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Austrian Practice on Lump Sum Compensation by Treaty

Published online by Cambridge University Press:  27 February 2017

Ignaz Seidl-Hohenveldern
Ignaz Seidl-Hohenveldern*
Affiliation:
University of Cologne
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Extract

In the commentary on their monumental collection of lump sum compensation treaties, Lillich and Weston regret the lack of information concerning the negotiation of these agreements as well as the lack of relevant information concerning the distribution of the lump sums received. The present article endeavors to remedy this lack of information at least in regard to the Austrian practice that has come to the attention of the author.

Type
Research Article
Information
American Journal of International Law , Volume 70 , Issue 4 , October 1976 , pp. 763 - 777
Copyright
Copyright © American Society of International Law 1976

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References

1 l R. LILLICH & B. Weston, International Claims: Their Settlement by Lump Sum Agreements 111-13 (1975).

2 British, Dutch, French, and Belgian practice, however, has been analyzed in the following studies: R. Lillich, International Claims: Postwar British Practice (1967); B. Weston, International Claims: Postwar French Practice (1971); Van Wees, , Compensation for Dutch Property Nationalized in East European Countries, 3 Neth. Y.B. Int'L L. 62 (1972)CrossRefGoogle Scholar; and Yates, , Postwar Belgian International Claims: Their Settlement By Lump Sum Agreements, 13 Va. J. Int'l L. 554 (1973)Google Scholar.

3 E.g., Austrian Supreme Court Sept. 20, 1968, 24 Osterr. X Juristen-Zeitung No. 93, at 152 (1969), 97 J. De Droit Int'l [hereinafter cited as CLUNET] 346 (1970). In this judgment, the court refused to allow any compensation for the alleged mishandling of diplomatic protection.

4 See Austrian Supreme Court Nov. 12, 1969, 25 Osterr. Juristen-Zeitung No. 89, at 151 (1970), 99 Clunet 656 (1972), 40 I.L.R. 184 (1970). In this case, the court denied compensation to an Austrian national. Although his war damage claim was acknowledged by the USSR, it was dropped by the Austrian Government in order to avoid larger Soviet counterclaims against the Republic of Austria.

5 See Seidl-Hohenveldern, , The Valuation of Nationalized Property in Austria, in 1 The Valuation of Nationalized Property in International Law 78 (Lillich, R. ed. & contrib. 1972)Google Scholar [hereinafter cited as Seidl-Hohenveldern, Valuation].

6 Contra, Seidl-Hohenveldern, , La réparation des dommages subis par les nationaux à l'6tranger à la suite de bouleversements politiqueś: Comparaison des solutions frangaises et allemandes, 21 Rev. Int. Dr. Comp. 769 (1969)Google Scholar.

7 Austrian-Italian Agreement of July 17, 1971, concerning the Settlement of Financial and Property Questions, 1 R. Lillich & B. Weston, supra note 1, at 319. [1973] Bundesgesetzblatt No. 635 (Austrian), [hereinafter cited as BGB1].

8 See Back Impallomeni, , L'Accordo Finanziario tra l'Italia e l'Austria, 11 Rivista Di Dmrno Internazionale Privato E Processuale 478 (1975)Google Scholar.

9 See Seidl-Hohenveldern, Valuation, supra note 5, at 80.

10 Convention for the Protection of Human Rights and Fundamental Freedoms Nov. 4, 1950, [1958] BGB1 No. 210 (Austrian), 213 UNTS 221 (1955).

11 See Austrian Administrative Court Sept. 27, 1967, Off. Coll. No. 3654(F), 97 Clunet 338 (1970); Sodium Paper Industry Coy v. Federal Distribution Commission, 48 I.L.R. 157 (1975).

12 See Austrian Federal Constitution, in 3 A. Peaslee, Constitutions of Nations, Europe 4 (3d ed. 1968).

13 A decision of the Federal Distribution Commission concerning Hungary was held to violate this right The Commission had based its decision only upon part of the file submitted by the claimant. See Austrian Constitutional Court Dec. 5, 1968, Off. Coll. No. 5848, 99 Clunet 645 (1972).

