View Treaty - E105078
E105078 (2)
ANNEX I – Reservations for Existing Measures and Liberalization Commitments
Headnote
1. The Schedule of a Party sets out, pursuant to Article 9 (1), the reservations taken by that Party with respect to existing measures by a Party that do not conform with obligations imposed by:
(a) Article 3 (National Treatment);
(b) Article 4 (Most-Favoured-Nation Treatment);
(c) Article 6 (Senior Management, Boards of Directors and Entry of Personnel);
(d) Article 7 (Performance Requirements).
2. Each reservation sets out the following elements:
(a) Sector refers to the general sector in which the reservation is taken;
(b) Sub-Sector refers to the specific sector in which the reservation is taken;
(c) Industry Classification refers, where applicable, to the activity covered by the reservation according to domestic industry classification codes;
(d) Type of Reservation specifies the obligation referred to in paragraph 1 for which a reservation is taken;
(e) Measures identifies the laws, regulations or other measures, as qualified, where indicated, by the Description element, for which the reservation is taken. A measure cited in the Measures element:
(i) means the measure as amended, continued or renewed as of the date of entry into force of this Agreement, and
(ii) includes any subordinate measure adopted or maintained under the authority of and consistent with the measure;
(f) Description sets out the non-conforming aspects of the existing measures for which the reservation is taken. It may also set out commitments for liberalization.
3. In the interpretation of a reservation, all elements of the reservation shall be considered. A reservation shall be interpreted in the light of the relevant provisions of the Articles against which the reservation is taken. To the extent that:
(a) the Measures element is qualified by a liberalization commitment from the Description element, the Measures element as so qualified shall prevail over all other elements; and
(b) the Measures element is not so qualified, the Measures element shall prevail over all other elements, unless any discrepancy between the Measures element and the other elements considered in their totality is so substantial and material that it would be unreasonable to conclude that the Measures element should prevail, in which case the other elements shall prevail to the extent of that discrepancy.
4. The listing of a measure in this Annex is without prejudice to a future claim that Annex II may apply to the measure or some application of the measure.
5. For the purposes of this Annex:
CPC means Central Product Classification ( CPC ) numbers as set out in Statistical Office of the United Nations, Statistical Papers, Series M, No. 77, Provisional Central Product Classification, 1991; and
SIC means Standard Industrial Classification (SIC) numbers as set out in Statistics Canada, Standard Industrial Classification, fourth edition, 1980.
ANNEX I
Schedule of Canada
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Sector: |
All Sectors |
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Sub-Sector: |
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Industry Classification: |
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Type of Reservation: |
National Treatment (Article 3) |
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Measures: |
Investment Canada Act, R.S.C. 1985, c. 28
(1st Supp.) |
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| Description: | 1. Under the Investment Canada Act, the following acquisitions of Canadian businesses by "non-Canadians" are subject to review by the Director of Investments: | |
| (a) | all direct acquisitions of Canadian businesses with assets of C$5 million or more; | |
| (b) | all indirect acquisitions of Canadian businesses with assets of C$50 million or more; and | |
| (c) | indirect acquisitions of Canadian businesses with assets between C$5 million and C$50 million that represent more than 50 percent of the value of the assets of all the entities the control of which is being acquired, directly or indirectly, in the transaction in question. | |
| 2. A "non-Canadian" is an individual, government or agency thereof or an entity that is not "Canadian". "Canadian” means a Canadian citizen or permanent resident, government in Canada or agency thereof or Canadian-controlled entity as provided for in the Investment Canada Act. | ||
| 3. In addition, specific acquisitions or establishment of new businesses in designated types of business activities relating to Canada's cultural heritage or national identity, which are normally notifiable, may be reviewed if the Governor in Council authorizes a review in the public interest. | ||
| 4. An investment subject to review under the Investment Canada Act may not be implemented unless the Minister responsible for the Investment Canada Act advises the applicant that the investment is likely to be of net benefit to Canada. Such a determination is made in accordance with six factors described in the Act, summarized as follows: | ||
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(a) | the effect of the investment on the level and nature of economic activity in Canada, including the effect on employment, on the utilization of parts, components and services produced in Canada, and on exports from Canada; |
| (b) | the degree and significance of participation by Canadians in the investment; | |
| (c) | the effect of the investment on productivity, industrial efficiency, technological development and product innovation in Canada; | |
| (d) | the effect of the investment on competition within any industry or industries in Canada; | |
| (e) | the compatibility of the investment with national industrial, economic and cultural policies, taking into consideration industrial, economic and cultural policy objectives enunciated by the government or legislature of any province likely to be significantly affected by the investment; and | |
| (f) | the contribution of the investment to Canada 's ability to compete in world markets. | |
| 5. In making a net benefit determination, the Minister, through the Director of Investments, may review plans under which the applicant demonstrates the net benefit to Canada of the proposed acquisition. An applicant may also submit undertakings to the Minister in connection with any proposed acquisition which is the subject of review. In the event of noncompliance with an undertaking by an applicant, the Minister may seek a court order directing compliance or any other remedy authorized under the Act. | ||
| 6. Non-Canadians who establish or acquire Canadian businesses, other than those that are subject to review, as described above, must notify the Director of Investments. | ||
| 7. The Director of Investments will review an "acquisition of control", as defined in the Investment Canada Act, of a Canadian business by an investor of the other Party if the value of the gross assets of the Canadian business is not less than the applicable threshold. | ||
| 8. The higher review threshold, calculated as set out in paragraph 13, does not apply to acquisitions in the following sectors: uranium production and ownership of uranium producing properties; financial services; transportation services; and cultural businesses. | ||
| 9. Notwithstanding the definition of "investor of a party" in Article 1, only investors who are nationals, or entities controlled by nationals as provided for in the Investment Canada Act, of the other Party may benefit from the higher review threshold. | ||
| 10. An indirect "acquisition of control" of a Canadian business in any sector other than those sectors identified in paragraph 8 by an investor of the other Party is not reviewable. | ||
| 11. Notwithstanding Article 7, Canada may impose requirements, or enforce any commitment or undertaking, in connection with the establishment, acquisition, expansion, conduct or operation of an investment of an investor of the other Party or of a non-Party for the transfer of technology, production process or other proprietary knowledge to a national or enterprise, affiliated to the transferor, in Canada, in connection with the review of an acquisition of an investment under the Investment Canada Act. | ||
