Common use of NAURU Clause in Contracts

NAURU. On January 31, 1968 Nauru became an inde- pendent state. In a note dated May 28, 1968 to the Secretary-General of the United Nations, the Chief Secretary made a statement reading in part as follows: ‘‘Prior to Nauru attaining independence on 31st January, 1968, treaty relationships were entered into, on its behalf, by the Government of the Commonwealth of Australia. The Gov- ernment of Nauru now wishes to make clear its position in regard to obligations arising from those treaties entered into prior to 31st January, 1968 by the Government of the Com- monwealth of Australia, and accordingly makes the following declarations. ‘‘In respect of all bilateral treaties validly con- cluded by Australia on behalf of Nauru, or val- idly applied or extended by Australia to Nauru, before 31st January, 1968, the Government of Nauru will continue, on a basis of reciprocity, to apply the terms of such treaties for a period of twenty-four months unless such treaties are abrogated or modified earlier by agreement with the other contracting parties. At the expi- ration of this period the Government of Nauru will regard each such treaty as having termi- nated unless it has earlier agreed with the other contracting party to continue that treaty in ex- istence. ‘‘It is the earnest hope of the Government of Nauru that during the aforementioned period of twenty-four months, the normal processes of diplomatic negotiations will enable it to reach satisfactory accord with the States concerned upon the possibility of the continuance or modification or termination of such treaties. In respect of multilateral treaties, the Government of Nauru intends to review each of them indi- vidually and to indicate to the depositary in each case what steps it wishes to take, whether by way of confirmation of succession, con- firmation of termination or accession, in rela- tion to each such instrument. During such pe- riod of review, any party to a multilateral trea- ty which was, prior to independence, validly applied or extended to Nauru may, on a basis of reciprocity, rely as against Nauru on the terms of the treaty.’’ In subsequent notes to the Secretary-General of the United Nations this period of review has been extended indefi- nitely.