(a) is independent of, and not accountable to, any of the enterprises that that body regulates in order to ensure the effectiveness of the regulatory function; and
(b) acts impartially (29) with respect to all enterprises that that body regulates, including state-owned enterprises, enterprises granted special rights or privileges and designated monopolies. (30)
3. Each Party shall apply its laws and regulations to state-owned enterprises, enterprises granted special rights or privileges and designated monopolies in a consistent and non-discriminatory manner.
Article 199. Transparency
1. A Party which has reason to believe that its interests under this Chapter are being adversely affected by the commercial activities of a state-owned enterprise, an enterprise granted special rights or privileges or a designated monopoly of the other Party may request in written form that other Party to supply information about the operations of that enterprise or monopoly related to the implementation of this Chapter.
2. Requests for information as referred to in paragraph 1 shall indicate:
(a) the enterprise or monopoly concerned;
(b) the goods or services and markets concerned;
(c) the interests under this Chapter that the requesting Party believes to be adversely affected;
(d) practices in which the enterprise or monopoly is engaging that hinder trade or investment between the Parties in a manner inconsistent with this Chapter; and
(e) which of the following information is to be provided:
(i) the ownership and the voting structure of the enterprise or monopoly, indicating the percentage of shares that the requested Party, its state-owned enterprises, enterprises granted special rights or privileges or designated monopolies cumulatively own, and the percentage of voting rights that they cumulatively hold, in the enterprise or monopoly;
(ii) a description of any special shares or special voting or other rights that the requested Party, its state-owned enterprises, enterprises granted special rights or privileges or designated monopolies hold, where such rights are different from those attached to the general common shares of the enterprise or monopoly;
(iii) a description of the organisational structure of the enterprise or monopoly and its composition of the board of directors or of any other equivalent body;
(iv) a description of the government departments or public bodies that regulate or monitor the enterprise or monopoly, a description of the reporting requirements imposed on the enterprise or monopoly by those departments or bodies, and the rights and practices of the government departments or public bodies in the appointment, dismissal or remuneration of senior executives and members of the board of directors or any other equivalent management body of the enterprise or monopoly;
(v) annual revenue and total assets of the enterprise or monopoly over the most recent three-year period for which information is available;
(vi) any exemptions, immunities and related measures from which the enterprise or monopoly benefits under the laws and regulations of the requested Party; and
(vii) any additional information regarding the enterprise or monopoly that is publicly available, including annual financial reports and third-party audits.
3. If the requested information is not available to the requested Party, that Party shall provide the reasons for this in writing to the requesting Party.
Chapter 13. Transparency
Article 200. Definitions
For the purposes of this Chapter:
(a) "administrative decision" means a decision with legal effect that affects the rights and obligations of a specific person in an individual case, and covers an administrative action or failure to take an administrative action or decision as provided for in the Party's law;
(b) "interested person" means any person that is or may be affected by a measure of general application;
(c) "measure of general application" means laws, regulations, procedures and administrative rulings of general application that may have an impact on any matter covered by this Title.
Article 201. Objective
Recognising the impact which their respective regulatory environment may have on trade and investment between them, the Parties aim to promote a predictable regulatory environment and efficient procedures for economic operators, especially small and medium-sized enterprises, in accordance with the provisions of this Chapter.
Article 202. Publication
1. Each Party shall ensure that a measure of general application with respect to any matter covered by this Title:
(a) is promptly published via an officially designated medium and, where feasible, electronic means, or otherwise made available in such a manner as to enable any person to become acquainted with it;
(b) provides an explanation of the objective of, and rationale for, the measure; and
(c) allows for sufficient time between publication and entry into force of such a measure, except where this is not possible on grounds of urgency.
2. When adopting or amending laws or regulations of general application with respect to any matter covered by this Title, each Party shall, in accordance with its respective rules and procedures:
(a) publish at an early appropriate stage the draft law or regulation or consultation documents providing details of the objective of, and rationale for, the proposed law or regulation;
(b) provide reasonable opportunities and an appropriate period of time for interested persons to comment; and
(c) endeavour to take into consideration the comments received.
Article 203. Enquiries
1. Each Party shall establish or maintain appropriate mechanisms for responding to enquiries from any person regarding any measure of general application which is proposed or is in force, with respect to any matter covered by this Title.
2. Upon request of a Party, the other Party shall promptly provide information and respond to questions pertaining to any measure of general application or any proposal to adopt, amend or repeal any measure of general application with respect to any matter covered by this Title and that the requesting Party considers might affect the operation of this Agreement.
