TPP Dispute Resolution: Settlement Mechanism Vs. WTO

Chapter 28 of the Trans-Pacific Partnership Agreement establishes a state-to-state dispute settlement mechanism (DSM) for settling disputes among the 12 TPP parties. The TPP DSM may provide a faster and more transparent forum to resolve state-to-state disputes than that of the World Trade Organization. Moreover, unlike the WTO, the TPP expressly provides for monetary compensation as a remedy. On the other hand, with its well-developed procedures, professional secretariat and an appeal mechanism, the WTO may well remain a forum of choice for those that prize consistency and predictability in dispute resolution.