25.

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Finally, I am asked whether a declaration might

be sought from the International Court of Justice that

HMG was in breach of its treaty obligations.

Assuming

that the CPG does not object to any action that might be

taken, I do not think so. Only states may go to the

International Court and jurisdiction there is only by

consent. However, I have no specialist knowledge of

international law and if a course of action is to be

taken, the FCO lawyers are better fitted to advise in

this area.

26.

I have considered the kind of Order in Council

which I see as necessary to enable legislation to be

enacted in Hong Kong in order to circumvent the common

law rule that a lease must be of fixed duration. At

Appendix II is a rough draft intended only to serve as

a basis for further consideration. I have kept the

recitals brief and vague in order to reduce the possible

area of debate or objection.

27.

The Hong Kong legislation enacted in consequence

of such an Order in Council would be technical and complex.

The purpose would be to -

a.

circumvent, insofar as N.T. leases are

concerned, the rule of common law that a

lease must be of fixed duration;

b. extend those leases due to expire 3 days

before the N.T. lease for an indeterminate

term;

C.

enable future leases to be granted for an

indeterminate term;

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-7-

/d.

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