6. Once dispute settlement proceedings have been initiated under this Chapter or under any other treaty to which the Parties are parties, concerning a particular right or obligation arising under this Agreement or that other treaty, the forum selected by the complaining Party shall be used to the exclusion of any other for such dispute.
7. Paragraphs 5 and 6 shall not apply where the Parties expressly agree to the use of more than one dispute settlement forum in respect of that particular dispute.
8. For the purposes of paragraphs 5, 6 and 7, the complaining Party shall be deemed to have selected a forum when it has requested the establishment of, or referred a dispute to, a dispute settlement panel or tribunal in accordance with this Chapter or any other agreement to which the Parties are parties.
Article 93. Liaison Office
1. For the purposes of this Chapter, each Party shall:
(a) designate an office that shall be responsible for all liaison affairs referred to in this Chapter;
(b) be responsible for the operation and costs of its designated office; and
(c) notify the other Party of the location and address of its designated office within thirty (30) days after the completion of its domestic procedures for the entry into force of this Agreement.
2. Unless otherwise provided in this Chapter, the submission of any request or document under this Chapter to the designated office of a Party shall be deemed to be the submission of that request or document to that Party.
Article 94. Consultations
1. A Party complained against shall accord due consideration and adequate opportunity for consultations regarding a request for consultations made by the complaining Party with respect to any matter affecting the implementation or application of this Agreement whereby:
(a) any benefit accruing to the complaining Party directly or indirectly under this Agreement is being nullified or impaired; or
(b) the attainment of any objective of this Agreement is being impeded, as a result of the failure of the Party complained against to carry out its obligations under this Agreement.
2. Any request for consultations shall be submitted in writing, which shall include the specific measures at issue, and the factual and legal basis (including the provisions of this Agreement alleged to have been breached and any other relevant provisions) of the complaint. The complaining Party shall send the request to the Party complained against. Upon receipt, the Party complained against shall acknowledge receipt of such request to the complaining Party.
3. If a request for consultations is made, the Party complained against shall reply to the request within seven (7) days after the date of its receipt and shall enter into consultations in good faith within a period of not more than thirty (30) days after the date of receipt of the request, with a view to reaching a mutually satisfactory solution. If the Party complained against does not respond within the aforesaid seven (7) days, or does not enter into consultations within the aforesaid thirty (30) days, then the complaining Party may proceed directly to request the appointment of an arbitral tribunal under Article 96 (Appointment of Arbitral Tribunals).
4. The Parties shall make every effort to reach a mutually satisfactory resolution of any matter through consultations. To this end, the Parties shall:
(a) provide sufficient information to enable a full examination of how the measure might affect the operation of this Agreement; and
(b) treat as confidential any information exchanged in the consultations which the other Party has designated as confidential.
5. Consultations shall be confidential, and are without prejudice to the rights of either Party in any further or other proceedings.
6. In cases of urgency, including those which concern perishable goods, the Parties shall enter into consultations within a period of no more than ten (10) days after the date of receipt of the request by the Party complained against. If the consultations fail to settle the dispute within a period of twenty (20) days after the date of receipt of the request by the Party complained against, the complaining Party may proceed directly to make a written request to the Party complained against to appoint an arbitral tribunal under Article 96 (Appointment of Arbitral Tribunals).
7. In cases of urgency, including those which concern perishable goods, the Parties and arbitral tribunals shall make every effort to accelerate the proceedings to the greatest extent possible.
Article 95. Conciliation or Mediation
1. The Parties may, at any time, agree to conciliation or mediation, which may begin and be terminated by the Parties at any time.
2. If both Parties agree, conciliation or mediation proceedings may continue before any person or body as may be agreed by the Parties while the dispute proceeds for resolution before an arbitral tribunal appointed under Article 96 (Appointment of Arbitral Tribunals).
3. Proceedings involving conciliation and mediation, and positions taken by the Parties during these proceedings, shall be confidential, and without prejudice to the rights of either Party in any further or other proceedings.
