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Monday, October 27, 2014

Law of WTO Notes - Internet Censorship, Online Services and WTO

WTO Public Forum 2014

Introduction

At the outset, the author would like to make it clear that the scope of this article is limited to Internet Censorship and not Internet Surveillance or Copyright issues or other related issues. The author intends to explore the possibility of Internet Censorship acting as a trade Barrier in the light of WTO Laws. During this exercise, the author would also touch upon the incidental aspects of Internet Censorship such as Internet Control, Cross-border Gambling, and Online Gaming etc.  The prime focus shall be on testing these aspects on the anvil of WTO Laws.

Now deliberate upon the following events that have happened over the past few years.

1. Mexican Telecommunications Giant, Telemax blocks all Mexicans from visiting the website of Skype (An Internet Telephony Service)[1].
2. United States does a major crackdown on Online Gambling Services originating from the Island Nation of Antigua (US-Gambling Case)[2].
3. The Great Firewall of China is erected by the Chinese Government to prevent its citizens from visiting important Foreign Websites[3].
4. France orders Yahoo! Website to take down a Nazi-Adoring Stuff from its Auction Section[4].
5. South Korea blocks access to major North Korean Websites[5].

The common thread that connects all these controversies is internet. But there is something else. All the above-mentioned disputes are also forms of Trade Disputes between various nations. Till date, there are very few scholars and very few laws that deal with the trade that generates with the spread of internet. Law of the WTO definitely touches down on some aspects of the trade related to internet. But to what extent it really governs the Internet is the moot question to be asked.

The WTO Founders never thought that Trade in Services could have a completely separate existence from Trade in Goods. As a result, they entered into a single agreement[6] to govern both the trade in goods as well as the trade in services. However, today internet and communication technology have assumed a monstrous proportion in overall trade. A good example is that of China. It is said that “Internet could contribute up to 22% of China's GDP growth through 2025, via increased productivity and adoption of internet application across a number of sectors, according to the latest research by consultancy McKinsey”[7]. Thus, the classical concept of international trade is trade in goods, such as wheat and wine is slowly withering away[8].

Internet censorship usually refers to a government's unjustified scrutiny and control of online speech or government-approved control measures[9]. This is usually associated with non-democratic nations like China and North Korea. On the other hand, Internet Control is an inoffensive and mild term usually associated with democratic countries like Hong Kong and South Korea.

Various Countries have enacted legislations to define the limits of Internet Censorship and deal with incidental issues such as Online Piracy and protection of IP Rights. Some of the key pending legislations in this regard are the SOPA (Stop Online Piracy Act) and PIPA (Protection of IP Act).

SOPA and PIPA

In 2011, a Bill called as “Stop Online Piracy Act” or SOPA was introduced in the US House of Representatives. The proposed bill had extra-territorial jurisdiction to curb online piracy related to copyright infringement and other IP related offences[10]. A huge lobby of Film Makers, Pharma Giants and other Media Businesses backed this bill. However, it had a huge number of opponents as well. The opponents included companies like Google, Facebook, LinkedIn, Wikipedia, Gaming Companies. They believed that such a bill would curtain the freedom of speech and expression to a great extent and thereby restrict creativity and innovation. Due to its proposed extra-territorial jurisdiction, it evoked a huge negative response from foreign governments as well. Finally, it was decided to postpone the consideration of the bill till a larger consensus is achieved[11].

A similar bill called as “Preventing Real Online Threats to Economic Creativity and Theft of Intellectual Property Act[12] or PIPA was also introduced in the Senate. This bill also had extra-territorial application. In the wake of huge protests, this bill also could not be passed[13].

The point I am trying to make is that it is very difficult to pass laws that have extra-territorial application with respect to IPRs. Internet Censorship is not something that could easily be achieved by the governments in countries with a democratic setup. However, this does not hold true for non-democratic countries like China.

In the coming chapters, we will understand the various provisions of law of the WTO that govern internet censorship. We will also understand the important case laws of WTO that have dealt with this aspect such US-Gambling Case, China-Audio-visuals etc. Subsequently, we will appreciate the emerging issues related to Internet Based Services and law of the WTO. Finally, the conclusion shall contain my own analysis and opinion on the subject.

