Conceptual Issues

Kategekwa, Joy

doi:10.1007/978-3-319-03548-2_2

Joy Kategekwa²

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Abstract

As is the case with all legal concepts, WTO Members needed to have a commonly shared understanding of what they meant by a service. Eventually, such definition eluded them and they settled not for a definition of what a service is per se, but for “trade in services”—defined by means of how the service is supplied. Before getting into the details of Mode 4, it is important to understand the overarching legal framework governing international trade in services.

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Notes

1.
WTO “The GATS: objectives, coverage and disciplines”.
2.
Article XXVIII: (a) Definitions, GATS.
3.
Article 1: (2) (a), GATS.
4.
Article 1: (2) (b), GATS.
5.
Article 1: (2) (c), GATS.
6.
Article 1: (2) (d), GATS.
7.
Article 1, GATS.
8.
Article XXVIII: (c) (i)–(iii), GATS.
9.
According to Article XXIX of the GATS, Annexes to the Agreement are an integral part of the Agreement. See Article 2, Annex on Air Transport Services, GATS.
10.
Annex on Article II Exemptions, GATS.
11.
Lists of Article II (MFN) exemptions.
12.
Ibid.
13.
Article V, GATS.
14.
Article V: 1 (a), GATS.
15.
WTO Document MTN.GNS/W/120.
16.
Adlung and Miroudot (2012).
17.
Intervention by the Representative of Argentina in the Committee on Regional Trade Agreements, as contained in WTO Document WT/REG/M/22 on p. 5.
18.
Intervention by Japan, ibid, at p. 7.
19.
Article V: (2), GATS.
20.
Article V: (1) (b), GATS.
21.
Ibid. Except for measures permitted under Articles XI (payments and transfers), XII (restrictions to safeguard balance of payments), XIV (general exceptions) and XIV bis (security exceptions).
22.
WTO Document WT/REG/M/22.
23.
Cottier and Molinuevo (2008), supra.
24.
Article V: (3) (b), GATS.
25.
Article V: (6), GATS.
26.
Article III (3), GATS.
27.
Article III (4), GATS.
28.
Article XVII: (3), GATS.
29.
Footnote 10, Article XVII: (1), GATS.
30.
Cossy (2006).
31.
Panel Report, European Communities—Regime for the Importation, Sale and Distribution of Bananas—Recourse to Article 21.5 of the DSU by the European Communities, WT/DS27/RW/EEC and Corr.1, 12 April 1999, DSR 1999:II, 783.
32.
Van Den Bosche (2008), p. 394.
33.
Ibid.
34.
Ibid.
35.
Article XVI, GATS.
36.
Article XVI: (2), GATS.
37.
Article XVIII, GATS.
38.
US- Gambling, Panel Report, United States- Measures Affecting the Cross-Border Supply of Gambling and Betting Services, WT/DS285/R, adopted 20 April 2005, as odified by the Appellate Body Report, WT/DS285/AB/R, DSR 2005.
39.
Part III deals with market access, NT and Additional Commitments.
40.
Article XX: (1), GATS.
41.
Article XX: (3), GATS.
42.
Guidelines for the Scheduling of Specific Commitments Under the General Agreement on Trade in Services, WTO Document S/L/92.
43.
Ibid.
44.
Ibid.
45.
Article XXI: (a), GATS.
46.
Article XXI: 1 (a), GATS.
47.
Article XXI: (2) (a), GATS.
48.
Ibid.
49.
XXI: 2 (b), GATS.
50.
XXI: 3 (a), GATS.
51.
XXI: 4 (a), GATS.
52.
XXI: 4 (b), GATS.
53.
XXI: 3 (b), GATS.
54.
WTO Document JOB (02)/88.
55.
Ibid.
56.
For more on how to read a schedule, see Kelsey (2009).
57.
An important determinant of course is the depth of the list of reservations.
58.
Scheduling Guidelines. WTO Document S/L/92 at p. 12.
59.
Services Sectoral Classification List, supra.
60.
These broadly include Business services, Communication services, Construction and related engineering services, Distribution services, Education services, Environmental services, Financial services, Health related and social services, Tourism and travel related services, Recreational, cultural and sporting services, Transport Services, and other services not included elsewhere. A more detailed list of the sub-sectors is contained in WTO Document: MTN.GNS/W/120 of 10 July 1991.
61.
