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6.

i)

j)

within UK competence and Chinese aircraft would

have no special rights;

grant of leases of public land: this topic might

be

clarified so that the UK was not unduly

restricted over the terms it could grant;

duration and termination of the arrangements:

an appropriate formula would have to be included

in the agreement.

B

The list of matters in the previous paragraph is not

exhaustive and of course there may be matters (whether

mentioned in the list or not) in respect of which the

Chinese might reasonably ask for special treatment.

7. A political declaration as in paragraph 3 would raise

fewer complications than a formal cession of territory.

However, if the Chinese would agree to the continuance of

the existing British regime more or less intact after

cession of the territory the legal arrangements should

not present much difficulty.

8.

Although one might expect the agreement between the

UK and China to be a formal and detailed one in view of

its importance, an informal agreement in broad terms,

avoiding legalistic terms, might suit both parties better.

The Chinese negotiators may not think like Western jurists

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