Definition
For the purposes of this Chapter:
activities carried out in the exercise of governmental authority means activities carried out
neither on a commercial basis nor in competition with one or more economic operators;
aircraft repair and maintenance services means activities undertaken on an aircraft or a
part of an aircraft while it is withdrawn from service and do not include so-called line
maintenance;
airport operation services means the operation or management, on a fee or contract basis, of
airport infrastructure, including terminals, runways, taxiways and aprons, parking facilities,
and intra-airport transportation systems. For greater certainty, airport operation services do
not include the ownership of, or investment in, airports or airport lands, or any of the
functions carried out by a board of directors. Airport operation services do not include air
navigation services;
attachment means the seizure of property of a disputing party to secure or ensure the
satisfaction of an award;
computer reservation system services means the supply of a service by computerised
systems that contain information about air carriers’ schedules, availability, fares and fare
rules, through which reservations can be made or tickets may be issued;
confidential or protected information means:
(a) confidential business information; or
(b) information which is protected against disclosure to the public;
(i) in the case of information of the respondent, under the law of the respondent;
(ii) in the case of other information, under a law or rules that the Tribunal
determines to be applicable to the disclosure of such information;
covered investment means, with respect to a Party, an investment:
(a) in its territory;
(b) made in accordance with the applicable law at the time the investment is made;
(c) directly or indirectly owned or controlled by an investor of the other Party; and
(d) existing on the date of entry into force of this Agreement, or made or acquired
thereafter;
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disputing party means the investor that initiates proceedings pursuant to Section F or the
respondent. For the purposes of Section F and without prejudice to Article 8.14, an investor
does not include a Party;
disputing parties means both the investor and the respondent;
enjoin means an order to prohibit or restrain an action;
enterprise means an enterprise as defined in Article 1.1 (Definitions of general application)
and a branch or representative office of an enterprise;
ground handling services means the supply of a service on a fee or contract basis for: ground
administration and supervision, including load control and communications; passenger
handling; baggage handling; cargo and mail handling; ramp handling and aircraft services;
fuel and oil handling; aircraft line maintenance, flight operations and crew administration;
surface transport; or catering services. Ground handling services do not include security
services or the operation or management of centralised airport infrastructure, such as baggage
handling systems, de-icing facilities, fuel distribution systems, or intra-airport transport
systems;
ICSID means the International Centre for Settlement of Investment Disputes;
ICSID Additional Facility Rules means the Rules Governing the Additional Facility for the
Administration of Proceedings by the Secretariat of the International Centre for Settlement of
Investment Disputes;
ICSID Convention means the Convention on the Settlement of Investment Disputes between
States and Nationals of other States, done at Washington on 18 March 1965;
intellectual property rights means copyright and related rights, trademark rights, rights in
geographical indications, rights in industrial designs, patent rights, rights in layout designs of
integrated circuits, rights in relation to protection of undisclosed information, and plant
breeders’ rights; and, if such rights are provided by a Party’s law, utility model rights. The
CETA Joint Committee may, by decision, add other categories of intellectual property to this
definition;
investment means every kind of asset that an investor owns or controls, directly or indirectly,
that has the characteristics of an investment, which includes a certain duration and other
characteristics such as the commitment of capital or other resources, the expectation of gain or
profit, or the assumption of risk. Forms that an investment may take include:
(a) an enterprise;
(b) shares, stocks and other forms of equity participation in an enterprise;
(c) bonds, debentures and other debt instruments of an enterprise;
(d) a loan to an enterprise;
(e) any other kind of interest in an enterprise;
(f) an interest arising from:
(i) a concession conferred pursuant to the law of a Party or under a contract,
including to search for, cultivate, extract or exploit natural resources,
(ii) a turnkey, construction, production or revenue-sharing contract; or
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(iii) other similar contracts;
(g) intellectual property rights;
(h) other moveable property, tangible or intangible, or immovable property and related
rights;
(i) claims to money or claims to performance under a contract.
For greater certainty, claims to money does not include:
(i) claims to money that arise solely from commercial contracts for the sale of goods or
services by a natural person or enterprise in the territory of a Party to a natural person
or enterprise in the territory of the other Party.
(ii) the domestic financing of such contracts; or
(iii) any order, judgment, or arbitral award related to sub-subparagraph (i) or (ii).
Returns that are invested shall be treated as investments. Any alteration of the form in which
assets are invested or reinvested does not affect their qualification as investment;
investor means a Party, a natural person or an enterprise of a Party, other than a branch or a
representative office, that seeks to make, is making or has made an investment in the territory
of the other Party;
For the purposes of this definition, an enterprise of a Party is:
(a) an enterprise that is constituted or organised under the laws of that Party and has
substantial business activities in the territory of that Party; or
(b) an enterprise that is constituted or organised under the laws of that Party and is
directly or indirectly owned or controlled by a natural person of that Party or by an
enterprise mentioned under paragraph (a);
locally established enterprise means a juridical person that is constituted or organised under
the laws of the respondent and that an investor of the other Party owns or controls directly or
indirectly;
natural person means:
(a) in the case of Canada, a natural person who is a citizen or permanent resident of
Canada; and
(b) in the case of the European Union, a natural person having the nationality of one of
the Member States of the European Union according to their respective laws, and, for
Latvia, also a natural person permanently residing in the Republic of Latvia who is
not a citizen of the Republic of Latvia or any other state but who is entitled, under
laws and regulations of the Republic of Latvia, to receive a non-citizen’s passport.
A natural person who is a citizen of Canada and has the nationality of one of the Member
States of the European Union is deemed to be exclusively a natural person of the Party of his
or her dominant and effective nationality.
A natural person who has the nationality of one of the Member States of the European Union
or is a citizen of Canada, and is also a permanent resident of the other Party, is deemed to be
exclusively a natural person of the Party of his or her nationality or citizenship, as applicable;
New York Convention means the United Nations Convention on the Recognition and
Enforcement of Foreign Arbitral Awards, done at New York on 10 June 1958;
non-disputing Party means Canada, if the European Union or a Member State of the
European Union is the respondent, or the European Union, if Canada is the respondent;
respondent means Canada or, in the case of the European Union, either the Member State of
the European Union or the European Union pursuant to Article 8.21;
returns means all amounts yielded by an investment or reinvestment, including profits,
royalties and interest or other fees and payments in kind;
selling and marketing of air transport service means opportunity for the air carrier
concerned to sell and market freely its air transport services including all aspects of marketing
such as market research, advertising and distribution, but does not include the pricing of air
transport services or the applicable conditions;
third party funding means any funding provided by a natural or legal person who is not a
party to the dispute but who enters into an agreement with a disputing party in order to
finance part or all of the cost of the proceedings either through a donation or grant, or in
return for remuneration dependent on the outcome of the dispute.
Tribunal means a tribunal established under Article 8.27 or 8.43;
UNCITRAL Arbitration Rules means the arbitration rules of the United Nations
Commission on International Trade Law;
UNCITRAL Transparency Rules means the UNCITRAL Rules on Transparency in Treatybased
Investor-State Arbitration;