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and 1. INTRODUCTION Recent F'rAS have adopted dispute settlement systems quite independent of each other's system, and different to the WTO system. The obvious question is as to why this is so, or for that matter why FTAs have not adopted an acceptable common system for use by all parties to FTAS while still remaining outside the WTO system. The explanation for this mainly lies in the special characteristics of FTAS. A core characteristic of FTn is that it offers WTO-plus liberalisation, i.e. it provides access to investment, competition, and labour markets beyond that offered under the WTO agreements. Consequently, parties to a FTA cannot access the WTO dispute settlement process on a WTO-plus dispute matter. Given the increase in the number of FTAS, the issue of how best disputes under these agreements can be resolved arises. Threshold considerations on this matter include both the method, and means of dispute resolution. With respect to the former, the choices between litigation (adjudication by a system of courts of law), or by resort to alternative dispute resolution mechanisms (ADR) such as mediation, conciliation, and arbitration, or any combination of litigation and ADR arise. And with respect to means, choices include
Journal of World Investment and Trade – Brill
Published: Jan 1, 2011
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