North American Free Trade Agreement (NAFTA) (1992)
Previous page Next page

3. A Party may provide criminal procedures and penalties to be applied in cases of infringement of intellectual property rights, other than those in paragraph 1, where they are committed wilfully and on a commercial scale.

Article 1718. Enforcement of Intellectual Property Rights at the Border

1. Each Party shall, in conformity with this Article, adopt procedures to enable a right holder, who has valid grounds for suspecting that the importation of counterfeit trademark goods or pirated copyright goods may take place, to lodge an application in writing with its competent authorities, whether administrative or judicial, for the suspension by the customs administration of the release of such goods into free circulation. No Party shall be obligated to apply such procedures to goods in transit. A Party may permit such an application to be made in respect of goods that involve other infringements of intellectual property rights, provided that the requirements of this Article are met. A Party may also provide for corresponding procedures concerning the suspension by the customs administration of the release of infringing goods destined for exportation from its territory.

2. Each Party shall require any applicant who initiates procedures under paragraph 1 to provide adequate evidence:

(a) to satisfy that Party's competent authorities that, under the domestic laws of the country of importation, there is prima facie an infringement of its intellectual property right; and

(b) to supply a sufficiently detailed description of the goods to make them readily recognizable by the customs administration.

The competent authorities shall inform the applicant within a reasonable period whether they have accepted the application and, if so, the period for which the customs administration will take action.

3. Each Party shall provide that its competent authorities shall have the authority to require an applicant under paragraph 1 to provide a security or equivalent assurance sufficient to protect the defendant and the competent authorities and to prevent abuse. Such security or equivalent assurance shall not unreasonably deter recourse to these procedures.

4. Each Party shall provide that, where pursuant to an application under procedures adopted pursuant to this Article, its customs administration suspends the release of goods involving industrial designs, patents, integrated circuits or trade secrets into free circulation on the basis of a decision other than by a judicial or other independent authority, and the period provided for in paragraphs 6 through 8 has expired without the granting of provisional relief by the duly empowered authority, and provided that all other conditions for importation have been complied with, the owner, importer or consignee of such goods shall be entitled to their release on the posting of a security in an amount sufficient to protect the right holder against any infringement. Payment of such security shall not prejudice any other remedy available to the right holder, it being understood that the security shall be released if the right holder fails to pursue its right of action within a reasonable period of time.

5. Each Party shall provide that its customs administration shall promptly notify the importer and the applicant when the customs administration suspends the release of goods pursuant to paragraph 1.

6. Each Party shall provide that its customs administration shall release goods from suspension if within a period not exceeding 10 working days after the applicant under paragraph 1 has been served notice of the suspension the customs administration has not been informed that:

(a) a party other than the defendant has initiated proceedings leading to a decision on the merits of the case, or

(b) a competent authority has taken provisional measures prolonging the suspension,

provided that all other conditions for importation or exportation have been met. Each Party shall provide that, in appropriate cases, the customs administration may extend the suspension by another 10 working days.

7. Each Party shall provide that if proceedings leading to a decision on the merits of the case have been initiated, a review, including a right to be heard, shall take place on request of the defendant with a view to deciding, within a reasonable period, whether these measures shall be modified, revoked or confirmed.

8. Notwithstanding paragraphs 6 and 7, where the suspension of the release of goods is carried out or continued in accordance with a provisional judicial measure, Article 1716(6) shall apply.

9. Each Party shall provide that its competent authorities shall have the authority to order the applicant under paragraph 1 to pay the importer, the consignee and the owner of the goods appropriate compensation for any injury caused to them through the wrongful detention of goods or through the detention of goods released pursuant to paragraph 6.

10. Without prejudice to the protection of confidential information, each Party shall provide that its competent authorities shall have the authority to give the right holder sufficient opportunity to have any goods detained by the customs administration inspected in order to substantiate the right holder's claims. Each Party shall also provide that its competent authorities have the authority to give the importer an equivalent opportunity to have any such goods inspected. Where the competent authorities have made a positive determination on the merits of a case, a Party may provide the competent authorities the authority to inform the right holder of the names and addresses of the consignor, the importer and the consignee, and of the quantity of the goods in question.

11. Where a Party requires its competent authorities to act on their own initiative and to suspend the release of goods in respect of which they have acquired prima facie evidence that an intellectual property right is being infringed:

(a) the competent authorities may at any time seek from the right holder any information that may assist them to exercise these powers;

(b) the importer and the right holder shall be promptly notified of the suspension by the Party's competent authorities, and where the importer lodges an appeal against the suspension with competent authorities, the suspension shall be subject to the conditions, with such modifications as may be necessary, set out in paragraphs 6 through 8; and

(c) the Party shall only exempt both public authorities and officials from liability to appropriate remedial measures where actions are taken or intended in good faith.

12. Without prejudice to other rights of action open to the right holder and subject to the defendant's right to seek judicial review, each Party shall provide that its competent authorities shall have the authority to order the destruction or disposal of infringing goods in accordance with the principles set out in Article 1715(5). In regard to counterfeit goods, the authorities shall not allow the re exportation of the infringing goods in an unaltered state or subject them to a different customs procedure, other than in exceptional circumstances.

13. A Party may exclude from the application of paragraphs 1 through 12 small quantities of goods of a non-commercial nature contained in travellers' personal luggage or sent in small consignments that are not repetitive.

14. Annex 1718.14 applies to the Parties specified in that Annex.

Article 1719. Cooperation and Technical Assistance

1. The Parties shall provide each other on mutually agreed terms with technical assistance and shall promote cooperation between their competent authorities. Such cooperation shall include the training of personnel.

2. The Parties shall cooperate with a view to eliminating trade in goods that infringe intellectual property rights. For this purpose, each Party shall establish and notify the other Parties by January 1, 1994 of contact points in its federal government and shall exchange information concerning trade in infringing goods.

