(e) shall be temporary and shall be phased out as the circumstances referred to in paragraph 1 of this Article cease to exist.
3. In determining the scope of such restrictions, the Parties may give preference to sectors of the economy that are more important to their economic or development programs. However, such restrictions shall not be imposed or maintained for the purpose of protecting a particular sector of the economy.
4. Any restrictions imposed by a Party in accordance with paragraph 1 of this Article and any changes thereto shall be notified without delay to the other Parties and to the CIS Executive Committee no later than 15 calendar days from the date of imposition/change of such restrictions.
Article 12. Payments and Transfers
1. Except as provided in Article 11 of this Agreement, the Parties shall not apply restrictions on international transfers and payments for current transactions relating to their individual lists of commitments.
2. Nothing in this Agreement shall affect the rights and obligations of the Parties that are members of the International Monetary Fund under the Articles of Agreement of the IMF, including the conduct of currency operations that are compatible with the Articles of Agreement of the IMF, provided that a Party does not impose restrictions on any capital transactions that are inconsistent with its individual commitments relating to such transactions, except as provided in Article 11 of this Agreement or at the request of the International Monetary Fund.
Chapter II. Cross-border Trade In Services
Article 13. Scope
1. The provisions of this Chapter shall apply to measures of the Parties affecting cross-border trade in services:
(a) from the territory of one Party to the territory of any other Party;
(b) in the territory of one Party to a consumer of services of any other Party.
2. The provisions of this Chapter shall not apply:
(a) to measures affecting air traffic rights, in whatever form they may be presented, and/or to services directly related to air traffic rights, except for:
repair and maintenance of aircraft;
the sale and marketing of air transport services;
computer reservation system services;
b) government procurement as understood in accordance with Article XIII of the GATS;
c) services provided in the exercise of governmental authority;
d) subsidies and other forms of government and municipal support.
3. Specific provisions on the regulation of financial services are set out in Annex D to this Agreement.
4. Specific provisions on the regulation of telecommunications services are set out in Annex E to this Agreement.
Article 14. Most-favored-nation Treatment
1. With respect to any measure covered by this Chapter, each Party to this Agreement shall accord to services and service suppliers of any other Party to this Agreement treatment no less favorable than that it accords to like services and service suppliers of any non-Party to this Agreement, except for measures provided for in the individual list of such Party in Annex A to this Agreement.
2. The provisions of this Agreement shall not prevent Parties from granting advantages to neighboring countries with a view to facilitating border trade in services that are produced and consumed locally in the border areas of each Party.
3. Nothing in this Agreement shall be construed as imposing on a Party an obligation to grant to services and/or service suppliers of the other Party benefits or advantages which such Party grants or will grant:
(a) under that Party's agreements on economic integration, free trade in services, enhanced partnership and cooperation, etc., which are consistent with the requirements of Article V of the GATS; or
(b) on the basis of agreements on the avoidance of double taxation or other arrangements on tax matters.
Article 15. National Treatment
1. In the sectors specified in the individual lists of the Parties in Annex B to this Agreement, and subject to the conditions and limitations specified therein, each Party shall accord to services and service suppliers of any other Party, in respect of any measure affecting cross-border trade in services, treatment no less favorable than that which it accords to its own like services and service suppliers.
2. The Parties may fulfill the requirements of paragraph 1 of this Article by granting services and service providers of any other Party either formally the same (similar) treatment or formally different (different) treatment as that accorded to its own like services or service providers.
3. Formally the same (similar) treatment or formally different treatment shall be considered less favorable if it alters the conditions of competition in favor of the services or service suppliers of that Party as compared with similar services or service suppliers of any other Party.
