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ARTICLES

LEGAL RESOURSES

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    • Article 1108: Reservations and Exceptions

    1. Articles 1102 (TLCAN: Art. 1102), 1103 (TLCAN: Art. 1103), 1106 (TLCAN: Art. 1106) and 1107 (TLCAN: Art. 1107) do not apply to:

  • Any existing non-conforming measure that is maintained by

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  • A Party at the federal level, as set out in its Schedule to Annex I (TLCAN: Anexo I) or III (TLCAN: Anexo 3 MEX),

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  • A state or province, for two years after the date of entry into force of this Agreement, and thereafter as set out by a Party in its Schedule to Annex I (TLCAN: Anexo I) in accordance with paragraph 2, or

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  • A local government;

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  • The continuation or prompt renewal of any non-conforming measure referred to in subparagraph (a); or

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  • An amendment to any non-conforming measure referred to in subparagraph (a) to the extent that the amendment does not decrease the conformity of the measure, as it existed immediately before the amendment, with Articles 1102 (TLCAN: Art. 1102), 1103 (TLCAN: Art. 1103), 1106 (TLCAN: Art. 1106) and 1107 (TLCAN: Art. 1107).

    • 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 1102 (TLCAN: Art. 1102), 1103 (TLCAN: Art. 1103), 1106 (TLCAN: Art. 1106) and 1107 (TLCAN: Art. 1107) do not apply to any measure that a Party adopts or maintains with respect to sectors, subsectors or activities, as set out in its Schedule to Annex II.

    4. No Party may, under any measure adopted after the date of entry into force of this Agreement and covered by its Schedule to Annex II, require an investor of another Party, by reason of its nationality, to sell or otherwise dispose of an investment existing at the time the measure becomes effective.

    5. Articles 1102 (TLCAN: Art. 1102) and 1103 (TLCAN: Art. 1103) do not apply to any measure that is an exception to, or derogation from, the obligations under Article 1703 (TLCAN: Art. 1703) (Intellectual Property National Treatment) as specifically provided for in that Article.

    6. Article 1103 (TLCAN: Art. 1103) does not apply to treatment accorded by a Party pursuant to agreements, or with respect to sectors, set out in its Schedule to Annex IV.

    7. Articles 1102 (TLCAN: Art. 1102), 1103 (TLCAN: Art. 1103) and 1107 (TLCAN: Art. 1107) do not apply to:

  • Procurement by a Party or a state enterprise; or

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  • Subsidies or grants provided by a Party or a state enterprise, including government supported loans, guarantees and insurance.

    • 8. The provisions of:

  • Article 1106(1)(a), (b) and (c), and (3)(a) and (b) (TLCAN: Art. 1106) do not apply to qualification requirements for goods or services with respect to export promotion and foreign aid programs;

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  • Article 1106(1)(b), (c), (f) and (g), and (3)(a) and (b) (TLCAN: Art. 1106) do not apply to procurement by a Party or a state enterprise; and

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  • Article 1106(3)(a) and (b) (TLCAN: Art. 1106) 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.