Article 204. Administration of Measures of General Application
1. Each Party shall administer in an objective, impartial and reasonable manner all measures of general application with respect to any matter covered by this Title.
2. Each Party, in applying the measures referred to in paragraph 1 to specific persons, goods or services of the other Party in individual cases shall:
(a) endeavour to provide interested persons who are directly affected by administrative proceedings with reasonable notice, in accordance with its laws and regulations, when proceedings are initiated, including a description of the nature of the proceedings, a statement of the legal authority under which the proceedings are initiated and, where appropriate, a general description of any issues in dispute; and
(b) provide those interested persons with a reasonable opportunity to present facts and arguments in support of their positions prior to any final administrative decision in so far as time, the nature of the proceedings and the public interest permit.
Article 205. Review
1. Each Party shall establish or maintain judicial, arbitral or administrative tribunals or procedures for the purposes of the prompt review and, where warranted, correction of administrative decisions with respect to any matter covered by this Title. Each Party shall ensure that its procedures for review are carried out in a non-discriminatory and impartial manner. Each Party shall ensure that its tribunals carrying out such review are impartial and independent of the office or authority entrusted with administrative enforcement and do not have any substantial interest in the outcome of the matter.
2. Each Party shall ensure that the parties to the proceedings referred to in paragraph 1 are provided with the right to:
(a) a reasonable opportunity to support or defend their respective positions; and
(b) a decision based on the evidence and submissions of record or, where required by its law, the record compiled by the administrative authority.
3. The decision referred to in point (b) of paragraph 2 shall, subject to appeal or further review as provided for in each Party's law, be implemented by the office or authority entrusted with administrative enforcement.
Article 206. Regulatory Quality, Performance and Good Regulatory Practices
1. The Parties recognise the principles of good regulatory practices and shall promote regulatory quality and performance, including by:
(a) encouraging the use of regulatory impact assessments when developing major initiatives; and
(b) establishing or maintaining procedures to promote periodic retrospective evaluation of their measures of general application.
2. The Parties shall endeavour to cooperate in regional and multilateral fora and to promote good regulatory practices and transparency in respect of international trade and investment in areas covered by this Title.
Article 207. Specific Provisions
This Chapter shall apply without prejudice to any specific transparency rules established in the other Chapters of this Title.
Chapter 14. DISPUTE SETTLEMENT
Section A. OBJECTIVE AND SCOPE
Article 208. Objective
The objective of this Chapter is to establish an effective and efficient mechanism for avoiding and settling disputes between the Parties concerning the interpretation and application of this Title with a view to reaching, where possible, a mutually agreed solution.
Article 209. Scope
This Chapter applies to any dispute between the Parties concerning the interpretation or application of this Title (hereinafter referred to as "covered provisions"), unless otherwise provided for in this Title.
Article 210. Definitions
1. For the purposes of Chapter 14 and Annexes 14-A-and 14-B:
(a) "administrative staff" means individuals, other than assistants, under the direction and control of a panellist;
(b) "adviser" means an individual retained by a Party to advise or assist that Party in connection with the panel proceedings;
(c) "assistant" means an individual who, under the terms of appointment and under the direction and control of a panellist, conducts research or provides assistance to that panellist;
(d) "candidate" means an individual whose name is on the list of panellists referred to in Article 214 and who is under consideration for selection as a panellist in accordance with Article 213.
(e) "complaining Party" means a Party that requests the establishment of a panel under Article 212;
(f) "mediator" means an individual who has been selected as a mediator in accordance with Article 236;
(g) "panel" means a panel established pursuant to Article 213;
(h) "panellist" means a member of a panel;
(i) "Party complained against" means a Party that is alleged to be in violation of the covered provisions;
(j) "representative" means an employee or any individual appointed by a government department, agency or any other public entity of a Party who represents the Party for the purposes of a dispute under this Title.
Section B. CONSULTATIONS
Article 211. Consultations
1. The Parties shall endeavour to resolve any dispute referred to in Article 209 by entering into consultations in good faith with the aim of reaching a mutually agreed solution.
2. A Party shall seek consultations by means of a written request delivered to the other Party identifying the measure at issue and the covered provisions that it considers applicable.
3. The Party to which the request for consultations is made shall reply to the request promptly, and in any case no later than 10 days after the date of its delivery. Consultations shall be held no later than 30 days after the date of delivery of the request and take place, unless the Parties agree otherwise, in the territory of the Party to which the request is made. Consultations shall be deemed to have been concluded within 30 days after the date of delivery of the request, unless the Parties agree to continue them further.
