An Act to implement the North American Free Trade AgreementNorth American Free Trade Agreement Implementation ActNorth American Free Trade Agreement1993June

23

201201

19

N-23.8441993PreambleWHEREAS the Government of Canada, the Government of the United Mexican States and the Government of the United States of America have entered into the North American Free Trade Agreement having resolved tostrengthen the special bonds of friendship and cooperation among their nations,contribute to the harmonious development and expansion of world trade and provide a catalyst to broader international cooperation,create an expanded and secure market for the goods and services produced in their territories,reduce distortions to trade,establish clear and mutually advantageous rules governing their trade,ensure a predictable commercial framework for business planning and investment,build on their rights and obligations under the General Agreement on Tariffs and Trade and other multilateral and bilateral instruments of cooperation,enhance the competitiveness of their firms in global markets,foster creativity and innovation, and promote trade in goods and services that are the subject of intellectual property rights,create new employment opportunities and improve working conditions and living standards in their respective territories,undertake each of the preceding in a manner consistent with environmental protection and conservation,preserve their flexibility to safeguard the public welfare,promote sustainable development,strengthen the development and enforcement of environmental laws and regulations, andprotect, enhance and enforce basic workers’ rights;WHEREAS the Government of Canada has entered into the Agreement having further resolved tostrengthen Canada’s national identity while at the same time protecting vital national characteristics and qualities,establish effective procedures for the review and resolution of disputes in antidumping and countervailing duty cases involving Canada and other NAFTA countries, andstrengthen the Canadian economy and Canada’s competitiveness as a trading nation;WHEREAS the Agreement applies generally throughout Canada;AND WHEREAS it is necessary, in order to give effect to the Agreement, to make related or consequential amendments to certain Acts;NOW, THEREFORE, Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:SHORT TITLE

Short title1.This Act may be cited as the North American Free Trade Agreement Implementation Act.

INTERPRETATION

Definitions2.(1)In this Act,AgreementAccordAgreement means the North American Free Trade Agreement entered into between the Government of Canada, the Government of the United Mexican States and the Government of the United States of America and signed on December 17, 1992, and includes any rectifications thereto made prior to its ratification by Canada;federal lawtexte législatif fédéralfederal law means the whole or any portion of any Act of Parliament or any regulation, order or other instrument issued, made or established in the exercise of a power conferred by or under an Act of Parliament;Free Trade CommissionCommission du libre-échangeFree Trade Commission means the Free Trade Commission established under Article 2001 of the Agreement;MinisterministreMinister, in respect of any provision of this Act, means the member of the Queen’s Privy Council for Canada designated as the Minister for the purposes of that provision under section 11;NAFTA countrypays ALÉNANAFTA country means a country that is a Party to the Agreement;SecretariatSecrétariatSecretariat means the Secretariat established pursuant to paragraph 1 of Article 2002 of the Agreement;territoryterritoireterritory, with respect to a NAFTA country, has the meaning set out with respect to that country in Annex 201.1 of the Agreement.Publication of Agreement and Tariff Schedules(2)The Agreement, including the Schedules of Canada, of Mexico and of the United States referred to in Annex 302.2 of the Agreement, shall be published in the Canada Treaty Series.

Interpretation consistent with Agreement3.For greater certainty, this Act, any provision of an Act of Parliament enacted by Part II and any other federal law that implements a provision of the Agreement or fulfils an obligation of the Government of Canada under the Agreement shall be interpreted in a manner consistent with the Agreement.

PURPOSE

Purpose4.The purpose of this Act is to implement the Agreement, the objectives of which, as elaborated more specifically through its principles and rules, including national treatment, most-favoured-nation treatment and transparency, are to(a)eliminate barriers to trade in, and facilitate the cross-border movement of, goods and services between the territories of the NAFTA countries;(b)promote conditions of fair competition in the free-trade area established by the Agreement;(c)increase substantially investment opportunities in the territories of the NAFTA countries;(d)provide adequate and effective protection and enforcement of intellectual property rights in the territory of each NAFTA country;(e)create effective procedures for the implementation and application of the Agreement, for its joint administration and for the resolution of disputes; and(f)establish a framework for further trilateral, regional and multilateral cooperation to expand and enhance the benefits of the Agreement.

HER MAJESTY

Binding on Her Majesty5.This Act is binding on Her Majesty in right of Canada.

