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United States and Canada Arbitrate a Softwood Lumber Dispute in the London Court of International Arbitration

Published online by Cambridge University Press:  10 March 2017

Abstract

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Type
Contemporary Practice of the United States Relating to International Law
Copyright
Copyright © American Society of International Law 2008

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References

1 Office of the U.S. Trade Representative Press Release, United States to Request Arbitration Challenging Canada's Implementation of the 2006 Softwood Lumber Agreement (Aug. 7, 2007), at <http://www.ustr.gov/Document_Library/Press_Releases/2007/August/United_States_to_Request_Arbitration_Challenging_Canadas_Implementation_of_the_2006_Softwood_Lumber_Agreement.html>. The U.S. request for arbitration is at <http:www.ustr.gov/assets/Trade_Agreements/Monitoring_Enforcement/2006_Softwood_Lumber_Agreement/asset_upload_file465_13242.pdf>. A press release of an association of U.S. lumber producers supporting the U.S. government action is at <http://www.fairlumbercoalition.org/doc/press_release_8-7-07.pdf>.

3 See LCIA Arbitration Rule 30, at <http://www.lcia-arbitration.com>.

4 The parties' unusual decision to utilize the LCIA for dispute settlement under the SLA perhaps reflects discontent with the complex, potentially fragile mechanism for settling interstate disputes under Chapter 20 of the North American Free Trade Agreement, and unwillingness to extend that mechanism to additional types of disputes under the SLA. Under NAFTA Chapter 20, four of the five members of dispute settlement panels are supposed to be selected from rosters of distinguished persons previously designated by the parties, with each party selecting two persons of the opposing nationality. The parties are then supposed to agree on the presiding arbitrator; failing agreement, one party, determined by lot, makes the appointment. There is no appointing authority empowered to make appointments if either party fails to act, potentially permitting a recalcitrant party to frustrate the process.

5 Office of the U.S. Trade Representative Press Release, supra note 1.

6 Foreign Affairs and International Trade Canada News Release No. 108, Statement from Minister Emerson on Softwood Lumber Agreement (Aug. 7, 2007), at <http://www.dfait-maeci.gc.ca/eicb/softwood/SLA-main-en.asp>.

7 Tribunal May Rule on US-Canada Lumber Spat in Feb, Reuters Canada (Dec. 12,2007), at <http://ca.reuters.com/article/domesticNews/idCAN1264302520071212>.