Article 9.8. Technical Assistance
1. The Parties may provide technical assistance to each other, subject to available resources, in any area they deem appropriate, including the exchange of experiences, capacity building for the implementation of their competition laws and policies; promotion of competition culture.
2. Upon entry into force of this Agreement, the Parties shall notify the point of contact at the competition authority or authorities to whom any request for a request for a technical assistance.
Article 9.9. State-Owned Enterprises and Designated Monopolies
1. Nothing in this Chapter shall be construed to prevent a Party from establishing or maintaining state-owned enterprises and/or designated monopolies in accordance with its laws.
2. Patdes shall ensure that designated state-owned enterprises and designated monopolies are subject to their respective competition laws and that they do not adopt or maintain any practice referred to in Article 9.1.2 that affects trade between the Parties, insofar as the application of this provision does not hinder the performance, in law or in fact, of the particular tasks assigned to them in their respective legislation.
Article 9.10. Settlement of Disputes
No Party may have recourse to the dispute settlement procedure set forth Chapter 24 (Settlement) or to any investor-State dispute settlement mechanism with respect to any matter arising under this Chapter.
Article 9.11. Definitions
For the purposes of this Chapter:
competent authority means:
(a) for Ecuador, the Superintendencia de Control de Poder de Mercado, or its successor; and
(b) for Costa Rica, the Commission to Promote Competition and the Superintendency of Telecommunications, according to the scope of their competencies, or their successors;
competition law means:
(a) for Ecuador, the Ley Organica de Regulacién y Control del Poder de Mercado, Reglamento a Ley Organica de Regulacién y Control del Poder de Mercado;
(b) for Costa Rica, the Law for the Strengthening of the Competition Authorities of Costa Rica, Law No. 9736 of September 5, 2019; the Law for the Promotion of Competition and Effective Consumer Defense, Law No. 7472 of December 20, 1994; and the General Telecommunications Law, Law No. 8642 of June 30, 2008;
and its implementing and amending regulations.
Chapter 10. Cross-Border Trade In Services
Article 10.1. Scope of Application
1. This Chapter applies to measures adopted or maintained by a Party affecting cross-border trade in services supplied by service suppliers of the other Party. Such measures include measures affecting:
(a) the production, distribution, marketing, sale and supply of a service;
(b) the purchase or use of, or payment for, a service;
(c) access to and use of distribution and transportation systems, or telecommunications facilities and other services related to the supply of a service;
(d) the presence in its tenitoi io of service supplier of the other Party; and
(e) the provision of a bond or other form of financial guarantee as a condition for the provision of a service.
2. For the purposes of this Chapter, measures adopted or maintained by a Party means measures adopted or maintained by:
(a) central or local governments or authorities; and.
(b) non-governmental institutions in the exercise of powers delegated to them by central or local governments or authorities.
3. This Chapter does not apply to:
(a) air services (1), including domestic and international air transport services, scheduled and non-scheduled, as well as related support services for air services, except:
(i) aircraft repair and maintenance services while the aircraft is out of service;
(ii) the sale and marketing of air transportation services; and
(iii) computerized reservation system (CRS) services;
(b) procurement, as defined in 1.6 (Definitions of General Application); and
(c) subsidies or donations granted by a Party, including grants, guarantees and assurances provided by the government.
4. Articles 10.4, 10.7 and 10.5 shall apply to measures by a Party affecting the supply a service on its by a covered investment. (2)
5. This Chapter does not impose any obligation on a Party with respect to a national of the other Party seeking to enter its labor market or to have permanent employment in its territory, or to confer any rights on that national with respect to such access or employment, nor shall it apply to citizenship or residency rules on a permanent basis.
6. Nothing in this Chapter shall be construed to impose any obligation on a Party with respect to its immigration measures.
7. This Chapter does not apply to services supplied in the exercise of governmental authority. A service supplied in the exercise of governmental authority means any service that is supplied neither on a commercial basis nor in competition with one or more service suppliers.