Article 1720. Protection of Existing Subject Matter

1. Except as required under Article 1705(7), this Agreement does not give rise to obligations in respect of acts that occurred before the date of application of the relevant provisions of this Agreement for the Party in question.

2. Except as otherwise provided for in this Agreement, each Party shall apply this Agreement to all subject matter existing on the date of application of the relevant provisions of this Agreement for the Party in question and that is protected in a Party on such date, or that meets or subsequently meets the criteria for protection under the terms of this Chapter. In respect of this paragraph and paragraphs 3 and 4, a Party's obligations with respect to existing works shall be solely determined under Article 18 of the Berne Convention and with respect to the rights of producers of sound recordings in existing sound recordings shall be determined solely under Article 18 of that Convention, as made applicable under this Agreement.

3. Except as required under Article 1705(7), and notwithstanding the first sentence of paragraph 2, no Party may be required to restore protection to subject matter that, on the date of application of the relevant provisions of this Agreement for the Party in question, has fallen into the public domain in its territory.

4. In respect of any acts relating to specific objects embodying protected subject matter that become infringing under the terms of laws in conformity with this Agreement, and that were begun or in respect of which a significant investment was made, before the date of entry into force of this Agreement for that Party, any Party may provide for a limitation of the remedies available to the right holder as to the continued performance of such acts after the date of application of this Agreement for that Party. In such cases, the Party shall, however, at least provide for payment of equitable remuneration.

5. No Party shall be obliged to apply Article 1705(2)(d) or 1706(1)(d) with respect to originals or copies purchased prior to the date of application of the relevant provisions of this Agreement for that Party.

6. No Party shall be required to apply Article 1709(10), or the requirement in Article 1709(7) that patent rights shall be enjoyable without discrimination as to the field of technology, to use without the authorization of the right holder where authorization for such use was granted by the government before the text of the Draft Final Act Embodying the Results of the Uruguay Round of Multilateral Trade Negotiations became known.

7. In the case of intellectual property rights for which protection is conditional on registration, applications for protection that are pending on the date of application of the relevant provisions of this Agreement for the Party in question shall be permitted to be amended to claim any enhanced protection provided under this Agreement. Such amendments shall not include new matter.

Article 1721. Definitions

1. For purposes of this Chapter:

confidential information includes trade secrets, privileged information and other materials exempted from disclosure under the Party's domestic law.

2. For purposes of this Agreement:

encrypted program-carrying satellite signal means a program-carrying satellite signal that is transmitted in a form whereby the aural or visual characteristics, or both, are modified or altered for the purpose of preventing the unauthorized reception, by persons without the authorized equipment that is designed to eliminate the effects of such modification or alteration, of a program carried in that signal;

geographical indication means any indication that identifies a good as originating in the territory of a Party, or a region or locality in that territory, where a particular quality, reputation or other characteristic of the good is essentially attributable to its geographical origin;

in a manner contrary to honest commercial practices means at least practices such as breach of contract, breach of confidence and inducement to breach, and includes the acquisition of undisclosed information by other persons who knew, or were grossly negligent in failing to know, that such practices were involved in the acquisition;

intellectual property rights refers to copyright and related rights, trademark rights, patent rights, rights in layout designs of semiconductor integrated circuits, trade secret rights, plant breeders’ rights, rights in geographical indications and industrial design rights;

nationals of another Party means, in respect of the relevant intellectual property tight, persons who would meet the criteria for eligibility for protection provided for in the Paris Convention (1967), the Berne Convention (1971), the Geneva Convention (1971), the International Convention for the Protection of Performers, Producers of Phonograms and Broadcasting Organizations (1961), the UPOV Convention (1978), the UPOV Convention (1991) or the Treaty on Intellectual Property in Respect of Integrated Circuits, as if each Party were a party to those Conventions, and with respect to intellectual property rights that are not the subject of these Conventions, "nationals of another Party" shall be understood to be at least individuals who are citizens or permanent residents of that Party and also includes any other natural person referred to in Annex 201.1 (CountrySpecific Definitions);

public includes, with respect to rights of communication and performance of works provided for under Articles 11, 11bis(1) and 14(1)Gi) of the Berne Convention, with respect to dramatic, dramatico-musical, musical and cinematographic works, at least, any aggregation of individuals intended to be the object of, and capable of perceiving, communications or performances of works, regardless of whether they can do so at the same or different times or in the same or different places, provided that such an aggregation is larger than a family and its immediate circle of acquaintances or is not a group comprising a limited number of individuals having similarly close ties that has not been formed for the principal purpose of receiving such performances and communications of works; and

secondary uses of sound recordings means the use directly for broadcasting or for any other public communication of a sound recording.

Part Seven. ADMINISTRATIVE AND INSTITUTIONAL PROVISIONS

Chapter Eighteen. PUBLICATION, NOTIFICATION AND ADMINISTRATION OF LAWS

Article 1801. Contact Points

Each Party shall designate a contact point to facilitate communications between the Parties on any matter covered by this Agreement. On the request of another Party, the contact point shall identify the office or official responsible for the matter and assist, as necessary, in facilitating communication with the requesting Party.

Article 1802. Publication

1. Each Party shall ensure that its laws, regulations, procedures and administrative rulings of general application respecting any matter covered by this Agreement are promptly published or otherwise made available in such a manner as to enable interested persons and Parties to become acquainted with them.

2. To the extent possible, each Party shall:

(a) publish in advance any such measure that it proposes to adopt; and

(b) provide interested persons and Parties a reasonable opportunity to comment on such proposed measures.

Article 1803. Notification and Provision of Information

1. To the maximum extent possible, each Party shall notify any other Party with an interest in the matter of any proposed or actual measure that the Party considers might materially affect the operation of this Agreement or otherwise substantially affect that other Party's interests under this Agreement.

