Common use of Reservations and Exceptions Clause in Contracts

Reservations and Exceptions. 1. Articles 3, 4, 6 and 12 shall not apply to: (a) Any existing non-conforming measure that is maintained by: (i) With respect to Japan: (A) The central government or a prefecture, as set out in its Schedule in Annex I; or (B) A local government other than prefectures; (ii) With respect to the Republic of Peru: (A) The central government or a regional government, as set out in its Schedule in Annex I; or (B) A local government (b) The continuation or prompt renewal of any non-conforming measure referred to in subparagraph (a); or (c) An amendment or modification to any non-conforming measure referred to in subparagraph (a), provided that the amendment or modification does not decrease the conformity of the measure as it existed immediately before the amendment or modification, with Articles 3, 4, 6 and 12. 2. Articles 3, 4, 6 and 12 shall not apply to any measure that a Contracting Party adopts or maintains with respect to sectors, sub-sectors and activities set out in its Schedule in Annex II. 3. Neither Contracting Party shall, under any measure adopted after the date of entry into force of this Agreement and covered by its Schedule in Annex II, require an investor of the other Contracting Party, by reason of its nationality, to sell or otherwise dispose of an investment that exists at the time the measure becomes effective. 4. In cases where a Contracting Party makes an amendment or a modification to any existing non-conforming measure set out in its Schedule in Annex I or where a Contracting Party adopts any new or more restrictive measure with respect to sectors, sub-sectors or activities set out in its Schedule in Annex II after the entry into force of this Agreement, the Contracting Party shall, prior to the implementation of the amendment or modification or the new or more restrictive measure, or in exceptional circumstances, as soon as possible thereafter: (a) Notify the other Contracting Party of detailed information on such amendment, modification or measure; and (b) Hold, upon request by the other Contracting Party, consultations in good-faith with that other Contracting Party. 5. Each Contracting Party shall endeavour, where appropriate, to reduce or eliminate the reservations specified in its Schedules in Annexes I and II respectively. 6. Articles 3, 4, 6 and 12 shall not apply to any measure covered by the exceptions to, or derogations from, obligations under Articles 3 and 4 of the TRIPS Agreement, as specifically provided in Articles 3 through 5 of the TRIPS Agreement. 7. Articles 3, 4, 6 and 12 shall not apply to any measure that a Contracting Party adopts or maintains with respect to government procurement.

Reservations and Exceptions. 1. Articles 31102, 41103, 6 1106 and 12 shall 1107 do not apply to: (a) Any any existing non-conforming measure that is maintained by: (i) With respect to Japan: (A) The central government or a prefectureParty at the federal level, as set out in its Schedule in to Annex I; or (B) A local government other than prefectures;I or III, (ii) With respect to a state or province, for two years after the Republic date of Peru: (A) The central government or a regional governmententry into force of this Agreement, and thereafter as set out by a Party in its Schedule to Annex I in Annex I; accordance with paragraph 2, or (Biii) A a local government; (b) The the continuation or prompt renewal of any non-conforming measure referred to in subparagraph (a); or (c) An an amendment or modification to any non-conforming measure referred to in subparagraph (a), provided ) to the extent that the amendment or modification does not decrease the conformity of the measure measure, as it existed immediately before the amendment or modificationamendment, with Articles 31102, 41103, 6 1106 and 121107. 2. Each Party may set out in its Schedule to Annex I, within two years of the date of entry into force of this Agreement, any existing nonconforming measure maintained by a state or province, not including a local government. 3. Articles 31102, 41103, 6 1106 and 12 shall 1107 do not apply to any measure that a Contracting Party adopts or maintains with respect to sectors, sub-sectors and activities subsectors or activities, as set out in its Schedule in to Annex II. 34. Neither Contracting No Party shallmay, under any measure adopted after the date of entry into force of this Agreement and covered by its Schedule in to Annex II, require an investor of the other Contracting another Party, by reason of its nationality, to sell or otherwise dispose of an investment that exists existing at the time the measure becomes effective. 4. In cases where a Contracting Party makes an amendment or a modification to any existing non-conforming measure set out in its Schedule in Annex I or where a Contracting Party adopts any new or more restrictive measure with respect to sectors, sub-sectors or activities set out in its Schedule in Annex II after the entry into force of this Agreement, the Contracting Party shall, prior to the implementation of the amendment or modification or the new or more restrictive measure, or in exceptional circumstances, as soon as possible thereafter: (a) Notify the other Contracting Party of detailed information on such amendment, modification or measure; and (b) Hold, upon request by the other Contracting Party, consultations in good-faith with that other Contracting Party. 5. Each Contracting Party shall endeavour, where appropriate, to reduce or eliminate the reservations specified in its Schedules in Annexes I Articles 1102 and II respectively. 6. Articles 3, 4, 6 and 12 shall not apply to any measure covered by the exceptions to, or derogations from, obligations under Articles 3 and 4 of the TRIPS Agreement, as specifically provided in Articles 3 through 5 of the TRIPS Agreement. 7. Articles 3, 4, 6 and 12 shall 1103 do not apply to any measure that is an exception to, or derogation from, the obligations under Article 1703 (Intellectual Property National Treatment) as specifically provided for in that Article. 6. Article 1103 does not apply to treatment accorded by a Contracting Party adopts pursuant to agreements, or maintains with respect to sectors, set out in its Schedule to Annex IV. 7. Articles 1102, 1103 and 1107 do not apply to: (a) procurement by a Party or a state enterprise; or (b) subsidies or grants provided by a Party or a state enterprise, including government procurementsupported loans, guarantees and insurance. 8. The provisions of: (a) Article 1106(1)(a), (b) and (c), and (3)(a) and (b) do not apply to qualification requirements for goods or services with respect to export promotion and foreign aid programs; (b) Article 1106(1)(b), (c), (f) and (g), and (3)(a) and (b) do not apply to procurement by a Party or a state enterprise; and (c) Article 1106(3)(a) and (b) do not apply to requirements imposed by an importing Party relating to the content of goods necessary to qualify for preferential tariffs or preferential quotas.