4. Consultations on matters of urgency, including those regarding perishable goods or seasonal goods or services, shall be held within 15 days after the date of delivery of the request. Consultations shall be deemed to have been concluded within those 15 days unless the Parties agree to continue them further.
5. During consultations, each Party shall provide the other Party with sufficient factual information to allow a complete examination of the manner in which the measure at issue could affect the application of the covered provisions. Each Party shall endeavour to ensure the participation of personnel of their competent governmental authorities who have expertise in the matter subject to the consultations.
6. Consultations, and in particular all information designated as confidential and positions taken by the Parties during consultations, shall be confidential and without prejudice to the rights of either Party in any further proceedings.
Section C. PANEL PROCEDURES
Article 212. Initiation of Panel Procedures
1. A Party that sought consultations in accordance with Article 211 may request the establishment of a panel if:
(a) the Party to which the request for consultation is made in accordance with Article 211 does not respond to that request within 10 days after the date of its delivery;
(b) consultations are not held within the time periods set out in Article 211(3) or (4);
(c) the Parties agree not to have consultations; or
(d) consultations have been concluded and no mutually agreed solution has been reached.
2. A Party that requests the establishment of a panel (hereinafter referred to as the "complaining Party") shall do so by means of a written request delivered to the Party that is alleged to be in violation of the covered provisions (hereinafter referred to as the "Party complained against"). The complaining Party shall identify the measure at issue in its request, and explain how that measure is inconsistent with the covered provisions in a manner that clearly presents the legal basis for the complaint.
Article 213. Establishment of a Panel
1. A panel shall be composed of three panellists.
2. Within 14 days after the date of delivery of the written request for the establishment of a panel, the Parties shall consult one another with a view to agreeing on the composition of the panel.
3. If the Parties are unable to agree on the composition of the panel within the time period set out in paragraph 2 of this Article, each Party shall appoint a panellist from its sub-list established under Article 214 within five days after the expiry of the time period set out in paragraph 2 of this Article. If a Party does not appoint a panellist from its sub-list within that time period, the co-chair of the Cooperation Committee from the complaining Party shall select the panellist by lot, within five days after the expiry of that time period, from the sub-list of the Party that did not appoint a panellist. The co-chair of the Cooperation Committee from the complaining Party may delegate such selection by lot of the panellist.
4. If the Parties are unable to agree on the chairperson of the panel within the time period set out in paragraph 2 of this Article, the co-chair of the Cooperation Committee from the complaining Party shall select the chairperson of the panel by lot, within five days after the expiry of that time period, from the sub-list of chairpersons established under Article 213. The co-chair of the Cooperation Committee from the complaining Party may delegate such selection by lot of the chairperson of the panel.
5. If any of the lists provided for in Article 214 have not been established or do not contain sufficient names at the time a request is made pursuant to Article 212, the panellists shall be selected in accordance with the Rules of Procedure set out in Annex 14-A.
6. The date of establishment of the panel shall be the date on which all three selected panellists have notified their acceptance of appointment in accordance with the Rules of Procedure set out in Annex 14-A.
Article 214. Lists of Panellists
1. The Cooperation Committee shall, no later than six months after the date of entry into force of this Agreement, establish a list of at least 15 individuals who are willing and able to serve as panellists. The list shall be composed of three sub-lists:
(a) one sub-list of individuals established on the basis of proposals by the European Union;
(b) one sub-list of individuals established on the basis of proposals by the Kyrgyz Republic; and
(c) one sub-list of individuals who are not nationals of either Party and who are willing and able to serve as chairperson of the panel.
2. Each sub-list shall include at least five individuals. The Cooperation Committee shall ensure that each sub-list is always maintained at that minimum number of individuals.
3. The Cooperation Committee may establish additional lists of individuals with expertise in specific sectors covered by this Title. Subject to the agreement of the Parties, such additional lists shall be used to compose the panel in accordance with the procedure set out in Article 213.
Article 215. Requirements for Panellists
1. Each panellist shall:
(a) have demonstrated expertise in law, international trade and other matters covered by this Title;
(b) be independent of, and not be affiliated with or take instructions from, either Party;
(c) serve in an individual capacity and not take instructions from any organisation or government with regard to matters related to the dispute; and
(d) comply with the Code of Conduct for Panellists and Mediators set out in Annex 14-B.
2. The chairperson shall also have experience in dispute settlement procedures.
3. In view of the subject matter of a particular dispute, the Parties may agree to derogate from the requirements listed in point (a) of paragraph 1.
