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North American Free Trade Agreement, 1992 Oct. 7 By: Canada |
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1. The Schedule of a Party sets out the reservations taken by
that Party, pursuant to Articles 1108(1) and 1206(2), with respect
to existing, non conforming measures that derogate from an
obligation relating to: (a) national treatment, pursuant to Article 1102 (Investment)
or 1202 (Services); (b) most favored nation treatment, pursuant to Article 1103
(Investment) or 1203 (Services); (c) local presence, pursuant to Article 1205 (Services); (d) performance requirements, pursuant to Article 1106
(Investment); or (e) nationality requirements for senior management or members
of boards of directors, pursuant to Article 1107
(Investment). 2. Each reservation sets out the following elements (ftnt 1): (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 to the activity, where
applicable, 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) LEVEL OF GOVERNMENT indicates the level of government
maintaining the measure for which the Party is taking the
reservation; (f) LEGAL CITATION identifies the specific existing measures,
where applicable, for which the reservation is taken;
(ftnt 2) (g) DESCRIPTION describes the non conforming aspects of the
existing measures for which the reservation is taken and,
where applicable, commitments for liberalization upon
entry into force of this Agreement; and (h) DURATION sets out the period for which the reservation is
taken and the phase in of commitments for liberalization. 3. In the interpretation of a reservation, all elements of the
reservation should be considered. Where the DURATION does not
provide for liberalization, the LEGAL CITATION shall govern to the
extent of any inconsistency with any other element. Where the
DURATION provides for liberalization upon or after entry into force
of this Agreement, the DURATION shall govern to the extent of any
inconsistency with any other element. 4. Where a Party maintains a measure that requires that a service
provider be a citizen, permanent resident or resident of its
territory as a condition to the provision of a service in its
territory, a reservation for Articles 1202, 1203 or 1205 taken with
respect to that measure shall operate as a reservation for Articles
1102 or 1103 with respect to the effect of that measure on the
ability of the service provider to establish an investment. 5. For purposes of this Annex: CMAP means Clasificación Mexicana de Actividades y Productos; concession means an authorization provided by the State to a person
to exploit a natural resource or provide a service, for which
Mexican nationals and Mexican enterprises are granted priority over
foreigners; CPC means Central Product Classification numbers as set out in
Statistical Office of the United Nations, Statistical Papers,
Series M, No. 77, Provisional Central Product Classification,
1991; foreigners' exclusion clause means the express provision in an
enterprise's by laws, stating that the enterprise shall not allow
foreigners, directly or indirectly, to become partners or
shareholders of the enterprise; international cargo means goods that have an origin or destination
outside the territory of a Party; Mexican enterprise means an enterprise constituted under the laws
of Mexico; Mexican national means a national of Mexico, as defined by the
Constitution of Mexico; person of a Party means a national or an enterprise of a Party; and SIC means: (a) with respect to Canada, Standard Industrial
Classification (SIC) numbers as set out in Statistics
Canada, Standard Industrial Classification, fourth
edition, 1980; and (b) with respect to the United States, Standard Industrial
Classification (SIC) numbers as set out in the United
States Office of Management and Budget, Standard
Industrial Classification Manual, 1987... Continue reading book >>
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