Article 1211: Denial of Benefits

    1. A Party may deny the benefits of this Chapter to a service provider of another Party where the Party establishes that:

  • The service is being provided by an enterprise owned or controlled by nationals of a non-Party, and
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  • The denying Party does not maintain diplomatic relations with the non-Party, or
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  • The denying Party adopts or maintains measures with respect to the non-Party that prohibit transactions with the enterprise or that would be violated or circumvented if the benefits of this Chapter were accorded to the enterprise; or
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  • The cross-border provision of a transportation service covered by this Chapter is provided using equipment not registered by any Party.
  • 2. Subject to prior notification and consultation in accordance with Articles 1803 (TLCAN: Art. 1803) (Notification and Provision of Information) and 2006 (TLCAN: Art. 2006) (Consultations), a Party may deny the benefits of this Chapter to a service provider of another Party where the Party establishes that the service is being provided by an enterprise that is owned or controlled by persons of a non-Party and that has no substantial business activities in the territory of any Party.