12. Except for requirements, commitments or undertakings relating to technology transfer as set out in paragraph 11, Article 7 shall apply to requirements, commitments or undertakings imposed or enforced under the Investment Canada Act. Article 7 shall not be construed to apply to any requirement, commitment or undertaking imposed or enforced in connection with a review under the Investment Canada Act, to locate production, carry out research and development, employ or train workers, or to construct or expand particular facilities, in Canada. |
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13. For direct acquisitions of control by investors of the other Party or for investors of a non-Party where the Canadian business is controlled by an investor of the other Party, the applicable threshold for review is C$265 million for the year 2006 and for each year thereafter the amount determined by the Minister in January of that year arrived at by using the following formula: |
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Annual Adjustment = |
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| Current Nominal GDP at Market Prices ___________________ |
X | amount determined for previous year | |
| Previous Year Nominal GDP at Market Prices |
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"Current Nominal GDP at Market Prices" means the average of the Nominal Gross Domestic Products at Market Prices for the most recent four consecutive quarters. "Previous Year Nominal GDP at Market Prices" means the average of the Nominal Gross Domestic Product for the four consecutive quarters for the comparable period in the year preceding the year used in calculating the "Current Nominal GDP at Market Prices". The amounts determined in this manner will be rounded to the nearest million dollars. |
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| Sector: | All Sectors |
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| Sub-Sector: |
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| Industry Classification: |
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| Type of Reservation: | National Treatment (Article 3) |
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| Measures: | As set out in the Description element |
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| Description: | Canada or any province, when selling or disposing of its equity interests in, or the assets of, an existing state enterprise or an existing governmental entity, may prohibit or impose limitations on the ownership of such interests or assets, and on the ability of owners of such interests or assets to control any resulting enterprise, by investors of the other Party or of a non-Party or their investments. With respect to such a sale or other disposition, Canada or any province may adopt or maintain any measure relating to the nationality of senior management or members of the board of directors. For purposes of this reservation: |
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| (a) | any measure maintained or adopted after the date of entry into force of this Agreement that, at the time of sale or other disposition, prohibits or imposes limitations on the ownership of equity interests or assets or imposes nationality requirements described in this reservation shall be deemed to be an existing measure; and | |
| (b) | "state enterprise" means an enterprise owned or controlled through ownership interests by Canada or any province and includes an enterprise established after the date of entry into force of this Agreement solely for the purposes of selling or disposing of equity interests in, or the assets of, an existing state enterprise or governmental entity. | |
Sector: |
All Sectors |
Sub-Sector: |
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Industry Classification: |
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Type of Reservation: |
National Treatment (Article 3) |
Measures: |
Canada Business Corporations Act, R.S.C. 1985, c. C44 |
Description: |
"Constraints" may be placed on the issue, transfer and ownership of shares in federally incorporated corporations. The object is to permit corporations to meet Canadian ownership requirements, under certain laws set out in the Canada Business Corporations Act Regulations, in sectors where ownership is required as a condition to operate or to receive licenses, permits, grants, payments or other benefits. In order to maintain certain "Canadian" ownership levels, a corporation is permitted to sell shareholders' shares without the consent of those shareholders, and to purchase its own shares on the open market. "Canadian" is defined in the Canada Business Corporations Act Regulations. |
Sector: |
All Sectors |
Sub-Sector: |
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Industry Classification: |
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Type of Reservation: |
Senior Management, Boards of Directors and Entry of Personnel (Article 6) |
Measures: |
Canada Business Corporations Act, R.S.C. 1985, c. C-44 |
Description: |
The Canada Business Corporations Act requires, for most federally-incorporated corporations, that 25 per cent of directors be resident Canadians. A simple majority of resident Canadian directors is required for corporations in prescribed sectors. These sectors include: uranium mining; book publishing or distribution; book sales, where the sale of books is the primary part of the corporation's business; and film or video distribution. Similarly, corporations that, by an Act of Parliament or Regulation, are individually subject to minimum Canadian ownership requirements are required to have a majority of resident Canadian directors. For purposes of the Act, "resident Canadian" means an individual who is a Canadian citizen ordinarily resident in Canada, a citizen who is a member of a class set out in the Canada Business Corporations Act Regulations, or a permanent resident as defined in the Immigration and Refugee Protection Act other than one who has been ordinarily resident in Canada for more than one year after he or she became eligible to apply for Canadian citizenship. In the case of a holding corporation, not more than one-third of the directors need be resident Canadians if the earnings in Canada of the holding corporation and its subsidiaries are less than five percent of the gross earnings of the holding corporation and its subsidiaries. Under Part IV of the Canada Corporations Act, a simple majority of the elected directors of a Special Act corporation must be resident in Canada and citizens of a Commonwealth country. This requirement applies to every joint stock company incorporated subsequent to June 22, 1869 by any Special Act of Parliament. |
Sector: |
All Sectors |
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Sub-Sector: |
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Industry Classification: |
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Type of Reservation: |
National Treatment (Article 3) |
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Measures: |
Citizenship Act, R.S.C. 1985, c. C-29 |
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| Description: | The Foreign Ownership of Land Regulations are made pursuant to the Citizenship Act and the Alberta Agricultural and Recreational Land Ownership Act. In Alberta, an ineligible person or foreign-owned or controlled corporation may only hold an interest in controlled land consisting of not more than two parcels containing, in the aggregate, not more than 20 acres. An “ ineligible person” is: | |
| (a) | an individual who is not a Canadian citizen or permanent resident; | |
| (b) | a foreign government or agency thereof; or | |
| (c) | a corporation incorporated elsewhere than in Canada. |
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“Controlled land” means land in Alberta but does not include: |
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| (a) | land of the Crown in right of Alberta; | |
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(b) | land within a city, town, new town, village or summer village; and |
| (c) | mines or minerals. | |
Sector: |
All Sectors |
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Sub-Sector: |
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Industry Classification: |
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Type of Reservation: |
National Treatment (Article 3) |
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Measures: |
Air Canada Public Participation Act, R.S.C. 1985, c. 35 (4th Supp.) |
