Title:Investment, Services and Related Matters - CHapter Eleven
Author: White House
Document-Date: 29 Sept 1993
Content-Type: text/plain; CHARSET=US-ASCII
Content-Length:69971                                       PART FIVE 
                        INVESTMENT, SERVICES AND RELATED MATTERS 
 
                                     Chapter Eleven 
 
                                       Investment 
 
                                 Section A - Investment 
 
 
            Article 1101:  Scope and Coverage 
 
            1.   This Chapter applies to measures adopted or maintained by 
            a Party relating to: 
 
                 (a)  investors of another Party; 
 
                 (b)  investments of investors of another Party in the 
                      territory of the Party; and 
 
                 (c)  with respect to Articles 1106 and 1114, all 
                      investments in the territory of the Party. 
 
            2.   A Party has the right to perform exclusively the economic 
            activities set out in Annex III and to refuse to permit the 
            establishment of investment in such activities. 
 
            3.   This Chapter does not apply to measures adopted or 
            maintained by a Party to the extent that they are covered by 
            Chapter Fourteen (Financial Services). 
 
            4.   Nothing in this Chapter shall be construed to prevent a 
            Party from providing a service or performing a function such as 
            law enforcement, correctional services, income security or 
            insurance, social security or insurance, social welfare, public 
            education, public training, health, and child care, in a manner 
            that is not inconsistent with this Chapter. 
 
 
            Article 1102:  National Treatment 
 
            1.   Each Party shall accord to investors of another Party 
            treatment no less favorable than that it accords, in like 
            circumstances, to its own investors with respect to the 
            establishment, acquisition, expansion, management, conduct, 
            operation, and sale or other disposition of investments. 
 
 
 
 
 
 
 
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            2.   Each Party shall accord to investments of investors of 
            another Party treatment no less favorable than that it accords, 
            in like circumstances, to investments of its own investors with 
            respect to the establishment, acquisition, expansion, 
            management, conduct, operation, and sale or other disposition 
            of investments. 
 
            3.   The treatment accorded by a Party under paragraphs 1 and 2 
            means, with respect to a state or province, treatment no less 
            favorable than the most favorable treatment accorded, in like 
            circumstances, by that state or province to investors, and to 
            investments of investors, of the Party of which it forms a 
            part. 
 
            4.   For greater certainty, no Party may: 
 
                 (a)  impose on an investor of another Party a requirement 
                      that a minimum level of equity in an enterprise in 
                      the territory of the Party be held by its nationals, 
                      other than nominal qualifying shares for directors or 
                      incorporators of corporations; or 
 
                 (b)  require an investor of another Party, by reason of 
                      its nationality, to sell or otherwise dispose of an 
                      investment in the territory of the Party. 
 
 
            Article 1103:  Most-Favored-Nation Treatment 
 
            1.   Each Party shall accord to investors of another Party 
            treatment no less favorable than that it accords, in like 
            circumstances, to investors of any other Party or of a non- 
            Party with respect to the establishment, acquisition, 
            expansion, management, conduct, operation, and sale or other 
            disposition of investments. 
 
            2.   Each Party shall accord to investments of investors of 
            another Party treatment no less favorable than that it accords, 
            in like circumstances, to investments of investors of any other 
            Party or of a non-Party with respect to the establishment, 
            acquisition, expansion, management, conduct, operation, and 
            sale or other disposition of investments. 
 
 
            Article 1104:  Standard of Treatment 
 
                 Each Party shall accord to investors of another Party and 
            to investments of investors of another Party the better of the 
            treatment required by Articles 1102 and 1103. 
 
 
 
 
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            Article 1105:  Minimum Standard of Treatment 
 
            1.   Each Party shall accord to investments of investors of 
            another Party treatment in accordance with international law, 
            including fair and equitable treatment and full protection and 
            security. 
 
            2.   Without prejudice to paragraph 1 and notwithstanding 
            Article 1108(7)(b), each Party shall accord to investors of 
            another Party, and to investments of investors of another 
            Party, non-discriminatory treatment with respect to measures it 
            adopts or maintains relating to losses suffered by investments 
            in its territory owing to armed conflict or civil strife. 
 
            3.   Paragraph 2 does not apply to existing measures relating 
            to subsidies or grants that would be inconsistent with Article 
            1102 but for Article 1108(7)(b). 
 
 
            Article 1106:  Performance Requirements 
 
            1.   No Party may impose or enforce any of the following 
            requirements, or enforce any commitment or undertaking, in 
            connection with the establishment, acquisition, expansion, 
            management, conduct or operation of an investment of an 
            investor of a Party or of a non-Party in its territory: 
 
                 (a)  to export a given level or percentage of goods or 
                      services; 
 
                 (b)  to achieve a given level or percentage of domestic 
                      content; 
 
                 (c)  to purchase, use or accord a preference to goods 
                      produced or services provided in its territory, or to 
                      purchase goods or services from persons in its 
                      territory; 
 
                 (d)  to relate in any way the volume or value of imports 
                      to the volume or value of exports or to the amount of 
                      foreign exchange inflows associated with such 
                      investment; 
 
                 (e)  to restrict sales of goods or services in its 
                      territory that such investment produces or provides 
                      by relating such sales in any way to the volume or 
                      value of its exports or foreign exchange earnings; 
 
                 (f)  to transfer technology, a production process or other 
                      proprietary knowledge to a person in its territory, 
                      except when the requirement is imposed or the 
 
 
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                      commitment or undertaking is enforced by a court, 
                      administrative tribunal or competition authority to 
                      remedy an alleged violation of competition laws or to 
                      act in a manner not inconsistent with other 
                      provisions of this Agreement; or 
 
                 (g)  to act as the exclusive supplier of the goods it 
                      produces or services it provides to a specific region 
                      or world market. 
 
            2.   A measure that requires an investment to use a technology 
            to meet generally applicable health, safety or environmental 
            requirements shall not be construed to be inconsistent with 
            paragraph 1(f).  For greater certainty, Articles 1102 and 1103 
            apply to the measure. 
 