8. This Chapter does not apply measures adopted or maintained by a party in relation to financial services (3), except as provided in Chapter 1 (Financial Services).
Article 10.2. National Treatment
Each Party shall accord to service suppliers of the other Party treatment no less favorable than that it accords, in like circumstances, to its suppliers.
Article 10.3. Most-Favored-Nation Treatment
1. Each Party shall accord to service suppliers of the other Party treatment no less favorable than that it accords, in like circumstances, to service of a non-Party.
2. Nothing in this Chapter shall be to a Party from conferring advantages on adjacent countries for the purpose of facilitating trade, limited to contiguous border areas, in services that are produced or consumed locally.
Article 10.4. Market Access
No Party may adopt or maintain, on the basis of a regional subdivision or of its entire territory, measures which:
(a) Impose limitations on:
(i) the number of service providers, either in the form of numerical quotas, monopolies or exclusive service providers, or by requiring an economic needs test;
(ii) the total value of assets or service transactions on the basis of numerical quotas or by requiring an economic needs test;
(iii) the total number of service operations or the total amount of service output, expressed in designated numerical units, in the form of quotas or by requiring an economic needs test (4);
(iv) the total number of natural persons who may be employed in a given sector or who may be employed by a service supplier and who are necessary for the supply of a specific service and are directly related to it, in the form of numerical quotas or through the requirement of an economic needs test; or
(b) restrict or prescribe the specific types of legal entity or joint venture which a service supplier may supply a service.
Article 10.5. Local Presence
No Party require a service supplier of the other Party to establish or maintain a representative office or other form of enterprise, or to reside in its territory, as a condition for the cross-border supply of a service.
Article 10.6. Nonconforming Measures
1. Articles 10.2, 10.3, 10.4 and 10.5 do not apply to:
(a) any existing nonconforming measure maintained by a Party in:
(i) the central level of government, as stipulated by that party in its List of Annex I;
(ii) a local level of government (5)
(b) the continuation or prompt renewal of any disproportionate measure referred to in subparagraph (a); or
(c) the modification of any non-conforming measure referred to in subparagraph (a), provided that such modification does not diminish the conformity of the measure, as in effect immediately prior to the modification, with Articles 10.2, 10.3, 10.4 and 10.5.
2. Articles 10.2, 10.3, 10.4 and 10.5 not apply to any measures that a Party adopts or maintains in relation to sectors, subsectors or activities as set out in its Schedule to Annex II.
Article 10.7. Transparency In the Development and Application of Regulations (6)
In Addition to Chapter 22 (Transparency):
(a) each Party shall establish or maintain appropriate mechanisms for responding to inquiries from interested persons concerning its regulations relating to the subject matter of this Chapter, in accordance with its legislation;
(b) at the time of adopting final regulations relating to the subject matter of this Chapter (7), each Party shall respond in writing, to the extent practicable, upon request, to substantive comments received from interested persons with respect to the proposed regulations; and
(c) to the extent possible, each Party shall provide a reasonable period of time between the publication of final regulations and the date on which they enter into force.
Article 10.8. National Regulation
1, The Parties shall ensure that all measures of general application to which this Chapter applies are administered in a reasonable, objective and impartial manner. This obligation shall not apply to measures covered by Annex I or to measures covered by Annex II of each Party.
2. Where a Party requires authorization for the supply of a service, the competent authorities of that Party shall, within a reasonable period of time after the submission of an application considered complete in accordance with its domestic law, inform the applicant of the decision regarding the application. At the request of such applicant, the competent of the Party shall provide, without undue delay, information concerning the status of application. This obligation shall not apply to authorization requirements covered by paragraph 2 of Article 10.6.
