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Lee A. Bygrave (red.) YULEX 2002 - Universitetet i Oslo

Lee A. Bygrave (red.) YULEX 2002 - Universitetet i Oslo

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The WTO and Legal Regulation of E-Commerce 45<br />

contract needs revision. In a nutshell, the main role of the WTO is to guarantee<br />

that trade runs as smoothly, p<strong>red</strong>ictably and freely as possible. The WTO<br />

must realise its duties while respecting the environment, optimising the<br />

world’s resources and contributing to the enhancement of underdeveloped<br />

countries. 6 Providing the institutional framework for development and administration<br />

of its substantive laws, the WTO is made up of a range of bodies<br />

so as to ensure accurate representation and efficient management. At the top<br />

of the organisational structure is the Ministerial Conference, which assembles<br />

every two years to report on the WTO’s progress. Meeting on a more regular<br />

basis is the General Council, which is subordinated by three auxiliary councils:<br />

the Council for Trade in Goods, the Council for Trade in Services and<br />

the Council for Trade-Related Aspects of Intellectual Property Rights.<br />

2.2 The Agreements<br />

Each of the Agreements include a Most Favou<strong>red</strong> Nation (MFN) provision<br />

and a National Treatment (NT) provision. The MFN provision states that<br />

each Member State must treat every other Member State as their “most favou<strong>red</strong>”<br />

trading partner. Any benefits given to one Member State must thus<br />

be given to the others. Running along similar lines, the NT condition stipulates<br />

that all products should be treated equally, regardless of whether they<br />

have a local or imported origin. 7 Over and above these fundamental clauses,<br />

the Agreements address issues that are specific to their own area, although<br />

GATT and GATS have more or less the same format. The main difference<br />

between these two Agreements is their profundity and stability. In respect of<br />

services, while the basic framework is in place with GATS, this system is still<br />

in its infancy stages, and so remains incomplete. As for TRIPS, although it<br />

endorses the basic concepts of MFN and NT, it takes quite a different approach<br />

to that of GATT and GATS. Reflecting that ideas and knowledge are<br />

increasingly the focus of trade, TRIPS seeks to ensure that intellectual property<br />

rights are not abused during the trading process. As a result, it looks<br />

specifically at the different forms of intellectual property rights and the standards<br />

with which they interact.<br />

2.3 Prominent Powers<br />

Generally, any regulation that comes from international organisations is of a<br />

non-binding nature, and thus signatories agree voluntarily to abide by its<br />

6 Qureshi, supra n 4.<br />

7 At this stage, the NT clause only extends to the services cove<strong>red</strong> in the annexes to GATS.

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