Promoting Multilateral Resolution for Trade Disputes

Abstract

ABSTRACT Developing countries tend to use multilateral dispute settlement procedures less frequently than developed countries because the former lack the requisite economic and legal capacities. However, recent studies on the WTO have found increased use of the dispute settlement mechanism by developing countries. This article argues for the importance of legal capacity in determining the use of the multilateral process, especially within the WTO. Our empirical analysis indicates that (1) prior member country experiences and (2) the availability of legal assistance from the Advisory Centre on WTO Law increase the likelihood of developing countries using the full multilateral legal procedure.