Common use of ESTABLISHMENT OF PANEL Clause in Contracts

ESTABLISHMENT OF PANEL. 1. The requesting Party may deliver a written request to establish a dispute settlement panel to the other Party, provided that a matter has not been resolved in any of the following cases: (a) within 30 days following the receipt of the request to refer the matter to the Joint Commission or any other period agreed by the Parties, or when the meeting has not been held pursuant to the provisions established in Article 20.5.3; (b) when the Parties have not settled the dispute during consultations within the 45 day period established in Article 20.4 or 20 days where the matter concerns cases of urgency, including those concerning perishable goods, or goods or services that rapidly lose their trade value such as certain seasonal goods or services, or within any other period that the Parties may agree during consultations; or (c) when the requesting Party that referred the matter to the Joint Commission considers, once the period indicated by the Joint Commission has expired, that the measures aimed at complying with the agreement reached pursuant to Article 20.5, were not adopted. 2. The complaining Party shall set out the reasons for the request, including identification of the measure or other matter at issue and a brief summary of the legal basis for the complaint sufficient to present the problem clearly. 3. A panel shall be established upon the date of receipt of the request referred to in paragraph 1. 4. Unless the Parties otherwise agree, the Parties shall apply the following procedures in selecting a panel: (a) the panel shall be composed of three members; (b) each Party shall appoint one panelist within 30 days after the date of receipt of the request for panel establishment. If a Party fails to appoint a panelist within that period, the panelist shall be appointed by the other Party, unless the Parties otherwise decide; and (c) the Parties shall endeavor to agree on a third panelist who shall serve as chair within 30 days after the date the second panelist has been appointed. If the Parties are unable to agree on the chair of the panel within this period, they shall within the next 10 days exchange their respective list comprising four nominees who shall not be nationals of either Party. The chair shall then be appointed by lot from the lists within 10 days of exchange of lists. If a Party fails to submit its list of four nominees, the chair shall be appointed by lot from the list already submitted by the other Party. 5. If a panelist appointed under this Article becomes unable to serve on the panel, a successor shall be appointed in the same manner as prescribed for the appointment of the original panelist and the successor shall have all the powers and duties of the original panelist. In such a case, any time period applicable to the panel proceedings shall be suspended for a period beginning on the date when the original panelist becomes unable to serve and ending on the date when the new panelist is appointed. 6. Panelists shall: (a) be chosen strictly on the basis of objectivity, reliability, and sound judgment; (b) have expertise or experience in law, international trade, other matters covered by this Agreement, or the resolution of disputes arising under international trade agreements; (c) be independent of, and not be affiliated with or take instructions from, either Party; and (d) comply with the code of conduct established in Annex 20-A. 7. If a Party believes that a panelist has violated or is in violation of the code of conduct, the Parties shall consult and if they agree, the panelist shall be removed and a new panelist shall be selected in accordance with this Article.