(b) Actions, capital and other forms of equity participation in an enterprise;
(c) Bonds, debentures and other debt instruments of an enterprise loans, (16) but does not include a loan to or debt instrument or a state enterprise;
(d) Futures, options and other derivatives;
(e) Contractual rights, including turnkey or construction, management, production of participation in the granting of earnings and other similar contracts;
(f) Intellectual Property Rights;
(g) Rights conferred pursuant to domestic law, including concessions, licences and permits and authorizations and; (17)
(h) Other property rights tangible or intangible, movable or immovable property and related property rights, such as leases, mortgages, liens and pledges guarantees;
But investment does not mean:
(a) Performance in a judicial or administrative proceedings;
(b) A loan of one party to the other party; or
(c) The debt of the State and its public institutions.
Investors of non- means a Party with respect to a Party that seeks to perform an investor, which is making (18) or has made an investment in the territory of that Party that is not an investor of either party;
An investor of a Party means a Party or a state enterprise thereof, or a national of that Party or an enterprise that seeks to perform (19) is making, or has made an investment in the territory of the other party; whereas, however, that a natural person who is a dual national shall be deemed to be exclusively a national of the state of his or her dominant and effective nationality;
The free use means currency Currency "free" as determined in accordance with the Articles of Agreement of the International Monetary Fund;
Designated monopoly means an entity, including a consortium or government agency that in any relevant market in the territory of a Party is designated or is designated as the sole provider or purchaser of a good or service, but does not include an entity that has been granted an intellectual property right solely by virtue of such award;
A Party not combatant means that the Party is not a party to a dispute concerning an investment;
Litigants party means either the claimant or the respondent;
"parties means the claimant and the respondent;
The UNCITRAL Arbitration Rules means the Arbitration Rules of the United Nations International Law Commission on International Trade Law;
ICSID Additional Facility Rules means the Rules of the additional facility for the administration of proceedings by the secretariat of the International Centre for Settlement of Investment Disputes;
Secretary-General means the Secretary-General of ICSID; and
A tribunal means an arbitration tribunal established under Articles 9.16 or 9.25.
Annex 9-A. Customary International Law
The Parties confirm their mutual understanding that "customary international law" referred to in article 9.4 is of a general practice and bottle operative States, followed by them in the context of a legal obligation. With respect to article 9.4, the minimum standard of treatment of aliens by customary international law refers to all customary international law principles that protect the economic rights and interests of aliens.
Annex 9-B. Payments and transfers
With respect to the obligations contained in article 9.9, each Party shall reserve the functions and powers of the central banks, to maintain or adopt measures in accordance with its applicable legislation, in the case of Chile, Act No. 18.840 constitutional organic, of the Central Bank of Chile, or other legal; and in the case of Colombia, Act No. 31, 1992 or other legal; to ensure the stability of the currency and the normal functioning of the internal and external payment costing US $500,000 as powers for this purpose, the regulation of the amount of money and credit in circulation, the execution of credit transactions and international changes, as also make rules in the field of monetary, financial and credit of international changes.
As part of these measures, including the establishment of requirements which restrict or limit transfers (current payments and capital movements) to or from each party and operations which relate to them, e.g. establish that deposits or investments from loans, or intended to be subject to the obligation to maintain a reserve requirement or deposit. in applying measures under this annex in accordance with its domestic law, the Parties shall not discriminate between the other party and a non- party in respect of transactions of the same nature.
Annex 9-C. Expropriation
The Parties confirm their mutual understanding that:
1. An action or a series of actions by a party cannot constitute an expropriation unless it interferes with a tangible or intangible property right or with the essential attributes or powers of the domain of an investment.
2. Article 9.10.1 addresses two situations. the first is where an expropriation, direct investment is expropriated or nationalized otherwise directly through formal transfer of title or the right of ownership.
3. The second situation is addressed by article 9.10.1 indirect expropriation, where an action or a series of actions by a Party has an effect equivalent to expropriation without direct formal transfer of ownership.
