4. After considering any written comments and requests by each Party on the interim report, the Panel may modify the interim report and make any further examination it considers appropriate.
5. The interim report shall not be made public.
Article 13.19 Final Report
1. The Panel shall deliver its final report to the Parties within 120 days after the date of composition of the Panel.
2. The final report shall include a discussion of any written comments and requests made by the Parties on the interim report. The Panel may, if jointly requested by the Parties, suggest ways in which the final report could be implemented.
3. A Party may release a copy of the final report to the public. The release shall be subject to the protection of confidential information in accordance with the Rules of Procedure.
4. The final report shall be binding on the Parties.
Article 13.20 Implementation of the Final Report
1. Where the Panel finds that the Responding Party has acted inconsistently with a covered provision, or that the Responding Party has otherwise failed to carry out its obligations under this Agreement, the Responding Party shall take any measure necessary to comply promptly and in good faith with the findings and conclusions in the final report.
2. If immediate compliance is not possible, the Responding Party shall, no later than 30 days after the delivery of the final report, notify the Complaining Party of the length of the reasonable period of time necessary for compliance, with the final report, and the Parties shall endeavour to agree on the reasonable period of time required for compliance with the final report.
Article 13.21 Reasonable Period of Time for Compliance
1. If the Parties have not agreed on the length of the reasonable period of time, the Complaining Party may, no later than 30 days after the date of receipt of the notification made by the Responding Party in accordance with paragraph 2 of Article 13.20 (Implementation of the Final Report), request, in writing, that the original Panel determine the length of the reasonable period of time. Such request shall be notified simultaneously to the Responding Party.
2. The original Panel shall deliver its decision to the Parties within 30 days after the date of submission of the request. 3. The length of the reasonable period of time for compliance with the final report may be extended by mutual agreement of the Parties.
Article 13.22 Compliance Review
1. The Responding Party shall deliver a written notification of its progress in complying with the final report to the Complaining Party at least 1 month before the expiry of the reasonable period of time for compliance with the final report unless the Parties agree otherwise.
2. The Responding Party shall, no later than the expiry of the reasonable period of time, deliver a notification to the Complaining Party of any measure that it has taken to comply with the final report.
3. Where the Parties disagree on the existence of measures to comply with the final report, or their consistency with the covered provisions, the Complaining Party may request, in writing, that the original Panel decide on the matter. Such request shall be notified simultaneously to the Responding Party.
4. The request shall provide the factual and legal basis for the complaint, including the identification of the specific measures at issue and an indication of why any measures taken by the Responding Party fail to comply with the final report or are otherwise inconsistent with the covered provisions.
5. The Panel shall deliver its decision to the Parties within 60 days after the date of delivery of the request.
Article 13.23 Compensation and Suspension of Concessions or other Obligations
1. The Responding Party shall, on request of the Complaining Party, enter into consultations with a view to agreeing on a mutually satisfactory agreement or any necessary compensation if:
(a) the Responding Party fails to notify any measure taken to comply with the final report before the expiry of the reasonable period of time;
(b) the Responding Party notifies the Complaining Party in writing that it is not possible to comply with the final report within the reasonable period of time; or
(c) the original Panel finds that no measure taken to comply exists or that the measure taken to comply with the final report as notified by the Responding Party is inconsistent with the covered provisions.
2. The Complaining Party may notify the Responding Party, in writing, that it intends to suspend concessions or other obligations under this Agreement, if:
(a) the Parties fail to reach a mutually satisfactory agreement or to agree on compensation within 30 days after the date of receipt of the request made in accordance with paragraph 1; or
(b) the Parties agreed on a mutually satisfactory agreement or compensation under paragraph 1 but the Complaining Party considers that the Responding Party has failed to observe the terms of the mutually satisfactory agreement or compensation.
3. The notification referred to in paragraph 2 shall specify the level of intended suspension of benefits or other obligations.
4. The Complaining Party may begin the suspension of benefits or other obligations, referred to in paragraph 2, 30 days after the date the Complaining Party had served notice to the Responding Party, unless the Responding Party made a request under paragraph 8.
