Each allied and associated State may renew any treaty with Germany in so far as consistent with the peace treaty by giving notice within six months. Treaties entered into by Germany since August 1, 1914, with other enemy States, and before or since that date with Rumania, Russia, and governments representing parts of Russia are abrogated, and concessions granted under pressure by Russia to German subjects are annulled. The allied and associated States are to enjoy most favored nation treatment under treaties entered into by Germany and other enemy States before August 1, 1914, and under treaties entered into by Germany and neutral States during the war. PRE-WAR DEBTS [Sidenote: Clearing houses for pre-war debts.] A system of clearing houses is to be created within three months, one in Germany and one in each allied and associated State which adopts the plan for the payment of pre-war debts, including those arising from contracts suspended by the war. For the adjustment of the proceeds of the liquidation of enemy property and the settlement of other obligations each participating State assumes responsibility for the payment of all debts owing by its nationals to nationals of the enemy States, except in case of pre-war insolvency of the debtor. The proceeds of the sale of private enemy property in each participating State may be used to pay the debts owed to the nationals of that State, direct payment from debtor to creditor and all communications relating thereto being prohibited. Disputes may be settled by arbitration by the courts of the debtor country, or by the mixed arbitral tribunal. Any ally or associated power may, however, decline to participate in this system by giving six months' notice. ENEMY PROPERTY [Sidenote: Damages for private property seized or injured.] Germany shall restore or pay for all private enemy property seized or damaged by her, the amount of damages to be fixed by the mixed arbitral tribunal. The allied and associated States may liquidate German private property within their territories as compensation for property of their nationals not restored or paid for by Germany. For debts owed to their nationals by German nationals and for other claims against Germany, Germany is to compensate its nationals for such losses and to deliver within six months all documents relating to property held by its nationals in allied and associated States. All war legislation as to enemy property rights and interests is confirmed and all claims by Germany against the allied or associated Governments for acts under exceptional war measures abandoned. [Sidenote: Pre-war contracts.] Pre-war contracts between allied and associated nationals excepting the United States, Japan, and Brazil and German nationals are cancelled except for debts for accounts already performed. AGREEMENTS [Sidenote: Disputes as to transfers of property already made.]