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Provisions on Trade in Services in Trade and Integration Agreements in the Western Hemisphere


Part I: Sub-regional Trade and Integration Agreements
XXI. Denial of Benefits

WTO/GATS
PART VI, Article XXVII: Denial of Benefits
A Member may deny the benefits of this Agreement:

(a) to the supply of a service, if it establishes that the service is supplied from or in the territory of a non-Member or of a Member to which the denying Member does not apply the WTO Agreement;

(b) in the case of the supply of a maritime transport service, if it establishes that the service is supplied:
(i) by a vessel registered under the laws of a non-Member or of a Member to which the denying Member does not apply the WTO Agreement, and
(ii) by a person which operates and/or uses the vessel in whole or in part but which is of a non-Member or of a Member to which the denying Member does not apply the WTO Agreement;

(c) to a service supplier that is juridical person, if it establishes that it is not a service supplier of another Member, or that it is a service supplier of a Member to which the denying Member does not apply the WTO Agreement

NAFTA
Article 1211: Denial of Benefits
A Party may deny the benefits of this Chapter to a service provider of another Party where the Party establishes that:

(a) the service is being provided by an enterprise owned or controlled by nationals of a non-Party, and
(i) the denying Party does not maintain diplomatic relations with the non-Party, or
(ii) the denying Party 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
(b) the cross-border provisions of a transportation service covered by this chapter is provided using equipment not registered by any Party.

Subject to prior notification and consultation in accordance with Article 1803 (Notification and Provision of Information) and 2006 (Consultations), a Party may deny the benefits of this Chapter to a service provider of another Party where the Party establishes that the service is being provided by an enterprise that is owned or controlled by persons of a non-Party and that has no substantial business activities in the territory of any Party.

Group of Three
Article 10-15: Denial of Benefits
Subject to prior notification and consultation a Party may deny the benefits of this Chapter to a service provider of another Party where the Party establishes that the service is being provided by an enterprise that is owned or controlled by persons of a non-Party and that has no substantial business activities in the territory of any Party.

CACM
Not Specified.

CARICOM
Not Specified.

Andean Community
Not Specified.

Central America/Dominican Republic
ChapterX, Article 10-14: Denial of Benefits:
Subject to prior notification and consultation, a Party may deny the benefits of this Chapter to a service provider from another Party, when the Party determines that the service is being provided by an enterprise that is owned or controlled by persons of a non-Party and that has no substantial business activities in the territory of the other Party.

Mercosur
Part II, Article XVII: Denial of Benefits
A Party may deny the benefits of this Protocol to a service provider of another Party, following notification and consultations, where the Party establishes that the service is being provided by a person from a non-member country.

Bolivia/Mercosur
Not Specified.

Chile/Mercosur
Not Specified.

 
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