Trade Law and Quality of Life -- Dispute Resolution Under the NAFTA Side Accords on Labor and the Environment

Abstract:     
This article examines the dispute resolution process embodied in NAFTA's Side Agreements as a modality in international trade law for reconciling trade values with social and environmental values. It explores the political considerations underlying the Side Agreement dispute resolution process, and notes particularly the provision for consultations between the parties, and for mediation before, during and after arbitration, that allows a many-layered opportunity to modify behavior and avoid the imposition of sanctions. The article also assesses the Side Agreements' capacity for promotion of the trade values of predictability and reliability, and their responsiveness to quality-of-life concerns. It concludes that the Side Agreements constitute a profound disjunction with the past regime of the law of international trade, in particular the GATT, and that the Side Agreements, by incorporating goals other than trade liberalization, can be a model for international trade agreement dispute resolution.

Number of Pages in PDF File: 15

Keywords: North American Free Trade Agreement, North American Agreement on Labor Cooperation, North American Agreement on Environmental Cooperation, side agreements, international trade, regional free trade agreements, dispute resolution, environmental protection, labor standards, linkage

Accepted Paper Series