In August 2005, an arbitral panel created under NAFTA found in favor of the United States and rejected the claims of Methanex, a Canadian corporation. Methanex alleged that a California state ban on a product made by Methanex violated provisions of NAFTA. The arbitral panel found in favor of the United States, citing an ability to establish jurisdiction over the California measures. The panel ordered Methanex to pay all arbitration costs related to the proceedings.
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