Article 96. Appointment of Arbitral Tribunals
1. If the consultations referred to in Article 94 (Consultations) fail to settle a dispute within sixty (60) days after the date of receipt of the request for consultations, or within twenty (20) days after such date in cases of urgency including those which concern perishable goods, the complaining Party may make a written request to the Party complained against to appoint an arbitral tribunal under this Article.
2. A request for the appointment of an arbitral tribunal shall give the reasons for the request, including the identification of:
(a) the specific measure at issue; and
(b) the factual and legal basis (including the provisions of this Agreement alleged to have been breached and any other relevant provisions) for the complaint sufficient to present the problem clearly.
Article 97. Composition of Arbitral Tribunals
1. Unless the Parties agree otherwise, the arbitral tribunal shall have three (3) members.
2. The complaining Party shall appoint an arbitrator to the arbitral tribunal within twenty (20) days of the receipt of the request for appointment of the arbitral tribunal under Article 96 (Appointment of Arbitral Tribunals) by the Party complained against. The Party complained against shall appoint an arbitrator to the arbitral tribunal within thirty (30) days of its receipt of the request for appointment of the arbitral tribunal under Article 96 (Appointment of Arbitral Tribunals). If a Party fails to appoint an arbitrator within such period, then the arbitrator appointed by the other Party shall act as the sole arbitrator of the tribunal.
3. Once the complaining Party and the Party complained against have appointed their respective arbitrators subject to paragraph 2, the Parties shall endeavour to agree on an additional arbitrator who shall serve as chair. If the Parties are unable to agree on the chair of the arbitral tribunal within thirty (30) days after the date on which the last arbitrator has been appointed under paragraph 2, they shall request the Director-General of the WTO to appoint the chair and such appointment shall be accepted by them. In the event that the Director-General is a national of either Party, the Deputy Director-General or the officer next in seniority who is not a national of either Party shall be requested to appoint the chair.
4. The date of composition of the arbitral tribunal shall be the date on which the chair is appointed under paragraph 3, or the 30th day after the receipt of the request under Article 96 (Appointment of Arbitral Tribunals) where only a sole arbitrator of the tribunal is available.
5. If an arbitrator appointed under this Article resigns or becomes unable to act, a successor arbitrator shall be appointed in the same manner as prescribed for the appointment of the original arbitrator and the successor shall have all the powers and duties of the original arbitrator. The work of the arbitral tribunal shall be suspended during the appointment of the successor arbitrator.
6. Any person appointed as a member or chair of the arbitral tribunal shall have expertise or experience in law, international trade, other matters covered by this Agreement or the resolution of disputes arising under international trade agreements, and shall be chosen strictly on the basis of objectivity, reliability, sound judgment and independence. Additionally, the chair shall not be a national of either Party and shall not have his or her usual place of residence in the territory of, nor be employed by, either Party.
7. Where the original arbitral tribunal is required for a matter as provided in this Chapter but cannot hear the matter for any reason, a new tribunal shall be appointed under this Article.
Article 98. Functions of Arbitral Tribunals
1. The function of an arbitral tribunal is to make an objective assessment of the dispute before it, including an examination of the facts of the case and the applicability of and conformity with this Agreement. Where the arbitral tribunal concludes that a measure is inconsistent with a provision of this Agreement, it shall recommend that the Party complained against bring the measure into conformity with that provision. In addition to its recommendations, the arbitral tribunal may suggest ways in which the Party complained against could implement the recommendations. In its findings and recommendations, the arbitral tribunal cannot add to or diminish the rights and obligations provided in this Agreement.
2. The arbitral tribunal shall have the following terms of reference unless the Parties agree otherwise within twenty (20) days from its composition: "To examine, in the light of the relevant provisions in the CSFTA, the matter referred to this arbitral tribunal by (name of the complaining Party), and to make findings, determinations and recommendations provided for in the CSFTA." The arbitral tribunal shall address the relevant provisions in this Agreement cited by the Parties.
