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7. When it is not feasible to carry out the project through the procedures of paragraphs 1, 2 or 3 of this Annex, the Joint Committee may, as an exception, authorize contracting with firms from third countries, in all cases rescrving the right to approve the contract award made by U. S. authorities in such cases.

8.

If a Spanish contractor does not fulfill the conditions of his contract, the United States Forces will inform the Joint Committee of this fact, without prejudice to civil actions which might apply."

For the Government of
Spain:

MADRID, The 18th of December 1970

For the Government of

the United States of America:

MANUEL DIEZ-ALEGRIA
Lieutenant General
Chief, High General Staff

SANFORD K. MOATS
Major General, USAF
Chief, JUSMG-MAAG

No. 820

EXCELLENCY:

MADRID, September 25, 1970.

I have the honor to refer to your note of this date which reads in translation as follows:

"I have the honor to refer to the recent discussions between representatives of our two Governments regarding the continuation of relief from taxes and customs duties for the United States Forces in Spain pending the conclusion of appropriate fiscal agreements under the Agreement of Friendship and Cooperation of August 6, 1970.

In this connection, I have the honor to propose to Your Excellency that during the interim period the United States Forces in Spain and their personnel continue to be accorded in Spain the same customs and taxes treatment which they have enjoyed prior to September 26, 1970.

To this end, and in consonance with the provisions of the exchange of notes between the Minister of Foreign Affairs of Spain and the Secretary of State of the United States on August 6, 1970, in relation to the Agreement in Implementation, the fiscal provisions contained in Articles XV, XIX, XX and XXI of the Technical Agreement annexed to the Defense Agreement of September 26, 1953, and in its Procedural Agreements Number 5, 8, 9 and 12, as well as in any other fiscal provision agreed between the two Governments under the Defense Agreement of September 26, 1953, that is currently in force and from which fiscal rights or obligations of the United States Forces in Spain and their personnel derive, will continue in force. All of these fiscal provisions shall apply to the same personnel to whom they are applicable to this date, and they shall continue in force until the conclusion of the new fiscal agreements.

Negotiation of these agreements under the Agreement of Friendship and Cooperation of August 6, 1970, will be undertaken within a reasonable period of time, with a view toward their early conclusion. I have the honor to propose to Your Excellency that if the foregoing is acceptable to the Government of the United States, this note and Your Excellency's note in reply shall constitute an agreement between our two Governments on this matter."

I wish to advise you that the Government of the United States agrees that your note, together with this reply, constitute an agreement between our two Governments regarding the continuation of relief from taxes and customs duties for the United States forces in Spain.

Accept, Excellency, the assurances of my highest consideration.

His Excellency

GREGORIO LOPEZ BRAVO,

Minister of Foreign Affairs of Spwin.

ROBERT C. HILL

Ambassador

No. 821

EXCELLENCY:

MADRID, September 25, 1970.

I have the honor to refer to your note of this date which reads in translation as follows:

"I have the honor to refer to the recent discussions between representatives of our two Governments regarding the Tax Relief Annex attached to the Mutual Defense Assistance Agreement between our two Governments signed on September 26, 1953. [']

The Government of Spain is desirous of negotiating an amendment to the said Tax Relief Annex. It is the understanding of my Government that the Government of the United States of America is willing to enter into such negotiations towards this end as soon as may be mutually convenient.

It is understood that until such time as it may be amended, the tax relief authorized in Article III of the Mutual Defense Assistance Agreement of September 26, 1953, and the Technical Annex thereto, shall apply mutatis mutandis to the defense operations and expenditures of the United States Government in Spain in furtherance of Chapter VIII of the Agreement of Friendship and Cooperation of August 6, 1970, and agreements concluded thereunder.

If the foregoing is acceptable to the Government of the United States, I have the honor to propose that this note and Your Excellency's reply note to that effect shall constitute an agreement between our two Governments on this matter."

I wish to advise you that the Government of the United States agrees that your note, together with this reply, constitute an agreement between our two Governments relating to the Tax Relief Annex attached to the Mutual Defense Assistance Agreement signed September 26, 1953.

Accept, Excellency, the assurances of my highest consideration. ROBERT C. HILL

His Excellency

GREGORIO LOPEZ BRAVO,

Minister of Foreign Affairs
of Spain.

1 TIAS 2849; 4 UST 1887.

Ambassador

No. 822

EXCELLENCY:

MADRID, September 25, 1970.

I have the honor to refer to your note of this date which reads in translation as follows:

"With reference to the Agreement in Implementation of Chapter VIII of the Agreement of Friendship and Cooperation between Spain and the United States of America signed on August 6, 1970, and for due compliance with its purposes, I have the honor to communicate to Your Excellency the following understanding of my Government:

1. Active duty military personnel of the armed forces of the United States, and their dependents who accompany them, who are temporarily in Spanish territory on a private visit, shall be fully subject to Spanish law and jurisdiction except as otherwise expressly provided in this note.

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