This PEACE TREATY AND RECONSTRUCTION AGREEMENT (hereinafter referred to as "the Agreement") is entered into on this 12th day of April, XXXX.
BETWEEN:
THE SOVEREIGN NATION OF VLATAVA, represented by Count Werner Vertigo, Regent for the Head of State (hereinafter referred to as "Vlatava")
AND
THE KINGDOM OF MARKOVIA, represented by King Viktor Markov, Head of State (hereinafter referred to as "Markovia")
WITNESSED BY:
LEXCORP, represented by Mr. Alexander Luthor, Chief Executive Officer and Owner (hereinafter referred to as "the Mediator")
V3 INVESTMENTS, represented by Mr. Vander Savage, Chief Executive Officer (hereinafter referred to as "the Trustee")
DIPLOMATIC REPRESENTATIVES of Austria, Greece, Serbia, Bulgaria, Macedonia, and Albania
UNITED NATIONS REPRESENTATIVES acting as observers to the peace process
WHEREAS hostilities have existed between Vlatava and Markovia;
WHEREAS both nations seek to establish lasting peace and stability in the region;
WHEREAS reconstruction and economic development are essential to maintaining such peace;
WHEREAS the parties have agreed to cease all military action and establish diplomatic relations;
NOW, THEREFORE, in consideration of the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:
1.1 Both Vlatava and Markovia hereby agree to immediately and permanently cease all military actions against each other, whether direct or through proxies, from the effective date of this Agreement.
1.2 All military forces shall withdraw from active combat positions within seventy-two (72) hours of the signing of this Agreement.
1.3 Any violation of the cessation of hostilities shall constitute a material breach of this Agreement.
2.1 A demilitarized zone ("DMZ") of three (3) kilometers in width shall be established along the border between Vlatava and Markovia, as depicted in Appendix A: "DMZ Territorial Map."
2.2 The DMZ shall be established in a manner that maximizes Vlatava's defensive security, in recognition of the prior hostilities initiated against its sovereignty.
2.3 Neither party shall position military personnel, weaponry, or defensive installations within the DMZ, except for mutually agreed-upon security monitoring stations limited to five (5) personnel each as detailed in Appendix B: "Security Protocol."
2.4 The DMZ shall be monitored by neutral observers approved by both parties, with costs for such monitoring to be paid from the Reconstruction and Stability Fund established under Article IV.
2.5 Civilian development within the DMZ shall be subject to mutual approval by both parties, with preference given to commercial and infrastructure projects that benefit both nations.
3.1 After a period of ten (10) years from the effective date of this Agreement, provided that no material breach has occurred, Markovia may be permitted to repurchase certain portions of territory currently under Vlatavan control, as specified in Appendix C: "Eligible Territories for Potential Reacquisition."
3.2 Any land reacquisition shall be contingent upon:
a) Vlatava's border security not being compromised;
b) Fair market valuation as determined by independent appraisers appointed by the Trustee;
c) Unanimous approval by the Committee established under Article VII;
d) Markovia's continued compliance with all terms of this Agreement.
3.3 The aforementioned land reacquisition shall be structured as a "Peace Dividend," incentivizing Markovia's long-term peaceful conduct and cooperation.
3.4 All costs associated with land reacquisition proceedings, including but not limited to appraisals, surveys, and administrative expenses (but excluding the actual purchase price), shall be paid from the Reconstruction and Stability Fund.
3.5 Land reacquisition payments shall be made directly to a designated Vlatavan National Development Account and may not be offset against any contributions to the Reconstruction and Stability Fund.
4.1 Both Vlatava and Markovia hereby establish a jointly managed "Reconstruction and Stability Fund" (hereinafter referred to as "the Fund") for the purpose of financing reconstruction efforts, infrastructure development, economic stabilization, and humanitarian needs in both countries.
4.2 Initial contributions to the Fund shall be as follows:
a) Vlatava shall contribute fifty million United States Dollars ($50,000,000 USD) over a period of five (5) years;
b) Markovia shall contribute thirty million United States Dollars ($30,000,000 USD) over a period of five (5) years;
c) The specific payment schedule is detailed in Appendix D: "Fund Contribution Schedule."
4.3 V3 Investments shall serve as the exclusive Trustee and administrator of the Fund, with fiduciary responsibility to ensure proper management and disbursement according to the terms of this Agreement.
