"Legal analysis and recommendations on implementation of the International Court of Justice, Advisory Opinion, Legal Consequences arising from the Policies and Practices of Israel in the Occupied Palestinian Territory, including East Jerusalem"

[...] I. Introduction

The Independent International Commission of Inquiry on the Occupied Palestinian Territory, including East Jerusalem, and Israel (“Commission”) welcomed the historic advisory opinion issued by the International Court of Justice (“Court”) on the Legal Consequences arising from the Policies and Practices of Israel in the Occupied Palestinian Territory, including East Jerusalem (19 July 2024). In the advisory opinion, the Court found that Israel’s continuing presence in the Occupied Palestinian Territory was unlawful, thus entailing international legal obligations of Israel, all States, and international organizations including the United Nations. The Court stated that it was for the General Assembly and Security Council to consider the precise modalities and further actions to bring to an end as rapidly as possible the unlawful presence of Israel in the Occupied Palestinian Territory and of Israeli settlers and settlements. In this position paper, the Commission sets forth its legal analysis and recommendations to Israel, Member States, the General Assembly and the Security Council on implementation of the Court’s advice. [...]

V. Obligations for third states

Legal Overview

19. Israel’s internationally wrongful acts give rise to international legal responsibility for the State of Israel, all States, and international organizations including the United Nations. The Court concluded that all States were under an obligation not to recognize as legal the situation arising from the unlawful presence of the State of Israel in the Occupied Palestinian Territory and not to render aid or assistance in maintaining the situation. Further, all States have a duty to cooperate with the General Assembly and the Security Council on implementing modalities and measures to bring the internationally wrongful acts identified in the advisory opinion to an end.

22. The Commission is of the view that all States are also under an obligation to act, individually and collectively, to bring the unlawful occupation to an end, including by building political, economic and cultural pressure on the Israeli Government to end the unlawful occupation. States must do all that is necessary and reasonable to ensure that the Israeli Government brings its wrongful acts to an end as rapidly as possible.

Financial and economic relations

29. In terms of financial and economic relations, the Court stated that States must “abstain from entering into economic or trade dealings with Israel concerning the Occupied Palestinian Territory or parts thereof which may entrench its unlawful presence in the territory”. The Commission interprets this to mean that States must cease all financial, trade, investment and economic relations with Israel that maintain the unlawful occupation or contribute to maintaining it. States must review their trade and economic agreements with Israel that involve products and produce of the unlawful settlements. The burden is on Israel to establish that any product or produce does not originate in the settlements.

30. The Commission is of the view that State responsibility entails due diligence on the part of the State to examine private enterprises incorporated in the State and non-profit or non- governmental organizations registered in the State and their dealings with the State of Israel and the Occupied Palestinian Territory. These entities include trading firms, manufacturing enterprises, investment funds and banks facilitating money transfers. States must require a thorough due-diligence review of these entities and ensure that they are not engaging in any business, activity or financial support that maintains the unlawful occupation or contributes to maintaining it. If a State finds that such entities are engaging in activities that maintain the unlawful occupation, the State must take all reasonable measures to prevent the activities, such as revoking a corporation’s articles of incorporation or revoking a non-profit organization’s registration in that State.

31. With respect to non-profit or non-governmental organizations, States must carefully review any organization that is financially or politically supporting the unlawful occupation. States shall not give support to these organizations, for example through allowing the organization to have tax-exempt status or providing tax deductibility for donations to the organization and must ensure that financial contributions to support the unlawful occupation, including settlements and settlers, cease.