2. On request of another Party, a Party shall promptly provide information and respond to questions pertaining to any actual or proposed measure, whether or not that other Party has been previously notified of that measure.

3. Any notification or information provided under this Article shall be without prejudice as to whether the measure is consistent with this Agreement.

Article 1804. Administrative Proceedings

With a view to administering in a consistent, impartial and reasonable manner all measures of general application affecting matters covered by this Agreement, each Party shall ensure that in its administrative proceedings applying measures referred to in Article 1802 to particular persons, goods or services of another Party in specific cases that:

(a) wherever possible, persons of another Party that are directly affected by a proceeding are provided reasonable notice, in accordance with domestic procedures, when a proceeding is initiated, including a description of the nature of the proceeding, a statement of the legal authority under which the proceeding is initiated and a general description of any issues in controversy;

(b) such persons are afforded a reasonable opportunity to present facts and arguments in support of their positions prior to any final administrative action, when time, the nature of the proceeding and the public interest permit; and

(c) its procedures are in accordance with domestic law.

Article 1805. Review and Appeal

1. Each Party shall establish or maintain judicial, quasi-judicial or administrative tribunals or procedures for the purpose of the prompt review and, where warranted, correction of final administrative actions regarding matters covered by this Agreement. Such tribunals shall be impartial and independent of the office or authority entrusted with administrative enforcement and shall not have any substantial interest in the outcome of the matter.

2. Each Party shall ensure that, in any such tribunals or procedures, the parties to the proceeding 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 domestic law, the record compiled by the administrative authority.

3. Each Party shall ensure, subject to appeal or further review as provided in its domestic law, that such decisions shall be implemented by, and shall govern the practice of, the offices or authorities with respect to the administrative action at issue.

Article 1806. Definitions

For purposes of this Chapter:

administrative ruling of general application means an administrative ruling or interpretation that applies to all persons and fact situations that fall generally within its ambit and that establishes a norm of conduct but does not include:

(a) a determination or ruling made in an administrative or quasi-judicial proceeding that applies to a particular person, good or service of another Party in a specific case; or

(b) a ruling that adjudicates with respect to a particular act or practice.

Chapter Nineteen. REVIEW AND DISPUTE SETTLEMENT IN ANTIDUMPING AND COUNTERVAILING DUTY MATTERS

Article 1901. General Provisions

1. Article 1904 applies only with respect to goods that the competent investigating authority of the importing Party, applying the importing Party's antidumping or countervailing duty law to the facts of a specific case, determines are goods of another Party.

2. For purposes of Articles 1903 and 1904, panels shall be established in accordance with the provisions of Annex 1901.2.

3. Except for Article 2203 (Entry into Force), no provision of any other Chapter of this Agreement shall be construed as imposing obligations on a Party with respect to the Party's antidumping law or countervailing duty law.

Article 1902. Retention of Domestic Antidumping Law and Countervailing Duty Law

1. Each Party reserves the right to apply its antidumping law and countervailing duty law to goods imported from the territory of any other Party. Antidumping law and countervailing duty law include, as appropriate for each Party, relevant statutes, legislative history, regulations, administrative practice and judicial precedents.

2. Each Party reserves the right to change or modify its antidumping law or countervailing duty law, provided that in the case of an amendment to a Party's antidumping or countervailing duty statute:

(a) such amendment shall apply to goods from another Party only if the amending statute specifies that it applies to goods from that Party or from the Parties to this Agreement;

(b) the amending Party notifies in writing the Parties to which the amendment applies of the amending statute as far in advance as possible of the date of enactment of such statute;

(c) following notification, the amending Party, on request of any Party to which the amendment applies, consults with that Party prior to the enactment of the amending statute; and

(d) such amendment, as applicable to that other Party, is not inconsistent with

(i) the General Agreement on Tariffs and Trade (GATT), the Agreement on Implementation of Article VI of the General Agreement on Tariffs and Trade (the Antidumping Code) or the Agreement on the Interpretation and Application of Articles VI, XVI and XXILI of the General Agreement on Tariffs and Trade (the Subsidies Code), or any successor agreement to which all the original signatories to this Agreement are party, or

(ii) the object and purpose of this Agreement and this Chapter, which is to establish fair and predictable conditions for the progressive liberalization of trade between the Parties to this Agreement while maintaining effective and fair disciplines on unfair trade practices, such object and purpose to be ascertained from the provisions of this Agreement, its preamble and objectives, and the practices of the Parties.

Article 1903. Review of Statutory Amendments

1. A Party to which an amendment of another Party's antidumping or countervailing duty statute applies may request in writing that such amendment be referred to a binational panel for a declaratory opinion as to whether:

(a) the amendment does not conform to the provisions of Article 1902(2)(d)(i) or (ii); or

(b) such amendment has the function and effect of overturning a prior decision of a panel made pursuant to Article 1904 and does not conform to the provisions of Article 1902(2)(d)G) or (ii).

Such declaratory opinion shall have force or effect only as provided in this Article.

2. The panel shall conduct its review in accordance with the procedures of Annex 1903.2.

3. In the event that the panel recommends modifications to the amending statute to remedy a non-conformity that it has identified in its opinion:

(a) the two Parties shall immediately begin consultations and shall seek to achieve a mutually satisfactory solution to the matter within 90 days of the issuance of the panel's final declaratory opinion. Such solution may include seeking corrective legislation with respect to the statute of the amending Party;

(b) if corrective legislation is not enacted within nine months from the end of the 90day consultation period referred to in subparagraph (a) and no other mutually satisfactory solution has been reached, the Party that requested the panel may

(i) take comparable legislative or equivalent executive action, or

(ii) terminate this Agreement with regard to the amending Party on 60 day written notice to that Party.

Article 1904. Review of Final Antidumping and Countervailing Duty Determinations

1. As provided in this Article, each Party shall replace judicial review of final antidumping and countervailing duty determinations with binational panel review.