(a) The determination of whether an action or a series of actions by a Party in a specific fact situation, constitutes an indirect expropriation requires a factual investigation, on a case-by-case basis to consider, among other factors:
(i) The economic impact of the Government Action although the fact that an action or a series of actions by a Party has an adverse effect on the economic value of an investment alone does not establish that an indirect expropriation has occurred;
(ii) The extent to which the Government Action interferes with clear and reasonable expectations of investment; and
(iii) The character of the Government action.
(b) Except in exceptional circumstances, do not constitute indirect expropriations non-discriminatory regulatory actions by a Party that are designed and applied to protect legitimate objectives public welfare. (20)
Annex9-D. Decree Law 600 - Chile
1. Decree Law 600 (1974), Foreign Investment Statute, is a voluntary and special investment regime for Chile.
2. As an alternative to the ordinary regime for the entry of capital into Chile, in order to invest in Chile, potential investors may apply to the Foreign Investment Committee to be subject to the regime established by Decree Law 600.
3. The obligations and commitments contained in this Chapter do not apply to Decree Law 600, Foreign Investment Statute, to Law 18.657 on Foreign Capital Investment Funds, to the continuation or prompt renewal of such laws and amendments thereto, or to any special and/or voluntary investment regime that may be adopted in the future by Chile.
4. For greater certainty, the Chilean Foreign Investment Committee has the right to reject investment applications through Decree Law 600 and Law 18,657. In addition, the Chilean Foreign Investment Committee has the right to regulate the terms and conditions to which foreign investment made pursuant to Decree Law 600 and Law 18,657 will be subject.
Annex 9-E. Delivery of documents on a Party under section B
Chile
The place of delivery of notices and other documents relating to differences in accordance with section B, in Chile is:
Department of Legal Affairs
Ministry of Foreign Affairs of the Republic of Chile Teatinos 180 floor 16 Santiago, Chile
Colombia
The place of delivery of notices and other documents relating to differences in accordance with section B, in Colombia is:
Department of Foreign Investment Services and Ministry of Commerce, Industry and Tourism street 28 # 13 - 15 D. Bogotá D.C.
Colombia
Annex 9-F. An appellate body or similar mechanism
Within three (3) years of the Entry into Force of this Agreement, the Parties shall consider the possibility of establishing an appellate body or similar mechanism to review awards rendered pursuant to article 9.26 in arbitrations commenced after the establishment of an appellate body or similar mechanism.
Annex 9.3. Most favoured nation treatment
The parties agree that the scope of Article 9.3 only includes matters relating to the establishment, expansion and acquisition, administration, management, operation and sale or other disposition relating to investment and therefore shall not apply in respect of procedural matters, including dispute settlement mechanisms as contained in section B of this chapter.
Chapter 10. Cross-Border Trade In Services
Article 10.1. Scope of Application
1. This chapter applies to measures adopted or maintained by a Party affecting cross-border trade in services by service suppliers of the other party. such measures include measures affecting:
(a) The production, distribution, sale and delivery of a service;
(b) The purchase or use of, or the payment by a service;
(c) Access to and use of distribution and transportation systems, or telecommunications networks and services in connection with the supply of a service;
(d) The presence in its territory of a service supplier of the other party; and
(e) The provision of a bond or other form of financial security as a condition for the provision of a service.
2. For the purposes of this chapter, measures adopted or maintained by a Party means measures adopted or maintained by unparte means measures adopted or maintained by::
(a) Governments and national authorities or local level; and
(b) Non-governmental bodies in the exercise of powers delegated by Governments or national or local authorities.
