NEWS RELEASES
LEGISLATION TO COUNTER HELMS-BURTON ACTTO COME INTO FORCE JANUARY 1
December 30, 1996 No. 261
LEGISLATION TO COUNTER HELMS-BURTON ACT
TO COME INTO FORCE JANUARY 1
Foreign Affairs Minister Lloyd Axworthy and International Trade Minister Art
Eggleton announced today that amendments to the Foreign Extraterritorial Measures
Act (FEMA) that will protect Canadian companies from unacceptable foreign laws
such as the Helms-Burton Act have received royal assent and will come into force
on January 1, 1997.
"These amendments send an important signal that Canada continues its vigorous
opposition to Helms-Burton," said Mr. Axworthy. "Canada still believes that the best way to encourage democratic development in
Cuba is through engagement and dialogue."
"The changes to FEMA are part of our larger effort to block U.S. attempts to
restrict legitimate trade with Cuba," said Mr. Eggleton. "We continue to work
with our trading partners -- directly and through multilateral bodies -- to oppose
Helms-Burton."
Under the Helms-Burton Act, U.S. nationals may launch lawsuits in U.S. courts
against Canadian and other foreign firms allegedly "trafficking" in property
expropriated from these American citizens. U.S. President Clinton announced on
July 16, 1996, that this right to sue would be suspended for a six-month period.
He will decide whether to renew the suspension by January 16, 1997.
The U.S. law also provides for restrictions on temporary entry into the United
States of corporate officers of these companies if they are determined to be
"trafficking" in expropriated property.
When in force, the amended FEMA will:
ensure that judgments handed down under Helms-Burton would not be enforced or
recognized in Canada;
permit Canadians to recover in Canadian courts any amounts awarded under Helms-Burton, along with their court costs and consequent damages -- a measure known as
"clawback";
give the Attorney General of Canada the authority to amend a schedule listing
objectionable foreign legislation that violates international law.
In November 1996, Canada announced that it would participate as a third party in
the European Union's (EU) challenge of the Helms-Burton legislation at the World
Trade Organization. The EU gained permission for a panel on November 20. Canada
will have the right to make written and oral submissions, which must be reflected
in the panel's final report.
Canada has also held consultations with the United States under the North American
Free Trade Agreement and has pursued the issue in international organizations such
as the Organization for Economic Co-operation and Development and the Organization
of American States.
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For further information, media representatives may contact:
Catherine Lappe
Director of Communications
Office of the Minister of Foreign Affairs
(613) 995-1851
Nicole Bourget
Director of Communications
Office of the Minister for International Trade
(613) 992-7332
Media Relations Office
Department of Foreign Affairs and International Trade
(613) 995-1874
This document is also available on the Department's Internet site:
http://www.dfait-maeci.gc.ca
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