| Complaint for Declaratory, Mandatory and
Injunctive Relief IN THE UNITED STATES DISTRICT COURT
FOR THE NORTHERN DISTRICT OF ALABAMA MIDDLE DIVISION
MADE IN THE USA FOUNDATION, 1925 K Street, N.W. Washington, D.C. 20006) ) ) ) and) ) UNITED STEELWORKERS OF AMERICA, AFL-CIO-CLC Five Gateway Center Pittsburgh, Pennsylvania 15222) ) ) ) ) and) ) LOCAL 12L, UNITED STEELWORKERS OF AMERICA, c/o Mickey Williams P.O. Box 2127 East Gadsden, Alabama 35903) ) ) ) ) Plaintiffs, v. UNITED STATES OF AMERICA Serve: U.S. Attorney and Attorney General) ) ) ) ) ) ___________________________________________________)
COMPLAINT FOR DECLARATORY, MANDATORY AND INJUNCTIVE RELIEF I. Nature of the Case 1. This is a case challenging the constitutionality of the North American Free Trade Agreement ("NAFTA" or the "Agreement"), on the ground that NAFTA is a treaty which was not adopted with the concurrence of two thirds of the members of the United States Senate. II. Parties 2. Made in the USA Foundation (MUSAF) is a nonprofit organization founded in 1989 to promote American-made products in the United States and overseas. MUSAF is a membership organization with approximately 60,000 individual members in the United States. Members of MUSAF include businesses, labor unions, and individuals. The members of MUSAF desire to buy American-made products for patriotic and economic reasons. 3. United Steelworkers of America, AFL-CIO-CLC ("USWA") is a labor organization representing workers in numerous industries, including but not limited to the basic steel, aluminum, rubber, allied ferrous and nonferrous metals producing and fabricating industries. USWA has over 750,000 members, the vast majority of whom work in the United States. 4. Local 12L, United Steelworkers of America ("Local 12L") is an affiliate of the USWA representing workers at the facility of the Goodyear Tire and Rubber Company ("Goodyear" or "the Company") in Gadsden, Alabama. 5. The United States of America is the federal government of the United States. III. Jurisdiction 6. Jurisdiction is conferred on this Court by 28 U.S.C. § 1331 (civil action arising under the Constitution, laws, or treaties of the United States), § 1337 (civil actions arising under any Act of Congress regulating commerce), § 1343 (civil actions for redress of deprivation of any right, privilege of immunity of a citizen of the United States), § 1346 (civil actions against the United States) and § 1361 (action to compel an officer of the United States to perform his duty). IV. Factual Allegations and Cause of Action 7. NAFTA was negotiated by the President of the United States, initialed by him on December 17, 1992, and submitted to Congress on November 4, 1993. 8. A majority of the members of the House of Representatives voted to approve NAFTA on November 17, 1993. 9. A majority of the members of the United States Senate, but less than two-thirds of the members present, voted to approve NAFTA on November 20, 1993. 10. NAFTA is a long-term agreement between the United States, Canada and Mexico which is designed to form the three nations into a free-trade area and in large measure to integrate their economies. 11. To that end, NAFTA provides for the staged elimination of tariffs on most goods traded among the three member nations. 12. In addition to agreeing to eliminate tariffs on goods, in NAFTA the United States makes far-reaching commitments to Canada and Mexico on virtually every other subject affecting the economic relationships among the three nations, including but not limited to commitments with respect to investment, financial services, transportation, telecommunications, intellectual property, energy, and cross-border trade in services. 13. NAFTA requires the United States to open federal government procurement to suppliers from the other NAFTA member countries. 14. Under Chapter 19 of NAFTA, in proceedings brought to enforce United States laws against dumping and unfair subsidies, the power of final decisionmaking is surrendered to binational panels, and judicial review by United States courts is not permitted. 15. Under Chapter 20 of NAFTA, whenever Canada or Mexico believes that a measure taken or proposed by the United States "is or would be inconsistent with the obligations of [the] Agreement or cause nullification or impairment" of "any benefit [Canada or Mexico] could reasonably have expected to accrue to it" under provisions of the Agreement, the dispute may be presented to a multilateral arbitral panel, and, if the United States does not implement the panel's decision, it is subject to economic sanctions. 16. The procedure described in paragraph 15 above can be used, inter alia, to nullify or impede the enforcement of laws and regulations promulgated by the United States or by state and local governments to protect health, safety, the environment and consumers, if the arbitral panel characterizes such a law or regulation as a barrier to trade. 17. In view of the provisions described in paragraphs 10-16 above, and NAFTA's other provisions, NAFTA is a treaty within the meaning of Article II, Clause 2 of the Constitution of the United States. 18. In approving NAFTA, the Mexican legislature followed the procedure that applies under Mexican law to the making of treaties; and the Government of Mexico refers to NAFTA as a treaty, specifically, "Tratado de Libre Comercio de America del Norte." 19. Article II, Clause 2 of the Constitution of the United States provides that to make a treaty, "two thirds of the Senators present [must] concur." 