3. Subsidies to all enterprises, including public and private enterprises, are subject to this Chapter.
4. The Parties shall ensure that subsidies to enterprises entrusted with the operation of services of general economic interest shall be subject to the rules in this Section, in so far as the application of those rules does not obstruct the performance, in law or in fact, of the particular tasks that are assigned to these enterprises. Assigned tasks shall be transparent and any limitation to or deviation from the application of the rules in this Section shall not go beyond what is necessary to achieve the assigned tasks.
5. Article 24.5 (Consultations) does not apply to subsidies related to trade in goods covered by Annex 1 of the WTO Agreement on Agriculture.
6. Article 24.5 (Consultations) and 24.6 (Subsidies subject to conditions) do not apply to the audio-visual sector.
This Article does not prejudice the outcome of future discussions in the WTO or related plurilateral fora on the definition of subsidies for services. Depending on the progress of those discussions, the Parties may adopt a decision by [relevant committee] to update this Agreement in this respect.
7. Article 24.5 (Consultations) and 24.6 (Subsidies subject to conditions) do not apply to subsidies granted for the economic development of indigenous people and their communitiesâ. These subsidies shall be targeted, proportional and transparent.
8. Article 24.5(Consultations) and 24.6 (Subsidies subject to conditions) does not apply to subsidies granted to remedy the damage caused by natural disasters or other exceptional occurrences.
9. Subsidies that are granted on a temporary basis to respond to an economic emergency* shall be proportional and targeted in order to remedy that emergency. Article 24.5 (Consultations) do not apply to such subsidies.
Article 24.3. Relationship with the WTO
This Chapter applies without prejudice to the rights and obligations of a Party under Article XV GATS, Article XVI of GATT 1994, the SCM Agreement and the WTO Agreement on Agriculture.
Article 24.4. Transparency
1. Each Party shall make transparent the following with respect to a subsidy granted or maintained within its territory:
(a) the legal basis and purpose of the subsidy; (b) form of the subsidy; (c) amount of the subsidy or the amount budgeted for the subsidy and;
(d) where possible, the name of the recipient of the subsidy.
2. A Party shall be considered to have met the requirement of paragraph 1 if:
(a) the subsidy is notified under Article 25 of the SCM Agreement, provided that the notification contains all the information required under Paragraph 1 and is provided at least every two years;
(b) the subsidy is notified under Article 18 of the Agreement on Agriculture; or
2 For the purposes of this paragraph, indigenous people and their communities should be understood as those defined in the Partiesâ Laws. For the EU, this encompasses both EU Law and the Laws of its Member States.
3 Economic emergency should be understood as an economic event that causes a serious disturbance in the economy of a Party. For the EU, âthe economy of a Partyâ should be understood as the economy of the EU or of one (or more than one) of its Member States.
(c) the information required under Paragraph 1 is made available by the Parties or on their behalf on a publicly accessible website, by 31 December of the calendar year subsequent to the year in which the subsidy was granted or maintained. The information shall be made available no later than two years after the entry into force of this Agreement.
Article 24.5. Consultations
1. If a Party considers that a subsidy may negatively affect its trade interests or competition, the Party may express its concern in writing to the other Party and request consultations on the matter. The request shall include an explanation of how the subsidy has or could have a negative effect on the requesting Party's interests.
2. The requesting Party may seek the following information about the subsidy:
(a) the legal basis and policy objective or purpose of the subsidy;
(b) the form of the subsidy;
(c) the dates and duration of the subsidy and any other time limits attached to it; (d) the eligibility requirements of the subsidy;
(e) the total amount or the annual amount budgeted for the subsidy;
ff) where possible, the name of the recipient enterprise of the subsidy; and
(g) any other information permitting an assessment of the negative effects of the subsidy.
3. To facilitate the consultation, the requested information shall be provided in writing no later than 60 days after the date of receipt of the request.
4. In the event that any requested information is not provided by the requested Party, that Party shall explain the absence of such information in its written response.
5. If the requesting Party, after having received the requested information and following consultations, considers that the subsidy concerned has or may have a significant negative effect on its trade interests or competition, the requested Party shall use its best endeavours to eliminate or minimise those effects.
Article 24.6. Subsidies Subject to Conditions1. Each Party, When Granting the Following Subsidies, Shall Apply Conditions as Stated Below:
(a)
(b)
(c)
subsidies whereby a government, directly or indirectly, is responsible for guaranteeing debts or liabilities of certain enterprises, on condition that the coverage of the debts and liabilities is not unlimited with regards to the amount of those debts and liabilities or the duration of such responsibility; and
subsidies to insolvent or ailing enterprises (such as loans and guarantees, cash grants, capital injections, provision of assets below market prices, tax exemptions) with a duration above one year, on condition that a credible restructuring plan has been prepared which is based on realistic assumptions with the view to ensuring the return of the insolvent or ailing enterprises within a reasonable time to long-term viability and with the enterprise contributing itself to the costs of restructuring. Small- and medium- sized enterprises are not required to contribute themselves to the costs of restructuring.