            3.   No Party may condition the receipt or continued receipt of 
            an advantage, in connection with an investment in its territory 
            of an investor of a Party or of a non-Party, on compliance with 
            any of the following requirements: 
 
                 (a)  to achieve a given level or percentage of domestic 
                      content; 
 
                 (b)  to purchase, use or accord a preference to goods 
                      produced in its territory, or to purchase goods from 
                      producers in its territory; 
 
                 (c)  to relate in any way the volume or value of imports 
                      to the volume or value of exports or to the amount of 
                      foreign exchange inflows associated with such 
                      investment; or 
 
                 (d)  to restrict sales of goods or services in its 
                      territory that such investment produces or provides 
                      by relating such sales in any way to the volume or 
                      value of its exports or foreign exchange earnings. 
 
            4.   Nothing in paragraph 3 shall be construed to prevent a 
            Party from conditioning the receipt or continued receipt of an 
            advantage, in connection with an investment in its territory of 
            an investor of a Party or of a non-Party, on compliance with a 
            requirement to locate production, provide a service, train or 
            employ workers, construct or expand particular facilities, or 
            carry out research and development, in its territory. 
 
            5.   Paragraphs 1 and 3 do not apply to any requirement other 
            than the requirements set out in those paragraphs. 
 
            6.   Provided that such measures are not applied in an 
            arbitrary or unjustifiable manner, or do not constitute a 
 
 
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            disguised restriction on international trade or investment, 
            nothing in paragraph 1(b) or (c) or 3(a) or (b) shall be 
            construed to prevent any Party from adopting or maintaining 
            measures, including environmental measures: 
 
                 (a)  necessary to secure compliance with laws and 
                      regulations that are not inconsistent with the 
                      provisions of this Agreement; 
 
                 (b)  necessary to protect human, animal or plant life or 
                      health; or 
 
                 (c)  necessary for the conservation of living or non- 
                      living exhaustible natural resources. 
 
 
            Article 1107:  Senior Management and Boards of Directors 
 
            1.   No Party may require that an enterprise of that Party that 
            is an investment of an investor of another Party appoint to 
            senior management positions individuals of any particular 
            nationality. 
 
            2.   A Party may require that a majority of the board of 
            directors, or any committee thereof, of an enterprise of that 
            Party that is an investment of an investor of another Party, be 
            of a particular nationality, or resident in the territory of 
            the Party, provided that the requirement does not materially 
            impair the ability of the investor to exercise control over its 
            investment. 
 
 
            Article 1108:  Reservations and Exceptions  
 
            1.   Articles 1102, 1103, 1106 and 1107 do not apply to: 
 
                 (a)  any existing non-conforming measure that is 
                      maintained by 
 
                      (i)  a Party at the federal level, as set out in its 
                           Schedule to Annex I or III, 
 
                      (ii) a state or province, for two years after the 
                           date of entry into force of this Agreement, and 
                           thereafter as set out by a Party in its Schedule 
                           to Annex I in accordance with paragraph 2, or 
 
                      (iii)     a local government; 
 
 
 
 
 
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                 (b)  the continuation or prompt renewal of any 
                      non-conforming measure referred to in subparagraph 
                      (a); or 
 
                 (c)  an amendment to any non-conforming measure referred 
                      to in subparagraph (a) to the extent that the 
                      amendment does not decrease the conformity of the 
                      measure, as it existed immediately before the 
                      amendment, with Articles 1102, 1103, 1106 and 1107. 
 
            2.   Each Party may set out in its Schedule to Annex I, within 
            two years of the date of entry into force of this Agreement, 
            any existing non-conforming measure maintained by a state or 
            province, not including a local government. 
 
            3.   Articles 1102, 1103, 1106 and 1107 do not apply to any 
            measure that a Party adopts or maintains with respect to 
            sectors, subsectors or activities, as set out in its Schedule 
            to Annex II. 
 
            4.   No Party may, under any measure adopted after the date of 
            entry into force of this Agreement and covered by its Schedule 
            to Annex II, require an investor of another Party, by reason of 
            its nationality, to sell or otherwise dispose of an investment 
            existing at the time the measure becomes effective. 
 
            5.   Articles 1102 and 1103 do not apply to any measure that is 
            an exception to, or derogation from, the obligations under 
            Article 1703 (Intellectual Property - National Treatment) as 
            specifically provided for in that Article. 
 
            6.   Article 1103 does not apply to treatment accorded by a 
            Party pursuant to agreements, or with respect to sectors, set 
            out in its Schedule to Annex IV. 
 
            7.   Articles 1102, 1103 and 1107 do not apply to: 
 
                 (a)  procurement by a Party or a state enterprise; or 
 
                 (b)  subsidies or grants provided by a Party or a state 
                      enterprise, including government-supported loans, 
                      guarantees and insurance. 
 
            8.   The provisions of: 
 
                 (a)  Article 1106(1)(a), (b) and (c), and (3)(a) and (b) 
                      do not apply to qualification requirements for goods 
                      or services with respect to export promotion and 
                      foreign aid programs; 
 
 
 
 
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                 (b)  Article 1106(1)(b), (c), (f) and (g), and (3)(a) and 
                      (b) do not apply to procurement by a Party or a state 
                      enterprise; and 
 
                 (c)  Article 1106(3)(a) and (b) do not apply to 
                      requirements imposed by an importing Party relating 
                      to the content of goods necessary to qualify for 
                      preferential tariffs or preferential quotas. 
 
 
 
            Article 1109:  Transfers 
 
            1.   Each Party shall permit all transfers relating to an 
            investment of an investor of another Party in the territory of 
            the Party to be made freely and without delay.  Such transfers 
            include: 
 
                 (a)  profits, dividends, interest, capital gains, royalty 
                      payments, management fees, technical assistance and 
                      other fees, returns in kind and other amounts derived 
                      from the investment; 
 
                 (b)  proceeds from the sale of all or any part of the 
                      investment or from the partial or complete 
                      liquidation of the investment; 
 
                 (c)  payments made under a contract entered into by the 
                      investor, or its investment, including payments made 
                      pursuant to a loan agreement; 
 
                 (d)  payments made pursuant to Article 1110; and 
 
                 (e)  payments arising under Section B. 
 
            2.   Each Party shall permit transfers to be made in a freely 
            usable currency at the market rate of exchange prevailing on 
            the date of transfer with respect to spot transactions in the 
            currency to be transferred. 
 
            3.   No Party may require its investors to transfer, or 
            penalize its investors that fail to transfer, the income, 
            earnings, profits or other amounts derived from, or 
            attributable to, investments in the territory of another Party. 
 