3. Articles 10.5, 10.7 and 10.8 shall apply to measures by a party affecting the supply of a service in its territory by an investor of the other party as defined in article 9.28 (definitions) or a covered investment. (1)
4. This chapter does not apply to:
(a) Financial services as defined in article 10.12;
(b) Air services including domestic and international air transportation, scheduled and non-scheduled and related services in support of air services except:
(i) Maintenance services and repair of aircraft during the period in which an aircraft is withdrawn from service;
(ii) Air and specialty services;
(iii) The computer reservation system services; (2)
(c) Public procurement; or
(d) Subsidies or grants provided by a party, including loans (3), guarantees and insurance government-supported. (4)
5. This chapter does not impose any obligation on a Party with respect to a national of the other party who wish to enter the labour market or who is permanently employed in its territory, or confer any right on that with respect to that national access or employment.
6. This chapter does not apply to services supplied in the exercise of governmental authority within the territory of a party. a service supplied in the exercise of governmental authority means any service which is supplied neither on a commercial basis nor in competition with one or more service suppliers.
Article 10.2. National Treatment
Each Party shall accord to service suppliers (5) of the other party treatment no less favourable than that accorded in like circumstances to service providers.
Article 10.3. Most Favoured Nation Treatment
Each Party shall accord to service suppliers (6) of the other party treatment no less favourable than that accorded to service providers in like circumstances of a non-party country.
Article 10.4. Local Presence
No party may require a service provider of the other party to establish or maintain a representative office or other company or resident in its territory as a condition for the cross-border supply of a service.
Article 10.5. Market Access
No Party may adopt or maintain measures that:
(a) Impose limitations on:
(i) The number of service suppliers, (7) whether in the form of numerical quotas, monopolies and exclusive service suppliers or the requirement of an economic needs test;
(ii) The total value of service transactions or assets in the form of numerical quotas or the requirement of an economic needs test;
(iii) The total number of service operations or the total quantity of services output expressed in terms of designated numerical units in the form of numerical quotas or the requirement of an economic needs test, (8) or
(IV) The total number of natural persons that may be employed in a particular service sector or that a service supplier may employ and who are necessary for the supply of a specific service and directly related to it, in the form of numerical quotas or the requirement of an economic needs test; or
(b) Restrict or prescribe specific types of legal entity or joint venture through which a service supplier may supply a service.
Article 10.6. Non-conforming Measures
1. Articles 10.2 and 10.3 and 10.4, 10.5 do not apply to:
(a) Any Non-Conforming Measure existing Non-Conforming Measure that is maintained by:
(i) The national level of government authority or of a Party as set out in its schedule to annex I; or
(ii) A local government of a party;
(b) The continuation or prompt renewal of any Non-Conforming Measure referred to in subparagraph (a); or
(c) The modification of any Non-Conforming Measure referred to in subparagraph (a), provided that the amendment does not decrease the level of conformity of the measure as it existed immediately before the amendment with Articles 10.2, 10.3 and 10.4 and 10.5.
2. Articles 10.2 and 10.3 and 10.4, 10.5 do not apply to any measure that adopts or maintains a Party with respect to the sectors or sub-sectors or activities as set out in annex II to its schedule.
Article 10.7. Transparency In Regulatory Development and Enforcement (9)
Further to Chapter 14 (transparency):
(a) Each Party shall establish or maintain appropriate mechanisms to respond to inquiries from interested persons regarding its regulations relating to the subject matter of this chapter;
(b) When taking final regulations relating to the subject matter of this chapter Each Party shall respond in writing to the extent possible, including on request, substantive comments received from interested persons with respect to the proposed Regulations; and
(c) To the extent possible, each Party shall provide a reasonable time between final publication of regulations and the date of entry into force.
Article 10.8. National Regulations
1. Where a party requires authorization for the supply of a service, the competent authorities of that Party in a reasonable period of time after the submission of an application considered complete under domestic laws and regulations, shall inform the applicant of the decision concerning the application. at the request of the applicant the competent authorities of the party without undue delay shall provide information concerning the status of the application. this
Obligations shall not apply to authorization requirements that are within the scope of article 10.6.2.