Point b of paragraph 1 does not apply to subsidies provided to enterprises as temporary liquidity support in the form of loan guarantees or loans limited to the amount needed to merely to keep an ailing company in business for the time necessary to adopt a restructuring or liquidation plan.
2. This Article applies only to those subsidies that negatively affect trade and competition of
the other Party or are likely to do so.
3. This Article does not apply to subsidies which are granted to ensure the orderly market exit
of a company.
4. This Article does not apply to subsidies, the cumulative amounts or budgets of which are
less than 170.000 SDR per enterprise over a period of three consecutive years.
Article 24.7. Use of SubsidiesEach Party Shall Ensure That Enterprises Use Subsidies Only for the Explicitly Defined Policy Objective for Which the Subsidies Have Been Grantedâ,
Article 24.8. Exclusion from Dispute SettlementDispute Settlement Does Not Apply to Paragraph 5 of Article 24.5 (Consultations).
For greater certainty, when a Party has set up the appropriate legislative frameworks and administrative procedures to this effect, the obligation is considered to be fulfilled.
Section SECTION C GENERAL PROVISIONS
Article 24.9. Confidentiality
When exchanging information under this Chapter the Parties shall take into account the limitations imposed by their respective legislations concerning professional and business secrecy and shall ensure the protection of business secrets and other confidential information.
When a Party communicates information under this Agreement, the receiving Party shall maintain the confidentiality of the communicated information.
Chapter 25. INTELLECTUAL PROPERTY
Section 1. General Provisions
Article 25.1. Definitions
For the purpose of this Agreement, intellectual property refers to all categories of intellectual property rights that are the subject of Sub-Section 1 (Copyright and Related Rights) to Sub- Section 7 (Plant Varieties) of Section B (Standards Concerning Intellectual Property Rights) of this chapter or Sections 1 through 7 of Part Il of the Agreement on Trade-Related Aspects of Intellectual Property Rights as amended by the Decision of the General Council of the World Trade Organization of 6 December 2005, (hereinafter referred to as TRIPS Agreement), including protection against unfair competition as referred to in Article 10bis of the Paris Convention for the Protection of Industrial Property of 20 March 1883, as last revised at Stockholm on 14 July 1967 (hereinafter referred to as âParis Conventionâ).
Article 25.2. Objectives
1. The objectives of this chapter are to:
(a) facilitate the production and commercialization of innovative and creative products between the Parties contributing to a more sustainable and inclusive economy for the Parties;
(b) facilitate and govern trade between the Parties as well as reduce distortions and impediments to such trade and
(c) achieve an adequate and effective level of protection and enforcement of intellectual property rights.
2. The objectives set forth in Article 7 of the TRIPS Agreement shall apply to this Chapter mutatis mutandis.
Article 25.3. Principles
1. The principles set forth in Article 8 of the TRIPS Agreement shall apply to this Chapter mutatis mutandis.
2. Taking into consideration the underlying public policy objectives of domestic systems, the Parties recognise the need to:
(a) promote innovation and creativity; (b) facilitate the diffusion of information, knowledge, technology, culture and the arts;
through their respective intellectual property systems, while respecting the principles of transparency, and taking into account the interests of relevant stakeholders, including right holders, users and the general public.
Article 25.4. National Treatment
1. In respect of all categories of intellectual property rights covered in this Chapter, each Party shall accord to the nationals of the other Party treatment no less favourable than it accords to its own nationals with regard to the protection"! of intellectual property rights, subject to the exceptions already provided in, respectively, the Paris Convention (1967), the Berne Convention (1971), the Rome Convention or the Treaty on Intellectual Property in Respect of Integrated Circuits. In respect of performers, producers of phonograms and broadcasting organizations, this obligation only applies in respect of the rights provided under this Agreement.
2. A Party may avail itself of the exceptions permitted under paragraph 1 in relation to its judicial and administrative procedures, including requiring a national of the other Party to designate an address for service of process in its territory, or to appoint an agent in its territory, provided that such derogation is:
ay For the purposes of this paragraph, âprotectionâ shall include matters affecting the availability, acquisition, scope, maintenance, and enforcement of intellectual property rights as well as matters affecting the use of intellectual property rights specifically addressed in this Chapter. Further, for the purposes of this paragraph, âprotectionâ also includes measures to prevent the circumvention of effective technological measures and measures concerning rights management information.
(a) necessary to secure compliance with laws or regulations that are not inconsistent with this Chapter; and
(b) not applied in a manner that would constitute a disguised restriction on trade.
