The COMMUNICATION FROM the
Ministry of Foreign Affairs
Change: 16/2011 Coll. m.s.
Ministry of Foreign Affairs says that the 15 December. January 1997 was in
The Prague agreement signed between the Czech Republic and the Republic of Uzbekistan on the
mutual investment promotion and protection.
The agreement gave its assent, Parliament of the Czech Republic and the President of the
Republic has ratified it.
Agreement entered into force pursuant to its article 12, paragraph 2(a). 1 day 6.
The Czech version of the agreement shall be published at the same time. In the Russian text of the agreement, which
for its interpretation of the applicable, can be consulted on the Ministry of
Foreign Affairs and the Ministry of finance.
between the Czech Republic and the Republic of Uzbekistan on mutual support and
protection of investments
Czech Republic and the Republic of Uzbekistan, hereinafter referred to as "the Contracting Parties",
Desiring to consolidate and to expand economic cooperation between the two
the Contracting Parties,
intending to create favourable conditions for investments by investors of one
Contracting Party in the territory of the other Contracting Party,
Noting that the promotion and reciprocal protection of investments in accordance with this
the agreement will encourage entrepreneurial initiative in this area,
agree on the following:
The definition of the
For the purposes of this agreement:
1. The term "investment" refers to all types of assets
invested in accordance with the economic activities in order to achieve
the profit investors of one Contracting Party in the territory of the other Contracting Party in
accordance with its legal system and includes, in particular, but not exclusively:
I) movable and immovable property, as well as all the associated g/l
rights such as mortgages, pledges, guarantees and similar rights;
II) shares, unsecured company bonds, bonds and any other
forms of participation in the assets of a legal person;
(iii) the claim or claims) the cash from any of the obligations related to
investment and economic value;
IV) intellectual property rights, including copyright and industrial rights,
such as the rights to the patents, trademarks, trade name,
industrial design rights, economic secrets, trade secrets,
technological processes, know-how and goodwill associated with investment;
in) the rights arising from law or the contract, licence or
the permit issued in accordance with the law, including rights relating to concessions to
exploration, extraction, cultivation or exploitation of natural resources.
Any changes to the form in which they are invested, values do not affect
on their character as investments.
2. the term "investor" means any natural or legal person,
investing in the territory of the other Contracting Party.
even) the notion of "natural person" means any natural person having a
the nationality of either Contracting Party in accordance with its legal
regulations and also the person without citizenship having this status, which
has the right to do business under the law of one of the Contracting Parties.
(ii)), the term "legal person" means with regard to both parties
any legal person registered or established in accordance with the
its jurisdiction and recognised as a legal person that has its registered office
on the territory of one of the Contracting Parties.
3. The term "returns" means the amounts yielded from investments or amounts with them
related and includes, in particular, but not exclusively, profits, dividends,
interest, capital gains, royalties, and any other statutory
4. The term "territory" means the territory of the Czech Republic, and the territory of Uzbekistan
Republic, over which each Contracting Party may exercise their
the sovereign rights and jurisdiction in accordance with international law.
The promotion and protection of investments
1. each Contracting Party shall promote investments by investors of the other
the Contracting Parties and will create favourable conditions for investors of the other
the Contracting Parties, to invest in its territory, and such investment
to admit to its territory in accordance with their national law.
2. Each Contracting Party shall, in accordance with its legal structure to permit
and to promote in its territory investments by investors of the other Contracting Party,
provide them with the proper and fair treatment and to guarantee them also
full and unconditional legal protection.
3. If a Contracting Party under this agreement, admitted to its territory
investments, this Contracting Party shall issue, in accordance with its legal structure
investors of the other Contracting Party the necessary permits relating to the following
National treatment and MFN clause
1. each Contracting Party shall in its territory for investments and income
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 to investors of any investments or the proceeds
a third State, if such treatment is more favourable.
2. each Contracting Party shall in its territory of investors of the other Contracting
the Parties shall, with regard to the management, maintenance, use, recovery or disposal
with their investments, treatment which is the proper and equitable and not less
favourable than that accorded to its own investors or to investors
any non-Member State, if such treatment is more favourable.
3. the provisions on national treatment and MFN clause referred to in
This article shall not apply to advantages granted by the Contracting
the Party on the basis of its obligations as a member of the customs, economic or
Monetary Union, a common market or free trade area, or in the framework of the
other forms of regional cooperation. The Contracting Party agrees,
that the obligations of the other Contracting Parties as a member of the customs, economic or
Monetary Union, a common market or free trade zone include commitments
arising from international or mutual contracts relating to these
the customs, economic and Monetary Union, a common market, free zone
trade or other forms of regional cooperation.
4. the provisions of this Agreement shall not be construed so that undertake one Contracting
hand to provide investors of the other Contracting Parties or their
investments or the proceeds of such preference or privilege, which can
the first party to provide on the basis of an international treaty on
is wholly or mainly to taxation.