Reservations and Exceptions. 1. Articles 3, 4, 6 5, 8 and 12 9 shall not apply to: (a) Any existing non-conforming measure that is maintained byany measure: (i) With respect to Japan: (A) The central government or existing and non-conforming, maintained in the territory of a prefecture, as set out in its Schedule in Annex I; or (B) A local government other than prefecturesParty; (iii) With respect maintained or adopted after the date of entry into force of this Agreement that, at the time of sale or other disposition of a government's equity interests in, or the assets of, an existing state enterprise or an existing governmental entity: - prohibits or imposes limitations on the ownership or control of equity interests or assets, or - imposes nationality requirements relating to senior management or members of the Republic board of Peru: (A) The central government or a regional government, as set out in its Schedule in Annex I; or (B) A local governmentdirectors; (b) The the continuation or prompt renewal of any non-conforming measure referred to in subparagraph (a); or (c) An an amendment or modification to any non-conforming measure referred to in subparagraph (a), provided ) to the extent that the amendment or modification does not decrease the conformity of the measure measure, as it existed immediately before the amendment or modificationamendment, with Articles 3, 4, 6 5, 8 and 129. 2. For illustrative purposes only and without prejudice to paragraph 1, each Party shall, to the extent possible, set out in its Schedule to Annex I any existing non-conforming measures that it maintains at the national level. 3. Articles 3, 4, 6 5, 8 and 12 9 shall not apply to any measure that a Contracting Party adopts or maintains with respect to sectors, sub-sectors and activities subsectors or activities, as set out in its Schedule in to Annex II. 3. Neither Contracting Party shall, under any measure adopted after the date of entry into force of this Agreement and covered by its Schedule in Annex II, require an investor of the other Contracting Party, by reason of its nationality, to sell or otherwise dispose of an investment that exists at the time the measure becomes effective. 4. In cases where Article 5 shall not apply to treatment accorded by a Contracting Party makes an amendment or a modification pursuant to any existing non-conforming measure agreements as set out in its Schedule schedule to Annex III. 5. In respect of intellectual property rights, a Party may derogate from Articles 4, 5 and 9(1)(f) in Annex I or where a Contracting Party adopts any new or more restrictive measure with respect to sectors, sub-sectors or activities set out in its Schedule in Annex II after the entry into force of this Agreement, the Contracting Party shall, prior to the implementation of the amendment or modification or the new or more restrictive measure, or in exceptional circumstances, as soon as possible thereaftermanner that is consistent with: (a) Notify the other Contracting Party of detailed information on such amendment, modification or measureTRIPS Agreement; (b) an amendment to the TRIPS Agreement in force for both Parties; and (bc) Hold, upon request by a waiver to the other Contracting Party, consultations in good-faith with that other Contracting Party. 5. Each Contracting Party shall endeavour, where appropriate, TRIPS Agreement granted pursuant to reduce or eliminate Article IX of the reservations specified in its Schedules in Annexes I and II respectivelyWTO Agreement. 6. Articles 3, 4, 6 5 and 12 shall 8 do not apply to any measure covered to: (a) procurement by the exceptions toa Party or a State enterprise; or (b) a subsidy or grant provided by a Party or a State enterprise, including a government-supported loan, a guarantee or derogations from, obligations under Articles 3 and 4 of the TRIPS Agreement, as specifically provided in Articles 3 through 5 of the TRIPS Agreementinsurance. 7. Articles 3, 4, 6 and 12 shall Article 5 of this Agreement does not apply to any measure that a Contracting Party adopts or maintains with respect to government procurementfinancial services.