3. Paragraph 1 and 2 do not apply to procedures provided in multilateral agreements concluded under the auspices of WIPO relating to the acquisition or maintenance of intellectual property rights.
Article 25.5. Intellectual Property and Public Health.
1. The Parties recognise the importance of the Declaration on the TRIPS Agreement and Public Health, adopted on 14 November 2001 (hereinafter referred to as the âDoha Declarationâ) by the Ministerial Conference of the WTO. In interpreting and implementing the rights and obligations under this Chapter, the Parties shall ensure consistency with the Doha Declaration.
2. Each Party shall implement Article 31bis of the TRIPS Agreement, as well as the Annex and Appendix to the Annex thereto, which entered into force on 23 January 2017.
Article 25.6. Nature and Scope of Obligations.
1. Each Party shall comply with their commitments under the international treaties dealing with intellectual property rights to which they are a party, including the TRIPS Agreement as amended by the Decision of the General Council of the World Trade Organization of 6 December 2005. The provisions of this Chapter shall complement and further specify the rights and obligations of each Party under the TRIPS Agreement and other international treaties in the field of intellectual property.
2. This Chapter does not preclude the Parties from applying provisions of domestic law introducing higher standards for the protection and enforcement of intellectual property rights, provided that they are compatible with the provisions of this Chapter. Each Party shall be free to determine the appropriate method of implementing the provisions of this Chapter within its own legal system and practice.
Article 25.7. Exhaustion
Nothing in this Agreement prevents a Party from determining whether or under what conditions the exhaustion of intellectual property rights applies under its legal system.
Section 2. Standards Concerning Intellectual Property Rights
Sub-Section 1 Copyright and Related Rights
Article 25.8. International Agreements
1. Each Party reaffirms their commitment to and shall comply with:
a) The Berne Convention for the Protection of Literary and Artistic Works;
b) The International Convention for the Protection of Performers, Producers of Phonograms and Broadcasting Organisations;
c) The WIPO (World Intellectual Property Organisation) Copyright Treaty;
d) The WIPO Performances and Phonograms Treaty;
e) The Marrakesh Treaty to Facilitate Access to Published Works by Visually Impaired Persons and Persons with Print Disabilities.
2. Each Party complies with and shall make all reasonable efforts to ratify or accede to the Beijing Treaty on Audiovisual Performances.
Article 25.9. AuthorsEach Party Shall Provide for Authors the Exclusive Right to Authorise or Prohibit:
1. direct or indirect, temporary or permanent reproduction by any means and in any
form, in whole or in part of their works;
2. any form of distribution to the public by sale or otherwise of the original of their works or of copies thereof;
3. any communication to the public of their works, by wire or wireless means, including the making available to the public of their works in such a way that members of the public may access them from a place and at a time individually chosen by them;
4. the commercial rental to the public of originals or copies of their computer programs and cinematographic works.
Article 25.10. Performers
Each Party shall provide for performers the exclusive right to authorise or prohibit:
1. the fixation! of their performances;
2. the direct or indirect, temporary or permanent reproduction by any means and in any form, in whole or in part of fixations of their performances;
3. the distribution to the public, by sale or otherwise, of the fixations of their performances;
4. the making available to the public of fixations of their performances, by wire or wireless means, in such a way that members of the public may access them from a place and at a time individually chosen by them;
5. the broadcasting by wireless means and the communication to the public of their performances, except where the performance is itself already a broadcast performance or is made from a fixation.
Article 25.11. Producers of Phonograms
Each Party shall provide for phonogram producers the exclusive right to authorise or prohibit:
1. the direct or indirect, temporary or permanent, reproduction by any means and in any
! Fixation means the embodiment of sounds, or of the representations thereof, from which they can be
perceived, reproduced or communicated through a device.
form, in whole or in part of their phonograms;
2. the distribution to the public, by sale or otherwise, of their phonograms, including copies thereof;
3. the making available to the public of their phonograms, by wire or wireless means, in such a way that members of the public may access them from a place and at a time individually chosen by them,
4. the commercial rental of their phonograms to the public.
Article 25.12. Broadcasting Organisations
Each Party shall provide broadcasting organisations with the exclusive right to authorise or prohibit:
1. the fixation of their broadcasts transmitted by wireless means;
2. the direct or indirect, temporary or permanent reproduction by any means and in any form, in whole or in part, of fixations of their broadcasts transmitted by wireless means;
3. the rebroadcasting of their broadcasts by wireless means, as well as the communication to the public? of their broadcasts if such communication is made in places accessible to the public against payment of an entrance fee.
Article 25.13.
Broadcasting and communication to the public of phonograms published for commercial 3 purposes
1. Each Party shall provide a right in order to ensure that a single equitable remuneration is paid by the user to the performers and producers of phonograms, if a phonogram published for commercial purposes, or a reproduction of such phonogram, is used for broadcasting or communication to the public.*
? It is understood that nothing in this paragraph prevents a Party from determining the conditions under which this right may be exercised, in accordance with Article 13(d) of the Rome Convention.
