This proposed regulation aims at clarifying the division of competence for financial responsibility between the Union and Members States when the Union or a Member State is sued by an non EU-investor in the context of investor-state dispute settlement proceedings. Following the entry into force of the Lisbon Treaty, foreign direct investment is included in the EU common commercial policy. Of particular importance is the Parliament’s acknowledgement of the current uncertainty relating to the inclusion of investor-state dispute settlement mechanisms in Treaties negotiated by the EU.