(OTTAWA) – Time magazine is attempting to use the North American Free Trade Agreement (NAFTA) to blackmail the Canadian government, says the Council of Canadians. Time-Warner Inc., the U.S. parent company of Time Canada, says it will sue the federal government under NAFTA unless restrictions on "split run" magazines are completely removed. The threat underscores the federal government’s inability to protect our culture under NAFTA and other trade agreements, the Council says.

"Quite simply, NAFTA gives corporate profits priority over Canadian culture," said Jo Dufay of the Council of Canadians. "Time knows this, and is threatening a lawsuit at the very moment that legislation is being considered. That sounds like blackmail to me, and it’s only possible because our government allows NAFTA to exist," Dufay added.

Time magazine objects to proposed legislation that places limits on split-run magazines – Canadian editions of foreign publications that carry Canadian advertisements but very little Canadian editorial content. It is proposed that Time would be allowed to sell a split-run magazine in Canada, but not allowed to dominate the market. The legislation currently under consideration represents an attempt by Heritage Minister Sheila Copps to put forward a compromise after an earlier ban was struck down by the World Trade Organization.

It has long been predicted that the proposed legislation is vulnerable to a challenge under NAFTA. "This is an acid test," said Dufay. "Will the government roll over on this one, as they did on MMT?" MMT is a gasoline additive banned by the government because of concerns for human health and the environment. Following a free trade challenge the government reversed its ban on MMT in July of this year.

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