The General Agreement on Tariffs and Trade (GATT) was an international organization created in 1947 to reduce trade barriers through multilateral negotiations. The World Trade Organization (WTO) was organized in January 1995 to replace GATT and improve international trade. Its membership in 2002 totaled more than 140 nations.

Whereas GATT focused on tariff reduction, the WTO works to eliminate so-called nontariff barriers, which can include environmental, health, and other public-interest regulations that are considered impediments to international trade. Any member country has the right to challenge other members' laws under the WTO dispute-settlement process. When this occurs, the WTO forms a three-person tribunal to hold hearings on the case, which take place in secret in Geneva, Switzerland. If the tribunal finds that the law is illegal within the context of WTO policy, it has the power to order the country to change the law or face trade sanctions...