2. An involved Party may request that a panel review, based on the administrative record, a final antidumping or countervailing duty determination of a competent investigating authority of an importing Party to determine whether such determination was in accordance with the antidumping or countervailing duty law of the importing Party. For this purpose, the antidumping or countervailing duty law consists of the relevant statutes, legislative history, regulations, administrative practice and judicial precedents to the extent that a court of the importing Party would rely on such materials in reviewing a final determination of the competent investigating authority. Solely for purposes of the panel review provided for in this Article, the antidumping and countervailing duty statutes of the Parties, as those statutes may be amended from time to time, are incorporated into and made a part of this Agreement.

3. The panel shall apply the standard of review set out in Annex 1911 and the general legal principles that a court of the importing Party otherwise would apply to a review of a determination of the competent investigating authority.

4. A request for a panel shall be made in writing to the other involved Party within 30 days following the date of publication of the final determination in question in the official journal of the importing Party. In the case of final determinations that are not published in the official journal of the importing Party, the importing Party shall immediately notify the other involved Party of such final determination where it involves goods from the other involved Party, and the other involved Party may request a panel within 30 days of receipt of such notice. Where the competent investigating authority of the importing Party has imposed provisional measures in an investigation, the other involved Party may provide notice of its intention to request a panel under this Article, and the Parties shall begin to establish a panel at that time. Failure to request a panel within the time specified in this paragraph shall preclude review by a panel.

5. An involved Party on its own initiative may request review of a final determination by a panel and shall, on request of a person who would otherwise be entitled under the law of the importing Party to commence domestic procedures for judicial review of that final determination, request such review.

6. The panel shall conduct its review in accordance with the procedures established by the Parties pursuant to paragraph 14. Where both involved Parties request a panel to review a final determination, a single panel shall review that determination.

7. The competent investigating authority that issued the final determination in question shall have the right to appear and be represented by counsel before the panel. Each Party shall provide that other persons who, pursuant to the law of the importing Party, otherwise would have had the right to appear and be represented in a domestic judicial review proceeding concerning the determination of the competent investigating authority, shall have the right to appear and be represented by counsel before the panel.

8. The panel may uphold a final determination, or remand it for action not inconsistent with the panel's decision. Where the panel remands a final determination, the panel shall establish as brief a time as is reasonable for compliance with the remand, taking into account the complexity of the factual and legal issues involved and the nature of the panel's decision. In no event shall the time permitted for compliance with a remand exceed an amount of time equal to the maximum amount of time (counted from the date of the filing of a petition, complaint or application) permitted by statute for the competent investigating authority in question to make a final determination in an investigation. If review of the action taken by the competent investigating authority on remand is needed, such review shall be before the same panel, which shall normally issue a final decision within 90 days of the date on which such remand action is submitted to it.

9. The decision of a panel under this Article shall be binding on the involved Parties with respect to the particular matter between the Parties that is before the panel.

10. This Agreement shall not affect:

(a) the judicial review procedures of any Party, or

(b) cases appealed under those procedures, with respect to determinations other than final determinations.

11. A final determination shall not be reviewed under any judicial review procedures of the importing Party if an involved Party requests a panel with respect to that determination within the time limits set out in this Article. No Party may provide in its domestic legislation for an appeal from a panel decision to its domestic courts.

12. This Article shall not apply where:

(a) neither involved Party seeks panel review of a final determination;

(b) a revised final determination is issued as a direct result of judicial review of the original final determination by a court of the importing Party in cases where neither involved Party sought panel review of that original final determination; or

(c) a final determination is issued as a direct result of judicial review that was commenced in a court of the importing Party before the date of entry into force of this Agreement.

13. Where, within a reasonable time after the panel decision is issued, an involved Party alleges that: (a) (i) a member of the panel was guilty of gross misconduct, bias, or a serious conflict of interest, or otherwise materially violated the rules of conduct,

(ii) the panel seriously departed from a fundamental rule of procedure, or

(iii) the panel manifestly exceeded its powers, authority or jurisdiction set out in this Article, for example by failing to apply the appropriate standard of review, and

(b) any of the actions set out in subparagraph (a) has materially affected the panel's decision and threatens the integrity of the binational panel review process, that Party may avail itself of the extraordinary challenge procedure set out in Annex 1904.13.

14. To implement the provisions of this Article, the Parties shall adopt rules of procedure by January 1, 1994. Such rules shall be based, where appropriate, on judicial rules of appellate procedure, and shall include rules concerning: the content and service of requests for panels; a requirement that the competent investigating authority transmit to the panel the administrative record of the proceeding; the protection of business proprietary, government classified, and other privileged information (including sanctions against persons participating before panels for improper release of such information); participation by private persons; limitations on panel review to errors alleged by the Parties or private persons; filing and service; computation and extensions of time; the form and content of briefs and other papers; pre and posthearing conferences; motions; oral argument; requests for rehearing; and voluntary terminations of panel reviews. The rules shall be designed to result in final decisions within 315 days of the date on which a request for a panel is made, and shall allow:

(a) 30 days for the filing of the complaint;

(b) 30 days for designation or certification of the administrative record and its filing with the panel;

(c) 60 days for the complainant to file its brief,

(d) 60 days for the respondent to file its brief;

(e) 15 days for the filing of reply briefs;

(f) 15 to 30 days for the panel to convene and hear oral argument; and

(g) 90 days for the panel to issue its written decision.

