1 DE AGOSTO DE 1997

1340-(223)

Hi) Has entered into a contract for goods or services;

iv) Has issued securities; or

v) Is otherwise engaged in commercial activity.

b) The property and assets of the Enterprise, wherever located and by whomsoever held, shall be immune from all forms of seizure, attachment or execution before the delivery of first judgement against the Enterprise.

4 — a) The property and assets of the Enterprise, wherever located and by whomsoever held, shall be immune from requisition confiscation, expropriation or any other form of seizure by executive or legislative action.

b) The property and assets of the Enterprise, wherever located and by whomsoever held, shall be free from discriminatory restrictions, regulations, controls and moratoria of any nature.

c) The Enterprise and its employees shall respect local laws and regulations in any State or territory in which the Enterprise or its employees may do business or otherwise act.

d) States Parties shall ensure that the Enterprise enjoys all rights, privileges and immunities accorded by them to entities conducting commercial activities in their territories. These rights, privileges and immunities shall be accorded to the Enterprise on no less favourable a basis than that on which they are accorded to entities engaged in similar commercial activities. If special privileges are provided by States Parties for developing States or their commercial entities, the Enterprise shall enjoy those privileges on a similarly preferential basis.

e) States Parties may provide special incentives, rights, privileges and immunities to the Entreprise without the obligation to provide such incentives, rights, privileges and immunities to other commercial entities.

5 — The Enterprise shall negotiate with the host countries in which its offices and facilities are located for exemption from direct and indirect taxation.

6 — Each State Party shall take such action as is necessary for giving effect in terms of its own law to the principles set forth in this annex and shall inform the Enterprise of the specific action which it has taken.

7— The Enterprise may waive any of the privileges and immunities conferred under this article or in the special agreements referred to in paragraph 1 to such extent and upon such conditions as it may determine.

ANNEX V Conciliation

SECTION 1

Conciliation procedure pursuant to section 1 ot part xv

Article 1

Institution of proceedings

If the parties to a dispute have agreed, in accordance with article 284, to submit it to conciliation under this section, any such party may institute the proceedings by written notification addressed to the other party or parties to the dispute.

Article 2 List of conciliators

A list of conciliators shall be drawn up and maintained by the Secretary-General of the United Nations. Every State Party shall be intitled to nominate four conciliators, each of whom shall be a person enjoying the highest reputation for fairness, competence and integrity. The names of the persons so nominated shall constitute the list. If at any time the conciliators nominated by a State Party in the list so constituted shall be fewer than four, that State Party shall be entitled to make further nominations as necessary. The name of a conciliator shall remain on the list until withdrawn by the State Party which made the nomination, provided that such conciliator shall continue to serve on any conciliation commission to which that conciliator has been appointed until the completion of the proceedings before that commission.

Article 3 Constitution of conciliation commission

The conciliation commission shall, unless the parties otherwise agree, be constituted as follows:

a) Subject to subparagraph g), the conciliation commission shall consist of five members;

b) The party instituting the proceedings shall appoint two conciliators to be chosen preferably from the list referred to in article 2 of this annex, one of whom may be its national, unless the parties otherwise agree. Such appointments shall be included in the notification referred to in article 1 of this annex;

c) The other party to the dispute shall appoint two conciliators in the manner set forth in subparagraph b) within 21 days of receipt of the notification referred to in article 1 of this annex. If the appointments are not made within that period, the party instituting the proceedings may, within one week of the expiration of that period, either terminate the proceedings by notification addressed to the other party or request the Secretary-General of the United Nations to make the appointments in accordance with subparagraph e);

d) Within 30 days after all four conciliators have been appointed, they shall appoint a fifth concicliator chosen from the list referred to in article 2 of this annex, who shall be chairman. If the appointment is not made within that period, either party may, within one week of the expiration of that period, request the Secretary-General of the United Nations to make the appointment in accordance with subparagraph e);

e) Within 30 days of the receipt of a request under subparagraph c) or d), the Secretary-General of the United Nations shall make the necessary appointments from the list referred to in article 2 of this annex in consultation with the parties to the dispute;

f) Any vacancy shall be filled in the manner prescribed for the initial appointment;

g) Two or more parties which determine by agreement that they are in the same interest shall appoint two conciliators jointly. Where two or more parties have separate interests or there