The Tribunal, however, declined jurisdiction with respect to claims based on alleged breaches of the PSI Agreement that did not amount to breaches of the BIT, rejecting SGS’s assertion that it had jurisdiction to decide contract disputes under the broad offer to arbitrate at ICSID in the Switzerland–Pakistan BIT and noting that such a provision could not supersede or invalidate the jurisdiction clause in the PSI Agreement.
The Tribunal likewise refused SGS’s contention that the umbrella clause could convert breaches of Pakistan’s contracts to violations of the BIT, noting that there was no evidence that this was the shared intention of both Switzerland and Pakistan.