3 Rach Party may grant more extensive rights, as regards the broadcasting and communication to the public of phonograms published for commercial purposes, to performers and producers of phonograms.
â For the purposes of this Article, âcommunication to the publicâ does not include the making available to the public of a phonogram, by wire or wireless means, in such a way that members of the public may access them from a place and at a time individually chosen by them.
2. Each Party shall ensure that the single equitable remuneration is shared between the relevant performers and phonogram producers. Each Party may enact legislation that, in the absence of an agreement between performers and producers of phonograms, sets the terms according to which performers and producers of phonograms shall share the single equitable remuneration.
Article 25.14. Term of Protection
1. The rights of an author of a work shall run for the life of the author and for not less than 70 years after his death, irrespective of the date when the work is lawfully made available to the public®.
2. In the case of a work of joint authorship, the term referred to in paragraph 1 shall be calculated from the death of the last surviving author.
3. In the case of anonymous or pseudonymous works, the term of protection shall run for not less than 70 years after the work is lawfully made available to the public. However, when the pseudonym adopted by the author leaves no doubt as to his identity, or if the author discloses his identity during the period referred to in the first sentence, the term of protection applicable shall be that laid down in paragraph 1.
4. The term of protection of cinematographic or audiovisual works shall expire not less than 70 years after the death of the last surviving author. It shall be a matter for the legislation of the Parties to determine the persons that are to be considered authors of a cinematographic or audiovisual work.
5. The rights of broadcasting organisations shall expire 50 years after the first transmission of a broadcast.
6. The rights of performers shall expire not less than 50 years after the date of the fixation of the performance.
5 Where a Party provides a special term of protection where a legal person is designated as the rightholder, the term of protection shall run for not less than 70 years after the work is lawfully made available to the public.
If a fixation of the performance is lawfully published or, where provided for by a Party, lawfully communicated to the public within this period, the term of protection shall be calculated from the date of the first such publication or, where provided by a Party, the first such communication to the public. Where a Party provides for both possibilities, the term of protection shall be calculated from whichever event occurs earlier.
With respect to the fixation of the performance in a phonogram, the term of protection shall be not less than 70 years after the date of the first such publication or, where provided for by a Party, the first such communication to the public. Where a Party provides for both possibilities, the term of protection shall be calculated from whichever event occurs earlier.
7. The rights of producers of phonograms shall expire not less than 50 years after the fixation is made. However, if the phonogram has been lawfully published or, where provided for by a Party, lawfully communicated to the public within this period, the said rights shall expire not less than 70 years from the date of the first such publication or, where provided for by a Party, the first such communication to the public.
The Parties may adopt or maintain effective measures in order to ensure that the profit generated during the 20 years of protection beyond 50 years is shared fairly between the performers and the producers of phonograms.
Article 25.15. Resale Right
1. Each Party shall provide, for the benefit of the author of an original work of graphic or plastic art, a resale right, to be defined as an inalienable right, which cannot be waived, even in advance, to receive a royalty based on the sale price obtained, for any resale of the work, subsequent to the first transfer of the work by the author®,
2. The right referred to in paragraph 1 shall apply to all acts of resale involving as sellers, buyers or intermediaries art market professionals, such as salesrooms, art galleries and, in general, any dealers in works of art.
3. Each Party may provide that the right referred to in paragraph 1 shall not apply to acts
§ Notwithstanding this Article, the first paragraph of Article 36 of Law No. 17.366 of Chile as it stood on [XX.XX.XXXX] may continue to apply with respect to the calculation of royalties.
of resale where the seller has acquired the work directly from the author less than three years before that resale and where the resale price does not exceed a certain minimum amount.]
Article 25.16. Collective Management of Rights
1. The Parties promote cooperation between their respective collective management organisations for the purpose of fostering the availability of works and other protected subject matter in the territories of the Parties and the transfer of rights revenue between the respective collective management organisations for the use of such works or other protected subject matter.
2. The Parties promote transparency of collective management organisations, in particular regarding rights revenue they collect, deductions they apply to rights revenue they collect, the use of the rights revenue collected, the distribution policy and their repertoire.
3. Each Party shall ensure that collective management organisations established in its territory and representing another collective management organisation established in the territory of the other Party by way of a representation agreement, are encouraged to accurately, regularly and diligently pay amounts owed to the represented collective management organisations as well as provide the represented collective management organisation with the information on the amount of rights revenue collected on its behalf and any deductions made to this rights revenue.
Article 25.17. Exceptions and Limitations
Each Party shall provide for limitations or exceptions to the rights only in certain special cases which do not conflict with a normal exploitation of the work or other subject-matter and do not unreasonably prejudice the legitimate interests of the right holders.