23/1996.



The COMMUNICATION FROM the



Ministry of Foreign Affairs



Change: 42/2010 Coll.



Ministry of Foreign Affairs says that the 17 November. March 1994 was in

Prague agreement signed between the Government of the United Kingdom and the Government of Ukraine on

the promotion and mutual protection of investments.



Parliament gave its assent to the agreement the United States and the President of the

the Republic has ratified it.



Agreement entered into force, pursuant to article 12 paragraph 2. 1 day 2.

November 1995.



The Czech version of the agreement shall be published at the same time. In the English text of the agreement,

for its interpretation of the applicable, can be consulted at the Ministry of

Foreign Affairs and the Ministry of finance.



The AGREEMENT



between the Government of the United Kingdom and the Government of Ukraine on the promotion and mutual

protection of investments



The Government of the United Kingdom and the Government of Ukraine (hereinafter referred to as "the Contracting Parties"),



Desiring to intensify economic cooperation to the mutual

the benefit of both States,



intending to create and maintain favourable conditions for investments by investors

one State on the territory of the other State, and noting that the support and mutual

investment protection in accordance with this agreement encourages business

initiative in this area,



have agreed upon the following:



Article 1



The definition of the



For the purposes of this agreement:



1. The term "investment" refers to each assets invested in

accordance with the economic activities of an investor of one Contracting Party to the

the territory of the other Contracting Party in accordance with the laws of the other Contracting

Parties and shall, in particular, but not limited to:



a) movable and immovable property, as well as all the rights in rem, such as

mortgages, pledges, guarantees and similar rights;



(b)) shares, bonds, deposits by the company or any other forms of participation

of the companies;



(c) the claim or claims) cash to any activity having

the economic value associated with an investment;



(d)) intellectual property rights, including copyrights, the rights

of the trade marks, patents, industrial designs, techniques,

know-how, trade secrets, trade names and goodwill associated with the

the investment;



(e)) the rights conferred by law or contract, licence or

the permit issued under the Act, including concessions for exploration, extraction,

the cultivation or use of natural resources.



Any change in the form in which the values are invested does not affect the

their status as investment.



2. the term "investor" means any natural or legal person,

that invests in the territory of the other Contracting Party.



and) the notion of "natural person" means any natural person who is a national

citizenship of either Contracting Party in accordance with its legal system.



b) "legal person" means, with regard to both the Contracting Parties:



-any company registered or constituted in accordance with their

jurisdiction and recognised as a legal person, the legal order of the



-any other community of persons without legal personality, but

considered according to their laws for the company.



3. The term "returns" means the amounts yielded from investments and includes

in particular, but not exclusively, profits, interest, capital gains, shares,

dividends, licensing or other fees.



Article 2



The promotion and protection of investments



1. Each Contracting Party shall encourage and create favourable conditions

for investors of the other Contracting Party, to invest in its territory, and

will admit such investments in accordance with its legal system.



2. investments of investors of one or the other party will always have

ensures the proper and fair treatment and will enjoy full protection and

safety on the territory of the other Contracting Party.



Article 3



National treatment and MFN clause



1. each Contracting Party shall in its territory for investments and returns

investors of the other Contracting Party treatment, which is the proper and fair

and no less favourable than that accorded to investments or the proceeds of their

its own investors or investments of investors of any proceeds or

of a third State, if it is more convenient. The above principle of national

treatment does not apply to obtain property rights to land and participation in

privatisation.



2. each Contracting Party shall accord to investors of the other party within its territory

the parties, regarding the management, maintenance, use, recovery or disposal

with their investments, treatment which is the proper and equitable and not less

favorable, than to its own investors or to investors

any non-Member State, if it is more convenient.



3. the provisions on national treatment and MFN clause referred to in

This article shall not apply to benefits, which provides Contracting

Party on the basis of its obligations as a member of the customs, economic or

Monetary Union, a common market or free trade zone.



4. the Contracting Party agrees that the obligations of the other party

as a member of the customs, economic or monetary Union, a common market or

free trade zone includes the obligations deriving from international treaties

or of bilateral agreements based on reciprocity of this

the customs, economic or monetary Union, a common market or free zone

trade.