 WTO and Internet Censorship

GATS[14] is basically an international agreement that governs how WTO members may regulate trade in services. The term ‘services’ has nowhere been defined under GATS. The only reference has been made under Article I of GATS which states that “‘services’ includes any service in any sector except services supplied in the exercise of governmental authority”.

As we know that there are four modes of supply under GATS[15]:

1. Cross-Border Supply
2. Consumption Abroad
3. Commercial Presence
4. Movement of Natural Persons

The present position is that Internet Based Services fall under Mode 1 i.e. Cross-Border Supply of Services[16]. GATS also provides for ‘Market Access’ Commitments. It states that[17]: “Each Member shall accord services and service suppliers of any other Member treatment no less favourable than that provided for under the terms, limitations and conditions agreed and specified in its Schedule.”

Article XVI:2[18] talks about quantitative limitations placed on the Foreign Service Providers. These quantitative limitations were discussed in the US-Gambling Case which we shall discuss in the next chapter.

The Case of United States — Measures Affecting the Cross-Border Supply of Gambling and Betting Services

The dispute involved the Island Nation of Antigua and Barbuda that had a huge Online Gambling Industry. A major chunk of the consumers of this industry were US residents. In 2002, US government led a major crackdown on Online Gambling Services. It exerted heavy pressure on intermediaries such as Citibank and Paypal that were used to make payments. As a result, most of the players in industry went out of business in Antigua. Government of Antigua stated that “the effect of the US enforcement of its laws is to hurt the small economy of Antigua and Barbuda, which is struggling to survive in a world of intense competition in the trade of goods and services.”[19]

Since Antigua was a full-fledged member of the WTO, in June 2003, it filed a complaint against the United States in WTO, arguing that the various US actions and enforcements relating to gambling and betting services, including federal laws such as the “Wire Act”, the “Travel Act” and the “Illegal Gambling Business Act” (“IGBA”) were a violation of the GATS. The Service under contention was categorized as “Cross Border Supply” i.e. Mode 1 of GATS. Following were key findings of the Panel and the Appellate Body[20]:

1. The entry, “other recreational services (except sporting)”, in the US Schedule of Commitments must be interpreted as including “gambling and betting services” within its scope.

2. United States acted inconsistently with Art. XVI:1 and 2, as the US federal laws at issue, by prohibiting the cross-border supply of gambling and betting services where specific commitments had been undertaken, amounted to a “zero quota” that fell within the scope of, and was prohibited by, Art. XVI:2(a) and (c). This is particularly interesting as the US had imposed a similar ban on gambling services internally as well and not just on Foreign Service providers. It was held that an indiscriminate “zero quota” would also amount violation of Market Access Commitments under Article XVI.
3. The US Government tried to take advantage of Article XIV(a) of GATS which talks about public morals. The Appellate Body modified the Panel's conclusion and said that the “United States has demonstrated that the Wire Act, the Travel Act, and the Illegal Gambling Business Act are measures "necessary to protect public morals or maintain public order", in accordance with paragraph (a) of Article XIV, but that the United States has not shown, in the light of the Interstate Horseracing Act, that the prohibitions embodied in those measures are applied to both foreign and domestic service suppliers of remote betting services for horse racing and, therefore, has not established that these measures satisfy the requirements of the Schedule of Commitments”.

Thus we see that this case has very interesting and far reaching implication on the way the Internet Services could be regulated in the future. It is also clear now that Internet Services fall within Mode 1 of GATS i.e. Cross-border Supply.

The finding that gambling is included within the ambit of ‘other recreational services’ shows that other internet services such as Online Gaming also have the potential to come within ‘other recreational services’. There are a variety of Online Games. The common element is that most of the online games are played across the borders and are not restricted to a nation in particular. This is particularly important for USA as most of the Online Gaming giants such as Valve Corporation, Riot Games, Activision Blizzard are located in USA. Some of the games produced by these corporations are banned in countries like China, Saudi Arabia etc. I do not think that the day would be far when US approaches WTO and alleges that a country has violated GATS by not allowing its games to be played and published on its soil.