5. The suspension of benefits or other obligations shall be:
(a) at a level equivalent to the nullification or impairment that is caused by the failure of the Responding Party to comply with the final report; and
(b) restricted to benefits accruing to the Responding Party under this Agreement.
6. In considering what benefits to suspend, in accordance with paragraph 2, the Complaining Party shall apply the following principles:
(a) the Complaining Party should first seek to suspend benefits in the same sector or sectors as that affected by the measure that the Panel has found to be inconsistent with this Agreement or have caused nullification or impairment;1
(b) the Complaining Party may suspend benefit in other sectors, if it considers that it is not practicable or effective to suspend benefits or other obligations in the same sector.
7. The suspension of benefits or other obligations shall be temporary and shall only apply until the inconsistency of the measure with the relevant covered provisions which has been found in the final report has been removed, or until the Parties have reached a mutually agreed solution or agreed on any necessary compensation.
8. If the Responding Party considers that the suspension of benefits or other obligations does not comply with paragraphs 5 and 6 or that it has complied with the terms and conditions of the mutually satisfactory agreement or compensation agreed pursuant to paragraph 2, that Party may request, in writing, the original Panel to examine the matter no later than 15 days after the date of receipt of the notification referred to in paragraph 2. That request shall be notified simultaneously to the Complaining Party. The original Panel shall notify the Parties of its decision on the matter no later than 30 days after the receipt of the request from the Responding Party. Benefits or other obligations shall not be suspended until the original Panel has delivered its decision. The suspension of benefits or other obligations shall be consistent with this decision.
1 For the purposes of this paragraph, "sector" means: (i) with respect to goods, all goods; (ii) with respect to services, a principal sector. as identified in the current "Services Sectoral Classification Lise which identifies such sectors.
Article 13.24 Compliance Review after Compensation and Suspension of Concessions or other Obligations
1. Upon the notification by the Responding Party to the Complaining Party of the measure taken to comply with the final report: (a) in a situation where the right to suspend benefits or other obligations has been exercised by the Complaining Party in accordance with Article 13.23 (Compensation and Suspension of Concessions or other Obligations), the Complaining Party shall terminate the suspension of benefits or other obligations no later than 30 days after the date of receipt of the notification, with the exception of the cases referred to in paragraph 2; or (b) in a situation where necessary compensation has been agreed, the Responding Party may terminate the application of such compensation no later than 30 days after the date of receipt of the notification, with the exception of the cases referred to in paragraph 2.
2. If the Parties do not reach an agreement on whether the measure notified in accordance with paragraph 1 is consistent with the relevant covered provisions within 30 days after the date of receipt of the notification, the Complaining Party shall request, in writing, that the original Panel examine the matter. That request shall be notified simultaneously to the Responding Party. The decision of the Panel shall be notified to the Parties no later than 45 days after the date of submission of the request. If the Panel decides that the measure notified in accordance with paragraph 1 is consistent with the relevant covered provisions, the suspension of benefits or other obligations, or the application of the compensation, shall be terminated no later than 15 days after the date of the decision. If the Panel determines that the notified measure achieves only partial compliance with the covered provisions, the level of suspension of benefits or other obligations, or of the compensation, shall be adapted in light of the decision of the Panel.
Article 13.25 Suspension and Termination of Proceedings
If both Parties so request, the Panel shall suspend its work for a period agreed by the Parties not exceeding 12 consecutive months. In the event of a suspension of the work of the Panel, the relevant time periods under this Section shall be extended by the same period of time for which the work of the Panel was suspended. The Panel shall resume its work before the end of the suspension period at the written request of both Parties. If the work of the Panel has been suspended for more than 12 consecutive months, the authority of the Panel shall lapse and the dispute settlement proceeding shall be terminated. The Panel shall terminate its proceedings if the Parties request it to do so.