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| Description: | A "non-resident" or “non-residents” may not own more than a specified percentage of the voting shares of the corporation to which each Act applies. For some companies the restrictions apply to individual shareholders, while for others the restrictions may apply in the aggregate. Where there are limits on the percentage that an individual Canadian investor can own, these limits also apply to non-residents. The restrictions are as follows: |
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Air Canada: 25 percent in the aggregate; |
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| "Non-resident" generally means: | |||
| (a) | an individual, other than a Canadian citizen, who is not ordinarily resident in Canada; | ||
| (b) | a corporation incorporated, formed or otherwise organized outside Canada; | ||
| (c) | the government of a foreign state or any political subdivision thereof, or a person empowered to perform a function or duty on behalf of such a government; |
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| (d) | a corporation that is controlled directly or indirectly by non-residents as defined in any of paragraphs (a) through (c); | ||
| (e) | a trust | ||
| (i) | established by a non-resident as defined in any of paragraphs (b) through (d), other than a trust for the administration of a pension fund for the benefit of individuals a majority of whom are residents, or | ||
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(ii) | in which non-residents as defined in any of paragraphs (a) through (d) have more than 50 percent of the beneficial interest; or |
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| (f) | a corporation that is controlled directly or indirectly by a trust referred to in paragraph (e). | ||
Sector: |
Business Service Industries |
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Sub-Sector: |
Customs Brokers |
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Industry Classification: |
SIC 7794 - Customs Brokers |
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Type of Reservation: |
Senior Management, Boards of Directors and Entry of Personnel (Article 6) |
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Measures: |
Customs Act, R.S.C. 1985, c. 1 (2nd Supp.) |
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| Description: | To be a licensed customs broker in Canada : | |
| (a) | an individual must be a Canadian citizen or permanent resident; | |
| (b) | a corporation must be incorporated in Canada with a majority of its directors being Canadian citizens or permanent residents; and | |
| (c) | a partnership must be composed of persons who are Canadian citizens or permanent residents, or corporations incorporated in Canada with a majority of their directors being Canadian citizens or permanent residents. | |
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Sector: |
Business Service Industries |
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Sub-Sector: |
Duty Free Shops |
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Industry Classification: |
SIC 6599 - Other Retail Stores, Not Elsewhere Classified (limited to duty free shops) |
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Type of Reservation: |
National Treatment (Article 3) |
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Measures: |
Customs Act, R.S.C. 1985, c. 1 (2nd Supp.) |
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Description: |
1. To be a licensed duty free shop operator at a land border crossing in Canada, an individual must: |
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| (a) | be a Canadian citizen or permanent resident; | |
| (b) | be of good character; | |
| (c) | be principally resident in Canada; and | |
| (d) | have resided in Canada for at least 183 days of the year preceding the year of application for the license. | |
| 2. To be a licensed duty free shop operator at a land border crossing in Canada, a corporation must: | ||
| (a) | be incorporated in Canada; and | |
| (b) | have all of its shares beneficially owned by Canadian citizens or permanent residents who meet the requirements of paragraph 1. | |
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Sector: |
Business Service Industries |
Sub-Sector: |
Examination Services relating to the Export and Import of Cultural Property |
Industry Classification: |
SIC 999 - Other Services, Not Elsewhere Classified (limited to cultural property examination services) |
Type of Reservation: |
National Treatment (Article 3) |
Measures: |
Cultural Property Export and Import Act, R.S.C. 1985, c. C-51 |
Description: |
Only a "resident of Canada" or an "institution" in Canada may be designated as an "expert examiner" of cultural property for purposes of the Cultural Property Export and Import Act. A "resident of Canada” is an individual who is ordinarily resident in Canada, or a corporation that has its head office in Canada or maintains one or more establishments in Canada to which employees employed in connection with the business of the corporation ordinarily report for work. An "institution" is an institution that is publicly owned and operated solely for the benefit of the public, that is established for educational or cultural purposes and that conserves objects and exhibits them. |
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Sector: |
Business Service Industries |
Sub-Sector: |
Patent Agents and Agencies |
Industry Classification: |
SIC 999 - Other Services, Not Elsewhere Classified (limited to patent agency) |
Type of Reservation: |
National Treatment (Article 3) |
Measures: |
Patent Act, R.S.C. 1985, c. P-4 |
Description: |
To represent persons in the presentation and prosecution of applications for patents or in other business before the Patent Office, a patent agent must be resident in Canada and registered by the Patent Office. A registered patent agent who is not resident in Canada must appoint a registered patent agent who is resident in Canada as an associate to prosecute an application for a patent. An enterprise may be added to the patent register provided that it has at least one member who is also on the register. |
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Sector: |
Business Service Industries |
Sub-Sector: |
Trade-Mark Agents |
Industry Classification: |
SIC 999 - Other Services, Not Elsewhere Classified (limited to trade-mark agency) |
Type of Reservation: |
National Treatment (Article 3) |
Measures: |
Trade-Marks Act, R.S.C. 1985, c. T-13 |
Description: |
To represent persons in the presentation and prosecution of applications for trade-marks or in other business before the Trade-Mark Office, a trade-mark agent must be resident in Canada and registered by the Trade-Mark Office. A registered trade-mark agent who is not resident in Canada must appoint a registered trade-mark agent who is resident in Canada as an associate to prosecute an application for a trade-mark. A firm may be added to the list of trade-marks agents provided that it has at least one member who is also on the register. |
Sector: |
Energy |
Sub-Sector: |
Oil and Gas |
Industry Classification: |
SIC 071 - Crude Petroleum and Natural Gas Industries |
Type of Reservation: |
National Treatment (Article 3) |
Measures: |
Canada Petroleum Resources Act, R.S.C. 1985, c. 36
(2nd Supp.) |
Description: |
This reservation applies to production licenses issued with respect to "frontier lands" and "offshore areas" (areas not under provincial jurisdiction) as defined in the applicable measures. Persons who hold oil and gas production licenses or shares therein for discoveries made after March 5, 1982, must be corporations incorporated in Canada. The Canadian ownership requirements for oil and gas production licenses for discoveries made prior to March 5, 1982, are set out in the Canada Oil and Gas Land Regulations. |
Sector: |
Energy |
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Sub-Sector: |
Oil and Gas |
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Industry Classification: |
SIC 071 - Crude Petroleum and Natural Gas Industries |
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Type of Reservation: |
Performance Requirements (Article 7) |
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Measures: |
Canada Oil and Gas Production and Conservation Act, R.S.C. 1985, c.O-7, as amended by Canada Oil and Gas Operations Act, S.C. 1992, c.35 |