The Case of
China – Measures Affecting the Protection and Enforcement of Intellectual Property Rights

In 2007, the United States alleged that China's Copyright Regime was in breach of its obligations under the Berne Convention[21], as consolidated by the Trade Related Aspects of Intellectual Property Rights (“TRIPS Agreement”).[22]

There were three measures in issue[23].

1. The USA disputed China's Criminal Law and related Supreme People's Court Interpretations which establish thresholds for criminal procedures and penalties for infringements of intellectual property rights.
2. China's Regulations for Customs Protection of Intellectual Property Rights and related Implementing Measures that govern the disposal of infringing goods confiscated by customs authorities. It was alleged that these confiscated items infringed IP rights and the owners of such good were denied copyright and related IP protection[24].
3. It was also alleged that Article 4 of China's Copyright Law which denies protection to works that have not been authorized for publication or distribution within China violated Articles 9.1[25] and 41.1[26] of the TRIPS Agreement and Article 5.1[27] of the Berne Convention.

The third allegation is the most important one for the purpose of our area of study. The Chinese Government claimed protection under Article 17 of the Berne Convention[28]. The Panel found that “while China has the right to prohibit the circulation and exhibition of works, as acknowledged in Article 17 of the Berne Convention, this does not justify the denial of all copyright protection in any work. China's failure to protect copyright in prohibited works (i.e. that are banned because of their illegal content) is therefore inconsistent with Art. 5(1) of the Berne Convention as incorporated in Article 9.1, as well as with Article 41.1, as the copyright in such prohibited works cannot be enforced”[29].

This is particularly important for Internet Services. Almost all the Internet Services have some form of copyright or trademark. This is also important as goods such as movies and songs are being digitally delivered today though the medium of internet. This takes to another interesting case of China--Measures Affecting Trading Rights and Distribution Services for Certain Publications and Audiovisual Entertainment Products.

The Case of China – Measures Affecting Trading Rights and Distribution Services for Certain Publications and Audiovisual Entertainment Products[30]

In this case, the US alleged that a series of Chinese measures regulating activities relating to the importation and distribution of certain publications and audiovisual entertainment products violated the various provisions of WTO.

Key Findings of the Panel/Appellate Body

1. It was found that provisions in China's measures that either limit to wholly State-owned enterprises importation rights regarding, or prohibit foreign-invested enterprises in China from importing, reading materials, AVHE products, sound recordings, and films, were inconsistent with China's obligation, under paras. 1.2[31] And 5.1 of China's Accession Protocol[32] and paras. 83(d) and 84(a) of China's Accession Working Party Report, to grant the right to trade.

2. It was also held that China had not demonstrated that the relevant provisions were “necessary” to protect public morals, and that, as a result, China had not established that these provisions were justified under Article XX(a) of GATT.

3. It was found that the entry “Sound recording distribution services” in sector 2.D of China's GATS Schedule extends to the distribution of sound recordings in electronic form, and China's measures prohibiting foreign-invested entities from engaging in the distribution of sound recordings in electronic form were inconsistent with the national treatment obligation in Article XVI (Market Access) and Article XVII (National Treatment) of GATS.

In this case, the Chinese Government tried to take shelter of the Public Moral Doctrine [Article XIV(a) of GATS[33]] stating that “cultural goods and services are vectors of cultural identity and value, the importation and distribution of such goods may have a negative impact on public morals, which are of vital importance to China[34]. However, as stated, it was concluded that China had not demonstrated that the relevant provisions were “necessary” to protect public morals, thereby, failing the ‘necessity test’[35].

This was again a clear case of Internet Censorship that was brought to the WTO. In the garb of protecting the culture, the countries are clearly trying to restrict the importation of audiovisual products. As we know that today most of these audiovisual products are delivered digitally through internet, such censorship on these audiovisual products indirectly restricts and puts a limitation on the usage of internet as well.


Other Cases of Internet Censorship

It is not that China is the only country that engages into Internet Censorship. There are tens of Middle East countries as well that severely restrict the usage of internet by its citizens[36]. However, China being one of the largest economies of the world has trade interests with almost every nation on Earth. Thus any violation on its part attracts all eyes and deserves greater attention since it is the leader as well as the trend-setter in Internet Censorship. There are two other instances that deserve our consideration.