SECTION D GENERAL PROVISIONS
Article 13.26 Choice of Forum
1. Unless otherwise provided in this Article, this Chapter is without prejudice to the rights of the Parties to have recourse to dispute settlement procedures available under other international agreements to which both Parties are party, including the WTO agreements.
2. When a dispute arises with regard to the alleged inconsistency of a particular measure with a covered provision under this Agreement and a substantially equivalent obligation under another international agreement to which both Parties are party, including the WTO agreements, the Complaining Party may select the forum in which to settle the dispute.
3. The Complaining Party shall be deemed to have selected the forum in which to settle the dispute when it has requested the establishment of, or referred the matter to, a Panel or tribunal, pursuant to Article 13.8 (Establishment of a Panel) or under the relevant provisions of the other international agreement.
4. Once the Complaining Party has selected the forum in which to settle the dispute, that forum shall be used to the exclusion of all other fora 2.
Article 13.27 Costs
1. Unless the Parties agree otherwise, the costs of the Panel and other expenses associated with the conduct of its proceedings shall be borne in equal parts by both Parties, in accordance with the Rules of Procedure. 2 For greater certainty, the exclusion of other fora includes the exclusion of consultations in those fora.
2. Each Party shall bear its own expenses and legal costs in the Panel proceedings.
Article 13.28 Mutually Agreed Solution
1. The Parties may reach a mutually agreed solution at any time with respect to any dispute referred to in Article 13.4 (Scope).
2. If a mutually agreed solution is reached during the Panel proceedings, the Parties shall jointly notify that solution to the chairperson of the Panel. Upon such notification, the Panel proceedings shall be terminated.
3. Each Party shall take measures necessary to implement the mutually agreed solution within the agreed time period.
4. No later than the expiry of the agreed time period, the Responding Party shall inform the Complaining Party, in writing, of any measure that it has taken to implement the mutually agreed solution.
Article 13.29 Time Periods
1. All time periods laid down in this Chapter shall be counted in calendar days from the day following the act to which they refer. 2. Any time period referred to in this Chapter may be modified by mutual agreement of the Parties.
Article 13.30 Annexes
The Joint Committee may modify Annex 13A (Rules of Procedure for the Panel) and Annex 138 (Code of Conduct for Panellists).
Article 13.31 Working Language
All proceedings under this Chapter and documents submitted to the Panel or Parties shall be in the English language.
Article 13.32 Contact Points
1. Each Party shall designate a contact point within 30 days from the date of entry into force of this Agreement to facilitate communications between the Parties with respect to any dispute initiated under this Chapter.
2. Any request, notification, written submission or other document made in accordance with this Chapter shall be delivered to the other Party through its designated contact point.
ANNEX 13A. RULES OF PROCEDURES FOR THE PANEL
Definitions
1. For the purposes of this Annex:
"assistant" means a person who, under the terms of appointment of a panellist, conducts research or provides support for the panellist;
"panellist" means a member of a Panel established under Article 13.8 (Establishment of a Panel - Dispute Settlement); and
"proceeding", unless otherwise specified, means the proceeding of a Panel under Chapter 13 (Dispute Settlement).
Timetable
2. After consulting the Parties, the Panel shall, whenever possible, within 7 days from the date of composition of the Panel, fix the timetable for the Panel process. The indicative timetable attached to this Annex should be used as a guide.
3. The Panel process shall, as a general rule, not exceed 120 days from the date of composition of the Panel until the date of the final report, unless the Parties agree otherwise.
4. Should the Panel consider that there is a need to modify the timetable, it shall consult the Parties in writing regarding the proposed modification and the reason for it and make necessary procedural or administrative adjustments as may be required, consistent with Chapter 13 (Dispute Settlement).
Appointment of Panellist
5. The Parties shall notify, in writing, each individual who has been selected to serve as a panellist of their selection. Each individual shall confirm their availability to both Parties within 5 days after the date of delivery of the notification.
