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Response to eridani (Original post)

Sun Apr 26, 2015, 07:31 AM

4. TPP Investment Chapter makes it ILLEGAL to favor local businesses

& local govts/taxpayers must pay corporations to stop polluting~

1. Favoring local ownership is prohibited

Let’s start with the Investment Chapter’s section on how the TPP’s member countries should treat foreign investors:

"Each Party [country] shall accord to investors of another Party treatment no less favorable than that it accords, in like circumstances, to its own investors with respect to the establishment, acquisition, expansion, management, conduct, operation, and sale or other disposition of investments in its territory."

Put in plain English, the above paragraph means that signatory countries renounce their right to favor the domestic ownership and control of the lands, waters and other productive assets and services essential to the lives and well-being of their people.

The 12 countries further renounce their right to favor locally owned businesses, corporations, cooperatives, or public enterprises devoted to serving their people with good local jobs, products and services. They must instead give equal or better treatment to global corporations that come only to extract profits.

2. Corporations must be paid to stop polluting

Another provision limits what member countries can do in regard to corporate investments:

"No Party may expropriate or nationalize a covered investment either directly or indirectly through measures equivalent to expropriation or nationalization (“expropriation”), except: (a) for a public purpose; (b) in a nondiscriminatory manner; (c) on payment of prompt, adequate, and effective compensation [emphasis added] … ; and (d) in accordance with due process of law."

This provision may sound reasonable, until you look at the chapter’s definition of “investment,” which includes “the expectation of gain or profit.” This odd definition means that a corporation can sue a signatory nation if the country deprives the corporation of expected profits by enacting laws that prohibit the company from selling harmful products, damaging the environment, or exploiting workers. Other language in the chapter makes it clear that this applies to actions at all levels of government.

In other words, a country in the TPP has every right to stop a foreign corporation from harming its people and the environment — but only if the country compensates the corporation for the expense of not harming them....

http://billmoyers.com/2015/04/20/trade-rule-makes-illegal-favor-local-business-newest-leak-shows-tpp/


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eridani Apr 2015 OP
Downwinder Apr 2015 #1
Enthusiast Apr 2015 #6
Mustellus Apr 2015 #2
midnight Apr 2015 #3
LineNew Reply TPP Investment Chapter makes it ILLEGAL to favor local businesses
RiverLover Apr 2015 #4
Octafish Apr 2015 #5
Enthusiast Apr 2015 #7
MisterP Apr 2015 #8
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