to
a
but to
we would prefer to see the reference to the sum & be a reference not
depreciated replacement cost to be lended subject to applicable international obligations a Sum amounting to the
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in
a similar standard.
@quivalent accommodation. For this reason the "depreciation" formulation in the Hong Kong draft is unacceptable.
sought to persuade the BLD to remove the referencesto
a to the Director's discretion in dehding the summ
We have
depreciation and to replace with our preferred formulation.
celit
hem)
心
This (copy attached) defines compensation as the full cost of equivalent reinstatement in alternative premises and allows for arbitration by an independent expert if the two principals fail to agree on this sum within six months.
6.
The BLD, who have throughout sought to avoid straying from the standard template for PTGS in Hong Kong, refused to accept our suggestions, saying that this would deviate so far from established practice that it would need ExCo and possibly even Land Commission approval. For obvious reasons we would wish to avoid going to the Land Commission so as not to risk giving the
Our view is that Chinese any further levers to use against HMG. we have not yet secured enough from the Hong Kong Government and that we should now enlist the aid of the Constitutional Affairs Branch to see whether there there is flexibility at a higher level on the points that concern us.
PF Ricketts
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