3. The arbitral tribunal established pursuant to Article 96 (Appointment of Arbitral Tribunals):
(a) shall consult regularly with the Parties and provide adequate opportunities for the development of a mutually satisfactory resolution;
(b) shall make its decision in accordance with this Agreement and the rules of international law applicable between the Parties; and
(c) shall set out, in its decision, its findings of law and fact, together with the reasons therefor.
4. The decision of the arbitral tribunal shall be final and binding on the Parties.
5. An arbitral tribunal shall take its decision by consensus; provided that where an arbitral tribunal is unable to reach consensus, it may take its decision by majority opinion.
6. The arbitral tribunal shall, in consultation with the Parties and apart from the matters set out in paragraph 2 of Article 96 (Appointment of Arbitral Tribunals), and Article 99 (Proceedings of Arbitral Tribunals), regulate its own procedures in relation to the rights of Parties to be heard and its deliberations.
Article 99. Proceedings of Arbitral Tribunals
1. An arbitral tribunal shall meet in closed session. The Parties shall be present at the meetings only when invited by the arbitral tribunal to appear before it.
2. The venue for the substantive meetings of the arbitral tribunal shall be decided by mutual agreement between the Parties, failing which the first substantive meeting shall be held in the capital of the Party complained against, with the second substantive meeting to be held in the capital of the complaining Party.
3. After consulting the Parties, the arbitral tribunal shall, as soon as practical and possible within fifteen (15) days after the composition of the arbitral tribunal, fix the timetable for the arbitral process. In determining the timetable for the arbitral process, the arbitral tribunal shall provide sufficient time for the Parties to prepare their respective submissions. The arbitral tribunal should set precise deadlines for written submissions by the Parties and the Parties shall respect these deadlines.
4. The deliberations of an arbitral tribunal and the documents submitted to it shall be kept confidential. Nothing in this Article shall preclude a Party from disclosing statements of its own positions or its submissions to the public; a Party shall treat as confidential information submitted by the other Party to the arbitral tribunal which the submitting Party has designated as confidential. Where a Party submits a confidential version of its written submissions to the arbitral tribunal, it shall also, upon request by the other Party, provide a non-confidential summary of the information contained in its submissions that can be disclosed to the public.
5. The rules and procedures pertaining to the proceedings before the arbitral tribunal as set out in Annex 7 (Rules and Procedures for Arbitral Proceedings) shall apply unless the arbitral tribunal decides otherwise after consulting the Parties.
6. The report of the arbitral tribunal shall be drafted without the presence of the Parties in the light of the information provided and the statements made. The deliberations of the tribunal shall be confidential. Opinions expressed in the report of the arbitral tribunal by an individual arbitrator shall be anonymous.
7. Following the consideration of submissions, oral arguments and any information before it, the arbitral tribunal shall issue a draft report to the Parties, including both a descriptive section relating to the facts of the dispute and the arguments of the Parties and the arbitral tribunal's findings and conclusions. The arbitral tribunal shall accord adequate opportunity to the Parties to review the entirety of its draft report prior to its finalisation and shall include a discussion of any comments by the Parties in its final report.
8. The arbitral tribunal shall release to the Parties its final report within one hundred and twenty (120) days from the date of its composition. In cases of urgency, including those relating to perishable goods, the arbitral tribunal shall aim to issue its report to the Parties within sixty (60) days from the date of its composition. When the arbitral tribunal considers that it cannot release its final report within one hundred and twenty (120) days, or within sixty (60) days in cases of urgency, it shall inform the Parties in writing of the reasons for the delay together with an estimate of the period within which it will issue its report. In no case should the period from the composition of an arbitral tribunal to the release of the report to Parties exceed one hundred and eighty (180) days.
9. The final report of the arbitral tribunal shall become a public document within ten (10) days after its release to the Parties.
Article 100. Suspension and Termination of Proceedings
1. Where the Parties agree, the arbitral tribunal may suspend its work at any time for a period not exceeding twelve (12) months from the date of such agreement. Upon the request of either Party, the arbitral proceeding shall be resumed after such suspension. If the work of the arbitral tribunal has been suspended for more than twelve (12) months, the authority for establishment of the arbitral tribunal shall lapse unless the Parties agree otherwise.
