The Trans-Pacific Partnership (TPP) has provisions that allow corporations to sue governments for laws and regulations that limit profits. The cases bypass national court systems and are heard by “corporate courts” with the governments allowed no appeal. These investor-state dispute settlement (ISDS) provisions are also in trade agreements like the North American Free Trade Agreement.
When fast-track trade promotion authority was being debated, people like Sen. Elizabeth Warren raised warning flags about the ISDS provisions in the TPP.
[. . .] In her letter, Warren raises concerns that the deal could include provisions that would allow foreign companies to challenge US policies before a judicial panel outside the domestic legal system, increasing exposure of American taxpayers to potential damages.
In May, President Obama said that concerns over the TPP’s “corporate court” provisions were “absolutely wrong.”