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| Description: | 1. Under the Canada Oil and Gas Operations Act, the approval of the Minister of Energy, Mines and Resources of a "benefits plan" is required to receive authorization to proceed with any oil and gas development project. | |
| 2. A "benefits plan" is a plan for the employment of Canadians and for providing Canadian manufacturers, consultants, contractors and service companies with a full and fair opportunity to participate on a competitive basis in the supply of goods and services used in any proposed work or activity referred to in the benefits plan. | ||
| The Act permits the Minister to impose an additional requirement on the applicant, as part of the benefits plan, to ensure that disadvantaged individuals or groups have access to training and employment opportunities or can participate in the supply of goods and services used in any proposed work referred to in the benefits plan. | ||
3. The Canada - Nova Scotia Offshore Petroleum Resources Accord Implementation Act and the Canada - Newfoundland Atlantic Accord Implementation Act have the same requirement for a benefits plan but also require that the benefits plan ensure that: |
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| (a) | prior to carrying out any work or activity in the offshore area, the corporation or other body submitting the plan establish in the applicable province an office where appropriate levels of decision-making are to take place; | |
| (b) | expenditures be made for research and development to be carried out in the province, and for education and training to be provided in the province; and |
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| (c) | first consideration be given to goods produced or services provided from within the province, where those goods or services are competitive in terms of fair market price, quality and delivery. | |
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4. The Boards administering the benefits plan under these Acts may also require that the plan include provisions to ensure that disadvantaged individuals or groups, or corporations owned or cooperatives operated by them, participate in the supply of goods and services used in any proposed work or activity referred to in the plan. |
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5. In addition, Canada may impose any requirement or enforce any commitment or undertaking for the transfer of technology, a production process or other proprietary knowledge to a person of Canada in connection with the approval of development projects under the applicable Acts. |
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| 6. Provisions similar to those set out above will be included in laws or regulations to implement the Yukon Oil and Gas Accord and Northwest Territories Oil and Gas Accord which for purposes of this reservation shall be deemed, once concluded, to be existing measures. | ||
Sector: |
Energy |
Sub-Sector: |
Oil and Gas |
Industry Classification: |
SIC 071 - Crude Petroleum and Natural Gas Industries |
Type of Reservation: |
Performance Requirements (Article 7) |
Measures: |
Canada - Newfoundland Atlantic Accord Implementation Act,
S.C. 1987, c. 3 |
Description: |
Pursuant to the Hibernia Development Project Act, Canada and the "Hibernia Project Owners" may enter into agreements whereby the Project Owners undertake to perform certain work in Canada and Newfoundland and to use their "best efforts" to achieve specific Canadian and Newfoundland "target levels" in relation to the provisions of any "benefits plan" required under the Canada-Newfoundland Atlantic Accord Implementation Act. "Benefits plans" are further described in Schedule of Canada, Annex I. In addition, Canada may impose in connection with the Hibernia project any requirement or enforce any commitment or undertaking for the transfer of technology, a production process or other proprietary knowledge to a national or enterprise in Canada. |
Sector: |
Energy |
Sub-Sector: |
Uranium |
Industry Classification: |
SIC 0616 - Uranium Mines |
Type of Reservation: |
National Treatment (Article 3) |
Measures: |
Investment Canada Act, R.S.C. 1985, c. 28 (1st Supp.) |
Description: |
Ownership by "non-Canadians", as defined in the Investment Canada Act, of a uranium mining property is limited to 49 percent at the stage of first production. Exceptions to this limit may be permitted if it can be established that the property is in fact "Canadian controlled" as defined in the Investment Canada Act. Exemptions from the policy are permitted, subject to approval of the Governor in Council, only in cases where Canadian participants in the ownership of the property are not available. Investments in properties by non Canadians, made prior to December 23, 1987, and that are beyond the permitted ownership level, may remain in place. No increase in non-Canadian ownership is permitted. |
Sector: |
Fisheries |
Sub-Sector: |
Fish Harvesting and Processing |
Industry Classification: |
SIC 031 - Fishing Industry |
Type of Reservation: |
National Treatment (Article 3) |
Measures: |
Coastal Fisheries Protection Act, R.S.C. 1985, c. C33 |
Description: |
Under the Coastal Fisheries Protection Act, foreign fishing vessels are prohibited from entering Canada's Exclusive Economic Zone except under authority of a license or under treaty. "Foreign" vessels are those which are not "Canadian" as defined in the Coastal Fisheries Protection Act. Under the Fisheries Act, the Minister of Fisheries and Oceans has discretionary authority with respect to the issuance of licenses. Fish processing enterprises that have a foreign ownership level of more than 49 percent are prohibited from holding Canadian commercial fishing licenses. |
Sector: |
Transportation |
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Sub-Sector: |
Air Transportation |
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Industry Classification: |
SIC 451 - Air Transport Industries |
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Type of Reservation: |
National Treatment (Article 3) |
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Measures: |
Canada Transportation Act, S.C. 1996, c.10 |
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Description: |
The Canada Transportation Act, in Section 55, defines "Canadian" in the following manner: "... 'Canadian' means a Canadian citizen or a permanent resident within the meaning of the Immigration and Refugee Protection Act, a government in Canada or an agent of such a government or a corporation or other entity that is incorporated or formed under the laws of Canada or a province, that is controlled in fact by Canadians and of which at least seventy-five per cent, or such lesser percentage as the Governor in Council may by regulation specify, of the voting interests are owned and controlled by Canadians..." Regulations made under the Aeronautics Act incorporate by reference the definition of "Canadian" found in the Canada Transportation Act. These Regulations require that a Canadian operator of commercial air services operate Canadian-registered aircraft. These regulations require an operator to be Canadian in order to obtain a Canadian Air Operator Certificate and to qualify to register aircraft as “Canadian”. Only "Canadians" may provide the following commercial air transportation services: |
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| (a) | "domestic services" (air services between points, or from and to the same point, in the territory of Canada, or between a point in the territory of Canada and a point not in the territory of another country); | |
| (b) | "scheduled international services" (scheduled air services between a point in the territory of Canada and a point in the territory of another country) where those services have been reserved to Canadian carriers under existing or future air services agreements; | |
| (c) | "non-scheduled international services" (non-scheduled air services between a point in the territory of Canada and a point in the territory of another country) where those services have been reserved to Canadian carriers under the Canada Transportation Act. | |
| (d) | "specialty air services" (include, but are not limited to: aerial mapping, aerial surveying, aerial photography, forest fire management, fire-fighting, aerial advertising, glider towing, parachute jumping, aerial construction, heli-logging, aerial inspection, aerial surveillance, flight training, aerial sightseeing and aerial crop spraying).
