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2. The present Agreement does not prejudice the right of the Portuguese Republic to take all the measures

consistent with international law to guarantee order and public security, having in mind the privileges and

immunities referred to in this Agreement.

CHAPTER IV

SETTLEMENT OF DISPUTES

Article 19

Settlement of disputes with third parties

Disputes arising from contracts and other disputes of private law character to which the Centre and a

Portuguese person or entity are party shall be submitted to arbitration under the Portuguese legislation, except

if the contract provides for submission to other jurisdiction, namely the Portuguese courts.

Article 20

Submission to international arbitration

When requested by the Portuguese Republic or at the initiative of the Centre, the Centre shall submit to

international arbitration all disputes that:

(a) Result from damages caused by the Centre;

(b) Involve any other non-contractual liability of the Centre;

(c) Involve the Secretary-General, a staff member, or a person falling in the category of persons in official

functions, in which the person concerned can claim immunity from jurisdiction under the present Agreement, if

such immunity has not been waived.

Article 21

Settlement of disputes between the Portuguese Republic and the Centre

1. Any dispute between the Portuguese Republic and the Centre concerning the interpretation or application

of this Agreement shall be settled, so far as possible, through consultation, negotiation or other agreed form of

settlement.

2. If the dispute cannot be settled within six months of the commencement of consultation or negotiation,

then it shall be submitted, at the request of either Party, for decision by an ad hoc arbitral tribunal.

3. The arbitral tribunal shall be constituted of three arbitrators appointed in the following manner:

(a) Each Party shall appoint an arbitrator within two months of the receipt of the written request for

arbitration;

(b) Together and within two months, the two arbitrators appointed shall appoint a national of a third State

with whom both Parties have diplomatic relations as president of the arbitral tribunal.

4. If the arbitral tribunal is not constituted within four months of the receipt of the written request for

arbitration, either Party may request the President of the International Court of Justice to make the necessary

appointments.

5. If the President of the International Court of Justice is a Portuguese national or is prevented from making

the appointments for any other reason, the next member in the hierarchy of the International Court of Justice

who is not a Portuguese national or who is not prevented shall be requested to make the appointments.

6. The arbitral tribunal shall determine its own rules of procedure and shall render its decisions in

accordance with the provisions of the present Agreement and International Law.

7. The decision of the arbitral tribunal, which shall be binding and final on both Parties, shall be taken by