GENERAL

Prohibition of private cause of action6.(1)No person has any cause of action and no proceedings of any kind shall be taken, without the consent of the Attorney General of Canada, to enforce or determine any right or obligation that is claimed or arises solely under or by virtue of Part I or any order or regulation made under Part I.Idem(2)Subject to Section B of Chapter Eleven of the Agreement, no person has any cause of action and no proceedings of any kind shall be taken, without the consent of the Attorney General of Canada, to enforce or determine any right or obligation that is claimed or arises solely under or by virtue of the Agreement.

Non-application of Agreement to water7.(1)For greater certainty, nothing in this Act or the Agreement, except Article 302 of the Agreement, applies to water.Definition of “water”(2)In this section, water means natural surface and ground water in liquid, gaseous or solid state, but does not include water packaged as a beverage or in tanks.

Application of Interpretation Act8.Where the operation of a provision of an Act of Parliament is suspended pursuant to a provision of that Act enacted by Part II, section 43 of the Interpretation Act applies, with such modifications as the circumstances require, as if the suspended provision had been repealed.

For greater certainty9.For greater certainty, nothing in this Act, by specific mention or omission, limits in any manner the right of Parliament to enact legislation to implement any provision of the Agreement or fulfil any of the obligations of the Government of Canada under the Agreement.

PART IIMPLEMENTATION OF AGREEMENT GENERALLYApproval of Agreement

Agreement approved10.The Agreement is hereby approved.

Designation of Minister

Order designating Minister11.The Governor in Council may, by order, designate any member of the Queen’s Privy Council for Canada to be the Minister for the purposes of any provision of this Act.

Free Trade Commission

Free Trade Commission12.The Governor in Council may appoint any member of the Queen’s Privy Council for Canada to be a representative of Canada on the Free Trade Commission.

Payment of expenditures13.The Government of Canada shall pay its appropriate share of the aggregate of any expenditures incurred by or on behalf of the Free Trade Commission.

Canadian Section of Secretariat

Canadian Section of Secretariat14.The Canadian Section of the Secretariat is established within the Department of Foreign Affairs and International Trade for the purpose of facilitating the operation of the Agreement, including the work of panels, committees and scientific review boards that may be established in accordance with the Agreement.

• 1993, c. 44, s. 14;
• 2010, c. 12, s. 1776.

Previous Version

Secretary15.(1)There shall be a Secretary of the Canadian Section of the Secretariat to be appointed in accordance with the Public Service Employment Act.Duties(2)The Secretary is responsible for fulfilling the mandate of the Section. In doing so, the Secretary shall(a)provide assistance to the Free Trade Commission;(b)provide administrative assistance to panels and committees established under Chapter Nineteen of the Agreement and panels established under Chapter Twenty of the Agreement;(c)support — as the Free Trade Commission may direct — the work of other committees and groups established under the Agreement;(d)otherwise facilitate — as the Free Trade Commission may direct — the operation of the Agreement; and(e)supervise and direct the work of the Section.

• 1993, c. 44, s. 15;
• 2003, c. 22, s. 225(E);
• 2010, c. 12, s. 1777.

Previous Version

Staff16.Such officers and employees as are required for the proper conduct of the work of the Canadian Section of the Secretariat shall be appointed in accordance with the Public Service Employment Act.

Panels, Committees and Scientific Review Boards

Appointments to roster17.The Governor in Council may, in accordance with a consensus reached under Article 1124, 1414 or 2009 of the Agreement, appoint any person to be a member of the roster established under that Article.

Appointments to certain committees18.The Minister may appoint any person to be a representative of Canada on any committee referred to in Section A of Annex 2001.2 of the Agreement.

Costs of panels, committees and scientific review boards19.The Government of Canada shall, in accordance with Annex 2002.2 of the Agreement, pay the costs of or its appropriate share of the costs of(a)the remuneration and expenses payable to panelists, members of committees, including persons appointed under section 18, and members of scientific review boards;(b)the remuneration and expenses payable to assistants; and(c)the general expenses incurred by panels, committees and scientific review boards.