6. The panellist shall accept their appointment by signing the appointment contracts. The Parties shall endeavour to ensure that, by the time all the selected panellists have confirmed their availability, they have agreed on the remuneration and reimbursement of expenses of the panellists and assistants and have prepared the necessary appointment contracts with a view to having them signed promptly.
Written Submissions and other Documents
7. Unless the-Panel decides otherwise, the Complaining Party shall deliver its first written submission to the Panel no later than 10 days after the date of composition of the Panel. The Responding Party shall deliver its first written submission to the Panel no later than 30 days after the date of delivery of the Complaining Party's first written submission. Copies shall be provided for each panellist.
8. Each Party shall also provide a copy of its first written submission to the other Party at the same time as it is delivered to the Panel.
9. Within 5 days after the conclusion of the hearing, each Party may deliver to the Panel and the other Party a supplementary written submission responding to any matter that arose during the hearing.
10. All written documents provided to the Panel or by one Party to the other Party shall also be provided in electronic form.
11. Minor errors of a clerical nature in any request, notice, written submission or any other document related to the Panel proceeding may be corrected as soon as possible by delivery of a new document clearly indicating the changes. •
Operation of the Panel
12. The chairperson of the Panel shall preside at all of its meetings. The Panel may delegate to the chairperson the authority to make administrative and procedural decisions.
13. Panel deliberations shall be confidential. Only panellists may take part in the deliberations of the Panel. The panel report shall be drafted without the presence of the Parties in light of the information provided and the statements made.
14. Opinions expressed in the panel report by individual panellists shall be anonymous.
15. Except as otherwise provided in this Annex, the Panel may conduct its business by any means, including by telephone, facsimile transmission and any other means of electronic communication.
Hearings
16. The timetable established in accordance with paragraph 2 shall provide for at least one hearing for the Parties to present their cases to the Panel15 days after receipt of the first written submission of the Responding Party.
17. The Panel may convene additional hearings if the Parties so agree.
18. All panellists shall be present at hearings. Panel hearings shall be held in closed session with only the panellists and the Parties in attendance. However, in consultation with the Parties, assistants, translators or designated note takers may also be present at hearings to assist the Panel in its work. Any such arrangements established by the Panel may be modified with the agreement of the Parties.
19. The hearing shall be conducted by the Panel in a manner ensuring that the Complaining Party and the Responding Party are afforded equal time to present their case. The Panel shall conduct the hearing in the following manner:
Opening Oral Statement and Argument:
(a) opening oral statement and argument of the Complaining Party; and
(b) opening oral statement and argument of the Responding Party;
Rebuttal Argument:
(a) the reply of the Complaining Party;
(b) the counter-reply of the Responding Party;
Closing Oral Statement:
(a) closing oral statement of the Complaining Party; and
(b) closing oral statement of the Responding Party.
The chairperson may set time limits for oral arguments to ensure that each Party is afforded equal time.
20. The Parties to the dispute shall make available to the Panel written versions of their oral statements before the Panel within 1 day.
Questions
21. The Panel may direct questions to either Party at any time during the proceedings. The Parties shall respond promptly and fully to any request by the Panel for such information as the Panel considers necessary and appropriate.
22. Where the question is in writing, each Party shall also provide a copy of its response to such questions to the other Party at the same time as it is delivered to the Panel. Each Party shall be given the opportunity to provide written comments on the response of the other Party.
Confidentiality
23. The Panel's hearings and the documents submitted to it shall be confidential. Each Party shall treat as confidential, information submitted to the Panel by the other Party which that Party has designated as confidential.
24. Where a Party designates as confidential, its written submissions to the Panel, it shall, on request of the other Party, provide the Panel and the other Party with a non-confidential summary of the information contained in its written submissions that could be disclosed to the public no later than 5 days after the date of request. Nothing in this Annex shall prevent a Party from disclosing statements of its own positions to the public.
Role of Experts
25. On request of a Party, the Panel may seek information and technical advice from any individual or body that it deems appropriate, provided that the Parties agree and subject to such terms and conditions as the Parties agree. The Panel shall provide the Parties with any information so obtained for comment.