Compensation for damage
1. If the investments of investors of one or the other party will suffer
damage due to war or other armed conflict, special
the State, civil disturbance or other similar events on the territory of the
the other Contracting Party, shall provide the Contracting Party with regard to the
damages, compensation or other settlement, a treatment no less
favourable than what the Contracting Party shall provide their own
investors or investors of the third State.
2. Notwithstanding paragraph 1 of this article will be to investors of one Contracting
the parties, who, during the events referred to in the preceding paragraph
have suffered damage in the territory of the other Contracting Party of:
I) seizure of their assets by the armed forces or official authorities
the other Contracting Party;
(ii)) the destruction of their property by the armed forces or official authorities
the other party, which was not due to enemy actions or
It was not invoked by the necessity of the situation,
given fair and reasonable compensation for any damage suffered as a result of
such events or as a result of destruction of property. The resulting payments
will be transferred without delay in freely convertible currency.
Deprivation and restriction of ownership rights
1. the Contracting Parties shall not directly or indirectly make negotiations
leading to expropriation, nationalization or conduct having the same
nature or similar consequences in relation to the investments belonging to the
investors of the other Contracting Party, if the measures because of the
public interest, made under the law on a non-discriminatory basis.
2. the Contracting Party which carried out the expropriation of an investment in a way
laid down in paragraph 1 of this article shall ensure that the other investors
the parties were given fair and effective compensation. Such
the refund will be equal to the value of the expropriated investment immediately before the
the expropriation or before the intended expropriation became publicly known
(whichever occurs first), will include interest from prices
expropriated investment calculated on the basis of commonly used market
the interest rate from the date of expropriation until the date of payment and will be freely
shall not be transferable. The refund amount will be determined in a freely convertible currency and
the investor will be paid without undue delay, regardless of the place,
where it is located or has permanent residence. Transfer without undue delay
means the conversion of a carried out within the period normally required for fulfilment of the
formal requirements for conversion. This time limit begins to run from the date of
the request for conversion and may not exceed three months.
3. The investor has the right to request a judicial or other independent authority
the Contracting Party in whose territory the investment is made, the
urgent review of his case on the waiver itself or
restriction of ownership rights and the assessment of its investments in accordance with the
the principles contained in this article.
1. without prejudice to the measures adopted by the European Community, the Contracting
Parties shall ensure the transfer payments related to investments or returns.
Transfers will be made in freely convertible currency without restriction and
unnecessary delay after the payment of the corresponding taxes, deductions and
the fees. Such transfers shall include in particular, but not exclusively:
I) originally invested capital and any additional capital to maintain the
or enlarge the investment;
II) profits, interest, dividends and other current income;
(iii) the amount of the repayment of loans);
IV) license or other fees;
in) the proceeds from the sale or liquidation of all or part of the investment;
vi) remuneration for legally work — natural persons of the other party
the parties, which shall carry out activities connected with investments, in accordance with the
the legal order of the Contracting Party where the investment is made;
VII) compensation granted in accordance with the articles of this agreement and other payments
associated with any investment disputes under this agreement.
2. transfers shall be made in freely convertible currency using the
the prevailing rate for ordinary transactions valid as of the date of transfer, if the
not otherwise agreed.
3. Transfers that were made "without undue delay" referred to in paragraph 1
This article means transfers made within the time limit, which is usually
necessary for the implementation of such transfer. This period shall not in any
If more than three months.
4. Notwithstanding the provisions of paragraphs 1, 2 and 3 of this article, a Contracting
a party may deny the transfer under the terms of a fair and
the non-discriminatory application of the rule of law in cases involving
I) bankruptcy or insolvency;
(ii) the protection of the rights of creditors);
III) criminal offences or administrative offences.
5. Import and export of foreign currencies of the Contracting Parties and the other States, foreign exchange payment
documents and securities is governed by the foreign exchange regulations of the place where they are
the investment made.
Assignment of rights
1. If a Contracting Party or any authorised her agency
performs any custom payment to the investor because of the guarantees or
insurance agreements in relation to investment, the other party shall recognize:
I) referral of any rights or claims of the investor first Contracting
side or her authorised agency, regardless of whether the transfer of
According to the law or on the basis of the legal arrangements in this country, as well as
(ii)) that Contracting Party or designated agency, which was the law of
Investor referred to is from the title of the assignment of the rights entitled to apply
the rights and claims of the investor to float at the same time with his
commitments relating to the investment.
2. The assignee's rights or claims shall not exceed the rate of indigenous rights or
the claims of the investor.
3. A Contracting Party that is a party in a dispute with an investor of the other Contracting
the party cannot invoke the defence at any time during the process, while
the judgment or during the execution of a decision in this dispute, your
the immunity or the fact that the investor has received compensation payable to him
According to insurance contracts, which do not require the provision of guarantees other
party or her authorised by the Agency and cover wholly or
partly incurred losses.