4.4 The Trustee shall be entitled to a service fee of one and one-half percent (1.5%) of the Fund's assets under management annually, to be paid quarterly from the Fund's returns.
4.5 Twenty percent (20%) of all profits generated by the Fund's investments shall be reinvested into the principal of the Fund to ensure its long-term sustainability.
4.6 Fifteen percent (15%) of all tax revenues generated from projects financed by the Fund shall be contributed back to the Fund by the respective government collecting such taxes, in perpetuity or until mutually agreed upon dissolution of the Fund.
5.1 The Fund shall be managed according to the investment guidelines set forth in Appendix E: "Investment Policy and Guidelines."
5.2 Investment authority shall be exclusive to V3 Investments, with secondary investment participation rights granted to:
a) V3 Investments' established financial partners;
b) LexCorp, in recognition of its role as mediator;
c) Financial institutions approved unanimously by the Committee established under Article VII.
5.3 Fund disbursements shall require submission of detailed project proposals to the Trustee, who shall evaluate such proposals based on:
a) Alignment with reconstruction and stabilization goals;
b) Economic viability and sustainability;
c) Equitable benefit to affected populations;
d) Compliance with international development standards.
5.4 At no point shall either Vlatava or Markovia receive direct cash payments or other liquid assets from the Fund. All disbursements shall be made directly to vendors, contractors, or service providers upon verification of project milestones.
5.5 Any attempt by either party to convert Fund-managed assets into liquid assets (including but not limited to selling goods, equipment, or materials purchased through the Fund) shall be deemed a material breach of this Agreement, resulting in:
a) Immediate forfeiture of the breaching party's financial entitlements connected to the Fund;
b) Potential termination of the breaching party's ability to submit future project proposals;
c) Other remedies as determined by the Committee established under Article VII.
5.6 Annual audits of the Fund shall be conducted by an internationally recognized accounting firm selected by the Trustee and approved by both Vlatava and Markovia. The cost of such audits shall be paid from the Fund.
6.1 Each country shall appoint one (1) non-voting liaison to ensure transparent and cooperative Fund oversight. These liaisons shall:
a) Receive all Fund reports and documentation;
b) Observe investment committee meetings;
c) Submit quarterly reports to their respective governments;
d) Facilitate communication between their governments and the Trustee.
6.2 The Trustee shall provide quarterly financial statements and semi-annual comprehensive reports on all Fund activities to the governments of Vlatava and Markovia.
6.3 All project proposals, approvals, rejections, and implementations shall be documented in a publicly accessible database, subject to reasonable security considerations as outlined in Appendix F: "Information Security Protocol."
6.4 The Trustee shall establish an accessible grievance mechanism for affected communities to raise concerns regarding Fund-financed projects, as detailed in Appendix G: "Community Engagement and Grievance Framework."
7.1 A Governance Committee (hereinafter referred to as "the Committee") shall be established to provide strategic direction for the Fund and resolve disputes related to this Agreement.
7.2 The Committee shall consist of:
a) One (1) representative from Vlatava
b) One (1) representative from Markovia
c) The Trustee or their designated representative
7.3 Committee decisions shall require a two-thirds majority vote, except for decisions regarding land reacquisition, which shall require unanimity.
7.4 The Committee shall meet quarterly, with extraordinary sessions called upon the request of any two members with seven (7) days' notice.
7.5 The Committee shall establish its own procedural rules within thirty (30) days of the effective date of this Agreement, subject to approval by both Vlatava and Markovia.
8.1 Both Vlatava and Markovia are hereby permanently prohibited from:
a) Purchasing, developing, manufacturing, or deploying exo-suits or powered armor technology for military purposes;
b) Deploying combat aircraft or unmanned aerial vehicles in each other's airspace without prior written permission;
c) Developing or deploying biological, chemical, or nuclear weapons.
8.2 Military force levels shall not exceed the pre-conflict levels as documented in Appendix H: "Authorized Military Force Levels."
8.3 Both parties agree to an annual inspection regime to verify compliance with these restrictions, as detailed in Appendix I: "Military Verification Protocol."
8.4 The hiring or deployment of mercenary forces, private military contractors, or other non-state combatants shall be subject to the review and approval of the Committee, with specific guidelines provided in Appendix J: "Non-State Security Actor Regulations."
9.1 Both Vlatava and Markovia shall establish full diplomatic relations within thirty (30) days of the effective date of this Agreement.
