Reviewing dispute settlement at the World Trade Organization: a time to reconsider the role/s of compensation?

2006 ◽  
Vol 5 (1) ◽  
pp. 31-67 ◽  
Author(s):  
ARWEL DAVIES

The World Trade Organization provides a forum for the settlement of trade disputes arising between its 148 Members. Should consultations fail, the parties may choose to initiate formal proceedings in Geneva, and must do so in preference to taking unilateral action. The dispute settlement rules are presently under review with a view to their clarification and improvement, making this a natural time to ask whether the appropriate strategy has been identified. This article focuses on the functions of compensation in the overall context of WTO remedies. Particular attention is given to the prospects for new disciplines and increased practice connected with the granting of both trade compensation and financial compensation. Also considered is the extent to which financial compensation can and should be linked to reparation in the sense of correcting the injury caused by WTO violations. The discussion is informed by the general international law position, by proposals made during the on-going review process and by emerging dispute settlement practice.

2006 ◽  
Vol 19 (3) ◽  
pp. 633-667 ◽  
Author(s):  
ERNST-ULRICH PETERSMANN

Governments perceive UN human rights conventions and the law of the World Trade Organization (WTO) as separate legal regimes. WTO jurisprudence, by contrast, interprets WTO rules as parts of international law and may soon be confronted with legal claims that WTO obligations are to be construed with due regard to the human rights obligations of WTO members. The diverse constitutional traditions of WTO members, and their political opposition to linking WTO law to human rights, make it unlikely that WTO members will respond to the UN proposals for a ‘human rights approach to trade’ by adopting a WTO Declaration clarifying that WTO rules are flexible enough to be interpreted and applied in conformity with the human rights obligations of WTO members (section 1). Following the invitation by WTO Director-General Pascal Lamy to form ‘cosmopolitan constituencies’ in support of global public goods (like a rules-based world trading system), this article makes concrete proposals for the initiative by the International Law Association (ILA) to elaborate an ILA Declaration clarifying the complex interrelationships between trade law, human rights and WTO jurisprudence (section 2). As many human rights arguments presented in trade disputes in the EC Court and in the European Court of Human Rights could likewise be raised in WTO dispute settlement proceedings, the article examines whether the ‘constitutional methodologies’ applied by European courts offer lessons for further ‘constitutionalizing’ trade governance in the WTO in conformity with the human rights obligations of all WTO members.


2013 ◽  
Vol 41 (3-4) ◽  
pp. 352-380 ◽  
Author(s):  
Ka Zeng

Abstract This paper examines US-China trade disputes under the World Trade Organization (WTO) and argues that Chinese leaders are increasingly resorting to the WTO’s dispute settlement mechanism to target issues of most critical concern to domestic constituencies. The following overview of the WTO disputes initiated by China suggests that China’s WTO disputes tend to be dominated by cases involving anti-dumping duties (ADs) and countervailing duties (CVDs). The disproportionate share of such trade remedy cases in China’s WTO cases needs to be viewed in light of the fact that China has become the leading target of such cases worldwide in the past decades. The above pattern of China’s WTO initiation is explicable within the leader cost-benefit analysis, which would lead us to expect Chinese leaders to use the WTO DSM either to open foreign markets for Chinese businesses or to shield domestic firms from perceived unfair foreign trade practices. This paper further argues that the significant expansion of bilateral trade relations in the past decades has provided opportunities for Chinese leaders to identify or threaten retaliation against anti-protectionist groups in the other country in order to mobilise them against the disputed measure.


2021 ◽  
Vol 22 (5-6) ◽  
pp. 759-803
Author(s):  
Anna Ventouratou

Abstract This paper examines the role of general international law in the World Trade Organization (WTO) regime, using the rules on state responsibility as a case study. It identifies and discusses instances in WTO case law where such rules were applied directly or were taken into consideration in interpreting relevant WTO provisions. The analysis demonstrates that direct application of general international law for the determination of indispensable matters not regulated by the WTO Agreements is part of the inherent powers of WTO adjudicative bodies. Moreover, under Article 3(2) Dispute Settlement Understanding and Article 31(3)(c) Vienna Convention on the Law of Treaties, WTO adjudicative bodies have an obligation to take into account general international law in interpreting relevant WTO provisions. The paper delineates the methodology for assessing the interaction between general international law and WTO law and highlights the importance of adhering to this methodology to provide clarity and legal certainty regarding the scope and content of WTO obligations.