Reservations and Exceptions. 1. Articles 358, 459, 6 64 and 12 65 shall not apply to: : (a) Any any existing non-conforming measure that is maintained by: (i) With respect to Japan: (A) The central government ismaintained by a Party at the federal or a prefecturecentralgovernment level, as set out in its Schedule toAnnex 6 or Annex 8; or (b) any existing non-conforming measure that ismaintained by: (i) with respect to Mexico: (AA) a state, for 6 months after the date ofentry into force of this Agreement, andthereafter as to be set out by Mexicoin its Schedule to Annex 6 in Annex Iaccordance with paragraph 2 below; or or (BBB) A a local government other than prefectures; government; and (ii) With with respect to the Republic Japan: (AA) a prefecture, for 6 months after thedate of Peru: (A) The central government or a regional governmententry into force of thisAgreement, and thereafter as set out to be setout by Japan in its Schedule to Annex 6in Annex Iaccordance with paragraph 2 below;or (BB) a local authority other thanprefectures; or (Bc) A local government (b) The the continuation or prompt renewal of any non-conforming nonconforming measure referred to in subparagraph subparagraphs (a)) and (b) above; or or (cd) An an amendment or a modification to any non-conforming nonconforming measure referred to in subparagraph subparagraphs (a), ) and (b) above provided that the amendment or modification ormodification does not decrease the conformity of the measure ofthe measure, as it existed immediately before the amendment theamendment or modification, with Articles 358, 4, 6 59,64 and 1265. 2. Each Party shall set out in its Schedule to Annex 6,within 6 months of the date of entry into force of thisAgreement, any existing non-conforming measure maintainedby a state or a prefecture as referred to in subparagraphs1(b)(i)(AA) and 1(b)(ii) (AA) above, and shall notifythereof the other Party by a diplomatic note. 3. Articles 358, 459, 6 64 and 12 65 shall not apply to any measure anymeasure that a Contracting Party adopts or maintains with respect to sectorstosectors, sub-sectors and activities subsectors or activities, as set out in its Schedule in itsSchedule to Annex II. 37. 4. Neither Contracting Party shallmay, under any measure adopted after the date thedate of entry into force of this Agreement and covered by its Schedule in Annex IIbyAnnex 7, require an investor of the other Contracting Party, by reason of reasonof its nationality, to sell or otherwise dispose of an investment aninvestment that exists at the time the measure becomes effective. 4. In cases where a Contracting Party makes an amendment 5. Article 59 shall not apply to treatment accorded by aParty pursuant to agreements, or a modification with respect to any existing non-conforming measure sectors,set out in its Schedule in to Annex I or where a Contracting Party adopts any new or more restrictive measure with respect to sectors, sub-sectors or activities set out in its Schedule in Annex II after the entry into force of this Agreement, the Contracting Party shall, prior to the implementation of the amendment or modification or the new or more restrictive measure, or in exceptional circumstances, as soon as possible thereafter: (a) Notify the other Contracting Party of detailed information on such amendment, modification or measure; and (b) Hold, upon request by the other Contracting Party, consultations in good-faith with that other Contracting Party. 59. Each Contracting Party shall endeavour, where appropriate, to reduce or eliminate the reservations specified in its Schedules in Annexes I and II respectively. 6. Articles 358, 4, 6 59 and 12 64 shall not apply to any measure covered by the exceptions to, measureadopted or derogations from, obligations under Articles 3 and 4 of the TRIPS Agreement, as specifically provided in Articles 3 through 5 of the TRIPS Agreement. 7. Articles 3, 4, 6 and 12 shall not apply to any measure that a Contracting Party adopts or maintains maintained with respect to government procurementprocurement by aParty or a state enterprise.

Reservations and Exceptions. 1. Articles 31102, 41103, 6 1106 and 12 shall 1107 do not apply to: (a) Any any existing non-conforming measure that is maintained by: (i) With respect to Japan: (A) The central government or a prefectureParty at the federal level, as set out in its Schedule in to Annex I; or (B) A local government other than prefectures;I or III, (ii) With respect to a state or province, for two years after the Republic date of Peru: (A) The central government or a regional governmententry into force of this Agreement, and thereafter as set out by a Party in its Schedule to Annex I in Annex I; accordance with paragraph 2, or (Biii) A a local government; (b) The the continuation or prompt renewal of any non-conforming measure referred to in subparagraph (a); or or (c) An an amendment or modification to any non-conforming measure referred to in subparagraph (a), provided ) to the extent that the amendment or modification does not decrease the conformity of the measure measure, as it existed immediately before the amendment or modificationamendment, with Articles 31102, 41103, 6 1106 and 121107. 2. Each Party may set out in its Schedule to Annex I, within two years of the date of entry into force of this Agreement, any existing nonconforming measure maintained by a state or province, not including a local government. 3. Articles 31102, 41103, 6 1106 and 12 shall 1107 do not apply to any measure that a Contracting Party adopts or maintains with respect to sectors, sub-sectors and activities subsectors or activities, as set out in its Schedule in to Annex II. 34. Neither Contracting No Party shallmay, under any measure adopted after the date of entry into force of this Agreement and covered by its Schedule in to Annex II, require an investor of the other Contracting another Party, by reason of its nationality, to sell or otherwise dispose of an investment that exists existing at the time the measure becomes effective. 4. In cases where a Contracting Party makes an amendment or a modification to any existing non-conforming measure set out in its Schedule in Annex I or where a Contracting Party adopts any new or more restrictive measure with respect to sectors, sub-sectors or activities set out in its Schedule in Annex II after the entry into force of this Agreement, the Contracting Party shall, prior to the implementation of the amendment or modification or the new or more restrictive measure, or in exceptional circumstances, as soon as possible thereafter: (a) Notify the other Contracting Party of detailed information on such amendment, modification or measure; and (b) Hold, upon request by the other Contracting Party, consultations in good-faith with that other Contracting Party. 5. Each Contracting Party shall endeavour, where appropriate, to reduce or eliminate the reservations specified in its Schedules in Annexes I Articles 1102 and II respectively. 6. Articles 3, 4, 6 and 12 shall not apply to any measure covered by the exceptions to, or derogations from, obligations under Articles 3 and 4 of the TRIPS Agreement, as specifically provided in Articles 3 through 5 of the TRIPS Agreement. 7. Articles 3, 4, 6 and 12 shall 1103 do not apply to any measure that is an exception to, or derogation from, the obligations under Article 1703 (Intellectual Property National Treatment) as specifically provided for in that Article. 6. Article 1103 does not apply to treatment accorded by a Contracting Party adopts pursuant to agreements, or maintains with respect to sectors, set out in its Schedule to Annex IV. 7. Articles 1102, 1103 and 1107 do not apply to: (a) procurement by a Party or a state enterprise; or (b) subsidies or grants provided by a Party or a state enterprise, including government procurementsupported loans, guarantees and insurance. 8. The provisions of: (a) Article 1106(1)(a), (b) and (c), and (3)(a) and (b) do not apply to qualification requirements for goods or services with respect to export promotion and foreign aid programs; (b) Article 1106(1)(b), (c), (f) and (g), and (3)(a) and (b) do not apply to procurement by a Party or a state enterprise; and (c) Article 1106(3)(a) and (b) do not apply to requirements imposed by an importing Party relating to the content of goods necessary to qualify for preferential tariffs or preferential quotas.