            4.   Notwithstanding paragraphs 1 and 2, a Party may prevent a 
            transfer through the equitable, non-discriminatory and good 
            faith application of its laws relating to: 
 
                 (a)  bankruptcy, insolvency or the protection of the 
                      rights of creditors; 
 
 
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                 (b)  issuing, trading or dealing in securities; 
 
                 (c)  criminal or penal offenses; 
 
                 (d)  reports of transfers of currency or other monetary 
                      instruments; or 
 
                 (e)  ensuring the satisfaction of judgments in 
                      adjudicatory proceedings. 
 
            5.   Paragraph 3 shall not be construed to prevent a Party from 
            imposing any measure through the equitable, non-discriminatory 
            and good faith application of its laws relating to the matters 
            set out in subparagraphs (a) through (e) of paragraph 4. 
 
            6.   Notwithstanding paragraph 1, a Party may restrict 
            transfers of returns in kind in circumstances where it could 
            otherwise restrict such transfers under this Agreement, 
            including as set out in paragraph 4. 
 
 
            Article 1110:  Expropriation and Compensation 
 
            1.   No Party may directly or indirectly nationalize or 
            expropriate an investment of an investor of another Party in 
            its territory or take a measure tantamount to nationalization 
            or expropriation of such an investment ("expropriation"), 
            except: 
 
                 (a)  for a public purpose; 
 
                 (b)  on a non-discriminatory basis; 
 
                 (c)  in accordance with due process of law and Article 
                      1105(1); and 
 
                 (d)  on payment of compensation in accordance with 
                      paragraphs 2 through 6. 
 
            2.   Compensation shall be equivalent to the fair market value 
            of the expropriated investment immediately before the 
            expropriation took place ("date of expropriation"), and shall 
            not reflect any change in value occurring because the intended 
            expropriation had become known earlier.  Valuation criteria 
            shall include going concern value, asset value including 
            declared tax value of tangible property, and other criteria, as 
            appropriate, to determine fair market value. 
 
            3.   Compensation shall be paid without delay and be fully 
            realizable. 
 
 
 
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            4.   If payment is made in a G7 currency, compensation shall 
            include interest at a commercially reasonable rate for that 
            currency from the date of expropriation until the date of 
            actual payment. 
 
            5.   If a Party elects to pay in a currency other than a G7 
            currency, the amount paid on the date of payment, if converted 
            into a G7 currency at the market rate of exchange prevailing on 
            that date, shall be no less than if the amount of compensation 
            owed on the date of expropriation had been converted into that 
            G7 currency at the market rate of exchange prevailing on that 
            date, and interest had accrued at a commercially reasonable 
            rate for that G7 currency from the date of expropriation until 
            the date of payment. 
 
            6.   On payment, compensation shall be freely transferable as 
            provided in Article 1109. 
 
            7.   This Article does not apply to the issuance of compulsory 
            licenses granted in relation to intellectual property rights, 
            or to the revocation, limitation or creation of intellectual 
            property rights, to the extent that such issuance, revocation, 
            limitation or creation is consistent with Chapter Seventeen 
            (Intellectual Property). 
 
            8.   For purposes of this Article and for greater certainty, a 
            non-discriminatory measure of general application shall not be 
            considered a measure tantamount to an expropriation of a debt 
            security or loan covered by this Chapter solely on the ground 
            that the measure imposes costs on the debtor that cause it to 
            default on the debt. 
 
 
            Article 1111:  Special Formalities and Information Requirements 
 
            1.   Nothing in Article 1102 shall be construed to prevent a 
            Party from adopting or maintaining a measure that prescribes 
            special formalities in connection with the establishment of 
            investments by investors of another Party, such as a 
            requirement that investors be residents of the Party or that 
            investments be legally constituted under the laws or 
            regulations of the Party, provided that such formalities do not 
            materially impair the protections afforded by a Party to 
            investors of another Party and investments of investors of 
            another Party pursuant to this Chapter. 
 
            2.   Notwithstanding Articles 1102 or 1103, a Party may require 
            an investor of another Party, or its investment in its 
            territory, to provide routine information concerning that 
            investment solely for informational or statistical purposes.  
            The Party shall protect such business information that is 
 
 
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            confidential from any disclosure that would prejudice the 
            competitive position of the investor or the investment.  
            Nothing in this paragraph shall be construed to prevent a Party 
            from otherwise obtaining or disclosing information in 
            connection with the equitable and good faith application of its 
            law. 
 
 
            Article 1112:  Relation to Other Chapters 
 
            1.    In the event of any inconsistency between this Chapter 
            and another Chapter, the other Chapter shall prevail to the 
            extent of the inconsistency. 
 
            2.   A requirement by a Party that a service provider of 
            another Party post a bond or other form of financial security 
            as a condition of providing a service into its territory does 
            not of itself make this Chapter applicable to the provision of 
            that cross-border service.  This Chapter applies to that 
            Party's treatment of the posted bond or financial security. 
 
 
            Article 1113:  Denial of Benefits 
 
            1.   A Party may deny the benefits of this Chapter to an 
            investor of another Party that is an enterprise of such Party 
            and to investments of such investor if investors of a non-Party 
            own or control the enterprise and the denying Party: 
 
                 (a)  does not maintain diplomatic relations with the non- 
                      Party; or  
 
                 (b)  adopts or maintains measures with respect to the 
                      non-Party that prohibit transactions with the 
                      enterprise or that would be violated or circumvented 
                      if the benefits of this Chapter were accorded to the 
                      enterprise or to its investments. 
 
            2.   Subject to prior notification and consultation in 
            accordance with Articles 1803 (Notification and Provision of 
            Information) and 2006 (Consultations), a Party may deny the 
            benefits of this Chapter to an investor of another Party that 
            is an enterprise of such Party and to investments of such 
            investors if investors of a non-Party own or control the 
            enterprise and the enterprise has no substantial business 
            activities in the territory of the Party under whose law it is 
            constituted or organized. 
 
 
 
 
 
 
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            Article 1114:  Environmental Measures 
 
            1.   Nothing in this Chapter shall be construed to prevent a 
            Party from adopting, maintaining or enforcing any measure 
            otherwise consistent with this Chapter that it considers 
            appropriate to ensure that investment activity in its territory 
            is undertaken in a manner sensitive to environmental concerns. 
 
