TNAG-1401-FCO40-1873-Future-of-Hong-Kong-continued-participation-in-the-General-A-1985 — Page 6

OO HONG KONG

GRS 217

CONFIDENTIAL

FM FCO 311605Z MAY 85

CONFIDENTIAL

TO PRIORITY HONG KONG, UKMIS GENEVA

TELEGRAM NUMBER 763 OF 31 MAY

AND TO UKMIS GENEVA

TOP COF

#KK 04224

RECEIVE Y

-3 JUN 1985

guita

INFO PRIORITY PEKING, UKREP BRUSSELS, BRUSSELS (FOR JONES),

WASHINGTON

YOUR TELNO 1043: HONG KONG'S FUTURE POSITION IN THE GATT AND CCC:

DRAFT EXCO MEMORANDUM

1. WE NOTE YOUR RESERVATIONS ABOUT THE PHRASE QUOTE MAY BE

DEEMED UNQUOTE IN THE DRAFT UK DECLARATION TO THE GATT. WE FEAR

HOWEVER THAT 'SHOULD' MIGHT BE OPEN TO THE SAME MISINTERPRETATION

AS 'MAY' (IE HONG KONG SHOULD BUT MAY NOT NECESSARILY BE DEEMED

ETC). NOR DO WE FAVOUR 'SHALL' WHICH COULD BE READ AS A UK

DIRECTIVE TO OTHER CONTRACTING PARTIES.

2. IT SEEMS TO US THAT A SOLUTION TO OUR DIFFICULTY MIGHT BE TO

AMEND THE THIRD SENTENCE OF THE UK DECLARATION TO READ AS

FOLLOWS:

BEGINS IT FOLLOWS THAT IN ACCORDANCE WITH THE SAID ARTICLE, HONG

KONG WILL, WITH EFFECT FROM THE DATE OF THIS COMMUNICATION, BE

DEEMED TO BE A CONTRACTING PARTY TO THE AGREEMENT. ENDS

'WILL' LEAVES NO ROOM FOR AMBIGUITY BUT DOES NOT CARRY THE

SENSE OF A DIRECTIVE THAT 'SHALL' DOES. IT MERELY STATES A

FACT THIS WOULD ACCORD WITH ARTICLE XXVI (5) BY THE TERMS OF WHICH

HONG KONG WOULD BE ESTABLISHED AS A CONTRACTING PARTY ONE THE UK

HAS MADE THE APPROPRIATE DECLARATION.

3. WE SHOULD BE GRATEFUL IF UKMIS GENEVA WOULD COMMENT URGENTLY

ON THIS VIEW.

HOWE

NNNN

DISTRIBUTION

LIMITED

HKD

FED

ECD(E)

PS

Ukmice phoned to thuman

sand they would the cannelie on this

COPIES TO:

HKGO, LONDON

т

text on 4

MR FIFOOT, LEGAL ADVISERS

MIS WILMSHURTS, LEGAL ADVISERS

A J PRYOR ITP1 DTI

MRS HEALD HMCE MARK LANE EC4

т

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m 36.

•

PS/LUCE

MR WILSON

CONFIDENTIAL