Reservations and Exceptions. 1. Articles 32, 4, 3 and 6 and 12 shall not apply to: (a) Any any existing non-conforming measure that is maintained by: (i) With respect to Japan: (A) The by the central government or of a prefectureContracting Party, as set out in its the Schedule of each Contracting Party in Annex I; or (B) A local government other than prefectures; (ii) With respect to the Republic of Peru: (A) The central government or a regional government, as set out in its Schedule in Annex I; or (B) A local government (b) The any existing non-conforming measure that is maintained by a local government of a Contracting Party; (c) the continuation or prompt renewal of any non-non- conforming measure referred to in subparagraph subparagraphs (a) and (b); or (cd) An an amendment or modification to any non-non- conforming measure referred to in subparagraph subparagraphs (a) and (b), provided that the amendment or modification does not decrease the conformity of the measure as it existed immediately before the amendment or modification, modification with Articles 32, 4, 6 3 and 126. 2. Articles 32, 4, 3 and 6 and 12 shall not apply to any measure that a Contracting Party adopts or maintains with respect to sectors, sub-sectors and or activities set out in its Schedule in Annex II. 3. Neither Contracting Party shall, under any measure adopted after the date of entry into force of this Agreement and covered by its Schedule in Annex II, require an investor of the other Contracting Party, by reason of its nationality, to sell or otherwise dispose of an investment that exists at the time the measure becomes effective. 4. In cases where a Contracting Party makes an amendment or a modification to any existing non-conforming measure set out in its Schedule in Annex I or where a Contracting Party adopts any new or more restrictive measure with respect to sectors, sub-sectors or activities set out in its Schedule in Annex II after the date of entry into force of this Agreement, the Contracting Party shall, prior to the implementation of the amendment or modification or the new or more restrictive measure, or in exceptional circumstances, as soon as possible thereafter: (a) Notify notify the other Contracting Party of detailed information on such amendmentamendment or modification, modification or such measure; and (b) Holdhold, upon request by the other Contracting Party, consultations in good-faith with that other Contracting PartyParty with a view to achieving mutual satisfaction. 5. Each Contracting Party shall endeavour, where appropriate, to reduce or eliminate the reservations specified in its Schedules in Annexes I and II respectively. 6. Articles 32, 4, 3 and 6 and 12 shall not apply to any measure covered by the exceptions to, or derogations from, obligations under Articles 3 and 4 of the TRIPS Agreement, as specifically provided in Articles 3 through 5 of the TRIPS Agreement. 7. Articles 32, 4, 3 and 6 and 12 shall not apply to any measure that a Contracting Party adopts or maintains with respect to government procurement.

Reservations and Exceptions. 1. Articles 3, 4, 6 and 12 shall not apply to: (a) Any any existing non-conforming measure that is maintained by: (i) With with respect to Japan: : (A) The the central government or a prefecture, as set out in its Schedule in Annex I; or or (B) A a local government other than prefectures; (ii) With with respect to the Republic of Peru: : (A) The the central government or a regional government, as set out in its Schedule in Annex I; or or (B) A a local government; (b) The the continuation or prompt renewal of any non-non- conforming measure referred to in subparagraph (a); or (c) An an amendment or modification to any non-non- conforming measure referred to in subparagraph (a), provided that the amendment or modification does not decrease the conformity of the measure as it existed immediately before the amendment or modification, with Articles 3, 4, 6 and 12. 2. Articles 3, 4, 6 and 12 shall not apply to any measure that a Contracting Party adopts or maintains with respect to sectors, sub-sectors and activities set out in its Schedule in Annex II. 3. Neither Contracting Party shall, under any measure adopted after the date of entry into force of this Agreement and covered by its Schedule in Annex II, require an investor of the other Contracting Party, by reason of its nationality, to sell or otherwise dispose of an investment that exists at the time the measure becomes effective. 4. In cases where a Contracting Party makes an amendment or a modification to any existing non-conforming measure set out in its Schedule in Annex I or where a Contracting Party adopts any new or more restrictive measure with respect to sectors, sub-sectors or activities set out in its Schedule in Annex II after the entry into force of this Agreement, the Contracting Party shall, prior to the implementation of the amendment or modification or the new or more restrictive measure, or in exceptional circumstances, as soon as possible thereafter: (a) Notify notify the other Contracting Party of detailed information on such amendment, modification or measure; and (b) Holdhold, upon request by the other Contracting Party, consultations in good-faith with that other Contracting Party. 5. Each Contracting Party shall endeavour, where appropriate, to reduce or eliminate the reservations specified in its Schedules in Annexes I and II respectively. 6. Articles 3, 4, 6 and 12 shall not apply to any measure covered by the exceptions to, or derogations from, obligations under Articles 3 and 4 of the TRIPS Agreement, as specifically provided in Articles 3 through 5 of the TRIPS Agreement. 7. Articles 3, 4, 6 and 12 shall not apply to any measure that a Contracting Party adopts or maintains with respect to government procurement.

