»Unsere kanadische Demokratie leidet unter Freihandelsabkommen«

"Since the NAFTA came into effect in 1994, Canada has been and remains the only Western developed country that has agreed to ISDS on a comprehensive basis while in the more vulnerable capital-importing position. In the case of NAFTA, Canada agreed to ISDS on this basis with the U.S. and Canada has since faced more foreign investor claims than all but a handful of countries, has paid compensation in response to numerous claims, and has altered government decisions or decision-making processes in order to accommodate foreign investor interests and to reduce risks of potentially massive liability.

Business spokespersons who have defended these concessions of Canadian democracy and sovereignty often represent foreign companies in Canada or Canadian companies that may own companies abroad and be interested in bringing claims against Canada. It is perhaps understandable, though still very regrettable, that large businesses are keen to acquire special rights and special access to public money through ISDS.

Reforms to ISDS in the CETA, relied on by Canadian officials to describe the CETA misleadingly as “progressive”, are inadequate to address major concerns about the CETA. The major concerns include the undermining of democratic regulation, the special privileging of foreign investors, the lack of judicial independence and procedural fairness in the adjudicative process, and the lack of respect for domestic courts and domestic institutions. In particular, the “Investment Court System” (ICS) in the CETA does not remove the financial threat posed by foreign investor claims to democratic regulation, does not alter the unjustified and gross favouring of foreign investors over anyone else who has a conflicting right or interest, and does not establish a proper court with the usual safeguards of independence and fairness.

In Canada, our democracy has suffered because the federal government has insisted on pushing through agreements like the NAFTA and the CETA without legislative votes at the federal and provincial levels. As a result, and without the corresponding endorsements by our elected representatives, we have been left with a foreign investor protection system that binds all levels of government and that will bind all future elected governments in Canada for a very long time. Our experience hints at the dangers faced by European democracy in the case of the CETA.

In a context where there is no credible justification for including ISDS or ICS in the CETA – given the greater reliability, independence, and fairness of Canadian and European democratic and judicial processes – it still surprises us how big business groups and governments acting on their behalf ferociously cling to such a deeply flawed and undemocratic model."

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