Con-texto ◽  
2015 ◽  
pp. 157
Author(s):  
Samuel Trujillo

<p>This article explores how the broadest spirited exception in the framework of the World Trade Organization, commonly referred to as the prudential carve-out, could be applied without adding to or diminishing the rights and obligations of WTO Members. It argues that through the customary rules of interpretation of international law, the only standard applicable to the prudential carve out is that of a reasonable means to ends connection. However, this broad standard of review can be enriched by expert knowledge on financial and prudential regulation, given that the form of dispute settlement established in the Annex to Financial Services of the GATS provides a window for dissecting the concept of “prudential”. The AFS requires that an “expert panel” decide on controversies regarding financial and prudential issues, instead of the ordinary “highly qualified” WTO panel. The article draws on principles developed by the disciplines of micro- and macroprudential regulation to exemplify how expert knowledge can guide an otherwise vague standard of review.</p>


2018 ◽  
Vol 112 ◽  
pp. 315-316
Author(s):  
Kathleen Claussen

With the creation of the World Trade Organization (WTO) in 1995, major changes were made to the dispute settlement system that had previously governed international trade disputes. Prior to the WTO, the dispute settlement system that had evolved under the General Agreement on Tariffs and Trade (GATT) was widely believed to suffer from certain structural weaknesses. One perceived weakness was that the establishment of a dispute settlement panel or the adoption of a panel's report required a positive consensus of all the GATT contracting parties, effectively allowing respondents to block losing outcomes against themselves. Thus, one major change that resulted from the Uruguay Round of negotiations (which led to the creation of the WTO) was the replacement of the positive consensus rule with a negative consensus rule such that to block establishment of a panel or adoption of a panel report, all WTO members have to agree not to establish or not to adopt the report.


2018 ◽  
Vol 7 (2.11) ◽  
pp. 58
Author(s):  
Chitra Bajpai ◽  
Priyanka Malik ◽  
Chitra Krishnan ◽  
Seema Sahai ◽  
Richa Goel ◽  
...  

The World Trade Organization is a platform which is primarily responsible for the rules and regulation related to the world trade for the member nations. This research paper is an effort to measure the effectiveness of the WTO as a Dispute Settlement Body (DSB). In relation to that the first objective of the research paper is to understand the nature of the International Trade Dispute among the member nations. The second objective of the research paper is to analyze certain International Trade Disputes which were reported to the WTO. The third objective of the research paper is to find out some common features among the analyzed cases.   


2001 ◽  
Vol 50 (2) ◽  
pp. 248-298 ◽  
Author(s):  
James Cameron ◽  
Kevin R. Gray

Unlike the original 1947 General Agreement on Tariffs and trade (GATT), the 1994 Agreement establishing the World Trade Organization (WTO Agreement)1 covers a much wider range of trade. It extends beyond goods and now embraces services, intellectual property, procurement, investment and agriculture. Moreover, the new trade regime is no longer a collection of ad hoc agreements, Panel reports and understandings of the parties. All trade obligations are subsumed under the umbrella of the WTO, of which all parties are members. Member States have to accept the obligations contained in all the WTO covered agreements: they cannot pick and choose.


2020 ◽  
Vol 64 (7-8) ◽  
pp. 1358-1389 ◽  
Author(s):  
Julia Gray ◽  
Philip Potter

How do countries settle disputes in the shadow of the law? Even in the presence of legalized dispute settlement, countries still rely on diplomatic channels to resolve conflicts. But it can be difficult to assess diplomacy’s impact on dispute resolution because those channels tend to be opaque. We present both an original theory of the impact of diplomacy on dispute resolution and a novel measure of diplomacy. If countries with close or, conversely, distant relationships use legal channels for dispute resolution, diplomacy will have little impact on dispute settlement; resorting to legal recourse among friends or adversaries likely means that the dispute is intractable. However, diplomacy can increase the chances of settlement between countries with moderate levels of affinity. We test this argument using a protocol-based proxy for diplomatic interactions—gifts given at the occasion of meetings between diplomatic counterparts—that would otherwise be difficult to observe. Using the case of the United States and its disputes in the World Trade Organization, we find support for our argument. This suggests that even when countries resort to legalized methods of dispute settlement, bilateral dealmaking still plays an important role.


2021 ◽  
Vol 16 (1) ◽  
pp. 201-220
Author(s):  
Patricia Yurie Dias

RESUMOO trabalho analisa o papel complementar dos regulamentos e padrões privados dos Estados e das entidades não estatais às regras da Organização Mundial do Comércio (OMC) com o intuito de gerar maior segurança e qualidade para os produtos no âmbito do comércio internacional. A OMC visa promover a liberalização e eliminação da discriminação do comércio internacional. Dessa forma, por meio do estudo de alguns casos submetidos ao Órgão de Solução de Controvérsias (OSC) da OMC, em que pese a maioria dos casos submetidos ao OSC terem tido desfechos distintos, constatou-se que os padrões privados podem complementar as regras da OMC, desde que não sejam medidas protecionistas  disfarçadas de barreiras não tarifárias ao comércio internacional.PALAVRAS-CHAVE: Direito Internacional; Jurisdição Internacional; Padrões privados; Comércio Internacional; OMC.ABSTRACTThe paper examines the complementary role of the private regulations and standards of States and non-state entities to the rules of the World Trade Organization (WTO) in order to promote safety and quality for products in the scope of international trade. The WTO aims to promote the liberalization and elimination of discrimination in international trade. Thus, through the study of some cases submitted to the WTO Dispute Settlement Body (DSB), despite the fact that most cases submitted to the DSB had different conclusions, it was found that private standards can complement the rules of the WTO, if they are not protectionist measures disguised as non-tariff barriers to international trade.KEYWORDS: International Law; International Jurisdiction; Private Standards; International Trade; WTO.


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