Communication from the Ministry of Foreign Affairs No. 102 / 1993 Coll.
Communication from the Ministry of Foreign Affairs on the negotiation of the Agreement between the Government of the Czech and Slovak Federal Republic and the Government of the Hellenic Republic on the promotion and mutual protection of investments
Valid
Effective from 30.12.1992
102
COMMUNICATION
Ministry of Foreign Affairs
The Ministry of Foreign Affairs states that on 3 June 1991 the Agreement between the Government of the Czech and Slovak Federal Republic and the Government of the Hellenic Republic on the promotion and mutual protection of investments was signed in Prague.
The agreement was approved by the Federal Assembly of the Czech and Slovak Federal Republic and ratified by the President of the Czech and Slovak Federal Republic. The instruments of ratification were exchanged in Athens on 30 November 1992.
The Agreement entered into force on 30 December 1992 on the basis of Article 13 (1) thereof.
The Czech version of the Agreement is hereby published at the same time.
AGREEMENT
between the Government of the Czech and Slovak Federal Republic and the Government of the Hellenic Republic on the promotion and mutual protection of investments
Government of the Czech and Slovak Federal Republic and Government of the Hellenic Republic,
known as the Contracting Parties,
DESIRING to strengthen economic cooperation towards the mutual benefit of both countries on a long-term basis,
DESIRING to create favourable conditions for investment by investors of one Contracting Party in the territory of the other Contracting Party,
RECOGNISING that the promotion and protection of investments under this Agreement will encourage initiatives in this field,
agree as follows:
Definitions
For the purposes of this Agreement:
(1) "Investment" means any type of asset and includes, in particular, but not exclusively:
(a) movable and immovable property and other property rights such as mortgages, collateral or liability;
(b) shares, deposits and bonds of the company and other forms of participation in the company;
(c) loans, claims on money or any performance under a contract of financial value;
(d) intellectual property rights, goodwill, technical processes and know-how;
(e) business authorisations resulting from law or contract, including authorisations for exploration, cultivation, extraction or exploitation of natural resources.
(2) "Revenue" means amounts earned from the investment and includes in particular, but not exclusively, profits, interest, capital gains, dividends, royalties and other charges.
(3) "Investor" means, with regard to each Contracting Party:
(a) natural persons having the nationality of a Contracting Party in accordance with its law;
(b) legal persons established in accordance with the law of that Contracting Party.
(4) "Territory" means, in respect of each Contracting Party to the territory under its sovereignty, territorial waters and marine territories over which that Contracting Party exercises sovereign rights and jurisdiction in accordance with international law.
Aid and investment protection
(1) Each Contracting Party shall promote and allow investment in its territory by investors of the other Contracting Party in accordance with its own law.
(2) A possible change in the form in which the investment was made does not change its nature as an investment, provided that such change does not conflict with the laws and regulations of the relevant Contracting Party.
(3) The proceeds of the investments and, in the case of reinvestment, the profit derived therefrom benefit from the same protection as the original investments.
Most favoured nation clause and national treatment
(1) No Contracting Party shall treat investment in its territory which is owned or controlled by investors of the other Contracting Party less favourably than as it treats investment in its own investors or investment in investors of any third State.
(2) No Contracting Party shall treat the investment of a Contracting Party less favourably as regards its investment activity in its territory than as it treats its own investors or investors of any third State.
(3) This treatment will not apply to the preferences or benefits granted by any Contracting Party to third-country investors:
(a) as a result of their membership or association with a customs or economic union, a common market, a free trade zone or similar institutions;
(b) under an agreement to avoid double taxation or other agreements relating to taxes.
Expropriation
(1) Investments by investors of any Contracting Party shall enjoy full protection in the territory of the other Contracting Party.
(2) Investment by investors of one Contracting Party will not be expropriated, nationalised or subordinate to any other measure having the same effect as expropriation or nationalisation in the territory of the other Contracting Party, except for measures implemented under the following conditions:
(a) the measures are carried out in the public interest and in accordance with the legal procedure;
(b) the measures are clear and non-discriminatory, and
(c) the measures are accompanied by provisions for the payment of immediate, adequate and effective compensation. Such compensation shall correspond to the market value of the investments concerned immediately before the measures referred to in this paragraph have been implemented or become publicly known and shall be freely transferable in freely convertible currencies from the Contracting Party at the official rate in force at the time when its value was determined. The refund in freely convertible currency shall be transferable without delay. The refund shall include interest until the date of payment at the relevant trading rate determined by the central bank of the Contracting Party and may be reviewed in accordance with the legal procedure.
Compensation
The investors of a Contracting Party whose investment will suffer damage in the territory of the other Contracting Party as a result of war or other armed conflict, revolution, exceptional situation or other exceptional situations shall not be treated by that Contracting Party as regards restitution, reparation, compensation or other settlement, worse than with its own investors or with any third State. The relevant payments shall be freely transferable.
Transfers of investments and revenues
(1) Each Contracting Party shall ensure the free transfer of investments and revenues in respect of investors of the other Contracting Party. Transfers shall be made without delay, in freely convertible currency, agreed between the investor and the relevant counterparty at the rate applicable on the transfer date.
(2) Such transfers shall include, in particular, but not exclusively:
(a) capital and additional amounts to maintain or expand the investment;
(b) profits, interest, dividends and other current income;
(c) the amounts to be paid for the loans;
(d) licensing and other fees;
(e) proceeds from the sale or disposal of all or part of the investment.