2. The Parties may agree to terminate the proceedings of an arbitral tribunal established under this Agreement before the release of the final report to them, in the event that a mutually satisfactory solution to the dispute has been found.
3. Before the arbitral tribunal makes its decision, it may at any stage of the proceedings propose to the Parties that the dispute be settled amicably.
Article 101. Implementation
1. The Party complained against shall inform the complaining Party of its intention in respect of implementation of the recommendations and rulings of the arbitral tribunal.
2. If it is impracticable to comply immediately with the recommendations and rulings of the arbitral tribunal, the Party complained against shall have a reasonable period of time in which to do so. The reasonable period of time shall be mutually determined by the Parties or, where the Parties fail to agree on the reasonable period of time within thirty (30) days of the release of the arbitral tribunal's final report, either Party may refer the matter to the original arbitral tribunal (to the extent this is possible), which shall, following consultations with the Parties, determine the reasonable period of time within thirty (30) days after the date of the referral of the matter to it. When the arbitral tribunal considers that it cannot provide its report within this timeframe, it shall inform the Parties in writing of the reasons for the delay and shall submit its report no later than forty-five (45) days after the date of the referral of the matter to it.
3. Where there is disagreement as to the existence or consistency with this Agreement of measures taken within the reasonable period of time referred to in paragraph 2 to comply with the recommendations of the arbitral tribunal, such dispute shall be referred to the original arbitral tribunal, wherever possible. The arbitral tribunal shall provide its report to the Parties within sixty (60) days after the date of the referral of the matter to it. When the arbitral tribunal considers that it cannot provide its report within this timeframe, it shall inform the Parties in writing of the reasons for the delay and shall submit its report no later than seventy-five (75) days after the date of the referral of the matter to it.
Article 102. Compensation and Suspension of Concessions or Benefits
1. Compensation and the suspension of concessions or benefits are temporary measures available in the event that the recommendations and rulings are not implemented within a reasonable period of time. However, neither compensation nor the suspension of concessions or benefits is preferred to full implementation of a recommendation to bring a measure into conformity with this Agreement. Compensation is voluntary and, if granted, shall be consistent with this Agreement.
2. If the Party complained against fails to bring the measure found to be inconsistent with this Agreement into compliance with the recommendations of the arbitral tribunal within the reasonable period of time determined pursuant to paragraph 2 of Article 101 (Implementation), that Party shall, if so requested, enter into negotiations with the complaining Party with a view to reaching a mutually satisfactory agreement on any necessary compensatory adjustment.
3. If no mutually satisfactory agreement on compensation has been reached within twenty (20) days after the request of the complaining Party to enter into negotiations on compensatory adjustment, the complaining Party may request the original arbitral tribunal to determine the appropriate level of any suspension of concessions or benefits conferred on the Party which has failed to bring the measure found to be inconsistent with this Agreement into compliance with the recommendations of the arbitral tribunal. The arbitral tribunal shall provide its report to the Parties within thirty (30) days after the date of the referral of the matter to it. When the arbitral tribunal considers that it cannot provide its report within this timeframe, it shall inform the Parties concerned in writing of the reasons for the delay and shall submit its report no later than forty-five (45) days after the date of the referral of the matter to it. Concessions or benefits shall not be suspended during the course of the arbitral proceedings.
4. Any suspension of concessions or benefits shall be restricted to those accruing under this Agreement to the Party which has failed to bring the measure found to be inconsistent with this Agreement into compliance with the recommendations of the arbitral tribunal.
5. In considering what concessions or benefits to suspend:
(a) the complaining Party should first seek to suspend concessions or benefits in the same sector or sectors as those affected by the measure or other matter that the arbitral tribunal has found to be inconsistent with this Agreement or to have caused nullification or impairment; and
(b) the complaining Party may suspend concessions or benefits in other sectors if it considers that it is not practicable or effective to suspend concessions or benefits in the same sector or sectors.
6. The suspension of concessions or benefits shall be temporary and shall only be applied until such time as the measure found to be inconsistent with this Agreement has been removed, or the Party that must implement the arbitral tribunal's recommendations has done so, or a mutually satisfactory solution is reached.