            2.   The Parties recognize that it is inappropriate to 
            encourage investment by relaxing domestic health, safety or 
            environmental measures.  Accordingly, a Party should not waive 
            or otherwise derogate from, or offer to waive or otherwise 
            derogate from, such measures as an encouragement for the 
            establishment, acquisition, expansion or retention in its 
            territory of an investment of an investor.  If a Party 
            considers that another Party has offered such an encouragement, 
            it may request consultations with the other Party and the two 
            Parties shall consult with a view to avoiding any such 
            encouragement. 
 
 
                 Section B - Settlement of Disputes between a Party and 
                              an Investor of Another Party 
 
 
            Article 1115:  Purpose 
 
                 Without prejudice to the rights and obligations of the 
            Parties under Chapter Twenty (Institutional Arrangements and 
            Dispute Settlement Procedures), this Section establishes a 
            mechanism for the settlement of investment disputes that 
            assures both equal treatment among investors of the Parties in 
            accordance with the principle of international reciprocity and 
            due process before an impartial tribunal. 
 
 
            Article 1116:  Claim by an Investor of a Party on Its Own 
                           Behalf 
 
            1.   An investor of a Party may submit to arbitration under 
            this Section a claim that another Party has breached an 
            obligation under: 
 
                 (a)  Section A or Article 1503(2) (State Enterprises), or 
 
                 (b)  Article 1502(3)(a) (Monopolies and State Enterprises) 
                      where the monopoly has acted in a manner inconsistent 
                      with the Party's obligations under Section A, 
 
            and that the investor has incurred loss or damage by reason of, 
            or arising out of, that breach. 
 
 
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            2.   An investor may not make a claim if more than three years 
            have elapsed from the date on which the investor first 
            acquired, or should have first acquired, knowledge of the 
            alleged breach and knowledge that the investor has incurred 
            loss or damage. 
 
 
            Article 1117:  Claim by an Investor of a Party on Behalf of an 
                           Enterprise 
 
            1.   An investor of a Party, on behalf of an enterprise of 
            another Party that is a juridical person that the investor owns 
            or controls directly or indirectly, may submit to arbitration 
            under this Section a claim that the other Party has breached an 
            obligation under: 
 
                 (a)  Section A or Article 1503(2) (State Enterprises), or 
 
                 (b)  Article 1502(3)(a) (Monopolies and State Enterprises) 
                      where the monopoly has acted in a manner inconsistent 
                      with the Party's obligations under Section A, 
 
            and that the enterprise has incurred loss or damage by reason 
            of, or arising out of, that breach. 
 
            2.   An investor may not make a claim on behalf of an 
            enterprise described in paragraph 1 if more than three years 
            have elapsed from the date on which the enterprise first 
            acquired, or should have first acquired, knowledge of the 
            alleged breach and knowledge that the enterprise has incurred 
            loss or damage. 
 
            3.   Where an investor makes a claim under this Article and the 
            investor or a non-controlling investor in the enterprise makes 
            a claim under Article 1116 arising out of the same events that 
            gave rise to the claim under this Article, and two or more of 
            the claims are submitted to arbitration under Article 1120, the 
            claims should be heard together by a Tribunal established under 
            Article 1126, unless the Tribunal finds that the interests of a 
            disputing party would be prejudiced thereby. 
 
            4.   An investment may not make a claim under this Section. 
 
 
            Article 1118:  Settlement of a Claim through Consultation and 
                           Negotiation 
 
                 The disputing parties should first attempt to settle a 
            claim through consultation or negotiation. 
 
 
 
 
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            Article 1119:  Notice of Intent to Submit a Claim to 
                           Arbitration 
 
                 The disputing investor shall deliver to the disputing 
            Party written notice of its intention to submit a claim to 
            arbitration at least 90 days before the claim is submitted, 
            which notice shall specify: 
 
                 (a)  the name and address of the disputing investor and, 
                      where a claim is made under Article 1117, the name 
                      and address of the enterprise; 
 
                 (b)  the provisions of this Agreement alleged to have been 
                      breached and any other relevant provisions; 
 
                 (c)  the issues and the factual basis for the claim; and 
 
                 (d)  the relief sought and the approximate amount of 
                      damages claimed. 
 
 
 
            Article 1120:  Submission of a Claim to Arbitration 
 
            1.   Except as provided in Annex 1120.1, and provided that six 
            months have elapsed since the events giving rise to a claim, a 
            disputing investor may submit the claim to arbitration under: 
 
                 (a)  the ICSID Convention, provided that both the 
                      disputing Party and the Party of the investor are 
                      parties to the Convention; 
 
                 (b)  the Additional Facility Rules of ICSID, provided that 
                      either the disputing Party or the Party of the 
                      investor, but not both, is a party to the ICSID 
                      Convention; or 
 
                 (c)  the UNCITRAL Arbitration Rules. 
 
            2.   The applicable arbitration rules shall govern the 
            arbitration except to the extent modified by this Section. 
 
 
            Article 1121:  Conditions Precedent to Submission of a Claim to 
                           Arbitration 
 
            1.   A disputing investor may submit a claim under Article 1116 
            to arbitration only if: 
 
                 (a)  the investor consents to arbitration in accordance 
                      with the procedures set out in this Agreement; and 
 
 
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                 (b)  the investor and, where the claim is for loss or 
                      damage to an interest in an enterprise of another 
                      Party that is a juridical person that the investor 
                      owns or controls directly or indirectly, the 
                      enterprise, waive their right to initiate or continue 
                      before any administrative tribunal or court under the 
                      law of any Party, or other dispute settlement 
                      procedures, any proceedings with respect to the 
                      measure of the disputing Party that is alleged to be 
                      a breach referred to in Article 1116, except for 
                      proceedings for injunctive, declaratory or other 
                      extraordinary relief, not involving the payment of 
                      damages, before an administrative tribunal or court 
                      under the law of the disputing Party. 
 
            2.   A disputing investor may submit a claim under Article 1117 
            to arbitration only if both the investor and the enterprise: 
 
                 (a)  consent to arbitration in accordance with the 
                      procedures set out in this Agreement; and 
 
                 (b)  waive their right to initiate or continue before any 
                      administrative tribunal or court under the law of any 
                      Party, or other dispute settlement procedures, any 
                      proceedings with respect to the measure of the 
                      disputing Party that is alleged to be a breach 
                      referred to in Article 1117, except for proceedings 
                      for injunctive, declaratory or other extraordinary 
                      relief, not involving the payment of damages, before 
                      an administrative tribunal or court under the law of 
                      the disputing Party. 
 
