Title：WTO Dispute Settlement Mechanism and Public International Law

Author：Guohua Yang

Abstract：The Dispute Settlement Mechanism (DSM) of the WTO is based on treaties, hence the principles of free consent and good faith in the preamble of the Vienna Convention on the Law of Treaties (VCLT) shall apply. However, the United States (US) destroyed the WTO appellate system by blocking the selection of Appellate Body (AB) members, apparently in bad faith. During the time, the negotiation by the WTO members on the DSM reform was overshadowed by lack of free consent and validity of its outcomes. The DSM has been broken for nearly four years and its future remains vague. In this particular situation, a more appropriate approach could be by voting according to the Agreement Establishing the World Trade Organization or collective action to select AB members. The clauses on fundamental change of circumstances and inter se agreements in the VCLT could provide a legal basis for this initiation.  

Keywords：WTO Dispute Settlement Mechanism (DSM), Appellate Body Crisis, Law of Treaties, Good Faith, Free Consent, Voting, Collective Action