Article 25.6. ENTRY INTO FORCE AND DURATION
This Agreement shall be of indefinite duration and shall enter into force 30 days after the date of receipt of the last written notice from the Parties certifying that all internal legal requirements have been complied with or such other period as the Parties may agree.
Article 25.7. TERMINATION
1. This Agreement may be terminated by either Party by written notice addressed to the other Party.
2. Termination shall take effect 180 days after receipt of the notice by the other Party, notwithstanding that the Parties may agree on a different date.
Article 25.8. PROVISIONAL APPLICATION
1. Notwithstanding the provisions of Article 25.6, the Republic of Colombia may provisionally apply this Agreement in accordance with its constitutional requirements, from the date of signature until the time of its entry into force, in accordance with Article 25.6. Provisional application shall also cease at such time as the Republic of Colombia notifies the Republic of Panama of its intention not to become a Party to this Agreement or of its intention to suspend provisional application.
2. The provisional application of this Agreement shall be notified to the other Party and shall commence as of the first day of the first month following such notification.
Article 25.9. TERMINATION OF THE PARTIAL SCOPE AGREEMENT
With respect to the "Partial Scope Agreement signed under Article 25 of the Treaty of Montevideo of 1980 between the Republic of Panama and the Republic of Colombia" signed on July 9, 1993, hereinafter referred to as the AAP.A25TM N°29, the Parties agree as follows:
1. The Parties understand that the entry into force of the present Agreement does not entail the termination of AAP.A25TM N° 29.
2. AAP.A25TM N° 29 shall continue to apply as long as the preferences contained in AAP.A25TM N° 29 are more favorable than those resulting from the application of the Tariff Elimination Program of this Agreement.
3. Importers may benefit from the preferences contained in AAP.A25TM N° 29 during the period in which said agreement continues to be applied.
4. The Parties may agree to terminate AAP.A25TM No. 29 when the preferences contained in such agreement are equal to or less favorable than those resulting from the application of the Tariff Elimination Program of this Agreement.
Conclusion
IN WITNESS WHEREOF, the undersigned, being duly authorized by their respective Governments, have signed this Agreement in two equally authentic copies.
DONE in the city of Panama, on the 20th day of September, 2013.
FOR THE GOVERNMENT THE REPUBLIC OF PANAMA
FOR THE GOVERNMENT OF OF THE REPUBLIC OF COLOMBIA
Attachments
Annex I. EXPLANATORY NOTE
1. The Schedule of a Party to this Annex sets forth, in accordance with Articles 14.8 (Non-Conforming Measures) and 15.6 (Non-Conforming Measures), a Party's existing measures that are not subject to some or all of the obligations imposed by:
(a) Articles 14.3 (National Treatment) or 15.2 (National Treatment);
(b) Articles 14.4 (Most-Favored-Nation Treatment) or 15.3 (Most-Favored- Nation Treatment);
(c) Article 14.6 (Performance Requirements); (d) = Article 14.7 (Senior Executives and Boards of Directors); (e) Article 15.4 (Market Access); or (f) Article 15.5 (Local Presence). 2. Each tab of the List establishes the following elements: (a) Sector refers to the sector for which the record has been made;
(b) Type of Reservation specifies the obligation(s) referred to in paragraph 1 which, under Articles 14.8 (Non-Conforming Measures) and 14.9 (Non- Conforming Measures), are not covered by the obligation(s) referred to in paragraph 1.
15.6 (Nonconforming Measures), do not apply to nonconforming aspects of the law, regulation, or other measure, as provided in paragraph 3;
(c) Measures identifies the laws, regulations or other measures for which the record has been made. A measure cited in the Measures element:
(i) means the measure as amended, continued or renewed, as of the date of entry into force of this Agreement; and
(ii) includes any action subordinate to, adopted or maintained under the authority of and consistent with such action; and
(d) Description sets out the liberalization commitments, if any, at the date of entry into force of this Agreement and the remaining non-conforming aspects of the existing measures on which the record has been made.
3. In interpreting a fiche of the List, all elements of the fiche shall be considered. A fiche shall be interpreted in the light of the relevant obligations of the Chapters in respect of which the fiche has been made. To the extent that:
(a) the Measures element is qualified by a liberalization commitment of the Description element, the Measures element so qualified shall prevail over any other element; and
(b) the Measures element is not qualified, the Measures element shall prevail over any other element, except where any discrepancy between the Measures element and the other elements considered as a whole is so substantial and material that it would be unreasonable to conclude that the Measures element should prevail, in which case, the other elements shall prevail to the extent of the discrepancy.
4. Pursuant to Articles 14.8 (Nonconforming Measures) and 15.6 (Nonconforming Measures), the Articles of this Agreement specified in the Type of Reservation clement of a tab do not apply to the law, regulation or other measure identified in the Measures element of that tab.
