Lawns are buried in Ottawa at this time of year. But can the same be said of a potential NAFTA lawsuit over lawn pesticides?
A few months ago, Embassy revealed details of a legal threat made by Dow chemical company. The U.S. firm warned that a Quebec ban on the use of lawn-care pesticides could breach protections contained in the North American Free Trade Agreement.
A multi-million dollar lawsuit against the federal government appeared to be in the offing—with Dow prepared to accuse Canada of "unfair" and "expropriative" treatment of its long-standing investments in the pesticides market.
Environmental advocates pilloried Dow for having the temerity to demand financial compensation for future lost profits in the pesticides market.
Under NAFTA rules, Dow had to notify Canada of its intent to launch a claim under Chapter 11 of NAFTA, and then wait 90 days before moving forward with that lawsuit.