Transfer of rights
If the investment of an investor of one Contracting Party is insured under the statutory insurance scheme, the other Party shall recognise the insurer or reinsurer's entry into the rights of that investor under the terms of such insurance.
Application of the Agreement
This Agreement shall also apply to investments made before it entered into force, but after 1 January 1950, by investors of any Contracting Party in the territory of the other Contracting Party in accordance with its law.
Disputes between Contracting Parties
(1) Any dispute between the Contracting Parties concerning the interpretation or application of this Agreement shall, as far as possible, be resolved by diplomatic channels.
(2) If the dispute cannot be resolved in this way within six months of the beginning of the hearing, it shall be submitted to the arbitration panel at the request of any Contracting Party.
(3) The arbitration panel shall be set up on an ad hoc basis as follows: each Contracting Party shall appoint one arbitrator and the two arbitrators shall agree on a President who shall be a citizen of a third State. The arbitrators shall be appointed within three months, the President within five months of the date on which one Contracting Party informed the other Contracting Party of its intention to refer the dispute to the arbitration panel.
(4) If the necessary appointments are not made within the time limits laid down in paragraph 3 of this Article, any party may, unless otherwise agreed, request the President of the International Court of Justice to carry out the necessary appointments. If the President of the International Court of Justice is a citizen of one of the parties in a dispute or if he is prevented by other circumstances in the performance of that mission, he shall be asked to make the necessary appointment as Vice-President, or if he is a citizen of one of the parties in a dispute, and if he also prevents him from doing anything in that capacity, the oldest member of the International Court of Justice who is not a citizen of one of the parties in the dispute.
(5) The arbitration panel shall act on the basis of respect for law, including the provisions of this Agreement or of other agreements in force between the Parties and on the basis of generally accepted rules and principles of international law.
(6) Unless otherwise assessed by the Parties, the arbitration panel shall establish its own procedural rules.
(7) The Tribunal shall act by a majority vote. Such decisions shall be final and binding on the Parties.
(8) Each Party shall pay the expenses of its arbitrator and of its representation. The President's expenses and other expenses shall be paid equally by both parties.
Settlement of disputes between the investor and the recipient State
(1) Any dispute between one Contracting Party and the investor of the other Contracting Party concerning investments, including disputes arising from the expropriation or nationalisation of the investment, shall, as far as possible, be settled amicably between the Parties in the dispute.
(2) If such a dispute cannot be resolved within six months of the request for a friendly solution by one of the parties in the dispute, the investor may submit the dispute either to the competent court of the Contracting Party or to the international arbitration panel. Both Parties shall declare themselves subject to such a decision-making procedure. In that case, the provisions of Article 9, paragraphs 3 to 8, shall apply mutatis mutandis. If the arbitration panel determines its rules by applying the applicable arbitration rules of UNCITRAL, the President of the International Arbitration Court of the Chamber of Commerce in Paris will be asked to make the necessary appointments. The arbitration panel shall be binding and enforceable in accordance with national law.
(3) During the arbitration procedure or the enforcement of the arbitration finding, the Contracting Party which is a party to the dispute shall not object that the investor of the other Contracting Party has received compensation for part or all of the damage under the insurance contract.
(4) Where both Parties are members of the Investment Dispute Settlement Convention between States and citizens of other States of 18 March 1965, the dispute between the Contracting Party and the investor of the other Party may be submitted to the International Investment Dispute Settlement Centre at the request of the investor.
Application of other provisions
Where any of the Contracting Parties or an obligation existing at present or in the future under international law between the Contracting Parties in addition to this Agreement contains rules, whether general or special, authorising investors of the other Contracting Party to invest in a more favourable treatment than that provided for in this Agreement, those rules shall take precedence over this Agreement to the extent that they are more favourable.
Negotiations
Representatives of the Contracting Parties shall conduct negotiations whenever necessary on any matter relating to this Agreement. These negotiations shall be conducted on a proposal from one Contracting Party on the spot and at a time agreed by diplomatic channels.
Entry into force, duration and termination of the Agreement
(1) This Agreement shall enter into force one month after the replacement of the instruments of ratification. It shall remain in force for 10 years.
(2) If a Contracting Party does not terminate the Agreement at least six months before its expiry, the Agreement shall be tacitly extended for a further period of 10 years. In doing so, each Contracting Party shall retain the right to terminate the Agreement by denunciation made at least six months before the expiry of the current period of validity.
(3) For investments made before the expiry of this Agreement, the provisions of the previous Articles shall remain in force for a further period of 10 years from that date.
Done in duplicate in Prague on 3 June 1991 in the Czech, Greek and English languages, all texts being equally authentic. In the event of differences in interpretation, the English text shall be authentic.
For the Government of the Czech and Slovak Federal Republic:
Jiří Dienstbier v. r.
For the Government of the Hellenic Republic:
Antonis Samaras v. r.
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Regulation Information
| Citation | Communication from the Ministry of Foreign Affairs No. 102 / 1993 Coll., on the negotiation of the Agreement between the Government of the Czech and Slovak Federal Republic and the Government of the Hellenic Republic on the promotion and mutual protection of investments |
|---|---|
| Regulation Type | - |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 19.03.1993 |
|---|---|
| Effective from | 30.12.1992 |
| Effective until | - |
| Status | Valid |
The regulation text is for informational purposes only.
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