[Notes on Article 13bis, contd.]
IPIC/DC/3 page 72
143. Since subparagraph (2) (a) contains only a general requirement of due process, and does not set out in detail all of the procedures to be followed by a panel, subparagraph (2) (b) empowers the Assembly to establish general rules for the selection of panel members, and the Assembly, by virtue of the alternative provided in Article 9(2) (c), would also have the power to establish the details of the procedures to be followed by a panel, including the financing of such procedures.
144. Subparagraph (1)(c) contemplates the possibility of a resolution of a dispute by the parties themselves prior to the conclusion of the panel hearing. Should such a resolution not occur, the panel is required to prepare and transmit to the Assembly a written report containing the facts and recommendations which, if followed, would resolve the dispute.
145. Ad paragraph (3): This paragraph is proposed as a possible alternative. Should it not be included, the dispute-resolution procedure would terminate following the presentation of the panel report to the Assembly and the noting of that report by the Assembly.
146. If paragraph (3) were included, the Assembly would make recommendations to the Contracting Party whose legislation or practice was the subject matter of the dispute. If those recommendations were not followed with a time specified by the Assembly, the Assembly would be empowered, under subparagraph (3)(b), to suspend, in whole or in part, for such time as it deemed necessary, the application of the Treaty to any holder of the right who or which is a national of, or is domiciled in, or has a real and effective industrial [or commercial] establishment in the territory of the Contracting Party to which the recommendations are addressed.