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AUGUSTA — Attorney General Janet T. Mills recently called for greater transparency in trade negotiations and raised concerns about the possible effects of certain provisions of the trade deals on the enforcement of certain regulations and laws administered by the states. In a letter to Maine’s Congressional delegation, Mills decried the prospect of states having to defend their laws in unfriendly forums against challenges by international corporations.

The Attorney General met in person with United States Trade Representative Michael Froman in Washington, D.C., recently and discussed her concerns with the so-called “Investor State Dispute Settlement” provisions, which, she believes, could undermine Maine’s tobacco regulations, professional licensing laws and protections against predatory lending, among other things.

“It is important that treaties be forcefully negotiated and respected, with the interest of our national economy in the forefront,” Attorney General Mills stated. “These negotiations, however, should be conducted transparently and without risk to the important public health and safety interests embodied in decades of state and federal laws.”

Attorney General Mills also expressed concerns with a provision that has become a part of other trade agreements, called “Investor State Dispute Settlement” (ISDS), which allows international corporations to challenge a state law or regulation if the corporation feels that it impacts their ability to make a return on their investment. The ISDS dispute resolution system operates outside the traditional judicial system, has no established body of law to guide decisions, provides no right of appeal and allows investors to forum shop, ignoring state court precedents.

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