14 See text at notes 110, 112, & 114 infra.

15 l R. Lillich & B. Weston, supra note 1, at 30-31.

16 See Bindschedler, , La protection de la propriété priveé en droit international public, 90 Rec. Des Couhs (Hague Academy of International Law) 273 (1956 II)Google Scholar. This is another and less acceptable motive for discrimination in compensation cases than the one suggested in 1 R. Lillich & B. Weston, supra note 1, at 42.

17 Austrian-Romanian Agreement of July 3, 1963, Art. 3, [1965] BGB1 No. 70 (Austrian), 588 UNTS 3 (1967), 2 R. Lillich & Weston, supra note 1, at 268. principle.

18 See Austrian Constitutional Court Sept. 27, 1967, Off. Coll. No. 5565, 97 Clunet 340 (1970).

19 See Austrian Constitutional Court Oct. 15, 1966, Off. Coll. No. 5378, 97 Clunet 356 (1970); Austrian Constituional Court Oct. 15, 1966, Off. Coll. No. 5382, 97 Clunet 356 (1970), 47 I.L.R. 412 (1974).

20 See R. Lillich & B. Weston, supra note 1, at 230.

21 See Seidl-Hohenveldern, Valuation supra note 5, at 78.

22 1 R. Lillich & B. Weston, supra note 1, at 240, 255 & 260.

23 G.A. Res. 3281, 29 GAOR Supp. 31, at 50, UN Doc. A/9631 (1974), 69 AJIL 484 (1975).

24 Austrian-Czechoslovakia Lump Sum Agreement of Dec. 19, 1974, [1975] BGB1 No. 451 (Austrian).

25 Cf. Seidl-Hohenveldren, , Die “Charta” der wirtschaftlichen Rechte und Pflichten der Staaten, 21 Recht Der Intebnationalen Wirtschaft 239 (1975)Google Scholar. (An English translation of this article will appear in Melanges In Honor of G. Balladorepallieri. )

26 l R. Lillich & B. Weston, supra note 1, at 113.

27 Id. at 249-52.

28 Id. at 121.

29 Austrian-Italian Treaty of June 24, 1925, [1926] BGBl No. 177 (Austrian).

30 See Back Impallomeni, supra note 8, at 478.

31 See Aus. Parl. Deb. (13th Leg. Period), Supp. No. 38, at 23 (1971).

32 Austrian-Italian Agreement of July 17, 1971, note 7, supra.

33 See Aus. Parl. Deb., supra note 31, at 23.

34 See Back Impallomeni, supra note 8, at 483.

35 See text at notes 78 to 82 infra.

36 See text at note 21 supra.

37 Barcelona Traction, Light & Power Co., Ltd. Judgment, [1970] ICJ Rep. 3, 40.

38 Seidl-Hohenveldern, , Der Barcelona Traction Fall, 22 Osterr. Zettschrift F. Off. Recht 270-71 (1971)Google Scholar.

39 Id. at 296.

40 See 1 R. Lillich & B. Weston, supra note 1, at 7 & 244.

41 See id. at 212.

42 Id. at 160.

43 See, e.g., id at 166.

44 2 id. at ix.

45 Austrian State Treaty of May 15, 1955, [1955] BGB1 No. 152 (Austrian), 217 UNTS 223 (1955).

46 See I. Seidl-Hohenveldern, American-Austrian Private International Law 10-13 (1963); R. Clute, The International Legal Status of Austria 1938-1955, at 111 (1962).

47 See Seidl-Hohenveldern, , Das Münchner Abkommen im Licht des Prager Vertrages von 1973, in Recht Im Dienste Des Fbiedens, Festschrift Für Eberhard Menzel 438 (Rauschning ed. 1976)Google Scholar.

48 l R. Lillich & B. Weston, supra note 1, at 133 & 159.

49 Id. at 116

50 Id. at 162. On the same page, the authors come closer to the official Austrian point of view when they refer to the “coercive nature of Austria's incorporation into Nazi Germany.“

51 See I. Seidl-Hohenveldern, supra note 46, at 86-89; Seidl-Hohenveldern, , Austrian Restitution Legislation, 2 Am. J. Comp. L. 383-89 (1953)CrossRefGoogle Scholar.

