Compatibility of Unilateral Economic Sanctions on Trade in Services Imposed Against Russia with the WTO System

This master’s thesis focuses on the issue of compliance of unilateral economic sanctions on trade in services imposed against Russia with the WTO law. The first Chapter provides information on the legal nature of unilateral coercive measures, history of this issue, determination of this notion, legality under international law, types. Moreover, within this part of work the author focuses on the peculiarities of services under the GATS and finds out what types of services fall within the scope of the GATS. Finally, in the last part of the chapter the author provides an in-depth overview of unilateral economic sanctions imposed against Russia on trade in services imposed by various Sending States and determines the subsequent consequences under GATS WTO. The second Chapter concerns the issues of legality of unilateral sanctions imposed against Russia on trade in services with the WTO core principles and norms. In addtion, in this chapter the author determines the issue of legality of unilateral economic sanctions on trade in services imposed against Russia under security exception clause set forth in the Article XIV bis GATS WTO, examined subsequent case law practices of the security exception clause under WTO law provisions and potential possibility to justify unilateral sanctions imposed against Russia under WTO security exception clause. Final part of the work devoted to the perils of literal interpretation of the security exception clause and subsequent consequences for the functioning of the WTO system. Hence, the author came to conclusion that most of today’s unilateral economic sanction imposed against Russia on trade in services are incompatible with the WTO system and can hardly be justified under the security exception clause by applying narrow approach of interpretation established in the Russian Federation — Measures Concerning Traffic in Transit as well as Saudi Arabia — Measures concerning the Protection of Intellectual Property Right cases.