3

3. If the Government of the United States of America
makes payment to any investor under a guaranty issued
Pursuant to the present Agreement, the Government of
Fiji shall, subject to the provisions of the following
Paragraph, recognize the transfer to the Government of
the United States of America of any currency, credits,
assets, or investment on account of which payment under
such guaranty is made as well as the succession of the
Government of the United States of America to any right,
title, claim, privilege, or cause of action existing,
or which may arise, in connection therewith.

4. To the extent that the laws of the Government
of Fiji partially or wholly invalidate the acquisition
of any interest in any property within its national
territory by the Government of the United States of
America, the Government of Fiji shall permit such investor
and the Government of the United States of America to
make appropriate arrangements pursuant to which such
interests are transferred to an entity permitted to own
Such interests under the laws of the Government of Fiji.
The Government of the United States of America shall

assert no greater rights than those of the transferring
investor under the laws of the Government of Fiji with
Fespect to any interests transferred or succeeded to
as contemplated in paragraph 3. The Government of the
United States of America does, however, reserve its right
to assert a claim in its sovereign capacity in the
eventuality of a denial of justice or other question
of state responsibility as defined in international
law.

5. Amounts in the lawful currency of the Government
of Fiji and credits thereof acquired by the Government
of the United States of America under such guaranties
shall be accorded treatment neither less nor more favorable
than that accorded to funds of nationals of the Government



8

America shall assert no greater rights than those of the transferring
investor under the laws of the Government of Fiji with respect to
any interests transferred or succeeded to as contemplated in
paragraph 3. The Government of the United States of America
does, however, reserve its rights to assert a claim in its sovereign
capacity in the eventuality of a denial of justice or other question
of state responsibility as defined in international law.

5. Amounts in the lawful currency of the Government of Fiji and
credits thereof acquired by the Government of the United States of
America under such guaranties shall be accorded treatment neither
less nor more favorable than that accorded to funds of nationals
of the Government of the United States of America deriving from
investment, activities like those in which the investor has been en-
gaged, and such amounts and credits shall be freely available to the
Government of the United States of America to meet its expendi-
tures in the national territory of the Government of Fiji.

6. (a) Differences between the two Governments concerning

the interpretation of the provisions of this Agreement shall be.

settled, insofar as possible, through negotiations between the two
Governments. If such a difference cannot be resolved within a
period of three months following the request of such negotiations,
it shall be submitted, at the request of either Government, to an
ad hoe arbitral tribunal for settlement in accordance with the
applicable principles and rules of public international law. The
arbitral tribunal shall be established as follows: Each Government
shall appoint one arbitrator; these two arbitrators shall designate
a President by common agreement who shal] be a citizen of a third
State and be appointed by the two Governments. The arbitrators
shall be appointed within two months and the President within
three months of the date of receipt of either Government’s request
for arbitration. If the foregoing time limits are not met, either
Government may, in the absence of any other agreement, request
the President of the International Court of Justice to make the
necessary appointment or appointments, and both Governments
agree to accept such appointment or appointments. The arbitral
tribunal shall decide by majority vote. Its decision shall be binding.
Each of the Governments shall pay the expense of its member and
its representation in the proceedings before the arbitral tribunal;
the expenses of the President and the other costs shall be paid in
equal parts by the two Governments. The arbitral tribunal may
adopt other regulations concerning the costs. In all other matters,
the arbitral tribunal shall regulate its own procedures.

(b) Any claim, arising out of investments guaranteed in ac-
cordance with the Agreement, against either of the two Govern-
ments, which, in the opinion of the other, presents a question of
public international law shali, at the request of the Government
presenting the claim, be submitted for negotiations. If at the end
of three months following the request for negotiations the two

TIAS $281



othe

5

(b) Any claim, arising out of investments guaranteed
in accordance with the Agreement, against either of the
two Governments, which, in the opinion of the other,
presents a question of public international law shall,
at the request of the Government presenting the clain,
be submitted for negotiations. If at the end of three
months following the request for negotiations the two
Governments have not resolved the claim by mutual agreement,
the claim, including the question of whether it presents
a question of public international law, shall be submitted
for settlement to an arbitral tribunal selected in accordance
with paragraph (a) above. The arbitral tribunal shall
base its decision exclusively on the applicable principles
and rules of public international law. Only the respective
Governments may request the arbitral procedure and
participate in it.

