Honduras - United States of America BIT (1995) (EN - ES)


the equitable, non-discriminatory, and good faith application of laws relating to bankruptcy, insolvency, or the protection of the rights of creditors; securities; criminal or penal offenses; or ensur- ing compliance with orders or judgments in adjudicatory pro- ceedings. Article VI (Performance Requirements) Article VI prohibits either Party from mandating or enforcing specified performance requirements as a condition for the establish- ment, acquisition, expansion, management, conduct, or operation of a covered investment. The list of prohibited requirements is ex- haustive and covers domestic content requirements and domestic purchase preferences, the ‘‘balancing’’ of imports or sales in relation to exports or foreign exchange earnings, requirements to export products or services, technology transfer requirements, and re- quirements relating to the conduct of research and development in the host country. Such requirements are major burdens on inves- tors and impair their competitiveness. The last sentence of Article VI makes clear that a Party may, however, impose conditions for the receipt or continued receipt of benefits and incentives. Article VII (Entry, Sojourn, and Employment of Aliens) Paragraph 1 requires each Party to allow, subject to its laws re- lating to the entry and sojourn of aliens, the entry into its territory of the other Party’s nationals for certain purposes related to a cov- ered investment and involving the commitment of a ‘‘substantial amount of capital.’’ This paragraph serves to render nationals of Honduras eligible for treaty-investor visas under U.S. immigration law. It also affords similar treatment for U.S. nationals entering Honduras. The requirement to commit a ‘‘substantial amount of capital’’ is intended to prevent abuse of treaty-investor status; it parallels the requirements of U.S. immigration law. In addition, paragraph 1(b) prohibits labor certification require- ments and numerical restrictions on the entry of treaty-investors. Paragraph 2 requires that each Party allow covered investments to engage top managerial personnel of their choice, regardless of nationality. This provision does not require that such personnel be granted entry into a Party’s territory. Such persons must independ- ently qualify for an appropriate visa for entry into the territory of the other party. Nor does this provision create an exception to U.S. Article VIII provides for prompt consultation between the Par- ties, at either Party’s request, on any matter relating to the inter- pretation or application of the Treaty or to the realization of the Treaty’s objectives. A Party may thus request consultations for any matter reasonably related to the encouragement or protection of covered investment, whether or not a Party is alleging a violation of the Treaty. equal employment opportunity law. Article VIII (State-State Consultations)

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