            3.   A consent and waiver required by this Article shall be in 
            writing, shall be delivered to the disputing Party and shall be 
            included in the submission of a claim to arbitration. 
 
            4.   Only where a disputing Party has deprived a disputing 
            investor of control of an enterprise: 
 
                 (a)  a waiver from the enterprise under paragraph 1(b) or 
                      2(b) shall not be required; and 
 
                 (b)  Annex 1120.1(A)(b) shall not apply. 
 
 
            Article 1122:  Consent to Arbitration 
 
            1.   Each Party consents to the submission of a claim to 
            arbitration in accordance with the procedures set out in this 
            Agreement. 
 
 
 
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            2.   The consent given by paragraph 1 and the submission by a 
            disputing investor of a claim to arbitration shall satisfy the 
            requirement of: 
 
                 (a)  Chapter II of the ICSID Convention (Jurisdiction of 
                      the Centre) and the Additional Facility Rules for 
                      written consent of the parties; 
 
                 (b)  Article II of the New York Convention for an 
                      agreement in writing; and 
 
                 (c)  Article I of the Inter-American Convention for an 
                      agreement. 
 
 
            Article 1123:  Number of Arbitrators and Method of Appointment 
 
                 Except in respect of a Tribunal established under Article 
            1126, and unless the disputing parties otherwise agree, the 
            Tribunal shall comprise three arbitrators, one arbitrator 
            appointed by each of the disputing parties and the third, who 
            shall be the presiding arbitrator, appointed by agreement of 
            the disputing parties. 
 
 
            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 
 
            1.   The Secretary-General shall serve as appointing authority 
            for an arbitration under this Section. 
 
            2.   If a Tribunal, other than a Tribunal established under 
            Article 1126, has not been constituted within 90 days from the 
            date that a claim is submitted to arbitration, the Secretary- 
            General, on the request of either disputing party, shall 
            appoint, in his discretion, the arbitrator or arbitrators not 
            yet appointed, except that the presiding arbitrator shall be 
            appointed in accordance with paragraph 3. 
 
            3.   The Secretary-General shall appoint the presiding 
            arbitrator from the roster of presiding arbitrators referred to 
            in paragraph 4, provided that the presiding arbitrator shall 
            not be a national of the disputing Party or a national of the 
            Party of the disputing investor.  In the event that no such 
            presiding arbitrator is available to serve, the Secretary- 
            General shall appoint, from the ICSID Panel of Arbitrators, a 
            presiding arbitrator who is not a national of any of the 
            Parties. 
 
 
 
 
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            4.   On the date of entry into force of this Agreement, the 
            Parties shall establish, and thereafter maintain, a roster of 
            45 presiding arbitrators meeting the qualifications of the 
            Convention and rules referred to in Article 1120 and 
            experienced in international law and investment matters.  The 
            roster members shall be appointed by consensus and without 
            regard to nationality. 
 
 
            Article 1125:  Agreement to Appointment of Arbitrators 
 
                 For purposes of Article 39 of the ICSID Convention and 
            Article 7 of Schedule C to the ICSID Additional Facility Rules, 
            and without prejudice to an objection to an arbitrator based on 
            Article 1124(3) or on a ground other than nationality: 
 
                 (a)  the disputing Party agrees to the appointment of each 
                      individual member of a Tribunal established under the 
                      ICSID Convention or the ICSID Additional Facility 
                      Rules; 
 
                 (b)  a disputing investor referred to in Article 1116 may 
                      submit a claim to arbitration, or continue a claim, 
                      under the ICSID Convention or the ICSID Additional 
                      Facility Rules, only on condition that the disputing 
                      investor agrees in writing to the appointment of each 
                      individual member of the Tribunal; and 
 
                 (c)  a disputing investor referred to in Article 1117(1) 
                      may submit a claim to arbitration, or continue a 
                      claim, under the ICSID Convention or the ICSID 
                      Additional Facility Rules, only on condition that the 
                      disputing investor and the enterprise agree in 
                      writing to the appointment of each individual member 
                      of the Tribunal. 
 
 
            Article 1126:  Consolidation 
 
            1.   A Tribunal established under this Article shall be 
            established under the UNCITRAL Arbitration Rules and shall 
            conduct its proceedings in accordance with those Rules, except 
            as modified by this Section. 
 
            2.   Where a Tribunal established under this Article is 
            satisfied that claims have been submitted to arbitration under 
            Article 1120 that have a question of law or fact in common, the 
            Tribunal may, in the interests of fair and efficient resolution 
            of the claims, and after hearing the disputing parties, by 
            order: 
 
 
 
                                         11-16  
 
 
 
 
 
 
  
 
 
 
 
 
                 (a)  assume jurisdiction over, and hear and determine 
                      together, all or part of the claims; or 
 
                 (b)  assume jurisdiction over, and hear and determine one 
                      or more of the claims, the determination of which it 
                      believes would assist in the resolution of the 
                      others. 
 
            3.   A disputing party that seeks an order under paragraph 2 
            shall request the Secretary-General to establish a Tribunal and 
            shall specify in the request: 
 
                 (a)  the name of the disputing Party or disputing 
                      investors against which the order is sought; 
 
                 (b)  the nature of the order sought; and 
 
                 (c)  the grounds on which the order is sought. 
 
            4.   The disputing party shall deliver to the disputing Party 
            or disputing investors against which the order is sought a copy 
            of the request. 
 
            5.   Within 60 days of receipt of the request, the Secretary- 
            General shall establish a Tribunal comprising three 
            arbitrators.  The Secretary-General shall appoint the presiding 
            arbitrator from the roster referred to in Article 1124(4).  In 
            the event that no such presiding arbitrator is available to 
            serve, the Secretary-General shall appoint, from the ICSID 
            Panel of Arbitrators, a presiding arbitrator who is not a 
            national of any of the Parties.  The Secretary-General shall 
            appoint the two other members from the roster referred to in 
            Article 1124(4), and to the extent not available from that 
            roster, from the ICSID Panel of Arbitrators, and to the extent 
            not available from that Panel, in the discretion of the 
            Secretary-General.  One member shall be a national of the 
            disputing Party and one member shall be a national of a Party 
            of the disputing investors. 
 
            6.   Where a Tribunal has been established under this Article, 
            a disputing investor that has submitted a claim to arbitration 
            under Article 1116 or 1117 and that has not been named in a 
            request made under paragraph 3 may make a written request to 
            the Tribunal that it be included in an order made under 
            paragraph 2, and shall specify in the request: 
 
                 (a)  the name and address of the disputing investor; 
 
                 (b)  the nature of the order sought; and 
 
                 (c)  the grounds on which the order is sought. 
 
