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Resolving trade disputes is one of the main tasks of the World Trade Organization, or WTO. Since its inception in 1995, some 595 disputes have tested the WTOs Understanding on Rules and Procedures Governing the Settlement of Disputes, also known as the DSU. Over 350 rulings have been made by ad hoc panels appointed specifically to hear each case. If neither party appeals, the Dispute Settlement Body, which includes all WTO members, is obliged to adopt the panel report, unless there is consensus against its adoption. An appeal of a panels ruling is heard by three members called a division of the WTOs Appellate Body, a standing body of seven trade experts with four-year terms. The division can uphold, modify or reverse the findings of a panel. For 20 years, the Appellate Body and the DSU continued to operate as they did in 1995, even though concerns were raised periodically about the need to modernize and reforms were proposed but never adopted. It was this negotiating paralysis t