Google Corporation v. China

In 2010, Google.com suddenly withdrew from the Chinese Market. It was shocking and perplexing to see the Internet Search Engine Giant to pull out itself from China that could have been its biggest market. Google said that Chinese Policies towards internet were restrictive and its commitment to freedom of speech and basic moral standard prevailed over the potential returns to be gained from the blossoming Chinese internet market[37].

However, the real reason was that the China’s licensed Internet Service Providers performed extensive filtering and this process immensely slowed down the operations of Google making it non-competitive with the Chinese Operated Domestic Search Engines. And in 2010, it suffered a massive Cyber Attack that stole a lot of private information from its database. Hence, Google decided to end its business in China. This clearly explains how Internet Censorship can severely affect the Trade Liberalization Commitments that a country makes within the WTO Framework.[38]

Microsoft Corporation v. China

The relationship of Microsoft Corporation with China has been nothing short of a rollercoaster ride. Microsoft is undoubtedly the biggest Operating System Giant in the world and China has one of the highest number of Microsoft Operating System Users in the world. However, the financial side of this picture is not so rosy. Most of the Microsoft operating systems used in China are counterfeited or pirated versions[39]. Hence, they do not account towards the actual sale and profits. Out of all the Operating Systems, Windows XP is the most popular one. From a long time, Microsoft Corporation has been pressing the US Government to take up the software piracy issue at WTO Forum[40]. However, till now no concrete results have been achieved in this regard.

Surprisingly, Chinese Government is one of the biggest buyers of the Windows XP Operating System[41]. Earlier this year, Microsoft announced that it is stopping the support that is given to XP and that it would no longer be protected against vulnerable threats. It is true that Windows XP is a very old operating system but supporting it continually definitely meant carrying old baggage for old time’s sake for the Microsoft Corporation. This step made the Chinese Government furious and it decided to boycott the Microsoft Operating Platform. However, most of the IT infrastructure of Chinese Government is based on Windows XP. Thus it is certainly very difficult, expensive and time-consuming for Chinese Government to shift to some other platform.

Now, two days ago, I news came that a Chinese regulator is conducting an anti-monopoly investigation into Microsoft Corporation over its Windows operating system[42]. The details are unknown and it is highly unlikely that Microsoft could have established monopoly in China since over 95% of the Windows Operating Systems in China are fake and counterfeit. Also, In May, Chinese government offices were banned from installing Windows 8, Microsoft's latest operating system, on new computers[43]. It is being said that this is the Chinese of criticizing Microsoft decision to end Windows XP’s Support. This clearly reflects how China restricts Internet and Internet related activities.
  
Summary of Stand of DSU over Internet Censorship

1. The US-Gambling ruling makes it amply clear that “it is required to include cross-border, internet-based service transactions into GATS “mode 1” commitments”. This means that, as of now, Members must carefully re-read their mode 1 commitments as they extend to electronic cross-border supply of services.[44]

2. WTO Dispute Settlement Body is “Technologically Neutral”. This is demonstrated by the fact that the definition of “sound recording distribution services” was found to cover a non-physical medium, such as the internet.[45]

3. The U.S.-Gambling case interpreted “other recreational services” to include online gambling. The interpretation of ‘data processing services’, ‘Online Games’ and ‘online search engines’ are likely to follow the same path.[46]

4. The exceptions under Article XIV(a) of GATS and Article XX(a) of GATT of Public Moral or Public Order requires to pass the ‘necessity test’ to compare the challenged measures with the reasonably available alternative.[47]
  
Emerging Issues

1. The way the E-commerce is rising in India is clearly indicating that sooner or later, a concrete domestic law would be needed to govern internet based services. US giant Amazon is spreading its legs in India by providing online delivery of goods through internet. Similar facility is also being provided by Flipkart. How these organizations and modes of supply can be governed under GATS is an important question to be asked since in these cases, Mode 1 will most likely be not applicable. Mode 3 i.e. Commercial Presence definitely makes more sense as the mode of supply of service in such cases.