Orders and Regulations

Regulations re Articles 312 and 31320.(1)The Governor in Council may, where the Governor in Council is of the opinion that, for the purpose of giving effect in a province to Articles 312 and 313 of the Agreement, regulations are necessary in relation to any matter dealt with by those Articles, make regulations for that purpose including, without limiting the generality of the foregoing, regulations requiring or prohibiting the doing of anything in relation to which a regulation may be made under this subsection and prescribing penalties for the contravention of any such regulation.Applicability of regulations in respect of a province(2)A regulation made under subsection (1) shall not come into force in respect of a province if the Governor in Council is of the opinion that the province has, by or under provincial law, enacted provisions or is carrying on practices that are in conformity with the portion of Articles 312 and 313 of the Agreement in respect of which the regulation is made.Consultation with provincial governments(3)The Minister shall consult with the government of a province prior to the making of a regulation under subsection (1) in respect of that province.Expiration(4)A regulation made under subsection (1) or any provision thereof shall cease to be in force in respect of a province on a day or days to be fixed, in respect of that province, by order of the Governor in Council.Binding on province(5)A regulation made under subsection (1) in respect of a province is binding on Her Majesty in right of that province.

Orders re Article 201921.(1)The Governor in Council may, for the purpose of suspending in accordance with the Agreement the application to a NAFTA country of benefits of equivalent effect pursuant to Article 2019 of the Agreement, by order, do any one or more of the following:(a)suspend rights or privileges granted by Canada to that country or to goods, service providers, suppliers, investors or investments of that country under the Agreement or any federal law, except under Chapter Nineteen of the Agreement or under any provision of the Special Import Measures Act enacted by Part II;(b)modify or suspend the application of any federal law, except any provision of the Special Import Measures Act enacted by Part II, with respect to that country or to goods, service providers, suppliers, investors or investments of that country;(c)extend the application of any federal law to that country or to goods, service providers, suppliers, investors or investments of that country; and(d)take any other measure that the Governor in Council considers necessary for that purpose.Period of order(2)Unless revoked, an order made under subsection (1) shall have effect for such period as is specified in the order.

PART IIRELATED AND CONSEQUENTIAL AMENDMENTS

22. to 241.[Amendments]

PART IIICOMING INTO FORCE

Coming into force*242.(1)Subject to this Act, this Act or any provision thereof, or any provision of any Act as enacted by this Act, shall come into force on a day or days to be fixed by order of the Governor in Council.*[Note: Act, except section 177, in force January 1, 1994, see SI/94-1; section 177 repealed before coming into force, see 2008, c. 20, s. 3.]Condition(2)No order shall be made under subsection (1) unless the Governor in Council is satisfied that the Government of the United Mexican States and the Government of the United States of America have taken satisfactory steps to implement the Agreement.

*SCHEDULE*[Note: Schedule is not displayable.]RELATED PROVISIONS — 2010, c. 12, s. 1778

Definitions1778.(1)The following definitions apply in this section.former Sectionancienne sectionformer Section means the Canadian Section of the Secretariat established by section 14 of the North American Free Trade Agreement Implementation Act as it read immediately before the coming into force of section 1776. new Sectionnouvelle sectionnew Section means the Canadian Section of the Secretariat established by section 14 of the North American Free Trade Agreement Implementation Act as enacted by section 1776.Secretary(2)The person occupying the position of Secretary of the former Section immediately before the day on which section 1776 comes into force becomes on that day the Secretary of the new Section and is deemed to have been appointed under section 15 of the North American Free Trade Agreement Implementation Act as enacted by section 1777.Staff(3)Nothing in section 1776 shall be construed as affecting the status of an officer or employee who, immediately before the coming into force of that section, occupied a position in the former Section, except that the officer or employee shall, on the coming into force of that section, occupy their position in the new Section.Transfer of appropriations(4)Any amount appropriated, for the fiscal year in which section 1776 comes into force, by an appropriation Act based on the Estimates for that year for defraying the charges and expenses of the federal public administration in respect of the former Section that, on the day on which that section comes into force, is unexpended, is deemed, on that day, to be an amount appropriated for defraying the charges and expenses of the federal public administration in respect of the new Section.Transfer of powers, duties and functions — Secretary(5)Any power, duty or function described in section 15 of the North American Free Trade Agreement Implementation Act as enacted by section 1777 that is vested in or exercisable by the Secretary of the former Section immediately before the day on which that section comes into force is, as of that day, vested in and exercisable by the Secretary of the new Section. Any other power, duty or function that is vested in or exercisable by the Secretary of the former Section immediately before that day is, as of that day, vested in and exercisable by the Deputy Minister of Foreign Affairs.Transfer of powers, duties and functions — officers and employees(6)Any power, duty or function exercisable by an officer or employee of the former Section, immediately before the day on which section 1776 comes into force is, as of that day, exercisable by that officer or employee as officer or employee of the new Section.