Published on Jan 7, 2016
On Wednesday, TransCanada Corporation filed a lawsuit in U.S. federal court alleging President Obama’s rejection of the Keystone XL pipeline exceeded his power under the U.S. Constitution. TransCanada also filed legal action under the North American Free Trade Agreement, or NAFTA, claiming the pipeline permit denial was “arbitrary and unjustified.” It’s seeking $15 billion as part of its NAFTA claim. TransCanada’s lawsuit comes just days before President Obama’s final State of the Union address, where he’s anticipated to tout his controversial Trans-Pacific Partnership, or TPP, deal.
The secretive trade pact between the United States and 11 Pacific Rim nations could govern up to 40 percent of the world’s economy. After TransCanada announced its lawsuit on Wednesday, the group Friends of the Earth released a statement saying, “This is why Friends of the Earth opposes the Trans-Pacific Partnership and other trade agreements, which allow companies and investors to challenge sovereign government decisions to protect public health and the environment.” For more, we’re joined by Lori Wallach, the director of Public Citizen’s Global Trade Watch.