Reservations and Exceptions. 1. Articles 3X paragraph 1 (National Treatment), 4X (Most Favoured Nation Treatment), 6 and 12 shall X (Performance Requirements), do not apply to: (a) Any any existing non-conforming measure that is maintained byby a Party at the level of: (i) With respect to Japan: (A) The central government or a prefecturethe European Union, as set out in its Schedule Annex I; (ii) a national government, as set out by that Party in its Xxxxx X; (iii) regional government, as set out by that Party in its Annex I; or (Biv) A local government other than prefectures; (ii) With respect to the Republic of Peru: (A) The central government or a regional government, as set out in its Schedule in Annex I; or (B) A local government; (b) The the continuation or prompt renewal of any non-conforming measure referred to in subparagraph (a); or (c) An an amendment or modification to any non-conforming measure referred to in subparagraph (a), provided to the extent that the amendment or modification does not decrease the conformity of the measure measure, as it existed immediately before the amendment or modificationamendment, with Articles 3X (National Treatment), 4, 6 and 12X ( Most Favoured Nation Treatment) or X (Performance Requirements). 2. Articles 3X paragraph 1 (National Treatment), 4X (Most Favoured Nation Treatment), 6 and 12 shall X (Performance Requirements), do not apply to any measure measures that a Contracting Party adopts or maintains with respect to sectors, sub-sectors and subsectors, or activities as set out in its Schedule in Annex II. 3. Neither Contracting Notwithstanding paragraph 2 of Article X (National Treatment), a Party shallmay adopt or maintain a non-conforming measure affecting the operation of an enterprise that is consistent with its Annex I or Annex II, under any where such measure is: (a) a non-conforming measure that is adopted after before the date of entry into force of this Agreement and covered by its Schedule in Annex II, require an investor of the other Contracting Party, by reason of its nationality, to sell or otherwise dispose of an investment that exists at the time the measure becomes effective.Agreement; 4. In cases where (b) a Contracting Party makes an amendment or a modification to any existing non-conforming measure set out referred to in its Schedule in Annex I or where a Contracting Party adopts any new or more restrictive measure with respect to sectors, sub-sectors paragraph (a) that is being continued, renewed or activities set out in its Schedule in Annex II amended after the entry into force of this Agreement, provided the Contracting Party shallmeasure is no less consistent with paragraph 2 of Article X after being continued, renewed or amended than the measure as it existed prior to its continuation, renewal or amendment; or (c) a non-conforming measure covered under its Annex II that is adopted after the implementation entry into force of the amendment this agreement and does not fall within sub-paragraph (a) or modification or the new or more restrictive measure(b), provided it is not applied in respect of, or in exceptional circumstancesa way that causes loss or damage to, as soon as possible thereafter: (a) Notify investments made in the other Contracting territory of the Party before the entry into force of detailed information on such amendment, modification or measure; and (b) Hold, upon request by the other Contracting Party, consultations in good-faith with that other Contracting Party. 54. Each Contracting Party shall endeavour, where appropriate, to reduce or eliminate the reservations specified in its Schedules in Annexes I and II respectively. 6. Articles 3, 4, 6 and 12 shall Article X (Market Access) does not apply to any measure covered by the exceptions to, or derogations from, obligations under Articles 3 and 4 of the TRIPS Agreement, as specifically provided in Articles 3 through 5 of the TRIPS Agreement. 7. Articles 3, 4, 6 and 12 shall not apply to any non-conforming measure that a Contracting Party adopts or maintains with respect to government procurementcommitted sectors or subsectors as set out in its Annex III.

Reservations and Exceptions. 1. Articles 31102, 41103, 6 1106 and 12 shall 1107 do not apply to: (a) Any any existing non-conforming non­conforming measure that is maintained by: (i) With respect to Japan: (A) The central government or a prefectureParty at the federal level, as set out in its Schedule in to Annex I; or (B) A local government other than prefectures;I or III, (ii) With respect to a state or province, for two years after the Republic date of Peru: (A) The central government or a regional governmententry into force of this Agreement, and thereafter as set out by a Party in its Schedule to Annex I in Annex I; accordance with paragraph 2, or (Biii) A a local governmentgovernment; (b) The the continuation or prompt renewal of any non-conforming non­conforming measure referred to in subparagraph (a); or (c) an amendment to any non­conforming measure referred to in subparagraph (a); or (c) An amendment or modification to any non-conforming measure referred to in subparagraph (a), provided the extent that the amendment or modification does not decrease the conformity of the measure measure, as it existed immediately before the amendment or modificationamendment, with Articles 31102, 41103, 6 1106 and 121107. 2. Each Party may set out in its Schedule to Annex I, within two years of the date of entry into force of this Agreement, any existing nonconforming measure maintained by a state or province, not including a local government. 