15. In order to achieve the objectives of this Article, the Parties shall amend their antidumping and countervailing duty statutes and regulations with respect to antidumping or countervailing duty proceedings involving goods of the other Parties, and other statutes and regulations to the extent that they apply to the operation of the antidumping and countervailing duty laws. In particular, without limiting the generality of the foregoing, each Party shall:

(a) amend its statutes or regulations to ensure that existing procedures concerning the refund, with interest, of antidumping or countervailing duties operate to give effect to a final panel decision that a refund is due;

(b) amend its statutes or regulations to ensure that its courts shall give full force and effect, with respect to any person within its jurisdiction, to all sanctions imposed pursuant to the laws of the other Parties to enforce provisions of any protective order or undertaking that such other Party has promulgated or accepted in order to permit access for purposes of panel review or of the extraordinary challenge procedure to confidential, personal, business proprietary or other privileged information;

(a) amend its statutes or regulations to ensure that existing procedures concerning the refund, with interest, of antidumping or countervailing duties operate to give effect to a final panel decision that a refund is due;

(b) amend its statutes or regulations to ensure that its courts shall give full force and effect, with respect to any person within its jurisdiction, to all sanctions imposed pursuant to the laws of the other Parties to enforce provisions of any protective order or undertaking that such other Party has promulgated or accepted in order to permit access for purposes of panel review or of the extraordinary challenge procedure to confidential, personal, business proprietary or other privileged information;

(c) amend its statutes or regulations to ensure that

(i) domestic procedures for judicial review of a final determination may not be commenced until the time for requesting a panel under paragraph 4 has expired, and

(ii) as a prerequisite to commencing domestic judicial review procedures to review a final determination, a Party or other person intending to commence such procedures shall provide notice of such intent to the Parties concerned and to other persons entitled to commence such review procedures of the same final determination no later than 10 days prior to the latest date on which a panel may be requested; and

(d) make the further amendments set out in its Schedule to Annex 1904.15.

Article 1905. Safeguarding the Panel Review System

1. Where a Party alleges that the application of another Party's domestic law:

(a) has prevented the establishment of a panel requested by the complaining Party;

(b) has prevented a panel requested by the complaining Party from rendering a final decision;

(c) has prevented the implementation of the decision of a panel requested by the complaining Party or denied it binding force and effect with respect to the particular matter that was before the panel; or

(d) has resulted in a failure to provide opportunity for review of a final determination by a panel or court of competent jurisdiction that is independent of the competent investigating authorities, that examines the basis for the competent investigating authority's determination and whether the competent investigating authority properly applied domestic antidumping and countervailing duty law in reaching the challenged determination, and that employs the relevant standard of review identified in Article 1911, the Party may request in writing consultations with the other Party regarding the allegations. The consultations shall begin within 15 days of the date of the request.

2. If the matter has not been resolved within 45 days of the request for consultations, or such other period as the consulting Parties may agree, the complaining Party may request the establishment of a special committee.

3. Unless otherwise agreed by the disputing Parties, the special committee shall be established within 15 days of a request and perform its functions in a manner consistent with this Chapter.

