ABSTRACT
Indigenous peoples’ rights have gained increased recognition internationally, yet their traditional lifestyles and territories often suffer negative impacts from development projects led by foreign investors, whose investments are protected under international investment law (IIL). The IIL comprises international treaties and arbitration decisions and emphasizes investor rights without adequately protecting affected communities. The chapter critically analyzes mechanisms within IIL for holding foreign investors accountable for rights violations and discusses the efficacy of corporate social responsibility (CSR) in ensuring responsible investor behavior toward Indigenous communities. It highlights the lack of direct legal obligations for investors under most international investment agreements and the challenges faced by Indigenous peoples in seeking redress through arbitration proceedings. Through the case study of Bear Creek Mining Corporation v. Republic of Peru, the chapter illustrates the limitations of CSR as a nonbinding set of practices in safeguarding Indigenous peoples’ rights and suggests legal reforms to enhance investor accountability and protect these rights more effectively.
