[Title] Memorandum on the Japanese Peace Treaty Circulated by the United States to the Governments Represented on the Far Eastern Commission, Released to the Press, November 24, 1950

There is given below a brief general statement of the type of Treaty envisioned by the United States government as proper to end the state of war with Japan. It is stressed that this statement is only suggestive and tentative and does not commit the United States Government to the detailed content or wording of any future draft. It is expected that after there has been an opportunity to study this outline there will be a series of informal discussions designed to elaborate on it and make clear any points which may be obscure at first glance.

The United States proposes a treaty with Japan which would end the state of war, restore Japanese sovereignty and bring back Japan as an equal in the society of free peoples. As regards specific matters, the treaty would reflect the principles indicated below:

1. Parties. Any or all nations at war with Japan which are willing to make peace on the basis proposed and as may be agreed.

2. United Nations. Membership by Japan would be contemplated.

3. Territory. Japan would (a) reconize the independence of Korea; (b) agree to U.N. trusteeship, with the U.S. as administering authority, of the Ryukyu and Bonin Islands and (c) accept the future decision of the U.K., U.S.S.R., China and U.S. with reference to the status of Formosa, Pescadores, South Sakhalin and the Kuriles. In the event of no decision within a year after the Treaty came into effect, the U.N. General Assembly would decide. Special rights and interests in China would be renounced.

4. Security. The Treaty would contemplate that, pending satisfactory alternative security arrangements such as U.N. assumption of effective responsibility, there would be continuing cooperative responsibility between Japanese facilities and U.S. and perhaps other forces for the maintenance of international peace and security in the Japan area.

5. Political and Commercial Arrangements. Japan would agree to adhere to multilateral treaties dealing with narcotics and fishing. Prewar bilateral treaties could be revived by mutual agreement. Pending the conclusion of new commercial treaties, Japan would extend most-favored nation treatment, subject to normal exceptions.

6. Claims. All parties would waive claims arising out of war acts prior to September 2, 1945, except that (a) the Allied Powers would, in general, hold Japanese property within their territory and (b) Japan would restore allied property or, if not restorable intact, provide yen to compensate for an agreed percentage of lost value.

7. Disputes. Claims disputes would be settled by a special neutral tribunal to be set up by the President of the International Court of Justice. Other disputes would be referred either to diplomatic settlement, or to the International Court of Justice