For more on the UNCPC, see http://unstats.un.org/unsd/cr/registry/regcst.asp?cl=9&lg=1. Accessed on 16 February 2012.
62.
Article XIX: (1), GATS.
63.
Article XIX: (2), GATS.
64.
Article IV: (1), GATS.
65.
Article IV: (2), GATS.
66.
Article IV: (3), GATS.
67.
Article XXVIII: (g), GATS.
68.
Article XXVIII: (j), GATS.
69.
Ibid.
70.
Article XXVIII: (k), GATS.
71.
Article XXVIII: (i), GATS.
72.
For a thorough discussion on categories of Mode 4 persons, see WTO (2009).
73.
Author’s adaptation of demonstration contained in WTO (2009), p. 3. If the lawyer were from the Seychelles, which is not a WTO Member at the time of writing, then such rationale and rule would not apply.
74.
It is important to recall that according to Article XXVIII (b) supply of a service includes the production, distribution, marketing, sale and delivery of a service.
75.
Article 1: (2) (d), GATS.
76.
Ibid.
77.
Author’s adaptation of demonstration contained in WTO (2009), supra, at p. 3.
78.
Argumentation presented in WTO (2009).
79.
WTO (2009) at p. 4.
80.
Panizzon (2010).
81.
See Winters et al. (2002).
82.
Winters et al. (2002), ibid.
83.
Carzaniga (2009).
84.
Article XXIX, GATS.
85.
Particularly in the context of Business service sellers.
86.
Footnote to Article V bis, GATS.
87.
Article V bis, (a), GATS.
88.
Paragraph 2, Mode 4 Annex, GATS, even though we have demonstrated the weaknesses of this exclusion.
89.
Paragraph 2, Mode 4 Annex.
90.
Article 3 (b), GATS.
91.
Bilateral Labour Agreements (2011).
92.
Martin (2006).
93.
Sokwanele (2011).
94.
Statutory Instrument no. 3 of 1996, Laws of Uganda.
95.
For discussion on the ongoing WTO negotiations on domestic regulation, see 10.3.
96.
Article VI: (1), GATS.
97.
Winterton (1997).
98.
For a more on the role of a Preamble and its interpretation, see Twomey (2011).
99.
Article VI: (2) (a), GATS.
100.
Article VI: (2) (b), GATS.
101.
Article VI: (4), GATS.
102.
Ibid.
103.
Article VI: (5), GATS.
104.
Article VII: (1), GATS.
105.
Article VII: (2), GATS.
106.
Article VII: (3), GATS.
107.
Article VII: (4) (c) and (5), GATS.
108.
Specific commitments.
109.
Progressive liberalization.
110.
The sole fact of requiring a visa for natural persons of certain Members and not for those of others shall not be regarded as nullifying or impairing benefits under a specific commitment.
111.
Interesting to note that the U.S makes reference to employers (and not service suppliers), possibly meaning that they make no distinction, as does the GATS, between the domestic employment market and Mode 4.
112.
See USA List of Horizontal Commitments on Mode 4. WTO Services Data base. http://tsdb.wto.org/simplesearch.aspx. Accessed on 13 November 2011.
113.
Some may argue that such an action questions whether the commitment is still a truly multilateral one or whether it does not take away from the GATS commitment.
114.
Wallach and Tucker (2006)

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Legal Instruments

General Agreement on Trade in Services (GATS).
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Cases

Panel Report, European Communities — regime for the importation, sale and distribution of bananas — recourse to Article 21.5 of the DSU by the European Communities, WT/DS27/RW/EEC and Corr.1, 12 April 1999, DSR 1999:II, 783.
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MTN.GNS/W/120.
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Geneva, Switzerland
Joy Kategekwa

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Kategekwa, J. (2014). Conceptual Issues. In: Opening Markets for Foreign Skills: How Can the WTO Help?. Springer, Cham. https://doi.org/10.1007/978-3-319-03548-2_2

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DOI: https://doi.org/10.1007/978-3-319-03548-2_2
Published: 07 December 2013
Publisher Name: Springer, Cham
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