Working Language
26. The working language of the Panel proceedings, including for written submissions, oral arguments or presentations, the report of the Panel and all written and oral communications between the Parties and with the Panel, shall be the English language.
Venue
27. The venue for the hearings of the Panel shall be decided by agreement between the Parties. If there is no agreement, the first hearing shall be held in the territory of the Responding Party, and any additional hearings shall alternate between the territories of the Parties.
Expenses
28. Unless the Parties agree otherwise, remuneration for panellists shall be paid at the rate for non-governmental panellists used by the WTO on the date when a Complaining Party makes a written request for the establishment of a Panel pursuant to Article 13.8 (Establishment of a Panel - Dispute Settlement).
29. The Panel shall keep a record and render a final account of all general expenses incurred in connection with the proceedings, including those paid to its assistants, designated note takers or other individuals that it retains.
Indicative Timetable for the Panel
Panel established on xx/xx/xxxx.
1. Receipt of first written submissions of the Parties:
(a) Complaining Party: 10 days after the date of the composition of the Panel;
(b) Responding Party: 30 days after subparagraph (a);
2. Date of the first hearing with the Parties: 15 days after receipt of the first submission of the Responding Party;
3. Receipt of written supplementary submissions of the Parties: 5 days after the date of the first hearing;
4. Issuance of initial report to the Parties: 30 days after receipt of written supplementary submissions;
5. Deadline for the Parties to provide written comments on the interim report: 10 days after the issuance of the initial report; and
6. Issuance of final report to the Parties: within 30 days after presentation of the initial report.
ANNEX 13B. CODE OF CONDUCT FOR PANELLISTS
Definitions
1. For the purposes of this Annex:
(a) "assistant" means a person who, under the terms of appointment of a panellist, conducts research or provides support for the panellist;
(b) "panellist" means a member of a Panel established under Article 13.8 (Establishment of a Panel - Dispute Settlement);
(c) "proceeding", unless otherwise specified, means the proceeding of a Panel under Chapter 13 (Dispute Settlement); and
(d) "staff'', in respect of a panellist, means persons under the direction and control of the panellist, other than assistants.
Responsibilities to the Process
2. Every panellist shall avoid impropriety and the appearance of impropriety, shall be independent and impartial, shall avoid direct and indirect conflicts of interests and shall observe high standards of conduct so that the integrity and impartiality of the dispute settlement process are preserved. Former panellists shall comply with the obligations established in paragraphs 17 through 20.
Disclosure Obligations
3. Prior to confirmation of their selection as a panellist under this Agreement, a candidate shall disclose any interest, relationship or matter that is likely to affect their independence or impartiality, or that might reasonably create an appearance of impropriety or bias in the proceeding. To this end, a candidate shall make all reasonable efforts to become aware of any such interests, relationships and matters.
4. Once selected, a panellist shall continue to make all reasonable efforts to become aware of any interests, relationships and matters referred to in paragraph 3, and shall disclose them by communicating them in writing to the Joint Committee for consideration by the Parties. The obligation to disclose is a continuing duty, which requires a panellist to disclose any such interests, relationships and matters that may arise during any stage of the proceeding.
5. In the event of uncertainty regarding whether an interest, relationship or matter must be disclosed, a candidate or panellist should err in favour of disclosure.
Performance of Duties by Panellists
6. A panellist shall comply with the provisions of Chapter 13 (Dispute Settlement) and the applicable Rules of Procedure in Annex 13A (Rules of Procedure for the Panel).
7. Upon selection, a panellist shall perform their duties thoroughly and expeditiously throughout the course of the proceeding with fairness and diligence.
8. A panellist shall not deny other panellists the opportunity to participate in all aspects of the proceeding.
9. A panellist shall consider only those issues raised in the proceeding and necessary to rendering a decision and shall not delegate the duty to decide to any other person.
10. A panellist shall take all appropriate steps to ensure that the panellist's assistant and staff are aware of, and comply with, paragraphs 2, 3, 4, 19, 20 and 21.