5. Where a Party maintains a measure requiring a service supplier to be a national, permanent resident or resident in its territory as a condition for the supply of a service in its territory, a Schedule entry made for that measure in relation to Articles 15.2 (National Treatment), 15.3 (Most-Favored-Nation Treatment) or 15.5 (Local Presence) shall operate as a Schedule entry in relation to Articles 14.3 (National Treatment), 14.4 (Most- Favored-Nation Treatment) or 14.6 (Performance Requirements) with respect to such measure.
Annex I. COLOMBIA
1. Sector: All Sectors
Type of reservation: Local Presence (Article 15.5)
Measures: Code of Commerce, 1971, Articles 469, 471 and 474.
Description: Cross Border Trade in Services
A legal person incorporated under the laws of another country and having its principal place of business in another country must be established as a branch or other legal form in Colombia to develop a concession obtained from the Colombian State.
2. Sector: All Sectors
Type of reservation: National Treatment (Article 9.04)
Measures: Decree 2080 of 2000, Articles 26 and 27.
Description: Investment
Foreign investors may make portfolio investments in securities in Colombia only through an Administrator.
3. Sector: All Sectors
Type of reservation: National Treatment (Article 14.3) Senior Executives and Boards of Directors (Article 14.7)
Measures: As set forth in the Description element, including Law 226 of 1995, Arts. 3 and 11.
Description: Investment
Colombia, in selling or disposing of its equity interests or the assets of an existing state enterprise or governmental entity, may prohibit or impose limitations on the ownership of such interests or assets, and on the ability of the owners of such interests or assets to control any resulting enterprise, by Panamanian or non-Party investors or their investments. With respect to such sale or other disposition, Colombia may adopt or maintain any measure relating to the nationality of senior executives or members of the board of directors.
Relevant existing legislation related to this non-conforming measure includes Law 226 of 1995. In that sense, if the Colombian State decides to sell all or part of its participation in an enterprise to a person other than another Colombian State enterprise or other Colombian governmental entity it shall first offer such participation on an exclusive basis and in accordance with the conditions set forth in Article 11 of Law 226 of 1995, to:
(a) cutrent employees, pensioners and former employees (other than former employees terminated with just cause) of the company and other companies owned or controlled by that company;
(b) associations of employees or former employees of the company;
(c) labor unions; (d) federations and confederations of workers' unions;
(e) employee funds;
(f) severance and pension funds; and (g) cooperative entities (1).
However, once such interest has been transferred or sold, Colombia does not reserve the right to control subsequent transfers or other sales of such interest.
For the purposes of this sheet:
(a) any measure maintained or adopted after the date of entry into force of this Agreement which, at the time of sale or other disposition, prohibits or imposes limitations on the ownership of equity interests or assets, or imposes nationality requirements described in this tab, shall be deemed to be an existing measure; and
(b) "State enterprise" means an enterprise owned or controlled through ownership rights by Colombia and includes an enterprise established after the date of entry into force of this Agreement solely for the purpose of selling or disposing of equity interests in, or the assets of, an existing State enterprise or governmental entity.
4. Sector: All Sectors
Type of reservation: Local Presence (Article 15.5)
Measures: Law 915 of 2004, Article 5
Description: Cross Border Trade in Services
Only a person with its principal place of business in the Free Port of San Andres, Providencia and Santa Catalina can provide services in this region.
For greater certainty, this measure does not affect the cross- border supply of services as defined in Article 15.11 (Definitions).
5. Sector: Accounting Services
Type of reservation: National Treatment (Article 15.2) Local Presence (Article 15.5).
Measures: Law 43 of 1990, Article 3 Paragraph 1. Resolution No. 160 of 2004, Article 2 paragraph, and Article 6
Description: Cross Border Trade in Services
Only persons registered with the Central Board of Accountants may practice as accountants. A foreigner must have been domiciled in Colombia uninterruptedly for at least three years prior to the application for registration and demonstrate accounting experience in the territory of Colombia for at least one year. This experience may be acquired simultaneously or subsequent to the public accounting studies.
For natural persons, the term "domiciled" means being a resident and having the intention to remain in Colombia.
6. Sector: Research and Development Services
Type of reservation: National Treatment (Article 15.2)
Measures: Decree 309 of 2000, Article 7
Description: Cross Border Trade in Services
Any foreign person planning to carry out scientific research on biological diversity in the territory of Colombia must involve at least one Colombian researcher in the research or in the analysis of its results.
For greater certainty, this measure does not require or prohibit foreign persons and Colombian researchers from reaching an agreement regarding rights with respect to scientific research or analysis.
7. Sector: Fisheries and Fisheries-Related Services
Type of reservation: National Treatment (Articles 14.3 and 15.2). Most-Favored-Nation Treatment (Article 14.4) Market Access (Article 15.4)
Measures: Decree 2256 of 1991, Articles 27, 28 and 67 Agreement 005 of 2003, Section II and VII.
Description: Investment and Cross-Border Trade in Services
Only Colombian nationals may engage in artisanal fishing.
A foreign flag vessel may obtain a permit and engage in fishing and related activities in Colombian territorial waters only in association with a Colombian company holding a permit. In this case, the value of the permit and the fishing patent are higher for foreign flag vessels than for Colombian flag vessels.