Article 16. Market Access
In the sectors specified in the individual lists of the Parties in Annex B to this Agreement, and in accordance with the conditions and limitations specified therein, neither Party shall apply or introduce, in relation to services and/or service suppliers of the other Party in connection with cross-border trade in services:
(a) restrictions on the number of service suppliers in the form of quantitative quotas, monopolies, exclusive service suppliers, or requirements to demonstrate economic viability;
(b) restrictions on the total number of service transactions of any service supplier or on the total volume of services, expressed in terms of specified quantitative units of measurement in the form of quotas, economic efficiency tests or any other quantitative form;
c) restrictions on the total value of transactions for services or assets in the form of quantitative quotas or economic efficiency test requirements;
d) requirements regarding the establishment and legal form of an establishment.
Where a Party undertakes to grant market access for the supply of a service from the territory of one Party to the territory of the other Party and where the cross-border movement of capital is an essential part of the service itself, that Party shall, in this connection, allow such movement of capital.
Article 17. Additional Commitments
Measures that are not to be included in the lists of commitments in accordance with Articles 15 and 16 of this Agreement, including those relating to qualification, standards, and licensing, shall be included in the individual lists of the Parties in the section “Additional commitments” of Annex B to this Agreement.
Chapter III. Establishment and Operation
Article 18. Scope
1. The provisions of this Chapter shall apply:
(a) to any measures of a Party affecting the establishment in the territory of that Party of persons of the other Party;
(b) any measures of a Party affecting the activities of legal entities, branches, representative offices established (created, opened) in the territory of that Party by persons of the other Party, natural persons of the other Party registered as individual entrepreneurs in the territory of the other Party, on the date of and after the entry into force of this Agreement.
2. The provisions of this Chapter shall not apply in the territory of a Party:
(a) to government procurement as understood in accordance with Article XIII of the GATS and activities which, in accordance with the legislation of that Party, are related to the exercise of governmental authority;
(b) to subsidies and other forms of state and municipal support.
3. The provisions of this Chapter shall not apply in the territory of a Party to measures affecting air traffic rights, in whatever form they may be presented, and/or to services directly related to air traffic rights, except for:
repair and maintenance (technical) services for aircraft;
the sale and marketing of air transport services;
computer reservation system services.
4. Specific provisions on the regulation of financial services are set out in Annex D to this Agreement.
5. Specific provisions on the regulation of telecommunications services are set out in Annex E to this Agreement.
Article 19. Most-favored-nation Treatment
1. With respect to any measure covered by this Chapter, each Party shall immediately and unconditionally grant to the establishment and activities of persons of any other Party treatment no less favorable than that which it accords to persons of any non-Party to this Agreement, except for measures provided for in the individual list of each Party in Annex A to this Agreement.
2. The provisions of this Agreement shall not prevent the Parties from granting advantages to neighboring countries with a view to facilitating, within border areas, the establishment and/or activities of such territories.
3. Nothing in this Agreement shall be construed as imposing on a Party an obligation to grant to persons of other Parties, in respect of their establishment and activities, benefits or advantages which such Party grants or will grant:
(a) under that Party's agreements on economic integration, free trade in services, enhanced partnership and cooperation, etc., which are compatible with Article V of the GATS; or
(b) on the basis of agreements on the avoidance of double taxation or other arrangements on tax matters.
Article 20. National Treatment
1. Each Party shall grant to the establishment and/or activities of persons of any other Party treatment no less favorable than that accorded to its own persons in its territory, subject to the limitations and conditions set out in the individual list of each Party in Annex B to this Agreement.
2. The Parties may fulfill the requirements of paragraph 1 of this Article by granting persons of any other Party either formally the same (similar) treatment or formally different (different) treatment from that accorded to their own persons.
3. Formally the same (similar) treatment or formally different (different) treatment shall be considered less favorable if it changes the conditions of competition in favor of persons of that Party as compared with persons of any other Party.
Article 21. Restrictions on Market Access in Relation to Establishment and Operation
Subject to the restrictions and conditions set out in the individual list for each Party in Annex B to this Agreement, neither Party shall apply or introduce, in relation to persons of any other Party, restrictions on the establishment and/or operation of:
a) the form of establishment, including the organizational and legal form, legal entity, and natural person;
b) the number of legal entities, branches, or representative offices established, or individual entrepreneurs registered;
c) the volume acquired, share in the capital of a legal entity, or degree of control over a legal entity;
d) transactions/operations of an established legal entity, branch, representative office, or registered individual entrepreneur in the course of their activities in the form of quotas, economic feasibility tests, or any other quantitative form;
e) restrictions on the total number of individuals who may be employed by the established legal entity or who are necessary and directly related to the activity in the form of quotas or an economic feasibility test.
If a Party undertakes to grant market access for the supply of services by a service provider of one Party through establishment in the territory of the other Party, it shall, in this connection, allow the corresponding transfer of capital into its territory.
Article 22. Legalization of Documents
The Parties shall not require the legalization or apostille of documents submitted to the registering authority of a Party when establishing legal entities, branches, or representative offices with the participation of persons of any other Party.
Chapter IV. Special Provisions on the Temporary Presence of Natural Persons
Article 23. Scope
1. This chapter applies to measures affecting the temporary entry and stay of categories of individuals of one Party in the territories of the other Parties, as specified in the individual lists of the Parties in Annex G to this Agreement, for the purposes of trade in services, establishment, activities, and investment.
2. The provisions of this Chapter shall not apply in the territory of a Party to subsidies and other forms of state and municipal support.
3. The provisions of this Agreement shall not prevent the Parties from applying measures to regulate the entry of natural persons into their territory or their temporary stay there, including those measures necessary to protect the integrity of its borders and ensure the orderly movement of natural persons across the border, provided that such measures are not applied in a manner that nullifies or reduces the benefits accruing to either Party under the conditions set out in the individual list in Annex G to this Agreement.
4. The provisions of this Agreement shall not apply to the entry or stay of individuals of one Party in the territory of the other Party for the purpose of accessing the labor market of the Parties, permanent residence, obtaining a residence permit or citizenship, visa requirements or procedures for individuals of the other Party, or permanent employment.
Article 24. Most-favored-nation Treatment
1. With respect to any measure covered by this Chapter, each Party shall grant to the categories of natural persons referred to in paragraph 1 of Article 23 of this Agreement treatment no less favorable than that which it accords to similar categories of natural persons of any State not party to this Agreement.
2. A Party may apply measures that are not in conformity with paragraph 1 of this Article if such measures are provided for in the individual list of that Party in Annex A to this Agreement.
3. The provisions of this Agreement shall not prevent the Parties from granting advantages to neighboring countries with a view to facilitating cross-border trade in services produced and consumed locally in the border areas of the Parties, as well as for the purpose of investment.
4. The treatment provided under paragraph 1 of this Article shall not apply to advantages which a Party grants or will grant in the future:
(a) under that Party's agreements on economic integration, free trade in services, and other similar arrangements, provided that they meet the criteria and conditions of Article V of the GATS; or
(b) on the basis of agreements on the avoidance of double taxation or other tax arrangements.
Article 25. National Treatment
1. With respect to any measure covered by this Chapter, in the sectors specified in the individual lists of the Parties in Annex G to this Agreement, and subject to the conditions and limitations specified therein, each Party shall grant to the categories of natural persons of the other Parties referred to in paragraph 1 of Article 23 of this Agreement treatment no less favorable than that which it accords to similar categories of its own natural persons.
2. The Parties may fulfill the requirements of paragraph 1 of this Article by granting the relevant categories of natural persons of the other Parties either formally the same (similar) treatment or formally different treatment from that which such Party accords to similar categories of its own natural persons.
3. Formally the same (similar) treatment or formally different treatment shall be considered less favorable if it changes the conditions of competition in favor of services, service suppliers, and investors of that Party as compared with similar services, service suppliers, and investors of any other Party.