4. The roster for special committees shall be that established under Annex 1904.13.

4. The roster for special committees shall be that established under Annex 1904.13.

  • Part   One GENERAL PART 1
  • Chapter   One OBJECTIVES 1
  • Article   101 Establishment of the Free Trade Area 1
  • Article   102 Objectives 1
  • Article   103 Relation to other Agreements 1
  • Article   104 Relation to Environmental and Conservation Agreements 1
  • Article   105 Extent of Obligations 1
  • Annex 104.1  Bilateral and Other Environmental and Conservation Agreements 1
  • Chapter   Two GENERAL DEFINITIONS 1
  • Article   201 Definitions of General Application 1
  • Annex 201.1  Country-Specific Definitions 1
  • Part   Two TRADE IN GOODS 1
  • Chapter   Three NATIONAL TREATMENT AND MARKET ACCESS FOR GOODS 1
  • Article   300 Scope and Coverage 1
  • Section   A National Treatment 1
  • Article   301 National Treatment 1
  • Section   B Tariffs 1
  • Article   302 Tariff Elimination 1
  • Article   303 Restriction on Drawback and Duty Deferral Programs 1
  • Article   304 Waiver of Customs Duties 1
  • Article   305 Temporary Admission of Goods 1
  • Article   306 Duty-Free Entry of Certain Commercial Samples and Printed Advertising Materials 2
  • Article   307 Goods Re-Entered after Repair or Alteration 2
  • Article   308 Most-Favored-Nation Rates of Duty on Certain Goods 2
  • Section   C Non-Tariff Measures 2
  • Article   309 Import and Export Restrictions 2
  • Article   310 Customs User Fees 2
  • Article   311 Country of Origin Marking 2
  • Article   312 Wine and Distilled Spirits 2
  • Article   313 Distinctive Products 2
  • Article   314 Export Taxes 2
  • Article   315 Other Export Measures 2
  • Section   D Consultations 2
  • Article   316 Consultations and Committee on Trade In Goods 2
  • Article   317 Third Country Dumping 2
  • Section   E Definitions 2
  • Article   318 Definitions 2
  • Chapter   Four RULES OF ORIGIN 2
  • Article   401 Originating Goods 2
  • Article   402 Regional Value Content 2
  • Article   403 Automotive Goods 3
  • Article   404 Accumulation 3
  • Article   405 De Minimis 3
  • Article   406 Fungible Goods and Materials for Purposes of Determining Whether a Good Is an Originating Good: 3
  • Article   407 Accessories, Spare Parts and Tools 3
  • Article   408 Indirect Materials 3
  • Article   409 Packaging Materials and Containers for Retail Sale 3
  • Article   410 Packing Materials and Containers for Shipment 3
  • Article   411 Trans-shipment 3
  • Article   412 Non-Qualifying Operations 3
  • Article   413 Interpretation and Application 3
  • Article   414 Consultation and Modifications 3
  • Article   415 Definitions 3
  • Chapter   Five CUSTOMS PROCEDURES 4
  • Section   A Certification of Origin 4
  • Article   501 Certificate of Origin 4
  • Article   502 Obligations Regarding Importations 4
  • Article   503 Exceptions 4
  • Article   504 Obligations Regarding Exportations 4
  • Section   B Administration and Enforcement 4
  • Article   505 Records 4
  • Article   506 Origin Verifications 4
  • Article   507 Confidentiality 4
  • Article   508 Penalties 4
  • Section   C Advance Rulings 4
  • Article   509 Advance Rulings 4
  • Section   D Review and Appeal of Origin Determinations and Advance Rulings 5
  • Article   510 Review and Appeal 5
  • Section   E Uniform Regulations 5
  • Article   511 Uniform Regulations 5
  • Section   F Cooperation 5
  • Article   512 Cooperation 5
  • Article   513 Working Group and Customs Subgroup 5
  • Article   514 Definitions 5
  • Chapter   Six ENERGY AND BASIC PETROCHEMICALS 5
  • Article   601 Principles 5
  • Article   602 Scope and Coverage 5
  • Article   603 Import and Export Restrictions 5
  • Article   604 Export Taxes 5
  • Article   605 Other Export Measures 5
  • Article   606 Energy Regulatory Measures 5
  • Article   607 National Security Measures 5
  • Article   608 Miscellaneous Provisions 5
  • Article   609 Definitions 5
  • Annex 602.3  Reservations and Special Provisions 6
  • Chapter   Seven AGRICULTURE AND SANITARY AND PHYTOSANITARY MEASURES 6
  • Section   A Agriculture 6
  • Article   701 Scope and Coverage 6
  • Article   702 International Obligations 6
  • Article   703 Market Access 6
  • Article   704 Domestic Support 6
  • Article   705 Export Subsidies 6
  • Article   706 Committee on Agricultural Trade 6
  • Article   707 Advisory Committee on Private Commercial Disputes Regarding Agricultural Goods 6
  • Article   708 Definitions 6
  • Section   B Sanitary and Phytosanitary Measures 6
  • Article   709 Scope and Coverage 6
  • Article   710 Relation to other Chapters 6
  • Article   711 Reliance on Non-Governmental Entities 6
  • Article   712 Basic Rights and Obligations 6
  • Article   713 International Standards and Standardizing Organizations 6
  • Article   714 Equivalence 6
  • Article   715 Risk Assessment and Appropriate Level of Protection 6
  • Article   716 Adaptation to Regional Conditions 7
  • Article   717 Control, Inspection and Approval Procedures 7
  • Article   718 Notification, Publication and Provision of Information 7
  • Article   719 Inquiry Points 7
  • Article   720 Technical Cooperation 7
  • Article   721 Limitations on the Provision of Information 7
  • Article   722 Committee on Sanitary and Phytosanitary Measures 7
  • Article   723 Technical Consultations 7
  • Article   724 Definitions 7
  • Chapter   Eight EMERGENCY ACTION 7
  • Article   801 Bilateral Actions 7
  • Article   802 Global Actions 8
  • Article   803 Administration of Emergency Action Proceedings 8
  • Article   804 Dispute Settlement In Emergency Action Matters 8
  • Article   805 Definitions for Purposes of this Chapter: 8
  • Part   Three TECHNICAL BARRIERS TO TRADE 8
  • Chapter   Nine STANDARDS-RELATED MEASURES 8
  • Article   901 Scope and Coverage 8
  • Article   902 Extent of Obligations 8
  • Article   903 Affirmation of Agreement on Technical Barriers to Trade and other Agreements 8
  • Article   904 Basic Rights and Obligations Right to Take Standards-Related Measures 8
  • Article   905 Use of International Standards 8
  • Article   906 Compatibility and Equivalence 8
  • Article   907 Assessment of Risk 8