3. In order to ensure that measures relating qualification requirements and procedures, technical standards and licensing requirements do not constitute unnecessary barriers to trade in services, each Party shall endeavor to ensure, in a manner appropriate to each individual sector, that such measures do not constitute unnecessary barriers to trade in services:
(a) based on objective and transparent criteria, such as competence and ability to provide the service;
(b) are not more burdensome than necessary to ensure quality of service; and.
(c) in the case of licensing procedures, do not in themselves constitute a restriction on the supply of the service.
4. The Parties recognize their mutual obligations relating to domestic regulation in Article VI.4 of the WTO GATS and affirm their commitment to the development of any necessary disciplines in accordance with Article VI.4. To the extent that any such disciplines are adopted WTO, the Parties shall jointly review them, as appropriate, with a view to determining whether this Article should be modified so that such results are incorporated into this Agreement.
Article 10.9. Mutual Recognition
1. For the purposes of complying, in whole or in part, with its standards or criteria for the authorization or certification of service suppliers or the licensing of service suppliers, and subject to the requirements of paragraph 4, a Party may recognize education or experience obtained, requirements met, or licenses or certificates granted in a particular country. Such recognition, which may be effected by harmonization or , may be based on an agreement or convention with the country in question or may be granted autonomously.
2. Where a Party recognizes, autonomously or by means of an agreement or arrangement, education or experience obtained, qualifications completed, or licenses or certificates granted in the territory of a non-Party, nothing in Article 10.3 shall be construed to require the Party to recognize education or experience obtained, qualifications completed, or licenses or certificates granted in the territory of the non-Party.
3. A Party that is a party to an agreement or convention of the type referred to in paragraph 1, existing or future, shall provide adequate opportunities the other Party, if the other Party is interested, to negotiate its accession to such an agreement or convention or to negotiate comparable ones with it. Where a Party grants autonomous recognition, it shall provide adequate opportunity for the other Party to demonstrate that the education, experience, licenses or certificates obtained or requirements fulfilled in the territory of that other Party should be recognized.
4. No Party shall grant recognition in a manner that would constitute a means of discrimination between countries in the application of its standards or criteria for the authorization or certification of service suppliers or the licensing thereof, or a disguised restriction on trade in services.
Article 10.10. Transfers and Payments
1. Each Party shall permit all transfers and payments related to the cross-border supply of services to be made freely and without delay to and from its territory.
2. Each Party shall allow all transfers and payments related to the cross-border supply of services to be made in freely circulating currency at the market rate of exchange prevailing on the date of transfer.
3. Notwithstanding the provisions of paragraphs 1 and 2, a Party may prevent or delay the making of the transfer or payment, through the equitable, non-discriminatory and good faith application of its national law with respect to:
(a) bankruptcy, insolvency or protection of creditors! rights; (b) issuance, trading or operation of securities, futures, options or derivatives;
(c) financial reporting or record keeping of transfers when necessary to assist law enforcement or financial regulatory authorities;
(d) criminal or penal infractions; or
(e) guarantee of compliance with judicial or administrative orders or rulings.
Article 10.11. Denial of Benefits
A Party may deny the benefits of this Chapter to:
(a) a service supplier of the other Party if the service supplier is an enterprise owned or controlled by persons of a non-Party and the enterprise does not have substantial business activities in the territory of the other Party; or
(b) a service supplier of the other Party if the service supplier is an enterprise owned or controlled by persons of the denying Party and the enterprise has no substantial business activities in the territory of the other Party.
Article 10.12. Investment and Cross Border Services Trade Committee
1. The Parties establish the Committee on Investment and Cross-Border Trade in Services (hereinafter "the Committee"), the membership of which is set forth in Annex 10.12.
2. The Committee shall have, among others, the following functions:
(a) serve as a forum for monitoring the implementation and administration of this Chapter and Chapter 15 (Investment);
(b) facilitate the exchange of information between the Parties, as well as technical cooperation on trade in services and investment;
(c) examine issues of interest to the Parties related to trade in services and investment that are discussed in international fora; and,
(d) consider other trade in services and investment matters of mutual interest.