 
                                         11-17  
 
 
 
 
 
 
  
 
 
 
 
 
            7.   A disputing investor referred to in paragraph 6 shall 
            deliver a copy of its request to the disputing parties named in 
            a request made under paragraph 3. 
 
            8.   A Tribunal established under Article 1120 shall not have 
            jurisdiction to decide a claim, or a part of a claim, over 
            which a Tribunal established under this Article has assumed 
            jurisdiction. 
 
            9.   On application of a disputing party, a Tribunal 
            established under this Article, pending its decision under 
            paragraph 2, may order that the proceedings of a Tribunal 
            established under Article 1120 be stayed, unless the latter 
            Tribunal has already adjourned its proceedings. 
 
            10.  A disputing Party shall deliver to the Secretariat, within 
            15 days of receipt by the disputing Party, a copy of: 
 
                 (a)  a request for arbitration made under paragraph (1) of 
                      Article 36 of the ICSID Convention; 
 
                 (b)  a notice of arbitration made under Article 2 of 
                      Schedule C of the ICSID Additional Facility Rules; or 
 
                 (c)  a notice of arbitration given under the UNCITRAL 
                      Arbitration Rules. 
 
            11.  A disputing Party shall deliver to the Secretariat a copy 
            of a request made under paragraph 3: 
 
                 (a)  within 15 days of receipt of the request, in the case 
                      of a request made by a disputing investor; 
 
                 (b)  within 15 days of making the request, in the case of 
                      a request made by the disputing Party. 
 
            12.  A disputing Party shall deliver to the Secretariat a copy 
            of a request made under paragraph 6 within 15 days of receipt 
            of the request. 
 
            13.  The Secretariat shall maintain a public register of the 
            documents referred to in paragraphs 10, 11 and 12. 
 
 
            Article 1127:  Notice 
 
                 A disputing Party shall deliver to the other Parties: 
 
                 (a)  written notice of a claim that has been submitted to 
                      arbitration no later than 30 days after the date that 
                      the claim is submitted; and 
 
 
                                         11-18  
 
 
 
 
 
 
  
 
 
 
 
 
                 (b)  copies of all pleadings filed in the arbitration. 
 
 
            Article 1128:  Participation by a Party 
 
                 On written notice to the disputing parties, a Party may 
            make submissions to a Tribunal on a question of interpretation 
            of this Agreement. 
 
 
            Article 1129:  Documents 
 
                 1.   A Party shall be entitled to receive from the 
            disputing Party, at the cost of the requesting Party a copy of: 
 
                 (a)  the evidence that has been tendered to the Tribunal; 
                      and 
 
                 (b)  the written argument of the disputing parties. 
 
                 2.   A Party receiving information pursuant to paragraph 1 
            shall treat the information as if it were a disputing Party. 
 
 
            Article 1130:  Place of Arbitration 
 
                 Unless the disputing parties agree otherwise, a Tribunal 
            shall hold an arbitration in the territory of a Party that is a 
            party to the New York Convention, selected in accordance with: 
 
                 (a)  the ICSID Additional Facility Rules if the 
                      arbitration is under those Rules or the ICSID 
                      Convention; or 
 
                 (b)  the UNCITRAL Arbitration Rules if the arbitration is 
                      under those Rules. 
 
 
            Article 1131:  Governing Law 
 
            1.   A Tribunal established under this Section shall decide the 
            issues in dispute in accordance with this Agreement and 
            applicable rules of international law. 
 
            2.   An interpretation by the Commission of a provision of this 
            Agreement shall be binding on a Tribunal established under this 
            Section. 
 
 
 
 
 
 
                                         11-19  
 
 
 
 
 
 
  
 
 
 
 
 
            Article 1132:  Interpretation of Annexes 
 
            1.   Where a disputing Party asserts as a defense that the 
            measure alleged to be a breach is within the scope of a 
            reservation or exception set out in Annex I, Annex II, Annex 
            III or Annex IV, on request of the disputing Party, the 
            Tribunal shall request the interpretation of the Commission on 
            the issue.  The Commission, within 60 days of delivery of the 
            request, shall submit in writing its interpretation to the 
            Tribunal. 
 
            2.   Further to Article 1131(2), a Commission interpretation 
            submitted under paragraph 1 shall be binding on the Tribunal.  
            If the Commission fails to submit an interpretation within 60 
            days, the Tribunal shall decide the issue. 
 
 
            Article 1133:  Expert Reports 
 
                 Without prejudice to the appointment of other kinds of 
            experts where authorized by the applicable arbitration rules, a 
            Tribunal, at the request of a disputing party or, unless the 
            disputing parties disapprove, on its own initiative, may 
            appoint one or more experts to report to it in writing on any 
            factual issue concerning environmental, health, safety or other 
            scientific matters raised by a disputing party in a proceeding, 
            subject to such terms and conditions as the disputing parties 
            may agree. 
 
 
            Article 1134:  Interim Measures of Protection 
 
                 A Tribunal may order an interim measure of protection to 
            preserve the rights of a disputing party, or to ensure that the 
            Tribunal's jurisdiction is made fully effective, including an 
            order to preserve evidence in the possession or control of a 
            disputing party or to protect the Tribunal's jurisdiction.  A 
            Tribunal may not order attachment or enjoin the application of 
            the measure alleged to constitute a breach referred to in 
            Article 1116 or 1117.  For purposes of this paragraph, an order 
            includes a recommendation. 
 
 
            Article 1135:  Final Award 
 
            1.   Where a Tribunal makes a final award against a Party, the 
            Tribunal may award, separately or in combination, only: 
 
                 (a)  monetary damages and any applicable interest; 
 
 
 
 
                                         11-20  
 
 
 
 
 
 
  
 
 
 
 
 
                 (b)  restitution of property, in which case the award 
                      shall provide that the disputing Party may pay 
                      monetary damages and any applicable interest in lieu 
                      of restitution, 
 
            A tribunal may also award costs in accordance with the 
            applicable arbitration rules. 
 
            2.   Subject to paragraph 1, where a claim is made under 
            Article 1117(1): 
 
                 (a)  an award of restitution of property shall provide 
                      that restitution be made to the enterprise; 
 
                 (b)  an award of monetary damages and any applicable 
                      interest shall provide that the sum be paid to the 
                      enterprise; and 
 
                 (c)  the award shall provide that it is made without 
                      prejudice to any right that any person may have in 
                      the relief under applicable domestic law. 
 