  • Article   908 Conformity Assessment 8
  • Article   909 Notification, Publication, and Provision of Information 8
  • Article   910 Inquiry Points 8
  • Article   911 Technical Cooperation 8
  • Article   912 Limitations on the Provision of Information 8
  • Article   913 Committee on Standards-Related Measures 8
  • Article   914 Technical Consultations 9
  • Article   915 Definitions 9
  • Part   Four GOVERNMENT PROCUREMENT 9
  • Chapter   Ten GOVERNMENT PROCUREMENT 9
  • Section   A Scope and Coverage and National Treatment 9
  • Article   1001 Scope and Coverage 9
  • Article   1002 Valuation of Contracts 9
  • Article   1003 National Treatment and Non-Discrimination 9
  • Article   1004 Rules of Origin 9
  • Article   1005 Denial of Benefits 9
  • Article   1006 Prohibition of Offsets 9
  • Article   1007 Technical Specifications 9
  • Section   B Tendering Procedures 9
  • Article   1008 Tendering Procedures 9
  • Article   1009 Qualification of Suppliers 9
  • Article   1010 Invitation to Participate 9
  • Article   1011 Selective Tendering Procedures 10
  • Article   1012 Time Limits for Tendering and Delivery 10
  • Article   1013 Tender Documentation 10
  • Article   1014 Negotiation Disciplines 10
  • Article   1015 Submission, Receipt and Opening of Tenders and Awarding of Contracts 10
  • Article   1016 Limited Tendering Procedures 10
  • Section   C Bid Challenge 10
  • Article   1017 Bid Challenge 10
  • Section   D General Provisions 10
  • Article   1018 Exceptions 10
  • Article   1019 Provision of Information 10
  • Article   1020 Technical Cooperation 11
  • Article   1021 Joint Programs for Small Business 11
  • Article   1022 Rectifications or Modifications 11
  • Article   1023 Divestiture of Entities 11
  • Article   1024 Further Negotiations 11
  • Article   1025 Definitions 11
  • Part   Five INVESTMENT, SERVICES AND RELATED MATTERS 11
  • Chapter   Eleven INVESTMENT 11
  • Section   A Investment 11
  • Article   1101 Scope and Coverage 11
  • Article   1102 National Treatment 11
  • Article   1103 Most-Favored-Nation Treatment 11
  • Article   1104 Standard of Treatment 11
  • Article   1105 Minimum Standard of Treatment 11
  • Article   1106 Performance Requirements 11
  • Article   1107 Senior Management and Boards of Directors 11
  • Article   1110 Expropriation and Compensation 11
  • Article   1111 Special Formalities and Information Requirements 11
  • Article   1112 Relation to other Chapters 11
  • Article   1113 Denial of Benefits 11
  • Article   1114 Environmental Measures 12
  • Section   B Settlement of Disputes between a Party and an Investor of Another Party 12
  • Article   1115 Purpose 12
  • Article   1116 Claim by an Investor of a Party on Its Own Behalf 12
  • Article   1117 Claim by an Investor of a Party on Behalf of an Enterprise 12
  • Article   1118 Settlement of a Claim Through Consultation and Negotiation 12
  • Article   1119 Notice of Intent to Submit a Claim to Arbitration 12
  • Article   1120 Submission of a Claim to Arbitration 12
  • Article   1121 Conditions Precedent to Submission of a Claim to Arbitration 12
  • Article   1122 Consent to Arbitration 12
  • Article   1123 Number of Arbitrators and Method of Appointment 12
  • Article   1124 Constitution of a Tribunal When a Party Fails to Appoint an Arbitrator or the Disputing Parties Are Unable to Agree on a Presiding Arbitrator 12
  • Article   1125 Agreement to Appointment of Arbitrators 12
  • Article   1126 Consolidation 12
  • Article   1127 Notice a Disputing Party Shall Deliver to the other Parties: 12
  • Article   1128 Participation by a Party 12
  • Article   1129 Documents 12
  • Article   1130 Place of Arbitration 12
  • Article   1131 Governing Law 12
  • Article   1132 Interpretation of Annexes 12
  • Article   1133 Expert Reports 12
  • Article   1134 Interim Measures of Protection 12
  • Article   1135 Final Award 12
  • Article   1136 Finality and Enforcement of an Award 12
  • Article   1137 General 12
  • Article   1138 Exclusions 12
  • Section   C Definitions 13
  • Article   1139 Definitions 13
  • Annex 1120.1  Submission of a Claim to Arbitration 13
  • Annex 1138.2  Exclusions from Dispute Settlement 13
  • Chapter   Twelve CROSS-BORDER TRADE IN SERVICES 13
  • Article   1201 Scope and Coverage 13
  • Article   1202 National Treatment 13
  • Article   1203 Most-Favored-Nation Treatment 13
  • Article   1204 Standard of Treatment 13
  • Article   1205 Local Presence 13
  • Article   1206 Reservations 13
  • Article   1207 Quantitative Restrictions 13
  • Article   1208 Liberalization of Non-Discriminatory Measures 13
  • Article   1209 Procedures 13
  • Article   1210 Licensing and Certification 13
  • Article   1211 Denial of Benefits 13
  • Article   1212 Sectoral Annex 13
  • Article   1213 Definitions 13
  • Chapter   Thirteen TELECOMMUNICATIONS 14
  • Article   1301 Scope and Coverage 14
  • Article   1302 Access to and Use of Public Telecommunications Transport Networks and Services 14
  • Article   1303 Conditions for the Provision of Enhanced or Value-Added Services 14
  • Article   1304 Standards-Related Measures 14
  • Article   1305 Monopolies 14
  • Article   1306 Transparency 14
  • Article   1308 Relation to International Organizations and Agreements 14
  • Article   1309 Technical Cooperation and other Consultations 14
  • Article   1310 Definitions 14
  • Chapter   Fourteen FINANCIAL SERVICES 14
  • Article   1401 Scope and Coverage 14
  • Article   1402 Self-Regulatory Organizations 14
  • Article   1403 Establishment of Financial Institutions 14
  • Article   1404 Cross-Border Trade 14
  • Article   1405 National Treatment 14
  • Article   1406 Most-Favored-Nation Treatment 15
  • Article   1407 New Financial Services and Data Processing 15
  • Article   1408 Senior Management and Boards of Directors 15
  • Article   1409 Reservations and Specific Commitments 15
  • Article   1410 Exceptions 15
  • Article   1411 Transparency 15
  • Article   1412 Financial Services Committee 15
  • Article   1413 Consultations 15
  • Article   1414 Dispute Settlement 15
  • Article   1415 Investment Disputes In Financial Services 15
  • Article   1416 Definitions 15
  • Annex 1412.1  Authorities Responsible for Financial Services 15
