1E9Ct5D

International Investment DisputeResolutionThe Settlement of International InvestmentDisputes Act (Canada) (the “SIID Act”) wasassented to March 13 th , 2008, and cameinto force on November 1, 2013. The SIIDAct applies to awards rendered, arbitrationagreements entered into and conciliationproceedings commenced under theConvention on the Settlement of InvestmentDisputes between States and Nationals ofOther States (the “Convention”). As ofNovember 1, 2013 the Convention hascome into force in 149 countries.The SIID Act establishes the InternationalCentre for Settlement of InvestmentDisputes (the “Centre”). The Centre has thecapacity of a natural person and is providedcertain immunities and privileges.Immunities are also extended to the chairand members of the Administrative Counciland to other persons such as parties toproceedings, counsel and witnesses.The Centre maintains a panel of conciliatorsand a panel of arbitrators. Each contractingstate designates four individuals to serve oneach of the panels.The jurisdiction of the Centre extends to alllegal disputes arising directly out of aninvestment between a contracting state anda national of another contracting state.Parties to a dispute must consent in writingto submit the dispute to the Centre. Once adispute has been submitted and consent isgiven by all parties involved, no party maythen withdraw its consent unilaterally.Consent of the parties to arbitration underthe Convention is deemed to be consent tosuch arbitration to the exclusion of any otherremedy. Awards are binding on the partiesand are not subject to any appeal or to anyother remedy.The SIID Act provides that a provincialsuperior court has the jurisdiction torecognize and enforce an award madepursuant to the SIID Act by a tribunalestablished under the Convention. Onapplication, such a court must recognizeand enforce an award as if it were the finaljudgment of that court.An arbitration tribunal will decide a disputein accordance with the rules of law agreedto by the parties, except that in the absenceof agreement, the tribunal shall apply thelaw of the contracting state party to thedispute (including its rules on the conflict oflaws) and such rules of international law asmay be applicable.A growth in the number and significance ofinternational investments has resulted in anincrease in the quantity and complexity ofinvestment disputes. The Centre offersContracting States an alternative to litigationwith the provision of a reputable andaccessible international dispute mechanism.Exchange ControlsCanada does not have any exchangecontrols, so there are no restrictions on therepatriation of profits to the foreign ownersof businesses operating in Canada.However, the Proceeds of Crime (MoneyLaundering) and Terrorist Financing Actdoes establish reporting requirements forthe export of currency or monetaryinstruments. The Act imposes three mainobligations on businesses: keeping recordsTrade and Business Conduct Regulation42