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No foreign individual may own a Canadian-registered aircraft for private use. A corporation incorporated in Canada but that does not meet the Canadian ownership and control requirements may only register an aircraft for private use when the corporation is the sole owner of the aircraft. The Canadian Aviation Regulations also have the effect of limiting "non-Canadian" corporations operating foreign-registered private aircraft within Canada to the carriage of their own employees. |
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Sector: |
Transportation |
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Sub-Sector: |
Water Transportation |
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| Industry Classification: | SIC 4541 | Freight and Passenger Water Transport Industry | ||
| SIC 4542 | Ferry Industry | |||
| SIC 4543 | Marine Towing Industry | |||
| SIC 4549 | Other Water Transport Industries | |||
| SIC 4553 | Marine Salvage Industry | |||
| SIC 4559 | Other Service Industries Incidental to Water Transport | |||
| Type of Reservation: | National Treatment (Article 3) | |||
| Measures: | Canada Shipping Act, R.S.C. 1985, c. S-9, Part I | |||
Description: |
(1) To register a ship in Canada, the owner of that ship or the person who has exclusive possession of that ship must be: |
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(a) |
a Canadian citizen or a permanent resident within the meaning of subsection 2(1) of the Immigration and Refugee Protection Act, | ||
| (b) | a corporation incorporated under the laws of Canada or a province, or | |||
| (c) | when the ship is not already registered in another country, a corporation incorporated under the laws of a country other than Canada if one of the following is acting with respect to all matters relating to the ship, namely, |
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i. | a subsidiary of the corporation that is incorporated under the laws of Canada or a province, | |
| ii | an employee or director in Canada of any branch office of the corporation that is carrying on business in Canada, or | |||
| iii. | a ship management company incorporated under the laws of Canada or a province. | |||
| (2) A ship registered in a foreign country which has been bareboat chartered may be listed in Canada for the duration of the charter while the ship's registration is suspended in its country of registry, if the charterer is: | ||||
| (a) | a Canadian citizen or permanent resident as defined in subsection 2(1) of the Immigration and Refugee Protection Act, or | |||
| (b) | a corporation incorporated under the laws of Canada or a province. | |||
Sector: |
Transportation |
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Sub-Sector: |
Water Transportation |
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| Industry Classification: | SIC 4541 | Freight and Passenger Water Transport Industry |
| SIC 4542 | Ferry Industry | |
| SIC 4543 | Marine Towing Industry | |
| SIC 4549 | Other Water Transport Industries | |
| SIC 4553 | Marine Salvage Industry | |
| SIC 4554 | Piloting Service, Water Transport Industry | |
| SIC 4559 | Other Service Industries Incidental to Water Transport | |
Type of Reservation: |
Senior Management, Boards of Directors and Entry of Personnel (Article 6) |
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Measures: |
Canada Shipping Act, R.S.C. 1985, c. S-9, Part II |
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Description: |
Masters, mates, engineers and certain other seafarers must hold certificates granted by the Minister of Transport as a requirement of service on Canadian registered ships. Such certificates may be granted only to Canadian citizens or permanent residents. |
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Sector: |
Transportation |
Sub-Sector: |
Water Transportation |
Industry Classification: |
SIC 4554 Piloting Service, Water Transport Industry |
Type of Reservation: |
Senior Management, Boards of Directors and Entry of Personnel (Article 6) |
Measures: |
Pilotage Act, R.S.C., 1985, c. P-14 General Pilotage Regulations, SOR/2000-132 Atlantic Pilotage Authority Regulations, C.R.C. 1978, c. 1264 Laurentian Pilotage Authority Regulations, C.R.C. 1978, c. 1268 Great Lakes Pilotage Regulations, C.R.C. 1978, c. 1266 Pacific Pilotage Regulations, C.R.C. 1978, c. 1270 |
Description: |
A licence or a pilotage certificate issued by the relevant regional Pilotage Authority is required to provide pilotage services in the compulsory pilotage waters of the territory of Canada. Only Canadian citizens or permanent residents may obtain such a licence or pilotage certificate. A permanent resident of Canada who has been issued a pilot's licence or pilotage certificate must become a Canadian citizen within five years of receipt of such licence or pilotage certificate in order to retain it. |
ANNEX I
Schedule of the Republic of Peru
Sector: |
All Sectors |
Type of Reservation: |
National Treatment (Article 3) |
Measures: |
Constitución Política del Perú (1993), Articulo 71. Decreto Legislativo N° 757, Diario Oficial “El Peruano” del 13 de noviembre de 1991, Ley Marco para el Crecimiento de la Inversión Privada, Artículo 13. |
Description: |
No foreign national, enterprise organized under foreign law or enterprise organized under Peruvian law and owned in whole or part, directly or indirectly, by foreign nationals may acquire or own by any title, directly or indirectly, land or water (including a mine, forest land, or energy sources) located within 50 kilometers of the Peruvian border. Exceptions may be authorized by Supreme Decree approved by the Council of Ministers in cases of expressly declared public necessity. 1 |
Sector: |
Notary Services |
Type of Reservation: |
National Treatment (Article 3) |
Measures: |
Decreto Ley N° 26002, Diario Oficial El Peruano del 27 de Diciembre de 1992, Ley del Notariado, Artículos 5 (modificado por Ley N° 26741) y Artículo 10 (modificado por Ley N° 27094). |
Description: |
Only a Peruvian national by birth may supply notary services. Accordingly, foreign persons cannot be notaries, nor own a notary firm in the Republic of Peru. |
Sector: |
Architecture Services |
Type of Reservation: |
National Treatment (Article 3) |
Measures: |
Ley Nº 14085, Diario Oficial “El Peruano” del 30 de junio de 1962, Ley de Creación del Colegio de Arquitectos del Perú. Ley Nº 16053, Diario Oficial “El Peruano” del 14 de febrero de 1966, Ley del Ejercicio Profesional, Autoriza a los Colegios de Arquitectos e Ingenieros del Perú para supervisar a los profesionales de Ingeniería y Arquitectura de la República, Artículo 1. Acuerdo del Consejo de Arquitectos, del 06 de octubre de 1987. |
Description: |
To obtain temporary registration, non-resident foreign architects must have a contract of association with a Peruvian architect residing in Republic of Peru. |
Sector: |
Security Services |
Type of Reservation: |
Senior Management, Boards of Directors and Entry of Personnel (Article 6) |
Measures: |
Decreto Supremo N° 005-94-IN, Diario Oficial “El Peruano” del 12 de mayo de 1994, Reglamento de Servicios de Seguridad Privada, Artículos 81 y 83. |
Description: |
Senior managers of an enterprise that supplies security services must be Peruvian nationals by birth and be residents of the Republic of Peru. |
|
Sector: |
Transportation |
|
Type of Reservation: |
National Treatment (Article 3) |
|
Measures: |
Ley N° 27261, Diario Oficial “El Peruano” del 10 de mayo del 2000, Ley de Aeronáutica Civil, Artículo 79. Decreto Supremo N° 050-2001 -MTC, Diario Oficial “El Peruano” del 26 de diciembre de 2001, Reglamento de la Ley de Aeronáutica Civil, Artículos 147, 159, 160 y VI Disposición Complementaria. |
|
| Description: | National Commercial Aviation Service is reserved to a Peruvian natural or juridical person. National Commercial Aviation Service includes specialty air services. For purposes of this entry, a Peruvian juridical person is an enterprise that fulfils the following requirements: |
|