  • Chapter   Fifteen COMPETITION POLICY, MONOPOLIES AND STATE ENTERPRISES 15
  • Article   1501 Competition Law 15
  • Article   1502 Monopolies and State Enterprises 15
  • Article   1503 State Enterprises 15
  • Article   1504 Working Group on Trade and Competition 15
  • Article   1505 Definitions 15
  • Annex 1505  Country-Specific Definitions of State Enterprises 15
  • Chapter   Sixteen TEMPORARY ENTRY FOR BUSINESS PERSONS 15
  • Article   1601 General Principles 15
  • Article   1602 General Obligations 15
  • Article   1603 Grant of Temporary Entry 16
  • Article   1604 Provision of Information 16
  • Article   1605 Working Group 16
  • Article   1606 Dispute Settlement 16
  • Article   1607 Relation to other Chapters 16
  • Article   1608 Definitions 16
  • Annex 1603  Temporary Entry for Business Persons 16
  • Section   A Business Visitors 16
  • Section   B Traders and Investors 16
  • Section   C Intra-Company Transferees 16
  • Section   D Professionals 16
  • Part   Six INTELLECTUAL PROPERTY 16
  • Chapter   Seventeen INTELLECTUAL PROPERTY 16
  • Article   1701 Nature and Scope of Obligations 16
  • Article   1702 More Extensive Protection 16
  • Article   1703 National Treatment 16
  • Article   1704 Control of Abusive or Anticompetitive Practices or Conditions 16
  • Article   1705 Copyright 16
  • Article   1706 Sound Recordings 16
  • Article   1707 Protection of Encrypted Program-Carrying Satellite Signals 16
  • Article   1708 Trademarks 16
  • Article   1709 Patents 17
  • Article   1710 Layout Designs of Semiconductor Integrated Circuits 17
  • Article   1711 Trade Secrets 17
  • Article   1712 Geographical Indications 17
  • Article   1713 Industrial Designs 17
  • Article   1714 Enforcement of Intellectual Property Rights: General Provisions 17
  • Article   1715 Specific Procedural and Remedial Aspects of Civil and Administrative Procedures 17
  • Article   1716 Provisional Measures 17
  • Article   1717 Criminal Procedures and Penalties 17
  • Article   1718 Enforcement of Intellectual Property Rights at the Border 17
  • Article   1718 Enforcement of Intellectual Property Rights at the Border 18
  • Article   1719 Cooperation and Technical Assistance 18
  • Article   1720 Protection of Existing Subject Matter 18
  • Article   1721 Definitions 18
  • Part   Seven ADMINISTRATIVE AND INSTITUTIONAL PROVISIONS 18
  • Chapter   Eighteen PUBLICATION, NOTIFICATION AND ADMINISTRATION OF LAWS 18
  • Article   1801 Contact Points 18
  • Article   1802 Publication 18
  • Article   1803 Notification and Provision of Information 18
  • Article   1804 Administrative Proceedings 18
  • Article   1805 Review and Appeal 18
  • Article   1806 Definitions 18
  • Chapter   Nineteen REVIEW AND DISPUTE SETTLEMENT IN ANTIDUMPING AND COUNTERVAILING DUTY MATTERS 18
  • Article   1901 General Provisions 18
  • Article   1902 Retention of Domestic Antidumping Law and Countervailing Duty Law 18
  • Article   1903 Review of Statutory Amendments 18
  • Article   1904 Review of Final Antidumping and Countervailing Duty Determinations 18
  • Article   1905 Safeguarding the Panel Review System 18
  • Article   1906 Prospective Application 19
  • Article   1907 Consultations 19
  • Article   1908 Special Secretariat Provisions 19
  • Article   1909 Code of Conduct 19
  • Article   1910 Miscellaneous 19
  • Article   1911 Definitions 19
  • Chapter   Twenty INSTITUTIONAL ARRANGEMENTS AND DISPUTE SETTLEMENT PROCEDURES 19
  • Section   A Institutions 19
  • Article   2011 The Free Trade Commission 19
  • Article   2002 The Secretariat 19
  • Section   B Dispute Settlement 19
  • Article   2003 Cooperation 19
  • Article   2004 Recourse to Dispute Settlement Procedures 19
  • Article   2005 GATT Dispute Settlement 19
  • Article   2006 Consultations 19
  • Article   2007 Commission - Good Offices, Conciliation and Mediation 19
  • Article   2008 Request for an Arbitral Panel 20
  • Article   2009 Roster 20
  • Article   2010 Qualifications of Panelists 20
  • Article   2011 Panel Selection 20
  • Article   2012 Rules of Procedure 20
  • Article   2013 Third Party Participation 20
  • Article   2014 Role of Experts 20
  • Article   2015 Scientific Review Boards 20
  • Article   2016 Initial Report 20
  • Article   2017 Final Report 20
  • Article   2018 Implementation of Final Report 20
  • Article   2019 Non-Implementation-Suspension of Benefits 20
  • Section   C Domestic Proceedings and Private Commercial Dispute Settlement 20
  • Article   2020 Referrals of Matters from Judicial or Administrative Proceedings 20
  • Article   2021 Private Rights 20
  • Article   2022 Alternative Dispute Resolution 20
  • Annex 2001.2  Committees and Working Groups 20
  • Annex 2002.2  Remuneration and Payment of Expenses 20
  • Annex 2004  Nullification and Impairment 20
  • Part   Eight OTHER PROVISIONS 20
  • Chapter   Twenty-One EXCEPTIONS 20
  • Article   2101 General Exceptions 20
  • Article   2102 National Security 20
  • Article   2103 Taxation 21
  • Article   2104 Balance of Payments 21
  • Article   2105 Disclosure of Information 21
  • Article   2106 Cultural Industries 21
  • Article   2107 Definitions 21
  • Annex 2103.4  Specific Taxation Measures 21
  • Annex 2103.6  Competent Authorities 21
  • Annex 2106  Cultural Industries 21
  • Chapter   Twenty-Two FINAL PROVISIONS 21
  • Article   2201 Annexes 21
  • Article   2202 Amendments 21
  • Article   2203 Entry Into Force 21
  • Article   2204 Accession 21
  • Article   2205 Withdrawal 21
  • Article   2206 Authentic Texts 21
  • Annex I  Reservations for Existing Measures and Liberalization Commitments 21
  • Annex I  Schedule of Canada 21
  • Annex I  Schedule of Mexico 25
  • Annex I  Schedule of the United States 31
  • Annex II  Reservations for Future Measures (Chapters 11, 12, and 14) 32
  • Annex II  Schedule of Canada 33
  • Annex II  Schedule of Mexico 34
  • Annex II  Schedule of United States 34
  • Annex III  Activities Reserved to the State (Chapter 11) 35
  • Annex III  Schedule of Mexico 35
  • Annex IV  Exceptions from Most-Favored-Nation Treatment (Chapter 11) 36
  • Annex IV  Schedule of Canada 36
  • Annex IV  Schedule of Mexico 36
  • Annex IV  Schedule of the United States 36