3. Articles 31102, 41103, 6 1106 and 12 shall 1107 do not apply to any measure that a Contracting Party adopts or maintains with respect to sectors, sub-sectors and activities subsectors or activities, as set out in its Schedule in Annex IIto Xxxxx XX. 34. Neither Contracting No Party shallmay, under any measure adopted after the date of entry into force of this Agreement and covered by its Schedule in Annex IIto Xxxxx XX, require an investor of the other Contracting another Party, by reason of its nationality, to sell or otherwise dispose of an investment that exists existing at the time the measure becomes effective. 4. In cases where a Contracting Party makes an amendment or a modification to any existing non-conforming measure set out in its Schedule in Annex I or where a Contracting Party adopts any new or more restrictive measure with respect to sectors, sub-sectors or activities set out in its Schedule in Annex II after the entry into force of this Agreement, the Contracting Party shall, prior to the implementation of the amendment or modification or the new or more restrictive measure, or in exceptional circumstances, as soon as possible thereafter: (a) Notify the other Contracting Party of detailed information on such amendment, modification or measure; and (b) Hold, upon request by the other Contracting Party, consultations in good-faith with that other Contracting Party. 5. Each Contracting Party shall endeavour, where appropriate, to reduce or eliminate the reservations specified in its Schedules in Annexes I Articles 1102 and II respectively. 6. Articles 3, 4, 6 and 12 shall not apply to any measure covered by the exceptions to, or derogations from, obligations under Articles 3 and 4 of the TRIPS Agreement, as specifically provided in Articles 3 through 5 of the TRIPS Agreement. 7. Articles 3, 4, 6 and 12 shall 1103 do not apply to any measure that is an exception to, or derogation from, the obligations under Article 1703 (Intellectual Property National Treatment) as specifically provided for in that Article. 6. Article 1103 does not apply to treatment accorded by a Contracting Party adopts pursuant to agreements, or maintains with respect to sectors, set out in its Schedule to Annex IV. 7. Articles 1102, 1103 and 1107 do not apply to: (a) procurement by a Party or a state enterprise; or (b) subsidies or grants provided by a Party or a state enterprise, including government procurementsupported loans, guarantees and insurance. 8. The provisions of: (a) Article 1106(1)(a), (b) and (c), and (3)(a) and (b) do not apply to qualification requirements for goods or services with respect to export promotion and foreign aid programs; (b) Article 1106(1)(b), (c), (f) and (g), and (3)(a) and (b) do not apply to procurement by a Party or a state enterprise; and (c) Article 1106(3)(a) and (b) do not apply to requirements imposed by an importing Party relating to the content of goods necessary to qualify for preferential tariffs or preferential quotas.

Reservations and Exceptions. 1. Articles 32, 4, 3 and 6 and 12 shall not apply to: (a) Any any existing non-conforming measure that is maintained by: (i) With respect to Japan: (A) The by the central government or of a prefectureContracting Party, as set out in its the Schedule of each Contracting Party in Annex I; or (B) A local government other than prefectures; (ii) With respect to the Republic of Peru: (A) The central government or a regional government, as set out in its Schedule in Annex I; or (B) A local government (b) The any existing non-conforming measure that is maintained by a local government of a Contracting Party; (c) the continuation or prompt renewal of any non-conforming nonconforming measure referred to in subparagraph subparagraphs (a) and (b); or (cd) An an amendment or modification to any non-conforming nonconforming measure referred to in subparagraph subparagraphs (a) and (b), provided that the amendment or modification does not decrease the conformity of the measure as it existed immediately before the amendment or modification, modification with Articles 32, 4, 6 3 and 126. 2. Articles 32, 4, 3 and 6 and 12 shall not apply to any measure that a Contracting Party adopts or maintains with respect to sectors, sub-sectors and or activities set out in its Schedule in Annex II. 3. Neither Contracting Party shall, under any measure adopted after the date of entry into force of this Agreement and covered by its Schedule in Annex II, require an investor of the other Contracting Party, by reason of its nationality, to sell or otherwise dispose of an investment that exists at the time the measure becomes effective. 4. In cases where a Contracting Party makes an amendment or a modification to any existing non-conforming measure set out in its Schedule in Annex I or where a Contracting Party adopts any new or more restrictive measure with respect to sectors, sub-sectors or activities set out in its Schedule in Annex II after the date of entry into force of this Agreement, the Contracting Party shall, prior to the implementation of the amendment or modification or the new or more restrictive measure, or in exceptional circumstances, as soon as possible thereafter: (a) Notify notify the other Contracting Party of detailed information on such amendmentamendment or modification, modification or such measure; and (b) Holdhold, upon request by the other Contracting Party, consultations in good-faith with that other Contracting PartyParty with a view to achieving mutual satisfaction. 5. Each Contracting Party shall endeavour, where appropriate, to reduce or eliminate the reservations specified in its Schedules in Annexes I and II respectively. 6. Articles 32, 4, 3 and 6 and 12 shall not apply to any measure covered by the exceptions to, or derogations from, obligations under Articles 3 and 4 of the TRIPS Agreement, as specifically provided in Articles 3 through 5 of the TRIPS Agreement. 7. Articles 32, 4, 3 and 6 and 12 shall not apply to any measure that a Contracting Party adopts or maintains with respect to government procurement.

