Leaked Pacific trade pact exempts foreign firms from U.S. law?

June 14, 2012, Fairfax, VA—Americans for Limited Government President Bill Wilson today issued the following statement reacting to a leaked version of the Trans-Pacific Partnership trade pact with Australia, Brunei Darussalam, Chile, Malaysia, New Zealand, Peru, Singapore, and Vietnam:

“These new trade agreements will place domestic U.S. firms that do not do business overseas at a competitive disadvantage.  Based on these leaked documents, foreign firms under this trade pact could conceivably appeal federal regulatory and court rulings against them to an international tribunal with the apparent authority to overrule our sovereignty. If foreign companies want to do business in America, they should have to follow the same rules as everyone else. No special favors.

“It is telling that the only apparent way these Pacific nations will enter a free trade agreement with the U.S. is if they are exempt from our onerous environmental and financial regulations that make it cost-ineffective to do business here. Instead of making these foreign firms exempt from these burdensome rules, they should just repeal the regulations and make it cheaper to do business here.

“This poses an even wider problem, though. Obama is negotiating a trade pact that would constitute a judicial authority higher than even the U.S. Supreme Court that could overrule federal court rulings applying U.S. law to foreign companies. That is unconstitutional. The U.S. cannot be allowed to enter a treaty that would abrogate our Constitution.

“This tribunal needs to be removed from this agreement, and no foreign company doing business on our soil should have a competitive advantage, created by some a dumb agreement, over American companies. What is Obama thinking? He is placing international organizations above the interests of our own country.”

Interview Availability: Please contact Rebekah Rast at (703) 383-0880 or at rrast@getliberty.org to arrange an interview with ALG President Bill Wilson.