US officials are hailing a new Pacific Rim trade agreement as a vehicle to reform the opaque international arbitration system that for decades has been used to resolve disputes between foreign investors and governments.

President Barack Obama and his administration are trying to blunt criticism from congressional opponents of the Trans-Pacific Partnership like Democratic presidential candidate Bernie Sanders, who claim the pact — and the “investor-state dispute settlement” mechanism it includes — will let foreign companies challenge domestic environmental, financial, food safety and other regulations before international arbitration panels.

Even as US businesses and policymakers digest the details of the TPP, which were made public for the first time last week after five years of negotiations, the debate has resonance and consequences for business and governments around the world.