Article 26. Market Access
In the sectors specified in the individual lists of the Parties in Annex G to this Agreement, and in accordance with the conditions and limitations specified therein, with respect to the categories of natural persons of the other Party specified in paragraph 1 of Article 23 of this Agreement, neither Party shall apply or introduce:
restrictions on the total number of natural persons of the other Party who may be employed in a specific sector (provide services in the relevant sector);
a requirement to demonstrate economic viability.
Article 27. Additional Commitments
Measures that are not subject to inclusion in the lists of commitments in accordance with Articles 25 and 26 of this Agreement, including those relating to qualifications, standards, and licensing, shall be included in the individual lists of the Parties in the section “Additional commitments” of Annex G to this Agreement.
Chapter V. INVESTMENTS
Article 28. Scope
1. This Chapter shall apply to investments made by investors of one Party in the territory of the other Party after the entry into force of this Agreement.
2. This Chapter shall not apply to the granting of subsidies or other forms of state and municipal support by a Party.
Article 29. Promotion and Protection of Investments
1. Each Party shall, in accordance with its legislation, create favorable conditions for investors of the other Party to make investments in its territory.
2. Each Party shall grant investments of investors of the other Party full security and protection in its territory in accordance with its legislation.
Article 30. National Treatment
1. Each Party shall accord to investments of investors of the other Party treatment no less favorable than that it accords to investments of its own investors.
2. Each Party reserves the right to adopt and apply, in accordance with its legislation, exceptions to the national treatment referred to in paragraph 1 of this Article.
Article 31. Most-Favored-Nation Treatment
1. Each Party shall accord to investments of investors of the other Party treatment no less favorable than that it accords to investments of investors of any third State.
2. Nothing in this Agreement shall be construed as obliging a Party to grant to investments of investors of the other Party advantages or privileges which the first Party grants or will grant in the future:
(a) under economic integration agreements of the first Party, such as free trade agreements, customs union agreements, or arrangements leading to them;
(b) on the basis of agreements on the avoidance of double taxation or other tax arrangements.
Article 32. Compensation for Losses
Each Party shall grant investments of investors of the other Party, with respect to measures it adopts or maintains to compensate for damage caused to such investments in its territory by military action, armed conflict, civil unrest, civil disturbances, revolution, a state of national emergency, rebellion, insurrection or other similar circumstances, treatment no less favorable than that it accords:
(a) to investments of its own investors; or
(b) to investments of investors of any third State.
Article 33. Expropriation
1. Investments of investors of one Party made in the territory of the other Party shall not be subject to expropriation, nationalization, or measures having a similar effect that impede the use, ownership, or disposal of such investments by the investor (hereinafter referred to as “expropriation”), except where such measures are taken:
in the public interest, in particular within the meaning of Article 9 of this Agreement;
in accordance with the procedure established by the laws of the first Party. Such procedure shall be officially published or otherwise made available to the public prior to the date of expropriation;
on a non-discriminatory basis and with payment of timely, adequate, and effective compensation in accordance with paragraph 4 of this Article.
2. Determining whether a measure (set of measures) of a Party constitutes expropriation requires an assessment of each individual case based on the following facts:
(a) the impact of such measure (set of measures) on the market value of the investor's investment, although the mere fact that a measure (set of measures) of a Party adversely affects the value of an investment of an investor of the other Party does not establish that expropriation has occurred;
b) the nature of such measure (set of measures), including the duration of such measure (set of measures).
3. The following shall not constitute expropriation:
a) protective measures applied to an investor's investment by the investigative and judicial authorities of the other Party in whose territory the investment was made;
b) measures taken by a Party relating to the imposition and collection of taxes and charges, provided that such taxes and charges are not arbitrary and do not provide for a differentiated rate based on the origin of the investor or capital, taking into account international agreements and arrangements on taxation to which such Party is a party;
c) the requisition by a Party of an investor's investment, provided that such measures are applied in the event of natural disasters, accidents, epidemics, epizootics, and other similar circumstances of an exceptional nature, and the property subject to requisition is returned to the investor of the other Party without undue delay after the exceptional circumstances have ceased to exist, with compensation for damage caused to such property in accordance with its market value;
(d) customs regulation measures;
(e) the granting of compulsory licenses issued in accordance with the obligations of a Party under the WTO Agreement, in particular the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS).