            3.   A Tribunal may not order a Party to pay punitive damages. 
 
 
            Article 1136:  Finality and Enforcement of an Award 
 
            1.   An award made by a Tribunal shall have no binding force 
            except between the disputing parties and in respect of the 
            particular case. 
 
            2.   Subject to paragraph 3 and the applicable review procedure 
            for an interim award, a disputing party shall abide by and 
            comply with an award without delay. 
 
            3.   A disputing party may not seek enforcement of a final 
            award until: 
 
                 (a)  in the case of a final award made under the ICSID 
                      Convention 
 
                      (i)  120 days have elapsed from the date the award 
                           was rendered and no disputing party has 
                           requested revision or annulment of the award, or 
 
                      (ii) revision or annulment proceedings have been 
                           completed; and 
 
                 (b)  in the case of a final award under the ICSID 
                      Additional Facility Rules or the UNCITRAL Arbitration 
                      Rules 
 
 
                                         11-21  
 
 
 
 
 
 
  
 
 
 
 
 
                      (i)  three months have elapsed from the date the 
                           award was rendered and no disputing party has 
                           commenced a proceeding to revise, set aside or 
                           annul the award, or 
 
                      (ii) a court has dismissed or allowed an application 
                           to revise, set aside or annul the award and 
                           there is no further appeal. 
 
            4.   Each Party shall provide for the enforcement of an award 
            in its territory. 
 
            5.   If a disputing Party fails to abide by or comply with a 
            final award, the Commission, on delivery of a request by a 
            Party whose investor was a party to the arbitration, shall 
            establish a panel under Article 2008 (Request for an Arbitral 
            Panel).  The requesting Party may seek in such proceedings: 
 
                 (a)  a determination that the failure to abide by or 
                      comply with the final award is inconsistent with the 
                      obligations of this Agreement; and 
 
                 (b)  a recommendation that the Party abide by or comply 
                      with the final award. 
 
            6.   A disputing investor may seek enforcement of an 
            arbitration award under the ICSID Convention, the New York 
            Convention or the Inter-American Convention regardless of 
            whether proceedings have been taken under paragraph 5. 
 
            7.   A claim that is submitted to arbitration under this 
            Section shall be considered to arise out of a commercial 
            relationship or transaction for purposes of Article I of the 
            New York Convention and Article I of the Inter-American 
            Convention. 
 
 
            Article 1137:  General 
 
            Time when a Claim is Submitted to Arbitration 
 
            1.   A claim is submitted to arbitration under this Section 
            when: 
 
                 (a)  the request for arbitration under paragraph (1) of 
                      Article 36 of the ICSID Convention has been received 
                      by the Secretary-General; 
 
                 (b)  the notice of arbitration under Article 2 of Schedule 
                      C of the ICSID Additional Facility Rules has been 
                      received by the Secretary-General; or 
 
 
                                         11-22  
 
 
 
 
 
 
  
 
 
 
 
 
                 (c)  the notice of arbitration given under the UNCITRAL 
                      Arbitration Rules is received by the disputing Party. 
 
            Service of Documents 
 
            2.   Delivery of notice and other documents on a Party shall be 
            made to the place named for that Party in Annex 1137.2. 
 
            Receipts under Insurance or Guarantee Contracts 
 
            3.   In an arbitration under this Section, a Party shall not 
            assert, as a defense, counterclaim, right of setoff or 
            otherwise, that the disputing investor has received or will 
            receive, pursuant to an insurance or guarantee contract, 
            indemnification or other compensation for all or part of its 
            alleged damages. 
 
            Publication of an Award 
 
            4.   Annex 1137.4 applies to the Parties specified in that 
            Annex with respect to publication of an award. 
 
 
            Article 1138:  Exclusions 
 
            1.   Without prejudice to the applicability or non- 
            applicability of the dispute settlement provisions of this 
            Section or of Chapter Twenty (Institutional Arrangements and 
            Dispute Settlement Procedures) to other actions taken by a 
            Party pursuant to Article 2102 (National Security), a decision 
            by a Party to prohibit or restrict the acquisition of an 
            investment in its territory by an investor of another Party, or 
            its investment, pursuant to that Article shall not be subject 
            to such provisions. 
 
            2.   The dispute settlement provisions of this Section and of 
            Chapter Twenty shall not apply to the matters referred to in 
            Annex 1138.2. 
 
 
                                Section C - Definitions 
 
 
            Article 1139:  Definitions 
 
            For purposes of this Chapter: 
 
            disputing investor means an investor that makes a claim under 
            Section B; 
 
 
 
 
                                         11-23  
 
 
 
 
 
 
  
 
 
 
 
 
            disputing parties means the disputing investor and the 
            disputing Party; 
 
            disputing party means the disputing investor or the disputing 
            Party; 
 
            disputing Party means a Party against which a claim is made 
            under Section B; 
 
            enterprise means an "enterprise" as defined in Article 201 
            (Definitions of General Application), and a branch of an 
            enterprise; 
 
            enterprise of a Party means an enterprise constituted or 
            organized under the law of a Party, and a branch located in the 
            territory of a Party and carrying out business activities 
            there. 
 
            equity or debt securities includes voting and non-voting 
            shares, bonds, convertible debentures, stock options and 
            warrants; 
 
            G7 Currency means the currency of Canada, France, Germany, 
            Italy, Japan, the United Kingdom of Great Britain and Northern 
            Ireland or the United States; 
 
            ICSID means the International Centre for Settlement of 
            Investment Disputes; 
 
            ICSID Convention means the Convention on the Settlement of 
            Investment Disputes between States and Nationals of other 
            States, done at Washington, March 18, 1965; 
 
            Inter-American Convention means the Inter-American Convention 
            on International Commercial Arbitration, done at Panama, 
            January 30, 1975; 
 
            investment means: 
 
                 (a)  an enterprise; 
 
                 (b)  an equity security of an enterprise; 
 
                 (c)  a debt security of an enterprise 
 
                      (i)  where the enterprise is an affiliate of the 
                           investor, or 
 
                      (ii) where the original maturity of the debt security 
                           is at least three years, 
 
 
 
                                         11-24  
 
 
 
 
 
 
  
 
 