Article 216. Functions of the Panel
The panel:
(a) shall make an objective assessment of the matter before it, including an objective assessment of the facts of the case and the applicability of and conformity with the covered provisions;
(b) shall set out, in its decisions and reports, the findings of facts, the applicability of the covered provisions and the basic rationale behind any findings and conclusions that it makes; and
(c) should regularly consult with the Parties and provide adequate opportunities for the development of a mutually agreed solution.
Article 217. Terms of Reference
1. Unless the Parties agree otherwise within five days after the date of establishment of the panel, the terms of reference of the panel shall be:
"to examine, in the light of the relevant provisions of this Title cited by the Parties, the matter referred to in the request for the establishment of the panel, to make findings on the conformity of the measure at issue with those provisions and to deliver a report in accordance with Articles 219 and 220."
2. If the Parties agree on other terms of reference, they shall notify the agreed terms of reference to the panel within the time period set out in paragraph 1.
Article 218. Decision on Urgency
1. If a Party so requests, the panel shall decide, within 10 days after its establishment, whether the case concerns a matter of urgency.
2. In cases of urgency, the applicable time periods set out in this Section shall be half the time prescribed therein, except for the time periods referred to in Articles 213 and 217.
Article 219. Interim Report
1. The panel shall deliver an interim report to the Parties within 90 days after the date of establishment of the panel. If the panel considers that this deadline cannot be met, the chairperson of the panel shall notify the Parties in writing, stating the reasons for the delay and the date on which the panel plans to deliver its interim report. The panel shall, under no circumstances, deliver its interim report later than 120 days after the date of establishment of the panel.
2. Each Party may deliver to the panel a written request to review precise aspects of the interim report within 10 days after the date of its delivery. A Party may comment on the other Party's request within six days after the delivery of the request.
Article 220. Final Report
1. The panel shall deliver its final report to the Parties within 120 days after the date of establishment of the panel. If the panel considers that this deadline cannot be met, the chairperson of the panel shall notify the Parties in writing, stating the reasons for the delay and the date on which the panel plans to deliver its final report. The panel shall, under no circumstances, deliver its final report later than 150 days after the date of establishment of the panel.
2. The final report shall include a discussion of any written request by the Parties on the interim report and clearly address the comments of the Parties.
Article 221. Compliance Measures
1. The Party complained against shall take any measures necessary to comply promptly with the findings and conclusions in the final report in order to bring itself into compliance with the covered provisions.
2. The Party complained against shall, no later than 30 days after delivery of the final report, notify the complaining Party in writing of the measures which it has taken, or which it envisages to take, to comply with the final report.
Article 222. Reasonable Period of Time
1. If immediate compliance in accordance with Article 221(1) is not possible, the Party complained against shall, no later than 30 days after delivery of the final report, notify the complaining Party in writing of the length of the reasonable period of time it will require. The Parties shall endeavour to agree on the length of the reasonable period of time to comply with the final report.
2. If the Parties are unable to agree on the length of the reasonable period of time referred to in paragraph 1, the complaining Party may, at the earliest 20 days after the date of delivery of the notification referred to in paragraph 1, request in writing that the original panel determine the length of the reasonable period of time. The panel shall deliver its decision to the Parties within 20 days after the date of delivery of the request.
3. The Party complained against shall notify the complaining Party in writing of its progress in complying with the final report at least one month before the expiry of the reasonable period of time established in accordance with paragraph 2.
4. The Parties may agree to extend the reasonable period of time established in accordance with paragraph 2.
Article 223. Compliance Review
1. The Party complained against shall, no later than the date of expiry of the reasonable period of time referred to in Article 222, notify the complaining Party in writing of any measure that it has taken to comply with the final report.
2. If the Parties disagree on the existence of measures taken to comply with the final report or the consistency of such measures with the covered provisions, the complaining Party may deliver a written request to the original panel to decide on the matter. The request shall identify any measure at issue and explain how that measure constitutes a breach of the covered provisions in a manner that clearly presents the legal basis for the complaint. The panel shall deliver its decision to the Parties within 46 days after the date of delivery of the request.
Article 224. Temporary Remedies
1. The Party complained against shall, upon request by and after consultations with the complaining Party, present an offer for temporary compensation if:
(a) the Party complained against notifies the complaining Party in writing that it is not possible to comply with the final report;
(b) the Party complained against fails to deliver a written notification of any measure taken to comply with the final report within the deadline referred to in Article 221(2) or before the date of expiry of the reasonable period of time; or
(c) the panel finds that no measure has been taken to comply or that the measure taken to comply is inconsistent with the covered provisions.
2. Under any of the situations referred to in points (a), (b) and (c) of paragraph 1, the complaining Party may notify the Party complained against in writing that it intends to suspend the application of its obligations under the covered provisions if: