Dispute settlement rules were established initially in the CEFTA Agreement. As the economic integration depended, leading to increased trade flows and increased relations between the Parties, the initial dispute settlement mechanism proved to be ineffective for the existing realities and required serious reform due to limited recourse by the Parties to the resolve disputes.
In 2020 negotiations started on a new rule-based, independent, impartial, and ultimately able to achieve compliance and guarantee enforcement dispute settlement mechanism. The mechanism is based on the WTO system and the EU model that would ensure a meaningful trade integration in CEFTA, as well as generate an attractive investment and business environment that is beneficial to all.
Additional Protocol 7 contains among general provisions on time limits, costs and logistics, sections related to mediation proceedings, consultations, rules on the dispute settlement procedures, compliance procedures and compliance review, Code of Conduct of members of the arbitral tribunal / panel.
Check for CEFTA Dispute Settlement Mechanism leaflet here.