If the flag of a foreign flag vessel corresponds to a country that is party to another bilateral agreement with Colombia, the terms of that other bilateral agreement will determine whether or not the requirement to associate with a Colombian company holding the permit applies.
8. Sector: Services Directly Related to the Exploration and Exploitation of Minerals and Hydrocarbons.
Type of reservation: Local Presence (Article 15.5)
Measures: Law 685 of 2001, Articles 19 and 20. Legislative Decree 1056 of 1953, Article 10 Commercial Code, 1971, Articles 471 and 474.
Description: Cross Border Trade in Services
In order to provide services directly related to the exploration and exploitation of minerals and hydrocarbons in Colombia, any legal person incorporated under the laws of another country must establish a branch, subsidiary or affiliate in Colombia.
For greater certainty, this tab does not apply to service providers involved in such services for less than one year.
9. Sector: Surveillance and Private Security Services
Type of reservation: National Treatment (Articles 14.3 and 15.2). Market Access (Article 15.4) Local Presence (Article 15.5)
Measures: Decree 356 of 1994, Articles 8, 12, 23 and 25.
Description: Investment and Cross-Border Trade in Services
Only a company organized under Colombian law as a limited liability company or as private security and surveillance cooperatives (1) may provide private security and surveillance services in Colombia. The partners or members of these companies must be Colombian nationals.
Companies incorporated prior to February 11, 1994 with foreign partners or capital may not increase the participation of foreign partners. Cooperatives incorporated prior to this date may retain their legal nature.
10. Sector: Journalism
Type of reservation: Senior Executives and Boards of Directors (Article 14.7)
Measures: Law 29 of 1944, Article 13
Description: Investment
The director or general manager of any newspaper published in Colombia that deals with national politics must be a Colombian national.
11. Sector: Travel and Tourism Agents
Type of reservation: National Treatment (Article 15.2) Local Presence (Article 15.5).
Measures: Law 32 of 1990, Article 5 Decree 502 of 1997, Articles 1 to 7
Description: Cross Border Trade in Services
Foreigners must be domiciled in Colombia to provide travel and tourism agent services within the territory of Colombia.
For greater certainty, this sheet does not apply to services provided by tourist guides, nor does it affect the cross- border supply of services as defined in Article 15.11 (Definitions).
12. Sector: Notary and Registry Services
Type of reservation: National Treatment (Article 15.2) Market Access (Article 15.4)
Measures: Decree Law 960 of 1970, Articles 123, 124, 126, 127 and. 132 Decree Law 1250 of 1970, Article 60
Description: Cross Border Trade in Services
Only Colombian nationals may be Notaries and/or Registrars.
The establishment of new notary offices is subject to an economic needs test that considers the population of the area of interest, service needs and communication facilities, among other factors.
13. Sector: Public Utilities
Type of reservation: National Treatment (Article 14.3) Market Access (Article 15.4) Local Presence (Article 15.5)
Measures: Law 142 of 1994, Articles 1, 17, 18, 19 and 23 Code of Commerce, Articles 471 and 472.
Description: Investment and Cross-Border Trade in Services
A domiciliary public utilities company must be established under the regime of "Empresas de Servicios Publicos" or "E.S.P.", must be domiciled in Colombia and legally constituted under Colombian law as a joint stock company. The requirement to be organized as a joint stock company does not apply in the case of decentralized entities that take the form of an industrial and commercial enterprise of the State.
For the purposes of this entry, domiciliary public utilities comprise the provision of water, sewage, sanitation, electric power and fuel gas distribution services, basic public switched telephone services (TPBC) and their complementary activities. For basic public switched telephony services, complementary activities means public long distance telephony and mobile telephony in the rural sector, but does not include commercial mobile services.
In public bidding processes carried out under the same conditions for all participants, to grant concessions or licenses for the provision of domiciliary public services for organized local communities, the companies where these communities have a majority will be preferred over any other equal offer.
14. Sector: Electric Power
Type of reservation: Market Access (Article 15.4)
Measures: Law 143 of 1994, Article 74
Description: Cross Border Trade in Services
Only companies legally incorporated in Colombia prior to July 12, 1994 may engage in the business of commercialization and transmission of electric energy or engage in more than one of the following activities at the same time: generation, distribution and transmission of electric energy. For greater certainty, a company legally incorporated in Colombia may not carry out the activity of commercialization and transmission of electric energy.
15. Sector: Customs Services
Type of reservation: Local Presence (Article 15.5)
Measures: Decree 2685 of 1999, Articles 74 and 76.
Description: Cross Border Trade in Services
To perform customs brokerage activities, brokerage for postal and specialized courier services (2) (including express shipments), warehousing of goods, transportation of goods under customs control, international freight forwarder, and act as Permanent Customs Users or Highly Exporters, a person must be domiciled in Colombia or have a representative domiciled and legally responsible for its activities in Colombia.
16. Sector: Postal and Specialized Courier Services.