5. The provisions of this Agreement shall not be construed to undertake one of the Contracting

hand to provide investors of the other Contracting Parties or their

investments or the proceeds of such an advantage, preference or privilege, that

a Contracting Party may provide, on the basis of an international agreement on

is wholly or mainly to taxation.



Article 4



Compensation for damage



1. If the investments of investors of one or the other party will suffer

damage as a result of war, armed conflict, a State of emergency,

the riot, insurrection, riot or other similar events on the territory of the

the other Contracting Party, that Contracting Party shall afford them treatment if

as for the restitution, damages, compensation or other settlement, no less

favourable than what the Contracting Party shall provide their own

investors or investors of third States.



2. Notwithstanding paragraph 1 of this article, the investors of one Contracting

the parties, who, during the events referred to in the preceding paragraph

suffered damage in the territory of the other Contracting Party of:



) and seize their assets, by the armed forces or by an

the other Contracting Party,



(b)) the destruction of their property by the armed forces or by the official authorities of the other

the Contracting Parties, which was not due to combat action or not

invoked when the necessity of the situation,



will be given fair and reasonable compensation for any damage suffered during the

grabbing or as a result of destruction of property. The resulting payments shall be without

late payment freely transferable in freely convertible currency.



Article 5



The expropriation



1. investments of investors of one or the other party will not be

nationalized, expropriated or subjected to measures having similar effect

as nationalization or expropriation (hereinafter referred to as "expropriation") on the territory of the

the other party, except in the public interest. The expropriation will be

carried out according to the law, on a non-discriminatory basis, and will be accompanied by a

measures to pay immediate, adequate and effective compensation. Such

the refund will be equal to the market value of the expropriated investments

immediately before the expropriation or before the intended expropriation

became publicly known, will include interest from the date of expropriation,

carried out without delay, will be immediately realisable and freely

shall not be transferable in freely convertible currency.



2. The investor has the right to request an urgent review of its

the case and the assessment of its investments to the judicial or other independent

authority of a Contracting Party in accordance with the principles contained in this article.



3. The provisions of paragraph 1 of this article shall also apply to cases where the

a Contracting Party expropriates the assets of a company that has been registered

or established in accordance with the applicable laws and regulations in any part of its

own territory, and in which investors of the other Contracting Party own shares.



Article 6



Conversions



1. without prejudice to the measures adopted by the European Community, the Contracting

the Parties shall ensure the transfer payments related to investments and revenues. Conversions

will be made in freely convertible currency without restriction or undue

the delay. Such transfers shall include in particular, but not exclusively:



and) capital and additional amounts to maintain or increase the investment;



(b)) gains, interest, dividends and other current income;



(c) the amount of the repayment of loans);



d) license or other fees;



e) proceeds from the sale or liquidation of the investment;



f) income of individuals under the law of the Contracting Party where it is

the investment.



2. for the purposes of this agreement, will be used as the official conversion rates

courses for common transactions in force on the date of the transfer, unless it is agreed

otherwise.



Article 7



Assignment of rights



1. If a Contracting Party or its designated agency makes a

the payment of its own investor because of the guarantees given by the

relation to an investment in the territory of the other Contracting Party, the other Contracting

page:



and each right or assignment) of the right of the investor to a Contracting Party

or her authorised agency, whether a transfer has occurred in accordance with the law, or

the basis of the legal proceedings in this country, as well as,



(b)) that the Contracting Party or its designated agency is by way of referral


rights shall be entitled to exercise the rights and claims of the investor and to float

assume the commitments relating to the investment.



2. The assignee's rights or claims shall not exceed the rate of indigenous rights or

claims of the investor.



Article 8



Settlement of investment disputes between a Contracting Party and an investor of the other Contracting

the parties



1. any dispute which may arise between an investor of one Contracting

the parties and the other Contracting Party in connection with an investment in the territory of the

the other party will be subject to negotiations between the parties in dispute.



2. If a dispute between an investor of one Contracting Party and other Contracting

a party will not be settled as follows at the time of six months, the investor is entitled to

submit the dispute either:



and the International Centre for) settlement of investment disputes (ICSID)

taking into account the applicable provisions of the Convention on the settlement of investment disputes

between States and nationals of other States, opened for signature in Washington, D.