Settlement of investment disputes between a Contracting Party and an investor of the other Contracting
1. Any dispute which may arise between the Contracting Parties and
the investor of the other Contracting Party in connection with an investment in the territory of the
the other Contracting Parties, shall be resolved by negotiation between the interested
2. If a dispute between an investor of one Contracting Party and other Contracting
the party is not so settled within six months, is an investor
entitled to submit the dispute to discuss, 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
between States and nationals of other States, opened for signature in Washington, D.
(C) 18. March 1965; or
(ii)) the arbitrators or the International Tribunal set up by the ad hoc according to
Arbitration rules of the United Nations Commission for international
commercial law (UNCITRAL). The parties in dispute may agree in writing
on the changes of these rules. The arbitration award shall be final and binding for the
both sides in the dispute.
The solution of disputes between the Contracting Parties
1. disputes between the Contracting Parties concerning the interpretation or application of this
the agreement will be resolved through diplomatic channels of consultations and negotiations.
2. If the parties do not reach a settlement within a period of six months from the date of
the emergence of the dispute, the dispute shall, at the request of either of the Contracting Parties
submitted to arbitration in accordance with the provisions of this article.
3. the arbitral tribunal shall be established for each individual case in the following
in a way. Each Contracting Party shall designate one arbitrator, within two
months from receipt of the request for arbitration. These two arbitrators then
Select a citizen of a third State, that will be with the consent of both Contracting
the parties appointed the Chairman of the Arbitration 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 any of the periods referred to in paragraph 3 of this article has not been
made the necessary appointment of an arbitrator, an arbitrator will be appointed at the request of
one of the Contracting Parties to the President of the International Court of Justice of the UNITED NATIONS.
If the President of the International Court of Justice UNITED NATIONS citizen of a Contracting
the parties cannot enforce this Act or for any other reason, shall appoint an arbitrator
his Vice-President. If the Vice-President is also a citizen of one of the Contracting
the parties execute this operation or not, the arbitrator will be appointed senior
the oldest Member of the United Nations, the International Court of Justice who is not a citizen of the
any Contracting Party.
5. the Arbitration Tribunal shall adopt its decisions by a majority vote. Such
the decision is final and binding for both parties. Each Contracting
the Party shall pay the costs associated with the activities of its own arbitrator and its participation in the
the arbitration proceedings. The costs associated with the activities of the President and other expenses
will be borne by the parties equally. In all other
the Arbitration Court shall determine the issues its own rules rules.
The use of other provisions and specific commitments
1. in the event that there is some question of the adjusted or will be adjusted at the same time
This agreement and any other international treaty, to which both are parties
the Contracting Parties, any of the provisions of this Agreement shall not preclude the
any Contracting Party or by any investor who owns
investments on the territory of the other party, take advantage of any legal
provisions that are more favourable for him.
2. If the treatment granted by either party to the investors
the other Contracting Party in accordance with its legal regulations or other
special contractual provisions are more favourable than the treatment
provided by this agreement, will be used this more favourable treatment.
Essential security interests
1. None of the provisions in this Agreement shall be interpreted so that it is prevented from
any of the Contracting Parties to adopt measures or decisions
It considers necessary for the protection of its essential security interests:
I) concerning criminal offences,
II) 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,
III) taken in time of war or in time of emergencies in the
IV) relating to the implementation of national policies or international agreements
concerning the prohibition of the dissemination of nuclear weapons, or other
nuclear explosive devices, or
in) in accordance with its obligations under the Charter of the UNITED NATIONS to the maintenance of
international peace and security around the world international
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,
common market or free trade zone or other form of regional
The applicability of this agreement
1. the provisions of this Agreement shall apply to investments made by investors
one Contracting Party in the territory of the other Contracting Party from the date of entry into force of this
the agreement into force and also the investments made in accordance with its
the rule of law before the date of entry into force of this agreement.
2. the provisions of this Agreement shall not apply to disputes which the cause
was established to the date of entry into force of this agreement.
Entry into force, duration and termination
1. This agreement shall enter into force on the date of receipt of the later notification of
compliance with the national requirements necessary for this agreement in the
the validity of both Contracting Parties.
2. This agreement shall remain in force for a period of ten years and after
This time will remain in effect until 12 months after the date on
When one Contracting Party shall notify the other through diplomatic channels of the Contracting
Party of its intention to terminate the agreement.
3. For investments made prior to the termination of this agreement
the provisions of the preceding articles shall remain all this agreement effective for
ten years from the date of their expiry.
On the evidence of the undersigned, duly authorised thereto, have signed this agreement.
Done at Prague on 15. January 1997 in two original copies in the language
Czech, Uzbek and Russian languages. In the event of a conflict in the interpretation of
the provisions of this agreement, the parties will follow the text of the agreement in the
the Russian language.
For the Czech Republic:
Ing. Ivan Kočárník, CSc., in r.
Deputy Prime Minister and Minister of finance
For the Uzbek Republic:
Abdul Aziz Kamilov in the r.
Minister of Foreign Affairs