| (a) | is constituted under Peruvian law, specifies commercial aviation as its corporate purpose, is domiciled in Peru, and has its principal activities and administration located in Peru; | |
| (b) | at least half plus one of the directors, managers, and persons who control or manage the enterprise are Peruvian nationals or have permanent domicile or are normally resident in Peru; and |
|
|
(c) | at least 51 percent of the capital must be owned by Peruvian nationals and be under the real and effective control of Peruvian shareholders or partners permanently domiciled in Peru. (This limitation shall not apply to the enterprises constituted under law Nº 24882, which may maintain the ownership percentages set in such law). Six months after the date of authorization of the enterprise to provide commercial air transportation services, foreign nationals may own up to 70% of the capital of the enterprise. |
Sector: |
Transportation |
||
Type of Reservation: |
National Treatment (Article 3) |
||
Measures: |
Ley Nº 28583, Ley de Reactivación y Promoción de la Marina Mercante Nacional, Diario Oficial “El Peruano” del 22 de julio de 2005, Artículos 4.1, 6.1, 7.1, 7.2, 7.4 y 13.6. Decreto Supremo Nº 028 DE/ MGP, Diario Oficial “El Peruano” de 25 de mayo de 2001, Reglamento de la Ley Nº 26620, Artículo I-010106, literal a). |
||
| Description: | 1. | Only a “National shipowner” or “National Ship Enterprise” may supply maritime cabotage services. 2 A “National shipowner” or “National Ship Enterprise” means a Peruvian national or juridical person organized under Peruvian law, with its principal domicile and real and effective headquarters in the Republic of Peru, whose business is to provide water transportation services for cabotage or international traffic and which is the owner or lessee under a financial lease or a bareboat charter, with an obligatory purchase option, of at least one Peruvian flag merchant ship and that has obtained the relevant Operation Permit from the General Aquatic Transport Directorate. | |
| 2. | At least 51 percent of the subscribed and paid-in capital must be owned by Peruvian citizens. | ||
| 3. | The chairman of the board of directors, a majority of the directors, and the General Manager of a National Ship Enterprise must be nationals and resident in the Republic of Peru. | ||
| 4. | The captain of the Peruvian-flagged vessels must be a Peruvian national and the crew must have at least 80% of Peruvian nationals authorized by the “Dirección General de Capitanías y Guardacostas”. In cases where there is no duly qualified Peruvian captain, a foreign national may be authorized to serve as captain. | ||
| 5. | Only a Peruvian national may be a licensed harbour pilot. | ||
| 6. | Cabotage is exclusively reserved to Peruvian flagged vessels owned by a National Shipowner or National Ship Enterprise or leased under a financial lease or a bareboat charter, with an obligatory purchase option, except that: | ||
| (i) | Twenty-five per cent of the transport of hydrocarbons in national waters is reserved for the boats of the Peruvian Navy; and | ||
| (ii) | Foreign-flagged vessels may be used by a National Shipowner or National Ship Enterprise for a period of no more than six months for water transportation exclusively between Peruvian ports or cabotage when such an entity does not own its own vessels or lease vessels. | ||
Sector: |
All Sectors |
|
Type of Reservation: |
Senior Management, Boards of Directors and Entry of Personnel (Article 6) |
|
Measures: |
Decreto Legislativo N° 689, Ley para la Contratación de Trabajadores Extranjeros, Diario Oficial “El Peruano” del 05 de noviembre de 1991, Artículos 1, 2, 4, 5 (modificado por Ley N° 26196) y 6. |
|
| Description: | All employers in the Republic of Peru, independently of their activity or nationality, shall give preferential treatment to nationals when hiring its employees. Foreign natural persons who are service providers and who are employed by service-provider companies may provide said services in the Republic of Peru upon execution of a written employment agreement for a set period of time not to exceed 3 years, which may be subsequently extended for like periods of time. Service-providing companies must show proof of the company's commitment to train national personnel in the same occupation. Foreign natural persons may not represent more than 20 per cent of the total number of employees of an enterprise, and their pay may not exceed 30 per cent of the total payroll for wages and salaries. These percentages will not apply in the following cases: |
|
| • | When the foreign nationals providing services are the spouse, parent, child, or sibling of a Peruvian national; | |
| • | Foreign employees working for foreign companies providing international land, air and water transport under a foreign flag and registration; | |
| • | Foreign employees of multinational service companies or banks, subject to the laws governing specific cases3; | |
| • | Foreign investors, whenever its investment permanently maintains in the Republic of Peru at least 5 tributary tax units during the life of their contract4; | |
| • | Artists, athletes or other service-providers engaged in public performances in Peruvian territory, for a maximum of three months a year; | |
| • | Foreign nationals with immigrant visa; | |
| • | Foreign nationals whose countries have labour reciprocity or double nationality agreements with the Republic of Peru; | |
| • | Foreign personnel providing services in the country on behalf of bilateral or multilateral agreements celebrated by the Peruvian Government. | |
| Employers may request waivers for the percentages related to the number of foreign employees and their share of the company's payroll in those cases involving: | ||
| • | Specialized professional or technical personnel; | |
| • | Directors or management personnel for new or converted business activities; | |
| • | Teachers hired for post secondary education, or for foreign private elementary and high schools; or for foreign language teaching in local private schools; or for specialized language centers; | |
| • | Personnel working for public or private companies with contractual agreements with Public institutions; | |
|
• | In any other case determined by supreme decree pursuant to specialization, qualification or experience criteria. |
Annex II – Reservations for Future Measures
Headnote
1. The Schedule of a Party sets out, pursuant to Article 9 (2), the reservations taken by that Party with respect to specific sectors, sub-sectors or activities for which it may maintain existing, or adopt new or more restrictive, measures that do not conform with obligations imposed by:
(a) National Treatment (Article 3);
(b) Most-Favoured-Nation Treatment (Article 4);
(c) Senior Management, Boards of Directors and Entry of Personnel (Article 6);
(d) Performance Requirements (Article 7);
2. Each reservation sets out the following elements:
(a) Sector refers to the general sector in which the reservation is taken;
(b) Sub-Sector refers to the specific sector in which the reservation is taken;
(c) Industry Classification refers, where applicable, to the activity covered by the reservation according to domestic industry classification codes;
(d) Type of Reservation specifies the obligation referred to in paragraph 1 for which a reservation is taken;
(e) Description sets out the scope of the sector, sub-sector or activities covered by the reservation; and
(f) Existing Measures identifies, for transparency purposes, existing measures that apply to the sector, sub-sector or activities covered by the reservation.
3. In the interpretation of a reservation, all elements of the reservation shall be considered. The Description element shall prevail over all other elements.
4. For the purposes of this Annex:
CPC means Central Product Classification ( CPC ) numbers as set out in Statistical Office of the United Nations, Statistical Papers, Series M, No. 77, Provisional Central Product Classification, 1991; and
SIC means Standard Industrial Classification (SIC) numbers as set out in Statistics Canada, Standard Industrial Classification, fourth edition, 1980.
