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See Press Release USUN-4(7), Jan. 24, 1975; Dept. of State Bulletin, Vol. LXXII, No. 1860, Feb. 17, 1975.

The Registration Convention is subject to ratification by signatory states and will enter into force upon deposit of the fifth instrument of ratification.

With reference to planned implementation of the Convention by the United States, a memorandum of January 20, 1975, to the Secretary of State from William B. Buffum, Assistant Secretary of State for International Organization Affairs, states in relevant part:

No legislation will be required to implement the Convention. However, Federal regulations may be needed in the future to ensure reporting of nongovernmental launches; to date all launches of objects into Earth orbit or beyond from U.S. territory have been by U.S. Government agencies. The United States has for a number of years been voluntarily supplying to the Secretary-General the same information that is required by the Convention.

The full text of the Convention on Registration of Objects Launched into Outer Space is attached as an annex to G.A. Res. 3235 (XXIX) and may also be found in the 1974 Digest, pp. 401-404. The memorandum dated Jan. 20, 1975, referred to above, is at Dept. of State File No. P75 0042-2203.

International Cooperative Projects


On March 26, 1975, the United States and Indonesia concluded an agreement under which the National Aeronautics and Space Administration (NASA) is to launch satellites on a reimbursable basis for the Indonesian Government's Directorate of Posts and Telecommunications (TIAS 8054; 26 UST 524; entered into force March 26, 1975). The Agreement confirms a memorandum of understanding between the two agencies setting forth conditions and responsibilities relative to the launches. The Department of State announced that the initial effort under the Agreement would be the launch of a communications satellite for domestic use, to be placed in geostationary orbiu near Indonesia. The Agreement was concluded pursuant to the Launch Policy announced by President Nixon on October 9, 1972, which was developed for the purpose of promoting international cooperation in the peaceful uses of outer space and to make the capabilities of space available for mankind. The Policy Statement, attached as an annex to the Agreement, requires in general that the spacecraft be for peaceful purposes, have broad international acceptance, and be in consonance with the INTELSAT Agreements (TIAS 7532, 23 UST 3813, 4091; entered into force for the United States February 12, 1973).

See Dept. of State Bulletin, Vol, LXXII, No. 1869, Apr. 21, 1975, pp. 526–527. For the text of the U.S. Launch Policy, see the 1973 Digest, Ch. 8, § 6, p. 320.


Another in the series of agreements pursuant to the U.S. Launch Policy announced October 9, 1972, was concluded between the United States and Japan on May 23, 1975 (TIAS 8090; 26 UST 1028; entered into force May 23, 1975). Under it the National Aeronautics and Space Administration (NASA) will launch satellites on a reimbursable basis for the National Space Development Agency of Japan. The satellites, to be launched from the Kennedy Space Center in 1977, include the geostationary meteorological satellite, the medium-capacity geostationary communications satellite for experimental purpose, and the medium-scale broadcasting satellite for experimental purpose. The satellites were to be built in the United States and launched by Delta launch vehicles.

A memorandum of understanding between NASA and the Science Technology Agency establishes the general responsibilities for each side in connection with preparation for the conduct of the launchings. Provision was also made for an agreement to be signed between NASA and the National Space Development Agency of Japan with the detailed arrangements for each launch.

See Dept. of State Bulletin, Vol. LXXIII, No. 1882, July 21, 1975, pp. 105–106.

§ 7 Meteorology World Meteorological Organization The United States and a number of other countries requested that urgent steps be taken to include hydrological services in the activities of the World Meteorological Organization (WMO). The Seventh World Meteorological Congress, held in Geneva April 28 to May 23, 1975, adopted amendments to the WMO Convention of October 11, 1947 (TIAS 2052; 1 UST 281), as amended, to provide for inclusion of operational hydrological activities in the purposes of the Organization and to endow hydrologists with full rights of representation in its policymaking bodies. The amendments came into force on May 20, 1975, with the approval of two-thirds of the member states (TIAS 8175; 26 UST).

Chapter 9



§ 1 Conditions and Procedural Aspects of

Assertion of Claim of State Responsibility

Espousal of Claims

In a letter dated February 6, 1975, to Senator Alan Cranston, Fabian A. Kwiatek, Assistant Legal Adviser for International Claims, explained the policy of the Department of State regarding various proposals that had been advanced for including in claims settlement agreements the claims of persons who became citizens of the United States after their property had been taken by another government. Mr. Kwiatek's letter reads in relevant part as follows:

The Department is not aware of any legal or other valid reasons why persons who were not American citizens when their properties were taken should share in the proceeds of lump-sum settlements with persons who were American citizens when their properties were taken.

