Dispute resolutions patterns under regional trade agreements

Keywords: regional trade agreements, conflict of jurisdictions, WTO dispute resolution body, Apellate body of the WTO, world trade, Dispute Settlement Understanding

Abstract

The paper is devoted to the dispute resolution patterns under the regional trade agreements (RTAs). The Author’s attention is paid
to the differences between the dispute resolution algorithms provided both for in the (1) WTO Dispute Settlement Understanding (DSU)
and (2) RTAs. In order to specify the optimal way of dispute resolutions under named acts, the Author analyzes RTAs of a «new gene -
ration», in particular, RTAs in which Ukraine is a member party.
The peculiarities of conciliation procedures, good services, mediation are analyzed and the absence of a unified model of application
of these procedures is stated by the Author.
It is concluded that the consultations provided for in both Article 4 of the DSU and the vast majority of RTAs are close in legal
nature to one of the main alternative dispute resolution mechanism – negotiations.
Unlike consultations, which are primarily a diplomatic tool, the consideration of a dispute by a group of experts or an arbitration
group is determined as a step of dispute resolving.
The Author stated that significant differences between the dispute resolution algorithm under the DSU and RTAs are the procedural
rules (regulations) used in resolving the dispute, as well as the lack of possibility to appeal the final report of the arbitration commission
(unlike the right of appeal of the report of the expert group under Article 17 DSU).
Particular attention is paid to the consequences of non-compliance of the final report of the group of experts or the arbitration
panel (the implementation of compensation and termination of concessions).
Particular attention is also paid to the activities of the Appellate Body lock, which results for searching for alternatives to ensure
the effectiveness of the dispute settlement mechanism in the WTO system.
Due to the study results the Author states that there are a number of advantages of dispute resolution mechanisms provided by
RTAs of a «new generation», compared with the mechanisms provided by the DSU. First of all, it is a matter of shorter terms of the
dispute settlement (considering absence of the right to appeal for the report of arbitration group).
Particular attention is paid to the possible conflict of jurisdictions between the WTO and RTAs. It is stated that the problem of
conflict of jurisdictions could be resolved by implementing of special rules which allows to choose the most appropriate dispute resolution
mechanism. It is necessary to include under RTAs a provision on exclusive jurisdiction, which directly determines which jurisdiction
covers a particular dispute.

