Companies can sue governments for full compensation for any reduction in their future expected profits resulting from regulatory changes.I can't see why we'd want to further mortgage our democratic institutions to major corporations. Don't they exercise enough control over our form of government already, without granting them a unique right to sue us for any new laws that interfere with their "expected" profits?
This is not just a theoretical possibility. Philip Morris is suing Uruguay and Australia for requiring warning labels on cigarettes. Admittedly, both countries went a little further than the US, mandating the inclusion of graphic images showing the consequences of cigarette smoking.
The labeling is working. It is discouraging smoking. So now Philip Morris is demanding to be compensated for lost profits....
The proceedings are so expensive that Uruguay has had to turn to Michael Bloomberg and other wealthy Americans committed to health to defend itself against Philip Morris. And, though corporations can bring suit, others cannot. If there is a violation of other commitments - on labor and environmental standards, for example - citizens, unions, and civil-society groups have no recourse.
Some Details Leak Out
What's in the secret treaty? An economist writes:
By Grim on Sunday, May 24, 2015