It is now and has always been the policy of the United States Government not to permit citizens of the United States who did not have that status at the time of loss to share in lump sums paid by foreign governments in settlement of claims for the nationalization or other taking of property. This policy rests upon the universally accepted principle of international law that a state does not have the right to ask another state to pay compensation to it for losses sustained by persons who were not its citizens at the time of loss. Over the last several years bills have been introduced in the Congress to permit persons who were not citizens of the United States at the time of loss to receive compensation out of vested Bulgarian, Hungarian and Romanian assets for nationalizations in those countries. Bills have also been introduced to permit such persons to share in the proceeds obtained from lump-sum settlement agreements with the Governments of Bulgaria, Romania and Yugoslavia. Additionally, bills were introduced to permit such persons with nationalization claims against Czechoslovakia to share in the proceeds of the sale of a steel mill of the Czechoslovakian Government. Neither the executive branch nor the Congress favored any of such bills and none were enacted.

The Department is not aware of a single instance in which persons

who were not citizens of the United States at the time of loss were permitted to share in any funds paid by foreign governments in settlement of claims for the nationalization or other taking of property. Payment of such claims would establish a new and novel precedent to the detriment of nationals of the United States having valid claims under principles of international law. The net result of this would be that one category of claimants would be paying the losses of another category. In the Department's view, such result is highly undesirable.

Dept. of State File No. P75 0028–2000. The lump-sum settlement agreements referred to above were signed as follows: with Bulgaria on July 2, 1963 (TIAS 5387; 14 UST 969; entered into force July 2, 1963); with Romania on Mar, 30, 1960 (TIAS 4451; 11 UST 317; entered into force Mar. 30, 1960); with Yugoslavia on Nov. 5, 1964 (TIAS 5750; 16 UST 1; entered into force Jan. 20, 1965).

Monroe Leigh, Legal Adviser of the Department of State, wrote a letter on December 9, 1975, to Congressman Henry Helstoski in response to the latter's request for an investigation of settlements made on behalf of owners of defaulted dollar bonds by the Foreign Bondholders Protective Council, Inc., with the Governments of Po land, Romania, and Hungary. The following is an excerpt from Mr. Leigh's letter:

It is now and has been the policy of the Government of the United States for many years generally not to espouse claims of nationals of the United States against foreign governments based upon defaulted foreign dollar bonds. Because of this policy, the United States Government, in 1933, encouraged the formation of the Foreign Bondholders Protective Council, Inc. The Council is an unofficial, nonprofit organization. Over the last 42 years, the Council has negotiated some 45 temporary and definitive debt adjustment plans for approximately $4 billion. The Department, as a matter of policy, did not participate in the negotiations which resulted in these settlements, nor did it approve or reject the settlements. Each settlement was based upon the Council's independent judgment.

The Department encourages foreign governments to negotiate bond settlements directly with the Council or the bondholders. As a result, a provision was inserted in claims settlement agreements between the United States and Poland, Romania and Hungary obligating these Governments to negotiate settlements on defaulted dollar bonds directly with the bondholders or their representatives. These Governments consequently concluded agreements with the Council. Bondholders who are not satisfied with the agreements are not obligated to accept the settlements, though, admittedly, their prospects of otherwise realizing anything on their investments would seem slight.

The Department does not feel it desirable to change its longestablished policy relating to its nonintervention in agreements already concluded. Accordingly, I feel constrained respectfully to decline your request to investigate recent settlements made by the Council with the Governments of Poland, Romania and Hungary.

Dept. of State File No. P75 0188–1846. The pertinent provisions of the agreements referred to are found in:

Notes exchanged July 16, 1960, relating to the U.S.-Poland claims agreement (TIAS 4545; 11 UST 1953; entered into force July 16, 1960).

Notes exchanged Mar. 30, 1960, relating to the U.S.-Romania claims settlement (TIAS 4451; 11 UST 317; entered into force Mar. 30, 1960).

Notes exchanged Mar. 6, 1973, relating to the U.S.-Hungary claims agreement (TIAS 7569; 24 UST 522; entered into force Mar. 6, 1973).

§ 2

Substantive Bases for International Claims



On March 24, 1975, President Ford issued a determination under Section 502(bX4)(D)(ii) of the Trade Act of 1974 (P.L. 93-618; 88 Stat. 2066; 19 U.S.C. 2462), approved January 3, 1975, that in the case of 18 countries with which the United States had investment disputes “good faith negotiations to provide prompt, adequate, and effective compensation under the applicable provisions of international law are in progress, or such country is otherwise taking steps to discharge its obligations under international law," as prescribed in that subsection of the Act. The countries–Afghanistan, Argentina, Bangladesh, Bolivia, Central African Republic, Congo (Brazzaville), Dahomey, Egypt, El Salvador, Ethiopia, India, Morocco, Pakistan, Sri Lanka, Sudan, Syria, Tanzania, and Zaire—were designated by President Ford on March 24, 1975, as beneficiary developing countries for the purposes of the U.S. system of generalized tariff preferences.

Presidential Determination No. 75–11, Mar. 24, 1975; Fed. Reg., Vol. 40, No. 67, Apr. 7, 1975, p. 15377. H. Doc. No. 94–85, 94th Cong., 1st Sess. See also post, Ch. 10, $ 2, p. 514, regarding designation of beneficiary countries.

Sec. 502(b) of the Trade Act of 1974 (P.L. 93-618; 19 U.S.C. 2462) excludes from eligibility to receive generalized preference under the Act a beneficiary developing country

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