ANNEX II
Schedule of Canada
Sector: |
Aboriginal Affairs |
Sub-Sector: |
|
Industry Classification: |
|
Type of Reservation: |
National Treatment (Article 3)
|
Description: |
Canada reserves the right to adopt or maintain any measure denying investors of the other Party and their investments any rights or preferences provided to aboriginal peoples. |
Existing Measures: |
Constitution Act, 1982, being Schedule B of the Canada Act 1982 (U.K.), 1982, c. 11 |
Sector: |
All Sectors |
Sub-Sector: |
|
Industry Classification: |
|
Type of Reservation: |
National Treatment (Article 3) |
Description: |
Canada reserves the right to adopt or maintain any measure relating to residency requirements for the ownership by investors of the other Party, or their investments, of oceanfront land. |
Existing Measures: |
Sector: |
Communications |
|
Sub-Sector: |
Telecommunications Transport Networks and Services, Radiocommunications and Submarine Cables |
|
Industry Classification: |
CPC 752 | Telecommunications Services |
Type of Reservation: |
National Treatment (Article 3) |
|
| Description: | Canada reserves the right to adopt or maintain any measure: | |
| (a) | permitting foreign investment in facilities-based telecommunications service suppliers up to no more than a cumulative total of 46.7% of voting shares (based on 20% direct investment and 33.3% indirect investment); | |
| (b) | requiring that facilities-based telecommunications service suppliers be controlled in fact by Canadians; | |
| (c) | requiring that at least 80 percent of the members of the board of directors of facilities-based telecommunications service suppliers be Canadian; |
|
| (d) | subjecting facilities-based telecommunications service suppliers that exceeded the permissible cumulative foreign investment level on 22 July 1987 and continue to exceed this level to restrictions. | |
| Exceptions to this reservation are: | ||
| (a) | foreign investment is allowed up to 100% for suppliers conducting operations under an international submarine cable licence; | |
| (b) | mobile satellite systems owned and controlled up to a level of 100% by a foreign service provider may be used by a Canadian service provider to provide services in Canada; and | |
| (c) | fixed satellite systems owned and controlled up to a level of 100% by foreign service providers may be used to provide services between points in Canada and all points outside of Canada. | |
Existing Measures: |
Telecommunications Act, S.C. 1993, c. 38 |
|
Sector: |
Communications |
|
Sub-Sector: |
Telecommunications Transport Networks and Services, |
|
| Industrial Classification: | CPC 7529 | Other Telecommunication Services |
|
CPC 7549 |
Other Telecommunications Services Not Elsewhere Classified |
Type of Reservation: |
National Treatment (Article 3) Senior Management, Boards of Directors and Entry of Personnel (Article 6) |
|
Description: |
Canada reserves the right to adopt or maintain any measure relating to the provision of or investment in telecommunications services classified in CPC 7529, excluding mobile services, and CPC 7549. |
|
Existing Measures: |
Radiocommunication Act, R.S.C. 1985, c. R-2 |
|
Sector: |
Communications |
|
Sub-Sector: |
Telecommunications Transport Networks and Services, Radiocommunications |
|
| Industrial Classification: | CPC 752 | Telecommunications Services |
| CPC 7543 | Connection Services | |
|
CPC 7549 |
Other Telecommunications Services Not Elsewhere Classified (limited to telecommunications transport networks and services) |
Type of Reservation: |
National Treatment (Article 3) |
|
Description: |
Canada reserves the right to adopt or maintain any measure that may limit competition in the provision of interexchange voice telephone service in the serving areas of Northwestel Inc., Ontario Northland Transportation Commission, and Prince Rupert City Telephones. |
|
Existing Measures: |
Telecommunications Act, S.C. 1993, c.38 |
|
Sector: |
Communications |
|
Sub-Sector: |
Telecommunications Transport Networks and Services |
|
| Industrial Classification: | CPC 752 | Telecommunications Services |
| CPC 7543 | Connection Services | |
| CPC 7549 | Other Telecommunications Services Not Elsewhere Classified (limited to telecommunications transport networks and services) | |
Type of Reservation: |
National Treatment (Article 3) |
|
Description: |
Canada reserves the right to adopt or maintain any measure that may limit competition in the provision of local wireline telephone services in the serving areas of Northwestel Inc., Ontario Northland Transportation Commission, Prince Rupert City Telephones, Telus Communications (Edmonton) Inc. and the other independent telephone companies listed in CRTC Telecom Public Notice 95-15. |
|
Existing Measures: |
Telecommunications Act, S.C. 1993, c. 38 |
|
Sector: |
Government Finance |
Sub-Sector: |
Securities |
Industrial Classification: |
SIC 8152 - Finance and Economic Administration |
Type of Reservation: |
National Treatment (Article 3) |
Description: |
Canada reserves the right to adopt or maintain any measure relating to the acquisition, sale or other disposition by nationals of the other Party of bonds, treasury bills or other kinds of debt securities issued by the Government of Canada, a province or local government. |
Existing Measures: |
Financial Administration Act, R.S.C. 1985, c. F-11 |
Sector: |
Minority Affairs |
Sub-Sector: |
|
Industrial Classification: |
|
Type of Reservation: |
National Treatment (Article 3) Senior Management, Boards of Directors and Entry of Personnel (Article 6) Performance Requirements (Article 7) |
Description: |
Canada reserves the right to adopt or maintain any measure according rights or preferences to socially or economically disadvantaged minorities. |
Existing Measures: |
Sector: |
Services |
Sub-Sector: |
|
Industrial Classification: |
|
Type of Reservation: |
National Treatment (Article 3) Senior Management, Boards of Directors and Entry of Personnel (Article 6) Performance Requirements (Article 7) |
Description: |
Canada reserves the right to adopt or maintain any measure that is not inconsistent with Canada's obligations under Articles XVI, XVII and XVIII of the WTO General Agreement on Trade in Services. |
Existing Measures: |
Sector: |
Social Services |
Sub-Sector: |
|
Industrial Classification: |
|
Type of Reservation: |
National Treatment (Article 3) |
Description: |
Canada reserves the right to adopt or maintain any measure with respect to the provision of public law enforcement and correctional services, and the following services to the extent that they are social services established or maintained for a public purpose: income security or insurance, social security or insurance, social welfare, public education, public training, health, and child care. |
Existing Measures: |
Sector: |
Transportation |
|
Sub-Sector: |
Water Transportation |
|
| Industry Classification: | SIC 4129 | Other Heavy Construction (limited to dredging) |
| SIC 4541 | Freight and Passenger Water Transport Industry | |
| SIC 4542 | Ferry Industry | |
| SIC 4543 | Marine Towing Industry | |
| SIC 4549 | Other Water Transport Industries | |
| SIC 4552 | Harbour and Port Operation Industries (limited to berthing, bunkering and other vessel operations in a port) | |
| SIC 4553 | Marine Salvage Industry | |
| SIC 4554 | Piloting Service, Water Transport Industry | |
| SIC 4559 | Other Service Industries Incidental to Water Transport (not including landside aspects of port activities) | |
Type of Reservation: |
National Treatment (Article 3)
|
|
| Description: | Canada reserves the right to adopt or maintain any measure relating to investment in or provision of maritime cabotage services, including: | |