2. Online Gaming Industry has assumed massive proportions. A study states that there are close to 1.2 billion people who play games online now. Billions of Dollars are being invested into the development of such games. The issue whether Online Games (excluding Online Gambling) are goods or services has not yet been addressed at the WTO platform. Any finding in this regard will affect billions of people across the borders[48].

3. The way we interact with electronic devices is changing at a dramatic pace. It is the way we interact with things that usually governs the mode of supply or characterizes whether a thing would fall in the category of ‘goods’ or ‘services’. Intel Corporation recently unveiled a Smart Shirt aimed at fitness enthusiasts keen to keep track of their vitals, although it could also be useful for tracking the health of small children and the elderly”[49]. Now, whether such tech wearables will be goods or services? Or what aspect of them will be goods and what aspect will be services is a question that cannot be answered at this stage.
4. The number of Mobile Apps as well the number of Mobile App Developers is on a constant rise. There are millions of mobile applications now and hundreds of thousands of Mobile App Developers[50]. This is certainly an unexplored area as Mobile Apps are definitely more pervasive and intruding than a normal computer software. A lot of these apps are services that conduct trade in various manners. The developers enter into complex agreement with the Operating System Provider and subsequently enter into agreement with the consumers of these applications. If ever a dispute relating to mobile apps comes up before the DSB, it will be interesting to watch how these agreements and contracts will be judged on the anvil of WTO laws.

5. There are thousands of Online Games now that provide virtual currencies through which in-game benefits can be purchased. A whole new virtual world is taking shape. These virtual currencies are brought by people across the world. There are even cyber thieves that steal such currencies. It is a whole new and unexplored area for Money Laundering. The present laws are wholly inadequate to deal with such threats[51]. It will be interesting to analyse whether these virtual currencies are goods or services or neither of them.

6. Whole new Pricing Models of Online Services and Games has emerged. There are some Pricing Models that offer freely downloadable content but charge price for using added services only. There are other Online Pricing Models that sell wholly intangible goods and services that have no separate existence except in their own specific virtual construct where they are bought and sold[52]. Whether such goods and services will be governed under GATS or GATT and if they fall under GATT, under what mode of supply of service would they fall will be exciting to watch.

We see that all the above-mentioned emerging issues have the potential to be censored either by the State itself or by the Private Corporations. In the US-Gambling Case, we saw how government censorship of an Online Industry violates Article VI:1 and Article VI:2 of GATS. Similar censorships can also take place in future with respect to the Mobile Industry, Online Gaming Industry, Tech Wearables etc.

I feel that it is high time that governments over the world start taking internet related issues more seriously. A guinea pig approach[53] or a trial and error approach will be of no help in the long run.

Conclusion and Opinion

Thus we see that Internet Censorship clearly acts as a trade barrier as it violates market access commitments (Article XVI of GATS) and other provisions of law of the WTO. When countries accede to the WTO, they make commitments to liberalize trade and grant right to trade within their jurisdictions. However, the area of operation of Internet and Internet Based Services has remained more or less grey in this respect. Unless a dispute is brought to the WTO, it cannot be shown or proved that whether a definite action of internet censorship would amount to a trade barrier or not.

The Case of China is definitely a glaring one. It certainly reflects that non-democratic regimes have least respect for individual as well as IP Rights. The monster of Internet Censorship is now slowly transitioning itself into Internet Surveillance[54]. The illusion of control continues to pervade the majority of governments across the world. I believe that the Case of China is a bad omen for the times to come unless we start acting on these issues in a serious and methodical manner. The wings of internet will continue to spread. A clear analysis of law regulating the internet needs to be developed in this respect.

Thus there is increasing helplessness as Internet is becoming more and more pervasive into our lives. There are online games that offer virtual currencies and people are actually buying those currencies. The number of Mobile App Developers is on a constant rise. These developers are making money by selling their applications across the borders. There is no clarity as to how GATS or GATT would govern these trade in services if a dispute is brought in front of the WTO.

