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aspects of the free association relationship including provisions
for the approval and effective date of the Compact,

its amendment,

and the settlement of disputes not arising out of Title Three.
This title provides that the Compact, and therefore the free
association relationship, may be terminated at any time by the

United States or by Government of the Federated States of
Micronesia or the Marshall Islands, respectively.

Should such

termination occur before the fifteenth anniversary of the
Compact's effective date, the economic assistance prescribed in

Title Two would continue with only minor modifications for the
duration of the Compact's original fifteen-year term, as would

_£ull United States security and defense authority.

The Gompact has been finally approved, as is required by its
terms, by the Government of the Federated States of Micronesia and
the Government of the Marshall Islands in accordance with their
respective constitutional processes.

These approvals certify that

there remain no constitutional or legal impediments under the
domestic law of those jurisdictions to the validity of the
acceptance of the Compact by those states.

These approvals also

clear the way for formal consideration and approval of the Compact
by the Congress as respects the Federated States of Micronesia and
the Marshall Islands.

Since certain provisions of the Palauan

constitution and the negotiated security and defense provisions of
the Compact have not been reconciled, as stated above, thus
precluding the Government of Palau from approving the Compact,
will not now request the Congress to approve the Compact for

I

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