14 Cf. International Bank for Reconstruction and Development, General Conditions Applicable to Loan and Guarantee Agreements – of 1 January 1985, § 5.08 [hereinafter the IBRD 1985 General Conditions). How these terms and conditions are included in a given loan agreement is discussed in text and notes 27-44 below. 127 As indicated in the text of Footnote 80 to the Front, in 1959 it was widely disseminated that an agreement with a non-State entity as a contracting party could not have international law as its applicable law. For the same view expressed in 1956, see Sommers, Broches & Delaume, 17, 470 (recalling that national and international courts had not supported the view that loans involving both a private body and a State should be subject to international law and not to local law). In fact, in the 1950s, it was not entirely undisputed that any agreement involving an international organization like the World Bank – even an agreement with a state – could be subject to international law. In his 1959 presentations, Broches devoted a few pages to proof that international organizations, including the World Bank, are (and often are) empowered to conclude international agreements. See pins, note 2 above, at 316-38. For a summary of current views on the contractual powers of international organizations, see Brownlie, supra Note 120, at 683-84. See also Delaume, treaties, o. s. 89, §1.11. 120 International Court of Justice, Statute of Article 38(1) [hereinafter the Statute of the Court of Justice].
The enumeration of the “sources” of international law in Article 38 can be traced back at least to 1919, since the language of this article is virtually identical to that of Article 38 of the current Statute of the ICC`s predecessor, the Permanent International Court of Justice, reproduced in Antonio S. de Bustamante, The World Court 353 (Elizabedi F. Read trans., 1925). See also Ian Brownlie, Principles of Public International Law 714-16 (4th edition 1990). 6 The EBRD, headquartered in London, was founded in 1990. See Agreement establishing the European Bank for Reconstruction and Development, 29 May 1990, 29 ILM 1077 (1990) [hereinafter the EBRD Charter] (entered into force on 28 March 1991). For background information on the history and activities of the EBRD, see Ibrahim F.I. Shihata, European Bank for Reconstruction and Development (1990); Head, supranational law, a.o.a. Note 1, 635-49; European Bank for Reconstruction and Development, Annual Report 1994 (1995) [hereinafter the EBRD Report 1994].
87 See Mark Augenblick &Delissa A. Ridgway, Dispute Resolution in World Financial Institutions, 10 j. Int`l Arb. 73, 82 (1993) (with the decision that “there has never been effective arbitration between a major multilateral development bank and a borrower”). See also Broches, note 12 above, at 259 (with the indication that from 1980 ongoing, the World Bank`s arbitration provisions were “never invoked”). 48 For an example of an applicable legal provision, see Ved P. Nanda, Forum Selection and Choice of Law Clause in Transnational Contracts, in 1 The Law of Transnational Transactions Business, App. .
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