The Multilateral Agreement on Investment ( )

For Immediate Release

November 17, 1997

Ottawa - The Liberal government is falsely claiming that Canadian interests in health, education, social programs, culture and the environment will be protected under the proposed Multilateral Agreement on Investment (MAI), according to a legal opinion commissioned by The Council of Canadians and the Common Front on the WTO.

In a presentation today to the parliamentary sub-committee on the MAI, Maude Barlow, The Council's Chairperson, said the legal opinion states that Canada's reservations to the treaty will be "virtually meaningless for health, public education and childcare as each has aspects provided by commercial providers in Canada".

Toronto-based trade lawyer Barry Appleton meticulously details the limited nature of treaty reservations and their interpretation under international law. "Such a process would be unpredictable and any government relying only on (this) definition would do so at its peril," the legal opinion states.

Barlow said that with just five months to go until conclusion of talks at the OECD in Paris, the federal government is depending on the "reservations wish list" to see them through. "This legal opinion shows that Canada's reservations to the treaty would not guard against multinational corporations suing the government if they were not granted full access to Canadian public services."

She said the legal opinion makes it clear that Canada's social programs would be subject to international commercialization if they were ever privatized. "We are leaving ourselves wide open to a takeover of our social programs if the MAI is adopted."

Barlow said the Appleton study shows that Canadian culture would also be vulnerable under the MAI by stating that "culture and cultural industries are an area that would be significantly affected by the obligations of the MAI. Government measures that attempted to maintain, develop or foster made-in-Canada culture would be inconsistent with the goals of the MAI."

Barlow concluded the MAI, which would "lock-in" governments for 20 years, gives corporations tremendous power to override national governments and the democratic wishes of the people.

According to the legal opinion, "Canada has failed to propose reservations to protect the ability of government to environmental measures that would otherwise violate the MAI. As a result, Canada has chosen to voluntarily bind itself, its provinces and its municipalities to obligations which protect investments over the environment."

For more information: Fred Tabachnik (613) 233-2773
Peter Bleyer (613) 233-2773 ext. 223
or (613) 290-1690
Maude Barlow (613) 233-2773
Barry Appleton (416) 966-8800