However, I feel that the WTO is certainly realizing this as the WTO Annual Report of 2014 starts by talking innovation boosting trade and Bali Package helping entrepreneurs setting up new companies[55]. The focus is slowly but gradually shifting to understand the implications of law in technology. There is a clear need to regard ‘Law and Technology’ as subject in itself.

WTO has certainly come a long way and its Dispute Settlement Body has proved that it would interpret its laws in accordance with changing times and need. There is no other global law that has the potential to govern Internet Based Services except WTO in the future. This will be only possible if the Dispute Settlement Body continues to adopt a lively and interpretative approach that it has adopted so far.



[2] United States – Measures Affecting the Cross-Border Supply of Gambling and Betting Services (DS285).
[3] This is also called the Golden Shield Project. http://en.wikipedia.org/wiki/Golden_Shield_Project
[4] Yahoo! Inc. v. La Ligue Contre Le Racisme et L'antisemitisme,; L'union Des Etudiants Juifs De France, 433 F.3d 1199.
[6] Marrakesh Agreement Establishing the World Trade Organization was an agreement signed in Marrakesh, Morocco, on 15 April 1994, establishing the World Trade Organization, which officially came into being on January 1, 1995.
[7] Internet could contribute 22% of China's GDP growth through 2025, WantChinaTimes, 30th July 2014, produced on http://www.wantchinatimes.com/news-subclass-cnt.aspx?cid=1202&MainCatID=12&id=20140729000031
[8] This is the classic model of trade used by David Ricardo to demonstrate the principle of comparative advantage.
[9] Schmidt, Eric E.; Cohen, Jared (11 March 2014). "The Future of Internet Freedom", New York Times.
[12] The text of the bill can be accessed at https://www.govtrack.us/congress/bills/112/s968/text
[14] Whole Text of the ‘General Agreement on Trade in Services’ can be found here. http://www.wto.org/english/docs_e/legal_e/26-gats_01_e.htm
[15] Article I:2 of GATS.
[16] United States — Measures Affecting the Cross-Border Supply of Gambling and Betting Services, DS285.
[17] Article XVI of GATS.
[18] Article XVI:2 of GATS – In sectors where market-access commitments are undertaken, the measures which a Member shall not maintain or adopt either on the basis of a regional subdivision or on the basis of its entire territory, unless otherwise specified in its Schedule, are defined as:
(a) limitations on the number of service suppliers whether in the form of numerical quotas, monopolies, exclusive service suppliers or the requirements of an economic needs test;
(b) limitations on the total value of service transactions or assets in the form of numerical quotas or the requirement of an economic needs test;
(c) limitations on the total number of service operations or on the total quantity of service output expressed in terms of designated numerical units in the form of quotas or the requirement of an economic needs test;
(d) limitations on the total number of natural persons that may be employed in a particular service sector or that a service supplier may employ and who are necessary for, and directly related to, the supply of a specific service in the form of numerical quotas or the requirement of an economic needs test;
(e) measures which restrict or require specific types of legal entity or joint venture through which a service supplier may supply a service; and
(f) limitations on the participation of foreign capital in terms of maximum percentage limit on foreign shareholding or the total value of individual or aggregate foreign investment.
[19] Frances Williams, Minnow Bets on Beating US at Internet Gambling, Financial Times 9 (June 25, 2003).
[21] Berne Convention for the Protection of Literary and Artistic Works, available at http://www.wipo.int/treaties/en/text.jsp?file_id=283698
[22] Panel Report, China--Measures Affecting the Protection and Enforcement of Intellectual Property Rights, WT/DS362/R (Jan. 26, 2009)
[24] Para 2.3 of the Report.
[25] Article 9.1 of TRIPS - Members shall comply with Articles 1 through 21 of the Berne Convention (1971) and the Appendix thereto. However, Members shall not have rights or obligations under this Agreement in respect of the rights conferred under Article 6bis of that Convention or of the rights derived therefrom.
[26] Article 41.1 of TRIPS - Members shall ensure that enforcement procedures as specified in this Part are available under their law so as to permit effective action against any act of infringement of intellectual property rights covered by this Agreement, including expeditious remedies to prevent infringements and remedies which constitute a deterrent to further infringements. These procedures shall be applied in such a manner as to avoid the creation of barriers to legitimate trade and to provide for safeguards against their abuse.
[27] Article 5.1 - Authors shall enjoy, in respect of works for which they are protected under this Convention, in countries of the Union other than the country of origin, the rights which their respective laws do now or may hereafter grant to their nationals, as well as the rights specially granted by this Convention.
[28] Article 17 –Possibility of Control of Circulation, Presentation and Exhibition of Works –The provisions of this Convention cannot in any way affect the right of the Government of each country of the Union to permit, to control, or to prohibit, by legislation or regulation, the circulation, presentation, or exhibition of any work or production in regard to which the competent authority may find it necessary to exercise that right.
[29] Para 7 of the Report.
[31] Para 1.2 of China’s Accession Protocol - The WTO Agreement to which China accedes shall be the WTO Agreement as rectified, amended or otherwise modified by such legal instruments as may have entered into force before the date of accession.  This Protocol, which shall include the commitments referred to in paragraph 342 of the Working Party Report, shall be an integral part of the WTO Agreement.
[32] Para 5.1 of China’s Accession Protocol - Without prejudice to China's right to regulate trade in a manner consistent with the WTO Agreement, China shall progressively liberalize the availability and scope of the right to trade, so that, within three years after accession, all enterprises in China shall have the right to trade in all goods throughout the customs territory of China, except for those goods listed in Annex 2A which continue to be subject to state trading in accordance with this Protocol.  Such right to trade shall be the right to import and export goods.  All such goods shall be accorded national treatment under Article III of the GATT 1994, especially paragraph 4 thereof, in respect of their internal sale, offering for sale, purchase, transportation, distribution or use, including their direct access to end-users.  For those goods listed in Annex 2B, China shall phase out limitation on the grant of trading rights pursuant to the schedule in that Annex.  China shall complete all necessary legislative procedures to implement these provisions during the transition period.
[33] Article XIV(a) of GATS - Subject to the requirement that such measures are not applied in a manner which would constitute a means of arbitrary or unjustifiable discrimination between countries where like conditions prevail, or a disguised restriction on trade in services, nothing in this Agreement shall be construed to prevent the adoption or enforcement by any Member of measures: (a) necessary to protect public morals or to maintain public order.
[34] Appellate Body Report, China--Measures Affecting Trading Rights and Distribution Services for Certain Publications and Audiovisual Entertainment Products, WT/DS363/AB/R (Dec. 21, 2009).
[35] Footnote 5 of GATS states that “the public order exception may be invoked only where a genuine and sufficiently serious threat is posed to one of the fundamental interests of society”.
[37] Steven Levy, In the Plex: How Google Thinks, Works, and Shapes Our Lives 267-68 (2011).
[38] Cynthia Liu, Internet Censorship As A Trade Barrier: A Look at the WTO Consistency of the Great Firewall in the Wake of the China-Google Dispute, 42 Geo. J. Int'l L. 1199, 1200 (2011).
[44] Sacha Wunsch-Vincent, The Internet, Cross-Border Trade in Services, and the GATS: Lessons from U.S.--Gambling, 5 World Trade Rev. 319, 319 (2006).
[45] Ada Bogliolo Piancastelli de Siqueira, It’s In the Way That You Use It: Revisiting Trade and Human Rights in the Case of Online Censorship, 20 Sw. J. Int'l L. 39 (2013).
[46] Nancy J. King & Kishani Kalupahana, Choosing Between Liberalization and Regulatory Autonomy under GATS: Implica-tions of U.S. Gambling for Trade in Cross Border E-Services, 40 Van. J. Transnat'l L. 1189, 1198 (2007).
[47] Steve Charnovitz, The Moral Exception in Trade Policy, 38 Va. J. Int'l L. 689, 742-43 (1998).
[48] 2013 State of Online Gaming Report, Spil Games Corporation.
[53] In English, the term guinea pig is commonly used as a metaphor for a subject of scientific experimentation, or any experiment or test in modern times. http://en.wikipedia.org/wiki/Guinea_pig#Scientific_research
[54] Chadwick, Andrew, and Philip N. Howard, eds. Routledge handbook of Internet politics. Taylor & Francis, 2010.

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