(e) Meetings may be held in person or through any technological means.
Article 10.13. Professional Services
Annex 10.13 (Professional Services) applies to measures adopted or maintained by a Party relating to the licensing or certification of professional service suppliers, as set out in that Annex.
Article 10.14. Definitions
For purposes of this Chapter:
cross-border trade in services or cross-border supply of services means the supply of a service:
(a) from the territory of one Party to the territory of the other Party;
(b) in the territory of a Party, by a person of that Party, to a person of the other Party; or
(c) by a national of a Party in the territory of the other Party,
but does not include the supply of a service in the territory of a Paige by a covered investment or by an investor of the other Party, as defined in Article 15.1 (Definitions);
company means a company as defined in Article 1.6 (Definitions of General Application) and a branch of a company;
service supplier of a Party means a person of that Party that intends to supply or does supply a service;(8)
aircraft repair and maintenance activities performed on an aircraft or part thereof while the aircraft is in service and does not include so-called line maintenance;
computer reservation system (CRS) services means services provided through computerized systems that contain information about air carriers' schedules, seat availability, fares and fare-setting rules, and through which reservations can be made or tickets issued;
professional services means services that require higher education (9) or equivalent training or experience for their provision and whose exercise is authorized or restricted by a Party, but does not include services provided by persons engaged in a trade or to crew members of merchant ships and aircraft; and
sale or marketing of air transportation services means the opportunities for the air carrier in question to freely sell and market its transportation services, and all aspects of marketing, such as market research, advertising and distribution, but does not include the pricing of air transportation services or applicable colllliations.
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Annex 10.12: Committee on Cross-Border Trade and Investment in Services
For the purposes of Article 10.12, the Committee on Investment and Cross-Border Trade in Services shall be composed as follows:
(a) for Costa Rica by representatives of the Ministry of Foreign Trade, or their successors; and
(b) for Ecuador by representatives of the Ministry of Production, Foreign Trade, Investment and Fisheries, or their successors.
Aneio 10.12 -1
Exhibit 10.13: Professional Services
Development of Professional Services Standards
1, Each Party shall encourage the relevant bodies in its respective territory to develop generally acceptable standards and criteria for the licensing and qualification of professional service suppliers, and to submit to the Commission recommendations on their recognition.
2. The rules and criteria to in 1 may be drawn up in relation to the following aspects: (a) education: accreditation ¢1c educational institutions or academic programs; (b) examinations: licensing qualification examinations, including alternative methods
of evaluation, such as oral examinations and interviews; (c) experience: the extent and nature of the experience required to obtain a license;
(d) conduct and ethics: rules of professional conduct and the nature of disciplinary actions in case of contravention of these rules;
(e) professional development and renewal of certification: continuing education and the corresponding requirements to obtain the professional certificate;
(E scope of action: scope or limits of authorized activities; and
(g) local knowledge: requirements on knowledge of aspects such as laws, regulations, language, geography or local climate.
3. Upon receipt of a recommendation referred to paragraph 1, the Commission shall review it within a reasonable period of time to decide whether it is consistent with this Agreement. Based on the Commission's review, cach Party shall encourage its respective competent authorities to implement that recommendation, where appropriate, within a mutually agreed period of time.
Temporary Licenses
4, For mutually agreed individual professional services, each Party shall encourage the competent bodies in its territory to develop procedures for the granting of temporary licenses to professional service suppliers of the other Party.
Exhibit 10.13 1
Professional Services Working Group
5. The Parties, by mutual agreement, may form a Working Group on Professional Services, including representatives of relevant professional bodies of each Party, to facilitate the activities set out in paragraphs 1 and 4.
6. The IT Group below may consider, for individual professional services, the following matters:
(a) petra procedures encourage the development mutual recognition agreements or conventions between their relevant professional bodies;
(b) develop workable procedures on standards licensing and certification of pre- professional service providers;