 
 
 
                      but does not include a debt security, regardless of 
                      original maturity, of a state enterprise; 
 
                 (d)  a loan to an enterprise 
 
                      (i)  where the enterprise is an affiliate of the 
                           investor, or 
 
                      (ii) where the original maturity of the loan is at 
                           least three years, 
 
                      but does not include a loan, regardless of original 
                      maturity, to a state enterprise;  
 
                 (e)  an interest in an enterprise that entitles the owner 
                      to share in income or profits of the enterprise; 
 
                 (f)  an interest in an enterprise that entitles the owner 
                      to share in the assets of that enterprise on 
                      dissolution, other than a debt security or a loan 
                      excluded from subparagraph (c) or (d); 
 
                 (g)  real estate or other property, tangible or 
                      intangible, acquired in the expectation or used for 
                      the purpose of economic benefit or other business 
                      purposes; and 
 
                 (h)  interests arising from the commitment of capital or 
                      other resources in the territory of a Party to 
                      economic activity in such territory, such as under 
 
                      (i)  contracts involving the presence of an 
                           investor's property in the territory of the 
                           Party, including turnkey or construction 
                           contracts, or concessions, or 
 
                      (ii) contracts where remuneration depends 
                           substantially on the production, revenues or 
                           profits of an enterprise; 
 
            but investment does not mean, 
 
                 (i)  claims to money that arise solely from 
 
                      (i)  commercial contracts for the sale of goods or 
                           services by a national or enterprise in the 
                           territory of a Party to an enterprise in the 
                           territory of another Party, or 
 
                      (ii) the extension of credit in connection with a 
                           commercial transaction, such as trade financing, 
 
 
                                         11-25  
 
 
 
 
 
 
  
 
 
 
 
 
                           other than a loan covered by subparagraph (d); 
                           or 
 
                 (j)  any other claims to money, 
 
                 that do not involve the kinds of interests set out in 
                 subparagraphs (a) through (h); 
 
            investment of an investor of a Party means an investment owned 
            or controlled directly or indirectly by an investor of such 
            Party; 
 
            investor of a Party means a Party or state enterprise thereof, 
            or a national or an enterprise of such Party, that seeks to 
            make, is making or has made an investment; 
 
            investor of a non-Party means an investor other than an 
            investor of a Party, that seeks to make, is making or has made 
            an investment; 
 
            New York Convention means the United Nations Convention on the 
            Recognition and Enforcement of Foreign Arbitral Awards, done at 
            New York, June 10, 1958; 
 
            Secretary-General means the Secretary-General of ICSID; 
 
            transfers means transfers and international payments; 
 
            Tribunal means an arbitration tribunal established under 
            Article 1120 or 1126; and 
 
            UNCITRAL Arbitration Rules means the arbitration rules of the 
            United Nations Commission on International Trade Law, approved 
            by the United Nations General Assembly on December 15, 1976. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                         11-26  
 
 
 
 
 
 
  
 
 
 
 
 
                                                               Annex 1120.1                                             
                  ____________ 
 
 
                                      Annex 1120.1 
 
                          Submission of a Claim to Arbitration 
 
 
                                         Mexico 
 
                 With respect to the submission of a claim to arbitration: 
 
                 (a)  an investor of another Party may not allege that 
                      Mexico has breached an obligation under: 
 
                      (i)  Section A or Article 1503(2) (State 
                           Enterprises), or 
 
                      (ii) Article 1502(3)(a) (Monopolies and State 
                           Enterprises) where the monopoly has acted in a 
                           manner inconsistent with the Party's obligations 
                           under Section A, 
 
                 both in an arbitration under this Section and in 
                 proceedings before a Mexican court or administrative 
                 tribunal; and 
 
                 (b)  where an enterprise of Mexico that is a juridical 
                      person that an investor of another Party owns or 
                      controls directly or indirectly alleges in 
                      proceedings before a Mexican court or administrative 
                      tribunal that Mexico has breached an obligation 
                      under: 
 
                      (i)  Section A or Article 1503(2) (State 
                           Enterprises), or 
 
                      (ii) Article 1502(3)(a) (Monopolies and State 
                           Enterprises) where the monopoly has acted in a 
                           manner inconsistent with the Party's obligations 
                           under Section A, 
 
                 the investor may not allege the breach in an arbitration 
                 under this Section. 
 
 
 
 
 
 
 
 
 
                                         11-27  
 
 
 
 
 
 
  
 
 
 
 
 
                                                               Annex 1137.2                                             
                  ____________ 
 
 
                                      Annex 1137.2 
 
                    Service of Documents on a Party Under Section B 
 
 
                 Each Party shall set out in this Annex and publish in its 
            official journal by  
            January 1, 1994, the place for delivery of notice and other 
            documents under this Section. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                         11-28  
 
 
 
 
 
 
  
 
 
 
 
 
                                                               Annex 1137.4                                             
                  ____________ 
 
 
                                      Annex 1137.4 
 
                                Publication of an Award 
 
 
                                         Canada 
 
                 Where Canada is the disputing Party, either Canada or a 
            disputing investor that is a party to the arbitration may make 
            an award public. 
 
 
                                         Mexico 
 
                 Where Mexico is the disputing Party, the applicable 
            arbitration rules apply to the publication of an award. 
 
 
                                     United States 
 
                 Where the United States is the disputing Party, either the 
            United States or a disputing investor that is a party to the 
            arbitration may make an award public. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                         11-29  
 
 
 
 
 
 
  
 
 
 
 
 
                                                               Annex 1138.2                                             
                  ____________ 
 
 
                                      Annex 1138.2 
 
                           Exclusions from Dispute Settlement 
 
 
                                         Canada 
 
                 A decision by Canada following a review under the 
            Investment Canada Act, with respect to whether or not to permit 
            an acquisition that is subject to review, shall not be subject 
            to the dispute settlement provisions of Section B or of Chapter 
            Twenty (Institutional Arrangements and Dispute Settlement 
            Procedures). 
 
 
                                         Mexico 
 
                 A decision by the National Commission on Foreign 
            Investment ("Comisi n Nacional de Inversiones Extranjeras") 
            following a review pursuant to Annex I, page I-M-4, with 
            respect to whether or not to permit an acquisition that is 
            subject to review, shall not be subject to the dispute 
            settlement provisions of Section B or of Chapter Twenty 
            (Institutional Arrangements and Dispute Settlement Procedures). 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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