Article 103. Language
1. All proceedings pursuant to this Chapter shall be conducted in the English language.
2. Any document submitted for use in any proceedings pursuant to this Chapter shall be in the English language. If any original document is not in the English language, the Party submitting it for use in the proceedings pursuant to this Chapter shall provide an English translation of that document.
Article 104. Expenses
1. Each Party shall bear the costs of its appointed arbitrator and its own expenses and legal costs.
2. The costs of the chair of the arbitral tribunal and other expenses associated with the conduct of its proceedings shall be borne in equal parts by the Parties.
Chapter 13. Exceptions
Article 105. General Exceptions
1. For the purposes of Chapters 3 (Trade in Goods), 4 (Rules of Origin), 5 (Customs Procedures), 6 (Trade Remedies) and 7 (Technical Barriers to Trade, Sanitary and Phytosanitary Measures), Article XX of the GATT 1994 and its interpretive notes are incorporated into and made part of this Agreement, mutatis mutandis.
2. For the purposes of Chapter 8 (Trade in Services), subject to the requirement that such measures are not applied in a manner which would constitute a means of arbitrary or unjustifiable discrimination against the other Party, or a disguised restriction on trade in services, nothing in this Agreement shall be construed to prevent the adoption or enforcement by either Party of measures:
(a) necessary to protect public morals or to maintain public order; (16)
(b) necessary to protect human, animal or plant life or health; (c) necessary to secure compliance with laws or regulations which are not inconsistent with this Agreement including those relating to:
(i) the prevention of deceptive and fraudulent practices or to deal with the effects of a default on services contracts;
(ii) the protection of the privacy of individuals in relation to the processing and dissemination of personal data and the protection of confidentiality of individual records and accounts;
(iii) safety;
(d) inconsistent with Article 62 (National Treatment), provided that the difference in treatment is aimed at ensuring the equitable or effective (17) imposition or collection of direct taxes in respect of services or service suppliers of the other Party.
Article 106. Security Exceptions
Nothing in this Agreement shall be construed:
(a) to require a Party to furnish any information, the disclosure of which it considers contrary to its essential security interests; or
(b) to prevent a Party from taking any action which it considers necessary for the protection of its essential security interests:
(i) relating to the supply of services as carried out directly or indirectly for the purpose of provisioning a military establishment;
(ii) relating to fissionable and fusionable materials or the materials from which they are derived;
(iii) taken in time of war or other emergency in international relations; or
(iv) relating to protection of critical public infrastructure, including critical communication infrastructure, from deliberate attempts intended to disable or degrade such infrastructures; or
(c) to prevent a Party from taking any action in pursuance of its obligations under the United Nations Charter for the maintenance of international peace and security.
Article 107. Restrictions to Safeguard the Balance-of-payments
1. In the event of serious balance-of-payments and external financial difficulties or threat thereof, a Party may:
(a) in the case of trade in goods, adopt restrictive import measures in accordance with the GATT 1994 and the Understanding on the Balance-of-Payments Provisions of the GATT 1994;
(b) in the case of trade in services, adopt or maintain restrictions on which it has undertaken specific commitments, including on payments or transfers for transactions related to such commitments. It is recognised that particular pressures on the balance-of-payments of a Party in the process of economic development or economic transition may necessitate the use of restrictions to ensure, inter alia, the maintenance of a level of financial reserves adequate for the implementation of its programme of economic development or economic transition.
2. The restrictions referred to in paragraph 1:
(a) shall be consistent with the Articles of Agreement of the International Monetary Fund;
(b) shall avoid unnecessary damage to the commercial, economic and financial interests of the other Party;
(c) shall not exceed those necessary to deal with the circumstances described in paragraph 1;
(d) shall be temporary and be phased out progressively as the situation specified in paragraph 1 improves.
3. In determining the incidence of such restrictions, the Parties may give priority to economic sectors which are more essential to their economic or development programmes. However, such restrictions shall not be adopted or maintained for the purpose of protecting a particular sector.
4. Any restrictions adopted or maintained under paragraph 1, or any changes therein, shall be promptly notified to the other Party.
Chapter 14. General and Final Provisions
Article 108. Scope of Application
This Agreement shall apply to:
(a) in respect of the People's Republic of China, the entire customs territory of the People's Republic of China according to the WTO definition at the time of her accession to the WTO on 11 December 2001. For this purpose, for the People's Republic of China, "territory" in this Agreement refers to the customs territory of the People's Republic of China; and
(b) in respect of the Republic of Singapore, its land territory, internal waters and territorial sea and any maritime area situated beyond the territorial sea which has been or might in the future be designated under its national law, in accordance with international law, as an area within which Singapore may exercise rights with regards to the sea, the sea-bed, the subsoil and the natural resources.
Article 109. State, Regional and Local Government
In fulfilling its obligations and commitments under this Agreement, each Party shall ensure their observance by regional and local governments and authorities in its territory as well as their observance by non-governmental bodies (in the exercise of powers delegated by central, state, regional or local governments or authorities) within its territory.
Article 110. Contact Point
Each Party shall designate a contact point to facilitate communications between the Parties on any matter covered by this Agreement. On the request of a Party, the contact point of the requested Party shall facilitate communication with the requesting Party.
Article 111. Implementation and Review
1. The Parties shall establish an FTA Joint Committee to be chaired jointly by their respective Ministers or their designees, in order to supervise the implementation of this Agreement and also to review this Agreement.
2. The FTA Joint Committee may establish and delegate responsibilities to ad hoc and standing committees or working groups based on mutually agreed terms of reference and composition thereof.
3. The FTA Joint Committee shall:
(a) monitor and review the general functioning of this Agreement;
(b) review specific matters related to the operation and implementation of this Agreement;
(c) study and recommend appropriate measures to resolve any issues arising from the implementation or application of any part of this Agreement;
(d) consider, at either Party's request, further concessions or issues not already dealt with by this Agreement;
(e) facilitate the avoidance and settlement of disputes arising under this Agreement, including through consultations pursuant to the provisions of Chapter 12 (Dispute Settlement);
(f) consider and adopt any amendment to this Agreement or other modification to the commitments therein, subject to the completion of necessary domestic legal procedures by each Party;
(g) as appropriate, issue interpretations of this Agreement;
(h) consider ways to further the objectives of this Agreement; and/or
(i) take such other actions as the Parties may agree.
4. Unless the Parties otherwise agree, the FTA Joint Committee shall convene:
(a) within a year of the date of entry into force of this Agreement and then in regular session every year, with such sessions to be held alternately in the territory of each Party; and
(b) in special session within thirty (30) days of the request of a Party, with such sessions to be held in the territory of the other Party or at such location as may be agreed by the Parties.
5. Each Party shall treat any confidential information exchanged in relation to a meeting of the FTA Joint Committee on the same basis as the Party providing the information.
6. The FTA Joint Committee may, as it deems necessary, refer any matter arising under this Agreement, for joint consideration and decision by higher authorities.
Article 112. Relation to other Agreements
1. The Parties affirm their existing rights and obligations with respect to each other under existing bilateral and multilateral agreements to which both Parties are parties, including the WTO Agreement.
2. In the event of any inconsistency between this Agreement and any other agreement to which both Parties are parties, the Parties shall immediately consult with each other with a view to finding a mutually satisfactory solution.
Article 113. Annexes
The Annexes to this Agreement shall form an integral part of this Agreement.
Article 114. Amendments
This Agreement may be amended by agreement in writing by the Parties.
Article 115. Entry Into Force, Duration and Termination
1. This Agreement shall enter into force on the 30th day after the date on which the Parties have exchanged written notifications confirming the completion of their respective domestic procedures for the entry into force of this Agreement. The Parties shall complete their respective domestic procedures, and give their respective written notifications, to enable the entry into force of this Agreement by 1 January 2009.
2. Either Party may terminate this Agreement by written notification to the other Party, and such termination shall take effect six (6) months after the date of the notification.