U.S. proposes non-binding state-to-state dispute settlement chapter in NAFTA

The United States, at the fourth round of NAFTA negotiations, has tabled text on a state-to-state dispute settlement system that would allow countries to disregard panel decisions, effectively making the chapter non-binding, sources said. One source said the proposed system would allow parties to determine whether a panel erred in making a decision that goes beyond the scope of NAFTA. A country could disregard a ruling if it decided a panel ruled in a way it deemed “clearly erroneous.” Several...