| (a) | the transportation of either goods or passengers by ship between points in the territory of Canada or above the continental shelf of Canada, either directly or by way of a place outside Canada; but with respect to waters above the continental shelf of Canada, the transportation of either goods or passengers only in relation to the exploration, exploitation or transportation of the mineral or non-living natural resources of the continental shelf of Canada; and | |
|
(b) |
the engaging by ship in any other marine activity of a commercial nature in the territory of Canada and, with respect to waters above the continental shelf, in such other marine activities of a commercial nature that are in relation to the exploration, exploitation or transportation of the mineral or non-living natural resources of the continental shelf of Canada. |
Existing Measures: |
Coasting Trade Act, S.C. 1992, c. 31
|
|
Annex II
Schedule of the Republic of Peru
Sector: |
Indigenous Communities, Peasant, Native, and Minority Affairs |
Type of Reservation: |
National Treatment (Article 3) |
Description: |
The Republic of Peru reserves the right to adopt or maintain any measure according rights or preferences to socially or economically disadvantaged minorities and ethnic groups. For purposes of this entry, ethnic groups means: indigenous and native communities; minorities includes peasant (campesinos) communities. |
Sector: |
Fishing |
Type of Reservation: |
National Treatment (Article 3) |
Description: |
The Republic of Peru reserves the right to adopt or maintain any measure relating to artisanal fishing. |
Sector: |
Handicraft Industries |
Type of Reservation: |
National Treatment (Article 3) |
Description: |
The Republic of Peru reserves the right to adopt or maintain any measure relating to the design, distribution, retailing, or exhibition of handicrafts that are identified as Peruvian handicrafts. Performance requirements shall in all cases be consistent with the WTO Agreement on Trade-Related Investment Measures. |
Sector: |
Jewelry Design |
Type of Reservation: |
Performance Requirements (Article 7) |
Description: |
The Republic of Peru reserves the right to adopt or maintain any measure conditioning the receipt or continued receipt of government support5 for the development and production of jewellery design, theatre arts, visual arts and music on the recipient achieving a given level or percentage of domestic creative content. For greater certainty, this entry does not apply to advertising. For greater certainty, this reservation is without prejudice to the scope and application of the exception relating to investments in cultural industries. |
Sector: |
Social Services |
Type of Reservation: |
National Treatment (Article 3) |
Description: |
The Republic of Peru reserves the right to adopt or maintain any measure with respect to the provision of law enforcement and correctional services, and the following services to the extent that they are social services established or maintained for a public purpose: income security and insurance, social security, social welfare, public education, public training, health, and childcare. |
ANNEX III
Exceptions from Most-Favoured-Nation Treatment
1. Article 4 shall not apply to treatment accorded under all bilateral or multilateral international agreements in force or signed prior to the date of entry into force of this Agreement.
2. Article 4 shall not apply to treatment by a Party pursuant to any existing or future bilateral or multilateral agreement:
(a) establishing, strengthening or expanding a free trade area or customs union; or
(b) relating to:
(i) aviation;
(ii) fisheries;
(iii) maritime matters, including salvage.
3. For greater certainty, Article 4 shall not apply to any current or future foreign aid programme to promote economic development, whether under a bilateral agreement, or pursuant to a multilateral arrangement or agreement, such as the OECD Agreement on Export Credits.
INDEX
SECTION A - DEFINITIONS
Article 1: Definitions
SECTION B – SUBSTANTIVE OBLIGATIONS
Article 2: Scope
Article 3: National Treatment
Article 4: Most-Favoured-Nation Treatment
Article 5: Minimum Standard of Treatment
Article 6: Senior Management, Boards of Directors and Entry of Personnel
Article 7: Performance Requirements
Article 8: Monopolies and State Enterprises
Article 9: Reservations and Exceptions
Article 10: General Exceptions
Article 11: Health, Safety and Environmental Measures
Article 12: Compensation for Losses
Article 13: Expropriation
Article 14: Transfer of Funds
Article 15: Subrogation
Article 16: Taxation Measures
Article 17: Prudential Measures
Article 18: Denial of Benefits
Article 19: Transparency
Annex B.4: Most-Favoured-Nation Treatment
Annex B.13(1): Expropriation
SECTION C - SETTLEMENT OF DISPUTES
BETWEEN AN INVESTOR AND THE HOST PARTY
Article 20: Purpose
Article 21: Limitation of Claims with respect to Financial Institutions of the Other Party
Article 22: Claim by an Investor of a Party on Its Own Behalf
Article 23: Claim by an Investor of a Party on Behalf of an Enterprise
Article 24: Notice of Intent to Submit a Claim to Arbitration
Article 25: Settlement of a Claim through Consultation
Article 26: Conditions Precedent to Submission of a Claim to Arbitration
Article 27: Submission of a Claim to Arbitration
Article 28: Consent to Arbitration
Article 29: Arbitrators
Article 30: Constitution of a Tribunal When a Party Fails to Appoint an Arbitrator or the Disputing parties Are Unable to Agree on a Presiding Arbitrator
Article 31: Agreement to Appointment of Arbitrators
Article 32: Consolidation
Article 33: Notice to the Non-Disputing Party
Article 34: Documents
Article 35: Participation by the Non-Disputing Party
Article 36: Place of Arbitration
Article 37: Preliminary Objections to Jurisdiction or Admissibility
Article 38: Public Access to Hearings and Documents
Article 39: Submissions by a Non-Disputing party
Article 40: Governing Law
Article 41: Interpretation of Annexes
Article 42: Expert Reports
Article 43: Interim Measures of Protection
Article 44: Final Award
Article 45: Finality and Enforcement of an Award
Article 46: General
Annex C.26: Standard Waiver and Consent in Accordance with Article 26 of this Agreement
Annex C.27: Submission of a Claim to Arbitration
Annex C.39: Submissions by Non-Disputing parties
SECTION D – STATE-TO-STATE DISPUTE SETTLEMENT PROCEDURES
Article 47: Disputes between the Parties
SECTION E – FINAL PROVISIONS
Article 48: Consultations
Article 49: Extent of Obligations
Article 50: Commission
Article 51: Exclusions
Article 52: Application and Entry into Force
Annex E.51: Exclusions from Dispute Settlement
ANNEXES
ANNEX I: Reservations for Existing Measures and Liberalization Commitments
Schedule of Canada
Schedule of the Republic of Peru
ANNEX II: Reservations for Future Measures
Schedule of Canada
Schedule of the Republic of Peru
ANNEX III : Exceptions from Most-Favoured-Nation Treatment
__________________________________ |
|
1 Investors may request an exception by filing a request with the relevant Ministry. For example, authorizations have been granted in the mining sector.
2 For greater certainty, maritime cabotage services includes transport by lakes and rivers.
3 At the moment, there is no entity covered by this exception.
4 The Tributary Tax Unit (UIT) is an amount of reference that is used in the tributary norms in order to maintain in constant values the taxes basis, deductions, affectation limits and other aspects of the tributes that the legislator considers convenient.
5 For purposes of this entry, “government support” means tax incentives, incentives on mandatory contributions, government grants, government supported loans, guarantees, or trusts, or insurance provided by a government, irrespective of whether a private entity is wholly or partially responsible for its management. However, a measure is not covered by this entry to the extent that it is inconsistent with Article 16 (Taxation Measures).