Trade deal upsets states

Jobs minister Richard Bruton has described as justifiable the criticism of a controversial dispute mechanism that can see investors sue sovereigns and which is set to apply to Ireland as part of a new trade agreement.

The investor state dispute settlement mechanism which forms part of numerous trade deals globally and is set to be included in the hotly debated Transatlantic Trade and Investment Partnership between the EU and US has drawn the ire of concerned parties who claim it undermines the rights of sovereign states to regulate industry.

The dispute resolution has been used by large multinational firms to sue countries leading to significant upset over the Government’s backing of its inclusion in the trade partnership.