(C) 18. March 1965, in the event that the Contracting Parties are parties to the

of the Convention; or



(b)) the arbitrator or to the International Court of arbitration set up by ad hoc,

nominated in accordance with the conciliation rules of the United Nations Commission

Nations for international trade law (UNCITRAL). The parties to the dispute

may in writing agree modifications to these rules. The arbitration award will be

final and binding to both parties in a dispute.



Article 9



The resolution of disputes between the Contracting Parties



1. disputes between the Contracting Parties concerning the interpretation or application of this

Agreement may be, if possible, resolved through consultations or

negotiations.



2. If the dispute cannot be resolved within six months, will be on the

the request of either contracting party be submitted to an arbitral tribunal in accordance with the

the provisions of this article.



3. the arbitral tribunal shall be established for each individual case

in the following way. Each Contracting Party shall designate one arbitrator in

within two months of receipt of the request for arbitration. These two

the arbitrator then selects a citizen of a third State, that will be with the consent of both

of the parties appointed President of the Court (hereinafter referred to as "the Chairman").

The Chairman shall be appointed within three months from the date of the appointment of the two arbitrators.



4. If, in one of the periods referred to in paragraph 3 of this article has not been

performed necessary appointment may be requested the President of the International

the Court of Justice to make the appointment. If the President of the citizen of any

the Contracting Parties, or for any other reason unable to exercise this mandate, the

on the appointment of the Vice-President asked. If it is also Vice-Chair of the citizen

some of the parties or is unable to perform this credential will be

perform the necessary appointment asked the oldest Member of the international

of the Court who is not a citizen of any of the Contracting Parties.



5. the Arbitration Tribunal shall adopt its decisions by a majority vote. Such

the decision is binding. Each Contracting Party shall pay only the cost of your

arbitrator and its participation in the arbitration proceedings; the costs of the Chairman and other

the cost will be borne by the parties equally. The Court of arbitration

shall determine its own rules rules.



Article 10



Essential security interests



1. Nothing in this Agreement shall be interpreted so that it is prevented from any of the

the Contracting Parties to take the steps it deems necessary to protect the

its essential security interests,



and) relating to criminal offences;



(b)) relating to the trade in arms, munitions and war instruments and

transactions in other goods, materials, services, and technologies that

were made with the aim of supplying a military or other security forces;



(c)) taken in time of war or in time of emergencies in the

international relations, or



(d)) related to the implementation of national policies or international agreements

relating to the prohibition of the dissemination of nuclear weapons or other nuclear

explosive devices or



(e)) in accordance with its obligations under the Charter of the UNITED NATIONS steps to preserve

international peace and security.



2. the essential security interests of the Contracting Parties may involve the interests of the

arising from its membership in the customs, economic or monetary Union,

the free market or free trade zone.



Article 11



The use of other provisions and specific commitments



1. in the event that there is some question dealt with at the same time this agreement and

another international agreement, the two Contracting Parties are parties, nothing

in this agreement does not prevent to any party or any of its

the investor who owns the investments on the territory of the other Contracting Party,

any provisions that are more favourable for him.



2. If the treatment granted by either party to investors

the other Contracting Party in accordance with its legal regulations or other

special contractual provisions is more favourable than that

provided for in this agreement, will be used this more favourable treatment.



Article 12



The applicability of this agreement



The provisions of this Agreement shall apply to investments made by investors

one Contracting Party in the territory of the other Contracting Party 1. January 1983.



Article 13



Entry into force, duration and termination



1. each Contracting Party shall notify the other party in fulfilment of the constitutional

the requirements for the entry into force of this agreement. This agreement shall enter

force on the date of the second notification.



2. This agreement shall remain in force for a period of ten years and its validity

It will continue until one year before the expiry of the initial period or

any following period one contracting party notifies the

the other Contracting Party of its intention to terminate the agreement.



3. for investments made before the expiry of this agreement,

the provisions of this agreement will remain effective for a period of ten years from the date of

their validity.



In witness whereof the undersigned, duly authorised thereto, have signed this agreement.



Done at Prague on 17. March 1994 in Czech, Ukrainian and

the English, all texts being equally authentic. In the case of

any discrepancies in the interpretation of English text is critical.



For the Government of the United States:



Ing. Ivan Kočárník, CSc. v. r.



Deputy Prime Minister and Minister of finance



For the Government of Ukraine:



Oleh Slepičev in r.



Minister of external economic relations