References

1. Statut Orhanizatsii Obiednanykh Natsii i Statut Mizhnarodnoho Sudu. URL: https://zakon.rada.gov.ua/laws/show/995_010/print [in Ukrainian].
2. Heneralna uhoda z taryfiv i torhivli (HATT 1947). URL: https://zakon.rada.gov.ua/laws/show/995_264/print [in Ukrainian].
3. Uhoda pro zasnuvannia Svitovoi orhanizatsii torhivli. URL: https://zakon.rada.gov.ua/laws/show/995_342/print [in Ukrainian].
4. Domovlenist pro pravyla ta protsedury vyrishennia sporiv (Dodatok 2 do Uhody pro zasnuvannia Svitovoi orhanizatsii torhivli). URL: https://zakon.rada.gov.ua/laws/show/981_019/print [in Ukrainian].
5. Heneralna uhoda pro torhivliu posluhamy (Dodatok 1V do Uhody pro zasnuvannia Svitovoi orhanizatsii torhivli). URL: https://zakon.rada.gov.ua/laws/show/981_017/print [in Ukrainian].
6. Uhoda pro torhovelni aspekty prav intelektualnoi vlasnosti (Dodatok 1S do Uhody pro zasnuvannia Svitovoi orhanizatsii torhivli). URL: https://zakon.rada.gov.ua/laws/show/981_018/print [in Ukrainian].
7. Uhoda pro vilnu torhivliu mizh Ukrainoiu ta derzhavamy YeAVT, ratyfikovana Zakonom №4091-VI vid 07.12.2011. URL: https://zakon.rada.gov.ua/laws/show/998_456/print [in Ukrainian].
8. Uhoda pro vilnu torhivliu mizh Ukrainoiu ta Kanadoiu, ratyfikovana Zakonom №1917-VIII vid 14.03.2017. URL: https://zakon.rada.gov.ua/laws/file/text/53/f466018n6.docx [in Ukrainian].
9. Geraldo Vidigal (2019). Living Without the Appellate Body: Multilateral, Bilateral and Plurilateral Solutions to the WTO Dispute Settlement Crisis. Journal of World Investment & Trade. 20 [in English].
10. Pauwelyn J. (2003). Conflict of Norms in Public International Law: How WTO Law Relates to other Rules of International Law [in English].
11. Picker C. B. (2005). Regional trade agreements v. the WTO a Proposal for reform of Article XXIV to counter this institutional threat. Pennsylvania Journal of International Economic Law. 26 [in English].
12. Smbatian A.S. (2006). Mezhdunarodnye torhovye spory v HATT/VTO: yzbrannye reshenyia (1952-2005 hh.) [in Russian].
13. Jackson John H. (1997). The The World Trading System: Law and Policy of International Economic Relations [in English].
14. Uhoda pro vilnu torhivliu mizh Uriadom Ukrainy ta Uriadom Chornohorii, ratyfikovana Zakonom №5445-VI vid 16.10.2012. URL: https://zakon.rada.gov.ua/laws/show/892_008/print [in Ukrainian].
15. Uhoda pro asotsiatsiiu mizh Ukrainoiu, z odniiei storony, ta Yevropeiskym Soiuzom, Yevropeiskym spivtovarystvom z atomnoi enerhii i yikhnimy derzhavamy-chlenamy, z inshoi storony, ratyfikovana Zakonom №1678-VII vid 16.09.2014. URL: https://zakon.rada.gov.ua/laws/show/984_011/print [in Ukrainian].
16. Decision of 5 April 1966 on procedures under Article XXIII (BISD 14S/18). URL: https://www.wto.org/english/tratop_e/dispu_e/disp_settlement_cbt_e/a2s1p1_e.htm [in English].
17. Konventsiia pro vyznannia ta vykonannia inozemnykh arbitrazhnykh rishen, ukladena u Niu-Yorku 10 lypnia 1958 roku. URL: https://zakon.rada.gov.ua/laws/show/995_070/print [in Ukrainian].
18. Optional Rules for Arbitrating Disputes between Two States (Permanent Court of Arbitration [PCA]). URL: https://pca-cpa.org/wp-content/uploads/sites/6/2016/01/Optional-Rules-for-Arbitrating-Disputes-between-Two-States_1992.pdf [in English].
19. Uhoda pro zastosuvannia sanitarnykh i fitosanitarnykh zakhodiv (Dodatok 1A do Uhody pro zasnuvannia Svitovoi orhanizatsii torhivli). URL: https://zakon.rada.gov.ua/laws/show/981_006/print [in Ukrainian].
20. Uhoda pro tekstyl ta odiah (Dodatok 1A do Uhody pro zasnuvannia Svitovoi orhanizatsii torhivli). URL: https://zakon.rada.gov.ua/laws/show/981_007/print [in Ukrainian].
21. Uhoda pro tekhnichni bariery v torhivli (Dodatok 1A do Uhody pro zasnuvannia Svitovoi orhanizatsii torhivli). URL: https://zakon.rada.gov.ua/laws/show/981_008/print [in Ukrainian].
22. EU asks for a panel with Ukraine on wood export ban. URL: https://trade.ec.europa.eu/doclib/press/index.cfm?id=2034 [in English].
Published
2020-11-10
How to Cite
Gladshtein, A. (2020). Dispute resolutions patterns under regional trade agreements. Law Review of Kyiv University of Law, 1(3), 206-212. Retrieved from https://chasprava.com.ua/index.php/journal/article/view/500
Section
The issues of civil law, commercial law, labour law and social security law of U