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STATELESSNESS AS RHETORIC
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Belgium sued Spain on behalf of the Belgian shareholders of Barcelona Traction—a Canadian company. 371 The court found that there was no reason to pierce
the corporate veil, but declared that "fraud or malfeasance, to protect third persons
such as a creditor or purchaser, or to prevent the evasion of legal requirements or
of obligations" are grounds for piercing the veil. 372 In an exceptional circumstance allowing the piercing of the veil, the European Court of Human Rights, in
Agrotexim v. Greece, where the shareholders complained that the expropriation
by a municipality violated their rights, held that it is justified "where it is clearly
established that it is impossible for the company to apply to the Convention institutions through the organs set up under its articles of incorporation." 373 In international investment law, the tribunal in Saluka Investments v. Czech Republic held
that the corporate veil should be pierced in the presence of fraud. 374
To give an example, when State Y wants to determine A's citizenship status,
it has to determine whether State X (assuming X is the only State with a connection to A) considers A a citizen or not upon the operation of its laws. In the course
of the determination process, State Y examines the laws and state practice of State
X on citizenship as applied to the life events and personal and family histories of
A. State Y generates its own perception of State X's circle of citizenship and
whether State X considers A as belonging inside or outside of it. Or, State Y could
directly ask State X if it considers A a citizen or not. If State X replies in the
positive (even if A believes they are not a citizen of State X), A should not be
immediately constituted as not a stateless person. If there is a showing that State
X does not allow A to vote in disregard of his right to political participation as a
citizen of State X in violation of the ICCPR, then a badge of protection is absent.
In such a case, the absence of a badge of protection should allow State Y to pierce
the veil of the declaration of status of A. State Y could rule that A is stateless and
provide them protection upon closer examination of their material condition.
When analyzing "badges of protection," it is imperative that the analysis incorporates concepts in international law that are inherent in nationality rights protection. 375 These concepts include the principle of non-discrimination, and where
applicable, State obligations to prevent and reduce statelessness. 376 In explaining
the right to nationality, the Human Rights Committee declared that it is a protection "from being afforded less protection by society" because of citizenship
371. Barcelona Traction, Judgment, 1970 ICJ Rep. 3, ¶ 42 (Feb. 5).
372. Id. ¶ 56.
373. Agrotexim and Others v. Greece, 330 Eur. Ct. H.R. 3 (ser. A) ¶ 66 (1995).
374. Saluka Investments BV (The Netherlands) v. The Czech Republic, UNCITRAL, Partial
Award (Mar. 17, 2006), http://www.pca-cpa.org/ENGLISH/RPC/.
375. See Caia Vlieks et al., Solving Statelessness: Interpreting the Right to Nationality, 35 NETH.
Q. HUM. RTS. 158, 165 (2017).
376. Brad Blitz, Statelessness, Protection and Equality 22 (2009), REFUGEE STUD. CTR.,
https://www.rsc.ox.ac.uk/files/files-1/pb3-statelessness-protection-equality-2009.pdf.