20. Two thirds of the Senators present did not concur in the adoption of NAFTA. Accordingly, NAFTA failed to attain the votes constitutionally required for its adoption. Nevertheless, the defendant is treating NAFTA as if it had been adopted. 21. As a direct result of the adoption and implementation of NAFTA, more than 2,000 United States establishments have moved their operations to Mexico. 22. Many prominent American corporations have moved entire factories to Mexico, making it more and more difficult for members of Made in the USA Foundation to buy American-made products. For example, RCA Corporation, the last American television manufacturing company, moved its factory to Mexico from Indiana in March, 1998. Other American establishments that moved to Mexico since NAFTA was implemented include those that produced Eveready Batteries, Oshkosh overalls and children's clothing and Champion athletic clothing. 23. NAFTA also has had a devastating impact on American agriculture. After NAFTA went into effect, more than 1,000 United States farms employing approximately 100,000 workers closed due to a rising tide of imports of Mexican produce, resulting directly from the adoption and implementation of NAFTA. This development has been particularly devastating in Florida, where 120 of the State's 200 tomato farmers have gone out of business as a direct result of the adoption and implementation of NAFTA. 24. Mexican tomato growers are allowed to use many pesticides, including DDT, which are banned in the United States. In addition, Mexican growers employ children in tomato fields to harvest and pack tomatoes. NAFTA requires the United States to allow the importation of Mexican tomatoes despite these practices. 25. As a direct result of the adoption and implementation of NAFTA, imports into the United States from Mexico have increased by more than 80 percent, vastly exceeding any increase in exports from the United States to Mexico, with the result that the United States, which had a $1.7 billion trade surplus with Mexico in 1993, had a $14.5 billion trade deficit with that country as of 1997. 26. In addition, some American establishments have moved operations to Canada as a result of NAFTA, and NAFTA has resulted in an increase in the United States's trade deficit with Canada. 27. NAFTA has caused the loss of more than 400,000 American jobs. Members of plaintiffs Made in the USA Foundation, USWA and Local 12L are among those who have lost employment due to NAFTA. 28. More than seven thousand workers represented by the USWA, at more than thirty locations, have been certified by the United States Department of Labor as having lost employment due to NAFTA, because of the movement of American operations to Mexico and Canada and/or increases in imports from Mexico and Canada. 29. One of the locations at which employees have been so certified is the Gadsden, Alabama facility of Goodyear, represented by Local 12L. At that location, certain operations connected with tire manufacturing have been moved by Goodyear to Canada as a result of NAFTA. 30. Jobs have been lost at other USWA-represented Goodyear facilities as a result of a movement of operations to, or increased reliance on imports from, Canada and Mexico caused by NAFTA. This has occurred at the Goodyear facilities in Green, Ohio, Topeka, Kansas and Lincoln, Nebraska. 31. As a result of the job losses described in paragraphs 28-30 above, and other losses of jobs resulting directly from NAFTA, the plaintiff USWA has lost members. 32. As a direct result of the adoption and implementation of NAFTA, numerous employers have threatened to move operations to Mexico unless the plaintiff USWA and its members accept lower pay and benefits than they otherwise would receive. This has impeded the collective bargaining efforts of USWA and has resulted in a diminution of the pay and benefits of many of its members. 33. The plaintiff USWA has been forced to utilize scarce resources to study and to combat the negative effects of NAFTA. This plaintiff has worked to educate the public and members of Congress about NAFTA's impact on working people, and has allocated significant numbers of personnel to work on providing services to members who have lost their jobs due to NAFTA or who are faced with the threat of losing their jobs due to NAFTA. REQUEST FOR RELIEF WHEREFORE, plaintiffs request that this Court enter an order: A. Declaring that NAFTA, having failed to be approved by two-thirds of the Senators then present, is null, void and of no effect; B. Directing the President of the United States to provide notice within 30 days to the governments of Mexico and Canada that the United States is invoking its power to terminate NAFTA; C. Awarding plaintiffs their costs and reasonable attorneys' fees; and D. Ordering such other relief as the interests of justice may require. Respectfully submitted, ___________________________________ JOEL D. JOSEPH 1925 K Street, N.W. Washington, D.C. 20006 (202) 822-6060 Attorney for Plaintiff Made in the USA Foundation ___________________________________ CARL B. FRANKEL General Counsel United Steelworkers of America Five Gateway Center Pittsburgh, Pennsylvania 15222 (412) 562-2400 __________________________________ JEREMIAH A. COLLINS Bredhoff & Kaiser, P.L.L.C. 1000 Connecticut Avenue, N.W. Suite 1300 Washington, D.C. 20036 (202) 833-9340 Attorneys for Plaintiffs United Steelworkers of America, AFL-CIO and Local 12L ___________________________________ JOE R. WHATLEY, JR. Cooper, Mitch, Crawford, Kuykendall & Whatley 505 20th Street North 1100 Financial Center Birmingham, Alabama 35203 (205) 328-9576 Attorneys for Plaintiffs
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