4. National Treatment
Yes. Article II on treatment requires the better of either national treatment or most-favored nation treatment with respect to both pre-establishment and post-establishment investments. Each Party shall endeavor to maintain a favorable environment for investments in its territory by nationals and companies of the other Party and shall permit such investments to be established and acquired on terms and conditions that accord treatment no less favorable than the treatment it accords in like situations to investments of its own nationals or companies or to nationals and companies of any third country, whichever is the most favorable. (Article II (1)). Each Party shall accord existing or new investments and associated activities, in its territory, of nationals or companies of the other Party, treatment no less favorable than that which it accords in like situations to investments, and associated activities, of its own nationals or companies or nationals or companies of any third country, whichever is the most favorable. (Article II (2)). With respect to Article II (2), associated activities include: a) the establishment, control and maintenance of branches, agencies, offices, factories or other facilities for the conduct of business; b) the organization of companies under applicable laws and regulations; the acquisition of companies or interests in companies or in their property; and the management, control, maintenance, use, enjoyment and expansion, and the sale, liquidation, dissolution or other disposition, of companies organized or acquired; c) the making, performance and enforcement of contracts; d) the acquisition (whether by purchase, lease or otherwise), ownership and disposition (whether by sale, testament or otherwise), of personal property of all kinds, both tangible and intangible; e) the leasing of real property appropriate for the conduct of business; f) the acquisition, maintenance and protection of copyrights, patents, trademarks, trade secrets, trade names, licenses and other approvals of products and manufacturing processes, and other industrial property rights; and, g) the borrowing of funds, the purchase and issuance of equity shares, and the purchase of foreign exchange for imports. (Protocol). Except for the obligations specified in this Treaty, neither Party is obliged to provide to the investments of the other Party treatment more favorable than that granted to the investments of its own nationals and companies or to investments of nationals and companies of any third Party. (Article II (11)). Each Party reserves the right to maintain limited exceptions, as listed in the Annex to the Treaty. Each Party agrees to notify the other Party of all such exceptions at the time this Treaty enters into force. Moreover, each Party agrees to notify the other Party of any future exceptions falling within the sectors or matters listed in the Annex, and to maintain the number of such exceptions at a minimum. Other than with respect to ownership of real property, the treatment accorded pursuant to these exceptions shall not be less favorable than that accorded in like situations to investments and associated activities of nationals or companies of any third country. However, either Party may require that rights to engage in mining on the public domain shall be dependent on reciprocity. (Article II (3) (a)). No exception introduced after the date of entry into force of the treaty shall apply to investments of nationals or companies of the other Party existing in that sector at the time the exception becomes effective. (Article II (3) (b)). The treatment accorded by a Party to nationals or companies of the other Party under the provisions of Article II (1) and (2) shall, in any State, Territory or possession of the Party, be the treatment accorded therein to companies incorporated, constituted or otherwise duly organized in other States, Territories or possessions of the Party. (Article II (10)). *
5. Most-Favored-Nation Treatment
Yes. Article II on treatment requires the better of either national treatment or most-favored nation treatment with respect to both pre-establishment and post-establishment investments. Each Party shall endeavor to maintain a favorable environment for investments in its territory by nationals and companies of the other Party and shall permit such investments to be established and acquired on terms and conditions that accord treatment no less favorable than the treatment it accords in like situations to investments of its own nationals or companies or to nationals and companies of any third country, whichever is the most favorable. (Article II (1)). Each Party shall accord existing or new investments and associated activities, in its territory, of nationals or companies of the other Party, treatment no less favorable than that which it accords in like situations to investments, and associated activities, of its own nationals or companies or nationals or companies of any third country, whichever is the most favorable. (Article II (2)). With respect to Article II (2), associated activities include: a) the establishment, control and maintenance of branches, agencies, offices, factories or other facilities for the conduct of business; b) the organization of companies under applicable laws and regulations; the acquisition of companies or interests in companies or in their property; and the management, control, maintenance, use, enjoyment and expansion, and the sale, liquidation, dissolution or other disposition, of companies organized or acquired; c) the making, performance and enforcement of contracts; d) the acquisition (whether by purchase, lease or otherwise), ownership and disposition (whether by sale, testament or otherwise), of personal property of all kinds, both tangible and intangible; e) the leasing of real property appropriate for the conduct of business; f) the acquisition, maintenance and protection of copyrights, patents, trademarks, trade secrets, trade names, licenses and other approvals of products and manufacturing processes, and other industrial property rights; and, g) the borrowing of funds, the purchase and issuance of equity shares, and the purchase of foreign exchange for imports. (Protocol). Except for the obligations specified in this Treaty, neither Party is obliged to provide to the investments of the other Party treatment more favorable than that granted to the investments of its own nationals and companies or to investments of nationals and companies of any third Party. (Article II (11)). Each Party reserves the right to maintain limited exceptions, as listed in the Annex to the Treaty. Each Party agrees to notify the other Party of all such exceptions at the time this Treaty enters into force. Moreover, each Party agrees to notify the other Party of any future exceptions falling within the sectors or matters listed in the Annex, and to maintain the number of such exceptions at a minimum. Other than with respect to ownership of real property, the treatment accorded pursuant to these exceptions shall not be less favorable than that accorded in like situations to investments and associated activities of nationals or companies of any third country. However, either Party may require that rights to engage in mining on the public domain shall be dependent on reciprocity. (Article II (3) (a)). No exception introduced after the date of entry into force of the treaty shall apply to investments of nationals or companies of the other Party existing in that sector at the time the exception becomes effective. (Article II (3) (b)).