7. This Agreement shall continue in force until
six months from the date of receipt of a note by which
one Government informs the other of an intent no longer
to be a party to the Agreement. In such event, the
provisions of the agreement with respect to guaranties
issued while the Agreement was in force shall remain in
force for the duration of those guaranties, in no case
longer than twenty years, after the denunciation of the
Agreement.

8. This Agreement shall enter into force on the
date of the note by which the Government of Fiji communicates
to the Government of the United States of America that
the Agreement has been approved in conformity with the
Government of Fiji's constitutional procedures. [*]

Upon receipt of a note from Your Excellency indicating
that the foregoing provisions are acceptable to the
Government of Fiji, the Government of the United States
of America will consider that this note and your reply

* Jan. 9, 1976.



4

of the United States of America deriving from investment
activities like those in which the investor has been
engaged, and such amounts and credits shall be freely
available to the Government of the United States of
America to meet its expenditures in the national territory
of the Government of Fiji.

6. (a) Differences between the two Governments
concerning the interpretation of the provisions of this
Agreement shall be settled, insofar as possible, through
negotiations between the two Governments. If such a
difference cannot be resolved within a period of three
months following the request of such negotiations, it
shall be submitted, at the request of either Government,
to an ad hoc arbitral tribunal for settlement in accordance
with the applicable principles and rules of public
international law. The arbitral tribunal shall be estab-
lished as follows: Each Government shall appoint one
arbitrator; these two arbitrators shall designate a
President by common agreement who shal) be a citizen of
a third State and be appointed by the two Governments.

The arbitrators shall be appointed within two months

and the President within three months of the date of
receipt of either Government's request for arbitration.

If the foregoing time limits are not met, either
Government may, in the absence of any other agreement,
request the President of the International Court of +
Justice to make the necessary appointment or appointments,
and both Governments agree to accept such appointment

or appointments. The arbitral tribunal shall decide by
majority vote. Its decision shall be binding. Each of
the Governments shall pay the expense of its member and
its representation in the proceedings before the arbitral
tribunal; the expenses of the President and the other costs
shall be paid in equal parts by the two Governments.

The arbitral tribunal may adopt other regulations concerning
the costs. In all other matters, the arbitral tribunal
shall regulate its own procedures.

TIAS 8281



7

The Fijian Prime Minister and Minister For Foreign Affairs to the
American Chargé d’A ffaires ad interim

PRIME MINISTER
SUVA, FIJI

1733/2 9 January, 1976

Dear Sir,
Lhave the honour to acknowledge receipt of your Note No. 11 of
30 December 1975 which reads as follows:

“T have the honor to refer to Letters 1173/13/2, dated August 22,
1975, and December 22, 1975, respectively from the Secretary for
Foreign Affairs, regarding the conclusion by the Governments of
Fiji and the United States of America of an investment guaranty
agreement. I would propose the following peints for inclusion in
this agreement:

1. When nationals of the Government of the United States of
America propose to invest with the assistance of guaranties issued
pursuant to this Agreement in a project or activity within the ter-
ritorial jurisdiction of the Government of Fiji, the two Governments
shall, upon the request of either, consult respecting the nature of the
project or activity and its contribution to economic and social
development in Fiji.

2. The procedures set forth in this Agreement shall apply only
with respect to coverage of investments and contracts relating to
projects or activities approved by the Government of Fiji, such
approval being assumed in the case of any project participated in by
the Government of Fiji or any agency or political sub-division
thereof.

3. If the Government of the United States of America makes
payment to any investor under a guaranty issued pursuant to the
present Agreement, the Government of Fiji shall, subject. to the
provisions of the following paragraph, recognize the transfer to the
Government of the United States of America of any currency,
credits, assets, or investment on account of which payment under
such guaranty is made as well as the succession of the Government
of the United States of America to any right, title, claim, privilege,
or cause of action existing, or which may arise, in connection
therewith.

4. To the extent that the laws of the Government of Fiji partially
or wholly invalidate the acquisition of any interest in any property
within its national territory by the Government of the United States
of America, the Government of Fiji shall permit such investor and
the Government of the United States of America to make appropri-
ate arrangements pursuant to which such interests are transferred
to an entity permitted to own such interests under the laws of the
Government of Fiji. The Government of the United States of

TIAS $281


TREATIES AND OTHER INTERNATIONAL ACTS SERIES 8281

INVESTMENT GUARANTIES

Agreement Between the
Unirep STaTes OF AMERICA
and Fiyt

Effected by Exchange of Notes
Signed at Suva December 30, 1975
and January 9, 1976



9

Governments have not resolved the claim by mutual agreement,
the claim, including the question of whether it presents a question
of public international law, shall be submitted for settlement to
an arbitral tribunal selected in accordance with paragraph (a)
above. The arbitral tribunal shall base its decision exclusively on
the applicable principles and rules of public international law.
Only the respective Governments may request the arbitral pro-
cedure and participate in it.

