"_Clause_ 1
"In the event that there is a controversy between two or more members
of the League of Nations which fails of settlement through diplomatic
channels, one of the following means of settlement shall be employed:
"1. The parties to the controversy shall constitute a joint
commission to investigate and report jointly or severally to their
Governments the facts and make recommendations as to settlement.
After such report a further effort shall be made to reach a
diplomatic settlement of the controversy.
"2. The parties shall by agreement arrange for the submission of the
controversy to arbitration mutually agreed upon, or to the Arbitral
Tribunal hereinafter referred to.
"3. Any party may, unless the second means of settlement is mutually
adopted, submit the controversy to the Supervisory Committee of the
International Council; and the Committee shall forthwith (a) name and
direct a special commission to investigate and report upon the
subject; (b) name and direct a commission to mediate between the
parties to the controversy; or (c) direct the parties to submit the
controversy to the Arbitral Tribunal for judicial settlement, it
being understood that the direction to arbitrate may be made at any
time in the event that investigation and mediation fail to result in
a settlement of the controversy.
"_Clause 2_
"No party to a controversy shall assume any authority or perform any
acts based upon disputed rights without authorization of the
Supervisory Committee, such authorization being limited in all cases
to the pendency of the controversy and its final settlement and being
in no way prejudicial to the rights of the parties. An authorization
thus granted by the Supervisory Committee may be modified or
superseded by mutual agreement of the parties, by order of an
arbitrator or arbitrators selected by the parties, or by order of the
Arbitral Tribunal if the controversy is submitted to it.
"_Clause 3_
"The foregoing clause shall not apply to cases in which the
constituted authorities of a power are unable or fail to give
protection to the lives and property of nationals of another power.
In the event that it becomes necessary for a power to use its
military or naval forces to safeguard the lives or property of its
nationals within the territorial jurisdiction of another power, the
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