9.2 Each nation shall establish an embassy in the other's capital city, with diplomatic immunity provided in accordance with the Vienna Convention on Diplomatic Relations.
9.3 Neither nation shall engage in propaganda or public communications intended to incite hostility against the other.
9.4 Both nations shall participate in annual bilateral summits to address ongoing implementation of this Agreement and other matters of mutual concern.
10.1 Vlatava and Markovia shall establish a joint economic commission to facilitate trade, investment, and economic cooperation, as detailed in Appendix K: "Economic Cooperation Framework."
10.2 Neither country shall impose tariffs or trade restrictions targeted specifically at the other without prior review by the Committee.
10.3 Both countries shall work toward harmonizing relevant regulations to facilitate cross-border business activities, particularly within sectors identified as priorities for reconstruction.
11.1 Material breach of this Agreement includes, but is not limited to:
a) Resumption of hostilities;
b) Violation of military restrictions outlined in Article VIII;
c) Misappropriation of Fund assets;
d) Attempt to convert Fund assets to liquid assets;
e) Failure to make required contributions to the Fund.
11.2 Upon determination of a material breach by the Committee, the non-breaching party may be entitled to:
a) Suspension of the breaching party's access to Fund disbursements;
b) Financial penalties as determined by the Committee;
c) Reconsideration of land reacquisition provisions; and
d) Other remedies as approved by the Committee, the Mediator, and the witness nations.
11.3 Dispute resolution procedures for alleged breaches are detailed in Appendix L: "Dispute Resolution Protocol."
11.4 Nothing in this Article shall be construed as limiting a party's right to self-defense in accordance with Article 51 of the United Nations Charter.
12.1 This Agreement shall remain in force for an initial period of fifty (50) years from the effective date.
12.2 After the initial period, the Agreement shall automatically renew for successive ten-year periods unless either party provides written notice of intent to terminate at least three (3) years prior to the end of the current term.
12.3 Termination of this Agreement shall not affect:
a) Land transfers already completed;
b) Projects already funded or in progress;
c) Legal obligations arising from actions taken under this Agreement.
12.4 Provisions regarding the DMZ, military restrictions, and Fund management shall survive any termination of this Agreement until alternative arrangements are mutually agreed upon.
13.1 This Agreement shall be governed by and construed in accordance with international law, including but not limited to the Vienna Convention on the Law of Treaties.
13.2 The Appendices referenced herein form an integral part of this Agreement.
13.3 This Agreement constitutes the entire understanding between the parties concerning the subject matter hereof and supersedes all prior agreements, understandings, or negotiations.
13.4 This Agreement may be modified only by written instrument executed by all parties and witnessed by representatives of at least three (3) of the witness nations.
13.5 If any provision of this Agreement is held invalid or unenforceable, such provision shall be struck and the remaining provisions shall be enforced.
13.6 This Agreement has been prepared in English, with official translations in relevant languages for all participating parties. In case of discrepancy, the English version shall prevail.
13.7 Official copies of this Agreement shall be filed with:
a) The governments of Vlatava and Markovia;
b) The United Nations Secretary-General;
c) The International Court of Justice;
d) The governments of all witness nations.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first above written.
FOR THE KINGDOM OF VLATAVA:
Count Werner Vertigo
Regent for the Head of State
FOR THE KINGDOM OF MARKOVIA:
King Viktor Markov
Head of State
MEDIATOR:
Alexander Luthor
Chief Executive Officer and Chairman
LexCorp
TRUSTEE:
Vander Savage
Chief Executive Officer
V3 Investments
WITNESSED BY:
Representative of Austria
Representative of Greece
Representative of Serbia
Representative of Bulgaria
Representative of Macedonia
Representative of Albania
United Nations Representative
The following Appendices form an integral part of this Agreement:
- Appendix A: DMZ Territorial Map
- Appendix B: Security Protocol
- Appendix C: Eligible Territories for Potential Reacquisition
- Appendix D: Fund Contribution Schedule
- Appendix E: Investment Policy and Guidelines
- Appendix F: Information Security Protocol
- Appendix G: Community Engagement and Grievance Framework
- Appendix H: Authorized Military Force Levels
- Appendix I: Military Verification Protocol
- Appendix J: Non-State Security Actor Regulations
- Appendix K: Economic Cooperation Framework
- Appendix L: Dispute Resolution Protocol
