Does Angela Merkel Want To Renegotiate The Corporate Sovereignty Chapter In EU-Canada Trade Agreement?

from the that-would-be-big dept

Techdirt hasn't written much recently about the trade agreement between the EU and Canada, generally known as CETA. That's because it is "finished" -- at least, in theory. It is now undergoing what is known as the "legal scrub" to prepare it for the final ratification on both sides. One story we did write concerned questions about the agreement's compatibility with EU law, largely because of the corporate sovereignty provisions in CETA. Things have been fairly quiet since then, which makes the following story in the Canadian edition of Huffington Post, on a related aspect, particularly intriguing:

German chancellor Angela Merkel will be in Ottawa for a visit on Monday, but she may not be bringing the news [Canadian Prime Minister] Stephen Harper wants to hear when it comes to the Canada-European Union Comprehensive Economic and Trade Agreement (CETA).

That's because the German government wants to reopen CETA and amend the investor-state dispute settlement [ISDS] mechanism.

No source is given for that claim, but the following explanation is offered:

Merkel likely does not have an ideological problem with bestowing corporations with the hammer of the investor-state provision, but the political reality is that her Christian Democrats have 311 seats in the Bundestag and need the support of the 193 Social Democrats in that legislature to maintain her 'grand coalition' government. Her minister of economy is a Social Democrat and that party is very clear in its opposition to investor-state. Last year, that party's convention passed a resolution against investor-state.

In other words, Merkel needs to keep her Social Democrat coalition partners happy if CETA and TTIP are to pass in the national vote that will be held at some point. That impacts CETA, because last month the same Social Democrat Minister of the Economy and Energy made a joint declaration with his French counterpart in which they said they wished to examine "all the options for changing" the ISDS chapter in CETA (original in French). The Huffington Post article also notes that what happens with CETA has big implications for TAFTA/TTIP:

Beyond the challenge of coalition politics for Merkel, she also needs to contend with an electorate that may not have paid too much attention to a 'free trade' agreement with Canada, but is very attentive -- and critical -- of the European Union's current negotiations with the United States on another 'free trade' deal called the Transatlantic Trade and Investment Partnership (TTIP). If Merkel agrees to a corporate rights provision in CETA, voters in Germany know that the same powers would be extended to U.S. corporations too.

If Merkel is indeed beginning to worry about the huge backlash in Germany against TTIP thanks to the corporate sovereignty provision it contains -- the main bone of contention for many people -- she knows that she must also deal with it in CETA, too. That would make a request to open up the ISDS section at least plausible, even if it would be pretty dramatic at this late stage, especially given statements by the Canadian Prime Minister that CETA's ISDS is non-negotiable. However, Harper has a general election coming up in October this year, and might prefer to accept CETA without corporate sovereignty rather than risk losing the political prize of a trade agreement with Europe altogether by refusing to renegotiate on this critical point.

Follow me @glynmoody on Twitter or identi.ca, and +glynmoody on Google+

Filed Under: angel merkel, canada, ceta, corporate sovereignty, eu, germany, isds, tafta, tpp, ttip

German Government Hires DC Law Firm To Threaten Its Own Parliament With Criminal Prosecution For Talking To Snowden

from the scandalous dept

Earlier this month, we wrote about how German Chancellor Angela Merkel's government was trying to block Ed Snowden from testifying before a German Parliamentary committee's hearings into NSA surveillance. That fight is apparently getting nasty. German lawmakers have so far ignored the pressure, and have said that they still want to question Snowden (though it's not yet clear how this will be done).

However, it seems the fight is getting nasty. It appears that Merkel's government hired a DC-based law firm to send a ridiculous letter threatening German law makers with possible criminal prosecution in the US for talking to Snowden. No joke. The German government got lawyer Jeffrey Harris of the DC-based Rubin, Winston, Diercks, Harris & Cooke to send a notice with the following: If you can't read that, it says:

“We are of the opinion that if Snowden provides classified information or documents to the Bundestag or to German diplomats who interview Snowden, such acts give rise to criminal exposure under the laws of the United States. The United States would have jurisdiction to prosecute these acts regardless of where they occur. The fact that German legislators have immunity under German laws would not shield them from prosecution in the United States."

This should be deeply offensive to pretty much everyone in the German government -- even if the letter was apparently commissioned by the German government. The idea that they might face criminal prosecution for the simple act of investigating how the US spied on the German government is insulting in the extreme.

As the FreeSnowden site points out, the implications of such claims are equally ridiculous, as it also implies that anyone who has received any of the Snowden documents faces criminal charges in the US -- which would include basically anyone who's read any of the stories based on the Snowden documents:

If accurate, the ramifications of this advice would be enormous: should the the bodies – including the European Parliament and Council of Europe – that have already received testimony from Edward Snowden fear “criminal exposure under the laws of the United States”? Should Der Spiegel and the other media outlets that have seen and reported on large numbers of documents provided by Snowden?

As Der Spiegel makes clear this is all part of a calculated effort by Merkel to both stay in the US's good graces, and to appear to be a strong unified front against Vladimir Putin's recent aggressiveness in Russia. And, yes, there may be good diplomatic reasons for Germany to want to remain on good terms with the US. But there's no reason why that should lead to completely ridiculous criminal threats against German lawmakers for wanting to talk to Ed Snowden.

Filed Under: angel merkel, criminal prosecution, ed snowden, german parliament, germany, surveillance