Reservations and Exceptions. 1. Articles 358, 459, 6 64 and 12 65 shall not apply to: : (a) Any any existing non-conforming measure that is maintained by: (i) With respect to Japan: (A) The central government ismaintained by a Party at the federal or a prefecturecentralgovernment level, as set out in its Schedule toAnnex 6 or Annex 8; or (b) any existing non-conforming measure that ismaintained by: (i) with respect to Mexico: (AA) a state, for 6 months after the date ofentry into force of this Agreement, andthereafter as to be set out by Mexicoin its Schedule to Annex 6 in Annex Iaccordance with paragraph 2 below; or or (BBB) A a local government other than prefectures; government; and (ii) With with respect to the Republic Japan: (AA) a prefecture, for 6 months after thedate of Peru: (A) The central government or a regional governmententry into force of thisAgreement, and thereafter as set out to be setout by Japan in its Schedule to Annex 6in Annex Iaccordance with paragraph 2 below;or (BB) a local authority other thanprefectures; or (Bc) A local government (b) The the continuation or prompt renewal of any non-conforming nonconforming measure referred to in subparagraph subparagraphs (a)) and (b) above; or or (cd) An an amendment or a modification to any non-conforming nonconforming measure referred to in subparagraph subparagraphs (a), ) and (b) above provided that the amendment or modification ormodification does not decrease the conformity of the measure ofthe measure, as it existed immediately before the amendment theamendment or modification, with Articles 358, 4, 6 59,64 and 1265. 2. Each Party shall set out in its Schedule to Annex 6,within 6 months of the date of entry into force of thisAgreement, any existing non-conforming measure maintainedby a state or a prefecture as referred to in subparagraphs1(b)(i)(AA) and 1(b)(ii) (AA) above, and shall notifythereof the other Party by a diplomatic note. 3. Articles 358, 459, 6 64 and 12 65 shall not apply to any measure anymeasure that a Contracting Party adopts or maintains with respect to sectorstosectors, sub-sectors and activities subsectors or activities, as set out in its Schedule in itsSchedule to Annex II. 37. 4. Neither Contracting Party shallmay, under any measure adopted after the date thedate of entry into force of this Agreement and covered by its Schedule in Annex IIbyAnnex 7, require an investor of the other Contracting Party, by reason of reasonof its nationality, to sell or otherwise dispose of an investment aninvestment that exists at the time the measure becomes effective. 4. In cases where a Contracting Party makes an amendment 5. Article 59 shall not apply to treatment accorded by aParty pursuant to agreements, or a modification with respect to any existing non-conforming measure sectors,set out in its Schedule in to Annex I or where a Contracting Party adopts any new or more restrictive measure with respect to sectors, sub-sectors or activities set out in its Schedule in Annex II after the entry into force of this Agreement, the Contracting Party shall, prior to the implementation of the amendment or modification or the new or more restrictive measure, or in exceptional circumstances, as soon as possible thereafter: (a) Notify the other Contracting Party of detailed information on such amendment, modification or measure; and (b) Hold, upon request by the other Contracting Party, consultations in good-faith with that other Contracting Party. 59. Each Contracting Party shall endeavour, where appropriate, to reduce or eliminate the reservations specified in its Schedules in Annexes I and II respectively. 6. Articles 358, 4, 6 59 and 12 64 shall not apply to any measure covered by the exceptions to, measureadopted or derogations from, obligations under Articles 3 and 4 of the TRIPS Agreement, as specifically provided in Articles 3 through 5 of the TRIPS Agreement. 7. Articles 3, 4, 6 and 12 shall not apply to any measure that a Contracting Party adopts or maintains maintained with respect to government procurementprocurement by xXxxxx or a state enterprise.

Reservations and Exceptions. 1. Articles 313-03, 413-04, 6 13-07 and 12 13-08 shall not apply to: (a) Any any existing non-conforming measure that is maintained by: (i) With respect to Japan: (A) The central government a Party at the national or a prefecturefederal, or state or departmental level, as appropriate, as set out forth in its Schedule in to Annex II (Reservations and Exceptions) or IV (Activities Reserved to the State); or (B) A local government other than prefectures; (ii) With respect to the Republic of Peru:a municipal government; nor to (A) The central government or a regional government, as set out in its Schedule in Annex I; or (B) A local government (b) The the continuation or prompt renewal of any non-conforming measure referred to in subparagraph (a); or (c) An the amendment or modification to of any non-conforming measure referred to in subparagraph (a), ) provided that the such amendment or modification does not decrease diminish the degree of conformity of the measure measure, as it existed immediately before in effect prior to the amendment or modificationamendment, with Articles 3articles 13-03, 413-04, 6 13-07 and 1213-08. 2. Articles 3Upon entry into force of this Agreement, 4, 6 and 12 no Party shall not apply to any measure that a Contracting Party adopts or maintains increase the degree of non-conformity of its existing measures with respect to sectorsArticles 13-03, sub13-sectors 04 and activities set out in its Schedule 13-07 and 13-08. The Parties shall list their non-conforming measures in Annex III (Reservations and Exceptions), which shall be completed by the Parties no later than one year after the entry into force of this Agreement. 3. Neither Contracting Each Party shall, under any measure adopted after shall have one year from the date of entry into force of this Agreement and covered by to indicate in its Schedule list in Annex III (Reservations and Exceptions) any non-conforming measure that, require an investor of the other Contracting Partynot including local governments, is maintained by reason of its nationality, to sell a state or otherwise dispose of an investment that exists at the time the measure becomes effectivedepartmental government. 