4. The compensation referred to in paragraph 1 of this Article shall be equivalent to the market value of the expropriated investment, calculated at the prices prevailing on the date when the actual or impending expropriation became publicly known. From the date of expropriation until the date of payment, the level of compensation shall be subject to interest at a commercial rate determined on a market basis. Compensation shall be paid without delay in the currency in which the investment was originally made. The investor shall have the right to exchange such compensation into any freely usable currency of its choice.
5. Each Party shall permit the free transfer from its territory of the compensation referred to in paragraph 1 of this Article by the investor of the other Party, subject to the provisions of Article 12 of this Agreement.
Article 34. Subrogation
1. If a Party or an authority authorized by it has made a payment to an investor of that Party on the basis of a guarantee under an insurance contract or in another form of guarantee against non-commercial risks provided for in a contract between the Party and the investor, compensation for damage from non-commercial risks which it has provided in respect of the investment, the other Party shall recognize the transfer of the investor's right or claim in relation to such investment to the first Party or its authorized body by way of subrogation.
2. The rights or claims transferred in accordance with paragraph 1 of this Article shall not exceed the original rights or claims of the investor. Such rights or claims shall be exercised in accordance with the law of the Party in whose territory the investment was made, but without prejudice to the provisions of Articles 30 and 31 of this Chapter and Articles 19 and 20 of Chapter III “Establishment and Operations” of this Agreement.
3. If a Party or its authorized body has made a payment to an investor of that Party and acquired the rights and claims of the investor, such investor, unless authorized to act on behalf of the Party or its authorized body, shall not exercise such rights and claims against the other Party.
Article 35. Transfer of Payments
1. Except as provided in Article 11 of this Agreement, each Party shall guarantee to investors of the other Party, subject to their fulfillment of all tax and other obligations in accordance with the legislation of the first Party, the free transfer abroad of payments in connection with their investments, including:
a) income;
b) funds paid in repayment of loans and credits recognized by each Party as investments, as well as interest accrued thereon;
c) profits, dividends, capital contributions, capital gains, and funds received from the partial or total sale of all or part of the investments or from the partial or total liquidation of the investments;
d) compensation provided for in Articles 32, 33, and 36 of this Agreement;
e) wages and other remuneration received by investors and individuals of the other Party who have been granted work permits in connection with investments in the territory of the first Party.
2. The transfer of payments referred to in paragraph 1 of this Article shall be made without undue delay in freely usable currency at the rate applicable on the date of transfer in accordance with the currency legislation of the Party in whose territory the investment was made.
3. Nothing in this Agreement shall affect the rights and obligations of either Party arising from its membership in the International Monetary Fund, including rights and obligations relating to measures regulating currency transactions, provided that such measures of the Parties are consistent with the Articles of Agreement of the IMF, and (or) provided that the Party does not impose restrictions on payments and transfers that are incompatible with its obligations under this Agreement relating to such transactions, except in the cases specified in Article 11 of this Agreement or in cases where restrictions are applied at the request of the International Monetary Fund.
Article 36. Settlement of Disputes between a Party and an Investor of the other Party
1. A dispute between a Party and an investor of the other Party concerning its investment in the territory of that Party shall be settled through negotiations. For this purpose, the investor of one Party shall submit a written request for such negotiations to the other Party.
2. The written request for negotiations referred to in paragraph 1 of this Article shall include:
(a) the full name, actual and legal address of the investor who is a party to the dispute and the full name of the investor's representative, his actual and legal address, as well as documents confirming the representative's right to act on behalf of and in favor of the investor in connection with the dispute (if there is a representative);
b) the legal and factual basis of the request, including all contested measures and situations;