Page 191 - Law of Peace, Volume ,
P. 191

Pam 27-161-1

             could  be  heard,  the  Government  of  Lebanon  and   volved in the case before it, the Court rejected Belgium's
             "Electricite  de Beyrouth Company"  negotiated a settle-   claim.  Likewise,  the  Court refused  to  adopt  a  special
             ment; the case was discontinued and removed from the   equity rule that would permit a State "to take up the pro-
             list of  the Court in  1954. In  1959 the Government of   tection of its nationals, shareholders in a company, which
             France  again  instituted  proceedings  before  the  Court   had been the victim of a violation law. . . . [, as such a
             against Lebanon with regard to the "Compagnie  du Port   proposition] would create an atmosphere of insecurity in
             des Quais et des Entre pots de Beyrouth and the Societe   international economic relations."  148
             Radio - Orient,"  but within a year and a half it was also   b.  Advisory Opinions
             removed from the list of the Court by  request of the par-  The Conditions of  Admission of  a State to Membership in
             ties.
                                                                  the  United  Nations  (Article  4  of  Charter)  Opinion
             The  Barcelona  Traction,  Light  and  Power  Company,   (1947-1949). 149  Article  4(1)  of  the  United  Nations
             Limited Case (Belgium v. Spain)  (1958-1961). 144    Charter  contains  three criteria  for  membership in  the
                                                                  United Nations. The applicant states (1) must be peace-
             The  Barcelona  Traction,  Light  and  Power  Company,
             Limited  (New  Application)  Case  (Belgium  v.  Spain)   loving,  (2)  must accept the obligations contained in the
             (1962-1970). 145 In 1958 Belgium instituted proceedings   Charter, and (3)  in the judgment of the United Nations
             before the Court against Spain with  regard  to  the Bar-   must be able and willing to carry out the Charter obliga-
             celona Traction, Light and Power Company, Limited. In   tions.
             1961 the Belgian government with a view toward negotia-   Since the creation of the United Nations some 12 states
             tion requested that the matter be discontinued and then   had unsuccessfully applied for admission. Their applica-
             removed from the list of the Court. This was done, but in   tions were vetoed in the Security Council. A proposal was
             1962 Belgium  filed  a  new  application concerning Bar-   then made for the admission of  all candidates at once.
             celona Traction with the Court when negotiations failed.   Such a proposal certainly implied that some states would
             Barcelona Traction was incorporated in  191 1 in Canada   only be admitted on the condition that others would  be
             and, primarily through subsidiaries, supplied electricity in   admitted also.The General Assembly questioned the im-
             Spain.  Between  WWI  and  WWII  it  was  alleged  that   position by the Security Council of conditions for admis-
             Belgian citizens acquired a large percentage of Barcelona   sion not contained in the Charter. The General Assembly
             Traction stocks/bonds. With the start of the Spanish Civil   asked  the  Court  for  an  advisory  opinion.  The  Court
             War,  the  company suffered fmancial dficulties  and  in   declared that conditions laid down in Article 4 for the ad-
             1948 was  declared  bankrupt by  a Spanish Court.  The   mission of states were exhaustive and that if these condi-
             claim submitted to the Court was presented on behalf of   tions were fulfied by  a state which was a candidate, the
             natural and juristic persons, alleged to be Belgian nationals   Security Council ought to recommend to the General As-
             and shareholders in Barcelona Traction, a company incor-   sembly that such a state be admitted. The Court added,
             porated in Canada and having its head office there. The   however, that it was up to the subjective judgment of each
             object  of  the  Application  was  to  obtain  reparation  for   member whether or not the conditions for admission had
             damage allegedly caused to those persons by conduct, said   been met.
             to be contrary to international law, of various organs of   The Competence of  the General Assembly for the Admis-
             the Spanish State towards that company. 146 Spain object-   sion  of  a  State  to  the  United  Nations  Opinion
             ed to the application,  inter alia, because Belgium lacked   (1949- 1950).  150 The immediately preceding casedecided
             capacity to seek redress from injuries done to a Canadian   by the Court did not lead to a settlement of the problem of
             company,  even  if  the  shareholders were  Belgian.  The   admissions in the Security Council. The General Assem-
             Court found that where "it  was a question of an unlawful   bly then sought an advisory opinion from the Court as to
             act  committed  against  a  company representing  foreign   whether it could on its own, admit a candidate in cases
             capital, the general ruleof international law authorized the   where the Security Council failed to recommend the can-
             national state of the company alone to exercise diplomatic   didate to it.
             protection for the purpose of seeking redress. No rule of   The Court refused to permit the Charter to be  con-
             general international law expressly conferred such a right   strued to permit such authority in the General Assembly.
             in the shareholder's national state."  147 After considering   It held that Article 4(2) was clear in its requirements.
             several situations (e.g., nonexistence of the company or   Art. 4(2). The admission of any such state to membership in the
             protecting State lacks capacity to take action) that might be   United Nations will be effected by [I] a decision of the General As-
             considered  "special  circumstances"  demanding  a    sembly 12) upon recommendation of the Security Council.
             different result  and  fmding  no  such  circumstances  in-  The  only  recommendation  contemplated  by  the

                     -
                144.  [I9611 I.C.J. Rep. 9.                          '48.  Id. at 11 1.
                145.  [I9701 I.C.J. Rep. 3. 
                        149.  [I9481 I.C.J. Rep. 9, 57; reported in 42 Am. J. Int7 L. 927
                '46.  [1969-19701 I.C.J.Y.B. 107, 109. 
         (1948).
                147.  Id. at 110.                                    150.  (19501 I.C.J. Rep. 4;digested in 44 Am. J. Int'/L.582 (1950).
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