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Fair Trade Archive: GTW E-Newsletters, Action Alerts, and Updates

Expanding Investor Rights

The core chapter of the MAI actually is entitled "Investor Rights." These include the absolute right to establish an investment (this includes purchase of land, natural resources, telecommunications and other services, and currency) under deregulated terms set forth in the treaty. Governments are given the obligation to ensure "effective enjoyment" of such investments. Under the MAI investment policy would:

• Grant foreign investors the right to sue U.S. government for any action they claim undermines profits;
• Provide NO accountability for investors in treaty, only new obligations for governments;
• Undercut local, small business development programs;
• Forbid local, state and federal government to set terms under which foreign investors may operate;
• Disarm U.S. government of effective enforcement of arms control, human rights, and other international objectives;
• Assure powerful enforcement by foreign corporation for foreign corporations.

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