7. This Agreement shall continue in force until six months from
the date of receipt of a note by which one Government informs the
other of an intent no longer to be a party to the Agreement. In
such event, the provisions of the Agreement with respect to guaran-
ties issued while the Agreement was in force shall remain in force
for the duration of those guaranties, in no case longer than twenty
years, after the denunciation of the Agreement.

8. This Agreement shall enter into force on the date of the note
by which the Government of Fiji communicates to the Government
of the United States of America that the Agreement has been
approved in conformity with the Government of Fiji’s constitu-
tional procedures.

Upon receipt of a note from Your Excellency indicating that the
foregoing provisions are acceptable to the Government of Fiji, the
Government of the United States of America will consider that this
note and your reply thereto constitute an Agreement between our
two Governments on this subject, the Agreement to enter into
force in accordance with paragraph 8 above.”

I have the honour to confirm that the proposal set forth in your
above-quoted note is acceptable to the Government of Fiji and agree
that your above-quoted note and this reply thereto shall constitute
an Agreement between our two Governments in accordance with
paragraph 8 above.

Accept, Sir, the assurances of my highest consideration.

K. K. T. Mara
(K. K. T. Mara)

Prime Minister and Minister for
Foreign Affairs
Mr. Waxrer Vance Hatt,
Charge d’ Affaires a.i.,
U.S. Embassy.

TIAS S281
US. GOVERNMENT PRINTING GFFICE:1975 O—75-617


6

thereto constitute an Agreement between our two Governments
on this subject, the Agreement to enter into force in
accordance with paragraph 8 above. .

Accept, Excellency, the renewed assurances of my
highest consideration.

Aucct Gall

Chargé d'Affaires ad interim

‘Walter V. Hall



2

The American Chargé @A, ffaires ad interim to the Fijian Prime
Minister

Suva, December 30, 1975
No. 11
Excellency:
T have the honor to refer to Letters 1173/13/2,
dated August 22, 1975, and December 22, 1975, [1] respectively

from the Secretary for Foreign Affairs, regarding the
conclusion by the Governments of Fiji and the United

States of America of an investment guaranty agreement. Ats we
I would propose the following points for inclusion in gt 5 Agftt
this -agreement: °

} te

‘5 fence
ass"? ise

1, When nationals of the Government of the United
States of America propose to invest with the assistance
of guaranties issued pursuant to this Agreement in a 2
project of activity within the territorial jurisdiction ved :
of the Government of Fiji, the two Governments shall, t ap .
upon the request of either, Consult vespecting ThE su!
nature of the project or activity and its contribution CO:
to_economic and social development in Fiji,

2. The procedures set forth In thts Agreement
shall apply only with respect to coverage of investments
and contracts relating to projects or activities
approved by the Government of Fiji, such approval
being assumed in the case of any project participated

in by the Government of Fiji or any agency or political
sub-division thereof. i

His Excellency,
The Right Honorable,
Ratu Sir Kamisese K.T. Mara, KBE, PC,
Prime Minister of Fiji,

Suva, Fiji

* Not printed.

TIAS 8281


FYI
Investment Guaranties

Agreement effected by exchange of notes
Signed at Suva December 30, 1975 and January 9, 1976;
Entered into force January 9, 1976.

75-817 0—76 qa TIAS 8281


NOTE BY THE DEPARTMENT OF STATE ]

Pursuant to Public Law 89-497, approved
July 8, 1966 (80 Stat. 271; 1 U.S.C. 113)—

“\. J the Treaties and Other International Acts
Series issued under the authority of the Secretary of
State shall be competent evidence . . . of the treaties,
international agreements other than treaties, and proc-
lamations by the President of such treaties and inter-
national agreements other than treaties, as the case
may be, therein contained, in all the courts of law
and equity and of maritime jurisdiction, and in all the
tribunals and public offices of the United States, and
of the several States, without any further proof or
authentication thereof.”

For sale by the Superintendent of Documents, U.S. Government Printing Office,
Washington, D.C. 20402. Subscription Price: $27 per year; $6.75 additional
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