Escape Clause in the United States

Escape Clause in International Trade

In this context, a concept of Escape Clause (Christopher Mark, 1993) is the following: (See also entry under same name in Section I). Provisions under US law authorizing temporary relief for domestic producers and workers injured by import competition. Originally limited to those whose losses resulted from prior US trade concessions, escape clause eligibility was extended in Section 201 of the Trade Act of 1974 to all who could establish that imports were “a substantial cause of serious injury, or the threat thereof’ (see injury, Sec. /). The Trade Act of 1988 stipulated that the goal of any relief must be “positive adjustment.” If the US International Trade Commission (USITC) finds injury and recommends relief, the President must grant it or report to Congress why, after reviewing the US national economic interest, he has decided there is no appropriate and feasible action to take. Congress may override this decision through enactment of a joint resolution, imposing the remedy recommended by the USITC. Import restrictions imposed under the escape clause authority usually last no longer than five years.

Escape Clause (section 201, Article Xix) in the International Business Landscape

Definition of Escape Clause (section 201, Article Xix) in the context of U.S. international business and public trade policy: A provision of the GATT articles, and of US law, authorizing import relief as a temporary “safeguard” for domestic producers injured by import competition. Originally limited to those whose losses resulted from prior US trade concessions, escape clause eligibility was extended in Section 201 of the Trade Act of 1974 to all who could establish that imports were “a substantial cause of serious injury, or the threat thereof.” The Omnibus Trade and Competitiveness Act of 1988 stipulated that the goal of any relief must be “positive adjustment.” If the US International Trade Commission finds injury and recommends relief, the president must grant it or report to Congress why, after reviewing the “national economic interest of the United States,” he has decided there is “no appropriate and feasible action to take.” Congress may then override his decision through enactment of a joint resolution, imposing thereby the remedy recommended by the USITC.

Concept of Escape Clause in Labor Law

In this context, a definition of Escape Clause is offered here: A provision in maintenance of membership union contracts giving union members an “escape period” during which they may resign from union membership. Members who do not exercise this option must remain members for the duration of the contract.