2. With a view to ensuring that measures relating to licensing requirements and procedures, technical standards and licensing requirements do not constitute unnecessary barriers to trade in services, each Party shall seek to ensure, as appropriate for each specific sector, such that any measures it adopts or maintains that:
(a) Is based on objective and transparent criteria, such as the competence and ability to supply the service;
(b) Not more burdensome than necessary to ensure the quality of the service; and
(c) In the case of licensing procedures, not in themselves a restriction on the supply of the service.
3. If the results of the negotiations related to Article VI: 4 of the GATS (or the results of any similar negotiations undertaken in other multilateral fora in which the parties participate) enter into force, this article shall be amended, as appropriate, after consultations between the parties to such results into this Agreement. the Parties shall coordinate their positions in such negotiations.
Article 10.9. Mutual Recognition
1. For the purposes of the fulfilment in whole or in part of its standards or criteria for the licensing or service suppliers of certification or licensing and subject to the requirements of paragraph 4 of this article, a Party may recognize the education or experience obtained, requirements met or licenses or certifications granted in the other party. such recognition which may be achieved through harmonisation or otherwise, may be based on an agreement or arrangement between the parties or may be accorded autonomously.
2. When a party, recognize autonomously or by agreement or arrangement, the education or experience obtained requirements met or licenses or certifications granted in the territory of a country that is not a party, nothing in Article 10.3 shall be construed to require the party to accord such recognition to the education or experience obtained, requirements met or licenses or certifications granted in the territory of the other party.
3. A Party that is a party to an agreement or arrangement of the type referred to in paragraph 1 of this article, existing or future, shall afford adequate opportunity to the other party, if that other party is concerned, to negotiate its accession to such an agreement or arrangement to negotiate or a comparable agreement or arrangement. where a Party grants recognition autonomously, will the other party afford adequate opportunity to demonstrate that the education or experience obtained licenses or certifications or requirements met in that other party territory should be recognized.
4. No party shall accord recognition in a manner which would constitute a means of discrimination between the parties in the application of its standards or criteria for the licensing or certification or licensing of service suppliers, or a disguised restriction on trade in services.
5. 10.9 Annex applies to measures adopted or maintained by a Party relating to the licensing or certification of professional service providers of the other party, in accordance with the provisions of this annex.
Article 10.10. Implementation
The Parties shall consult annually, or otherwise agreed, to review the implementation of this chapter and consider other matters of mutual interest affecting cross-border trade in services. among other matters, the Parties shall consult with a view to determining the feasibility of removing any requirement to maintain citizenship or permanent residence for the licensing or certification of service providers of each party.
Article 10.11. Denial of Benefits
Subject to article 16.4 (consultations), a Party may deny the benefits of this chapter to:
(a) Service suppliers of the other party where the service is being supplied by an enterprise owned or controlled by persons of a non- party and the enterprise has no substantial business activities in the territory of the other party; or
(b) Service suppliers of the other party where the service is supplied by an enterprise owned or controlled by persons of denying the party and the enterprise has no substantial business activities in the territory of the other party.
Article 10.12. Definitions
For purposes of this chapter:
Cross-border trade in services or cross-border supply of services supply the means of a service:
(a) The territory of a party into the territory of the other party;
(b) In the territory of a party by a person of that party to a consumer of the other party; or
(c) By a national of a Party in the territory of the other party;
But does not include the supply of a service in the territory of a party by an investor of the other party as defined in article 9.28 (definitions) or a covered investment;
"enterprise" means an enterprise as defined in article 2.1 (definitions of general application), and a branch of an enterprise;
Enterprise of a party constituted means an enterprise or organized under the law of a Party and a branch located in the territory of a party and carrying out business activities there;
Service supplier of a Party means a person of a Party that seeks to supply a service or supplies;
Specialty air services means any service which is not of air transport, firefighting, such as aerial spraying, Air surveying, mapping overview, air, aerial photography, service, parachutists planeadores towing services for the transport of logs and construction and other related to agriculture, industry and inspection;
Financial service means any service of a financial nature. all financial services include all banking and insurance and insurance-related and other Financial Services (excluding insurance), as well as services incidental to or auxiliary a service of a financial nature. financial services include the following activities: