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The Trouble with the TPP, Day 19: No Canadian Side Agreements to Advance Tech Sector

The Trouble with the TPP series this week has focused on issues such as the failure to obtain a full cultural exception and the weak e-commerce rules that do little to assist online businesses, particularly small and medium sized enterprises. Yet the Canadian digital failure goes even further. While other countries saw the opportunity to use the TPP to advance their domestic online sector through side agreements, Canada remained on the sidelines. Indeed, as some leading critics such as Jim Balsillie have noted, the Canadian government did little to even consult with Canada’s technology sector.

Consider a side letter on online education between Australia and Vietnam. The side letter opens the door to technical assistance and pilot programs for online education between the two countries, providing for assistance on distance education delivery models, assessing applications from Australian providers to deliver online education, and work to recognize the qualifications obtained from such courses. Moreover, the letter states that:

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January 28, 2016 1 comment News
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Why Canadian Telecom Companies Must Defend Your Right to Privacy

In today’s communications driven world, no one collects as much information about its customers as telecom companies. As subscribers increasingly rely on the same company for Internet connectivity, wireless access, local phone service, and television packages, the breadth of personal data collection is truly staggering.

Whether it is geo-location data on where we go, information on what we read online, details on what we watch, or lists identifying with whom we communicate, telecom and cable companies have the capability of pulling together remarkably detailed profiles of millions of Canadians.

My weekly technology law column (Toronto Star version, homepage version) notes that how that information is used and who can gain access to it has emerged as one the most challenging and controversial privacy issues of our time. The companies themselves are tempted by the prospect of “monetizing” the information by using it for marketing purposes, law enforcement wants easy access during criminal investigations, and private litigants frequently demand that the companies hand over the data with minimal oversight.

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January 28, 2016 5 comments Columns
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The Trouble with the TPP, Day 18: Failure to Protect Canadian Cultural Policy

Culture and the TPP has yet to garner much attention, but that is a mistake. The TPP departs from longstanding Canadian policy by not containing a full cultural exception and creates unprecedented restrictions on policies to support the creation of Canadian content. The Canadian position on trade and culture has been consistent for decades with successive governments requiring a full exemption for the cultural industries. The exemption, which is found in agreements such as NAFTA and CETA, give the government full latitude to implement cultural policies to support the creation of Canadian content.

The TPP’s approach to culture is different from Canada’s other trade agreements. Rather than include an exception chapter or provision, the TPP contains several annexes that identify “non-conforming measures.” This allows countries, including Canada, to list exceptions to specific TPP rules. Without an exception for the cultural industries, the TPP rules banning local presence requirements and national treatment for service providers would place Canadian cultural rules at risk. Annex II includes a Canadian exception for the cultural industries. The exception is promoted in the government’s summary of the TPP, which claims that the agreement:

includes a broad reservation under Services and Investment for existing and future programs and policies with respect to cultural industries that aim to support, directly or indirectly, the creation, development or accessibility of Canadian artistic expression and content.


That led to media coverage reporting that Canada had obtained a full exception to protect cultural policies. A closer look at the actual text, however, reveals that Canada did not obtain a full cultural exception. Rather, there are two notable exceptions to the general cultural exception, which state:

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January 27, 2016 10 comments News
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The Trouble with the TPP, Day 17: Weak E-commerce Rules

As part of the U.S. effort to drum up support for the TPP, President Barack Obama enlisted the support of eBay, sending an email to 600,000 merchants that claimed that the agreement would help e-commerce and small merchants. That message was repeated by Andrea Stairs, the managing director of eBay Canada, who wrote an op-ed in the Financial Post that similarly pointed to the e-commerce rules, de minimis customs rules, and the benefits for small and medium sized business. The Trouble with the TPP is that a closer look at the text reveals that the benefits from the e-commerce provisions, de minimis rules, and the much-touted SME chapter are practically non-existent.

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January 26, 2016 2 comments News
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The Trouble with the TPP, Day 16: Intervening in Internet Governance

The Trouble with the TPP series explores Internet-related issues this week, starting with the surprising inclusion of Internet governance in a trade deal. The debate over Internet governance for much of the past decade has often come down to a battle between ICANN and the ITU (a UN body), which in turn is characterized as a choice between a private-sector led, bottoms-up, consensus model (ICANN) or a governmental-controlled approach. Canada (along with countries like the U.S. and Australia) have consistently sided with the ICANN-model, arguing for a multi-stakeholder approach with limited government intervention. In fact, at the 2014 NetMundial conference, the Canadian government stated:

The multistakeholder model of Internet governance has been a key driver in the success of the Internet to date. Canada firmly supports this model and believes it must continue to be the foundation for all discussions in order to preserve the Internet’s open architecture. Canada firmly supports strengthening this model. Government centric approaches would stifle the innovation and dynamism associated with the Internet.

The Trouble with the TPP is that it contradicts Canada’s longstanding policy on Internet governance. While Canada, the U.S. and other TPP countries urge the governments of the world to take a hands-off approach to the Internet, the TPP opens the door to country-code domain intervention (note that I am on the board of the Canadian Internet Registration Authority, which manages the dot-ca domain).

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January 25, 2016 5 comments News