52 Accord, 1 R. Lillich & B. Weston, supra note 1, at 163.

53 Id. at 205.

54 Id. at 330.

55 2 id. at 113; F. Ermacora, Österreichs Staatsvertrag Und Neutralität 70-71 (1957); Documentation Francaise, Articles Et Documents, 0.290 of Dec. 3, 1955; Wiener Zeitung, Dec. 2, 1955, at 9, col. 2.

56 Austrian State Treaty of May 15, 1955, supra note 45, Art. 22, para. 13 in fine.

57 See Seidl-Hohenveldern, Valuation, supra note 5, at 76.

58 Austrian-British Monetary and Property Agreement of June 30, 1952, [1952] BGB1 No. 193 (Austrian), 138 UNTS 153 (1952).

59 Aus. Parl. Deb. (11th Leg. Period), Supp. No. 292, at 10-12 (1966).

60 Austrian-Netherlands Treaty of Sept. 30, 1959, concerning the Settlement of Matters Relating to Property Rights, id., at 9, 507 UNTS 111 (1964); 2 R. Lillich & B. Weston, supra note 1, at 207.

61 Id. at 122-25.

62 See I Seidl-Hohenveldern, The Austrian-German Arbitral Tribunal 2 (1972).

63 Untted States-Great Britain-Soviet Union: Report of Triparite Conference of Berlin. July 17-August 2,1945, 39 AJIL Supp. 245-57 (1945).

64 The U.S. High Commissioner to Austria protested against these claims. See W. Steahman, The Soviet Union and the Occupation of Austria 49 (1961).

65 Id. at 140.

66 See Austrian Constitutional Court Nov. 28, 1968, Off. Coll. No. 5838, 99 Clunet 645 (1972) (Hungary); Austrian Constitutional Court Sept. 28, 1967, Expropriation of Austrian Property in Romania (Allied Control Commission) Case, Off. Coll. No. 5563, 97 Clunet 338 (1970), 48 I.L.R. 175 (1975) (Romania).

67 See l R. Lillich & B. Weston, supra note 1, at 135 (reference to agreements of Switzerland with Romania and Bulgaria).

68 See W. Stearman, supra note 64, at 26 n.53, 27 n.55, & 53 n.19.

69 Although they list the agreement, Lillich and Weston are not fully aware of this background to the Austrian-Finnish Agreement of February 21, 1966, concerning the Settlement of Certain Financial and Property Questions, [1967] BGB1 No. 110 (Austrian), 597 UNTS 273 (1967), 2 R. Lillich & B. Weston, supra note 1, at 321. For their commentary, see 1 id. at 135.

70 Austrian-Polish Agreement of Oct. 6, 1970, concerning the Settlement of Certain Financial Questions, [1974] BGBl No. 74 (Austrian), 2 R. Lillich & B. Weston, supra note 1, at 362.

71 id. at 125.

72 Thus, the statement made in 1 id. 89, n.278 is too far-reaching.

73 See note 7 supra.

74 See 1 R. Lillich & B. Weston, supra note 1, at 106-10.

75 Id. at 108

76 See Back Impallomeni, supra note 8, at 482-83.

77 Austrian Distribution Law, [1973] BGB1 No. 636 (Austrian).

78 See Back Impallomeni, supra note 8, at 483.

79 See Aus. Parl. Deb. (13th Leg. Period), Supp. No. 38, at 27 (1971), and Supp. No. 456, at 17 (1972).

80 For authorities supporting such measures, see 1 R. Lillich & B. Weston, supra note 1, at 222 n.68.

81 See Aus. Parl. Deb., (13th Leg. Period), Supp. No. 456, at 17.

82 See Back Impallomeni, note 8 supra.

83 See Seidl-Hohenveldern, Valuation, supra note 5, at 72-76.

84 See I. Seidl-Hohenveldern, note 63 supra.

85 See 1 R. Lillich & B. Weston, supra note 1, at 153.

86 See I. Vasarhely, Restitution in International Law 132 (1964). Contra, Seidl-Hohenveldern, Book Review, 92 Clunet 1023 (1965).

