state assets in third countries,<br />

thereby obtaining reparation <strong>for</strong> violations and creating incentives inducing compliance (“pursuit actions”).

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