4. In cases where a Contracting Party makes an amendment or a modification to any existing nonArticles 13-conforming measure set out in its Schedule in Annex I or where a Contracting Party adopts any new or more restrictive measure with respect to sectors, sub03 and 13-sectors or activities set out in its Schedule in Annex II after the entry into force of this Agreement, the Contracting Party shall, prior to the implementation of the amendment or modification or the new or more restrictive measure, or in exceptional circumstances, as soon as possible thereafter: (a) Notify the other Contracting Party of detailed information on such amendment, modification or measure; and (b) Hold, upon request by the other Contracting Party, consultations in good-faith with that other Contracting Party. 5. Each Contracting Party shall endeavour, where appropriate, to reduce or eliminate the reservations specified in its Schedules in Annexes I and II respectively. 6. Articles 3, 4, 6 and 12 shall not apply to any measure covered by the exceptions to, or derogations from, obligations under Articles 3 and 4 of the TRIPS Agreement, as specifically provided in Articles 3 through 5 of the TRIPS Agreement. 7. Articles 3, 4, 6 and 12 shall 04 do not apply to any measure that constitutes an exception or derogation to the obligations under Article 15-04 (National Treatment), as expressly stated in that article. 5. Article 13-04 does not apply to treatment accorded by a Contracting Party adopts pursuant to the treaties, or maintains with respect to government procurementthe sectors, set forth in its list in Annex III (Exceptions to Most-Favored-Nation Treatment). 6. Articles 13-03, 13-04 and 13-08 do not apply to: a) purchases made by a Party or a State enterprise; or b) subsidies or contributions, including government-backed loans, guarantees and insurance, granted by a Party or a state enterprise. 7. The provisions contained in: a) paragraphs 1(a), (b) and (c), and 3(a) and (b) of article 13-07 shall not apply to the requirements for qualification of goods and services with respect to export promotion and foreign aid programs; b) paragraphs 1(b), (c), (f) and (g), and 3(a) and (b) of Article 13-07 shall not apply to purchases made by a Party or by a State enterprise; and c) paragraphs 3(a) and (b) of Article 13-07 shall not apply to requirements imposed by an importing Party on goods that, by virtue of their content, qualify for preferential tariffs or quotas.

Reservations and Exceptions. 1. Articles 31102, 41103, 6 1106 and 12 shall 1107 do not apply to: (a) Any any existing non-conforming measure that is maintained by: (i) With respect to Japan: (A) The central government or a prefectureParty at the federal level, as set out in its Schedule in to Annex I; or (B) A local government other than prefectures;I or III, (ii) With respect to a state or province, for two years after the Republic date of Peru: (A) The central government or a regional governmententry into force of this Agreement, and thereafter as set out by a Party in its Schedule to Annex I in Annex I; accordance with paragraph 2, or (Biii) A a local government; (b) The the continuation or prompt renewal of any non-conforming measure referred to in subparagraph (a); or (c) An an amendment or modification to any non-conforming measure referred to in subparagraph (a), provided ) to the extent that the amendment or modification does not decrease the conformity of the measure measure, as it existed immediately before the amendment or modificationamendment, with Articles 31102, 41103, 6 1106 and 121107. 2. Each Party may set out in its Schedule to Annex I, within two years of the date of entry into force of this Agreement, any existing nonconforming measure maintained by a state or province, not including a local government. 3. Articles 31102, 41103, 6 1106 and 12 shall 1107 do not apply to any measure that a Contracting Party adopts or maintains with respect to sectors, sub-sectors and activities subsectors or activities, as set out in its Schedule in Annex IIto Xxxxx XX. 34. Neither Contracting No Party shallmay, under any measure adopted after the date of entry into force of this Agreement and covered by its Schedule in Annex IIto Xxxxx XX, require an investor of the other Contracting another Party, by reason of its nationality, to sell or otherwise dispose of an investment that exists existing at the time the measure becomes effective. 4. In cases where a Contracting Party makes an amendment or a modification to any existing non-conforming measure set out in its Schedule in Annex I or where a Contracting Party adopts any new or more restrictive measure with respect to sectors, sub-sectors or activities set out in its Schedule in Annex II after the entry into force of this Agreement, the Contracting Party shall, prior to the implementation of the amendment or modification or the new or more restrictive measure, or in exceptional circumstances, as soon as possible thereafter: (a) Notify the other Contracting Party of detailed information on such amendment, modification or measure; and (b) Hold, upon request by the other Contracting Party, consultations in good-faith with that other Contracting Party. 5. Each Contracting Party shall endeavour, where appropriate, to reduce or eliminate the reservations specified in its Schedules in Annexes I Articles 1102 and II respectively. 6. Articles 3, 4, 6 and 12 shall not apply to any measure covered by the exceptions to, or derogations from, obligations under Articles 3 and 4 of the TRIPS Agreement, as specifically provided in Articles 3 through 5 of the TRIPS Agreement. 7. Articles 3, 4, 6 and 12 shall 1103 do not apply to any measure that is an exception to, or derogation from, the obligations under Article 1703 (Intellectual Property National Treatment) as specifically provided for in that Article. 6. Article 1103 does not apply to treatment accorded by a Contracting Party adopts pursuant to agreements, or maintains with respect to sectors, set out in its Schedule to Annex IV. 7. Articles 1102, 1103 and 1107 do not apply to: (a) procurement by a Party or a state enterprise; or (b) subsidies or grants provided by a Party or a state enterprise, including government procurementsupported loans, guarantees and insurance. 8. The provisions of: (a) Article 1106(1)(a), (b) and (c), and (3)(a) and (b) do not apply to qualification requirements for goods or services with respect to export promotion and foreign aid programs; (b) Article 1106(1)(b), (c), (f) and (g), and (3)(a) and (b) do not apply to procurement by a Party or a state enterprise; and (c) Article 1106(3)(a) and (b) do not apply to requirements imposed by an importing Party relating to the content of goods necessary to qualify for preferential tariffs or preferential quotas.