87 Hungarian-Austrian Agreement of Oct. 31, 1964 concerning the Settlement of Certain Claims Made by Hungary, [1967] BGB1 No. 293 (Austrian), 605 UNTS 77 (1967), 2 R. Lillich & B. Weston, supra note 1, at 306.

88 On this case and on the relevant case law of the Austrian Supreme Court, see Seidl-Hohenveldern, , The Impact of Public International Law on Conflict of Law Rules on Corporations, 123 Rec. Des Coubs 40 & 46 passim (1968-I)Google Scholar.

89 See Aus. Parl. Deb., supra note 59, at 6; Seidl-Hohenveldern, supra note 5, at 85.

90 Austrian-Dutch Agreement, [1967] BGB1 No. 160 (Austrian).

91 Austrian Supreme Court May 13, 1964, 20 Osterr. Juristen-Zeitung No. 44, at 67 (1965), 94 Clunet 926 (1967). See 1 R. Lillich & B. Weston, supra note 1, at 142.

92 Austrian-German Arbitral Tribunal, Binding Opinion No. 63 of Jan. 26, 1965, at 19; I. Seidl-Hohenveldern, supra note 63, at 14, 179. But see 1 R. Lillich & B. Weston, supra note 1, at 183.

93 Distribution Law concerning Bulgaria, [1964] BGB1 No. 129 (Austrian); Seidl- Hohenveldem, Valuation, supra note 5, at 81.

94 Judgment of Nov. 9, 1966, 22 Osterr. Juristen-Zeitung No. 128, at 149 (1967) 95 Clunet 138 (1968

95 This Austrian practice has no parallel in the practice of most other states. See 1 R. Lillich & B. Weston, supra note 1, at 67-77 & 100

96 Austrian-German Arbitral Tribunal, Binding Opinion No. 1 of Feb. 28, 1961; see I Seidl-Hohenveldern, supra note 63, at 113-17.

97 Austrian Supreme Court Jan. 25, 1967, 22 Osterr. Juristen-Zeitung No. 300, at 434 (1967), 95 Clunet 136 (1968).

98 Austrian Constitutional Court June 11, 1968, Off. Coll. No. 5715, 99 Clunet 645 (1972).

99 Accord, l R. Lillich & B. Weston, supra note 1, at 59.

100 See text at note 110 infra.

101 German-Italian Agreement of Oct. 19, 1967 concerning the Settlement of Property, Economic and Financial Matters Related to the Second World War, [1969] BGB1 II 353, 2 R. Lillich & B. Weston, supra note 1, at 352.

102 1 id. at 51 n.33.

103 See H. Miechsler, Süditrol Als Völkerrechts-Problem 148-51, 246-48 (1962); A. Alcock, The History of the South Tyrol Question 47-49, 183-91 (1970).

104 See text at notes 113 & 115 infra.

105 See text at note 17 supra.

106 see Barcelona Traction, Light and Power Company, Limited, supra note 37, at 44.

107 See Seidl-Hohenveldren, Valuation, note 5 supra, at 78.

108 Distribution Law (Romania), [1965] BGBl No. 71 (Austrian).

109 See Seidl-Hohenveldern, Valuation, supra note 5, at 84-85.

110 Austrian Constitutional Court Sept. 28, 1967, Expropriation of Austrian Property in Romania (Dual Nationality) Case, Off. Coll. No. 5572, 97 Clunet 338 (1970), 48 I.L.R. 159 (1975).

111 [1974] BGBl. No. 75 (Austrian).

112 See text at note 70 supra.

113 3 Europäische Grundrechte Zeitschrift 9 (1976).

114 See note 113 supra.

115 [1976] BGB1. No. 155 (Austrian).

116 1 R. Lillich & B. Weston, supra note 1, at 260-61.

117 Id. 91, 102.

118 See text at notes 16 and 17 supra.

119 See Seidl-Hohenveldern, supra note 28, at 305-06.