Persons accused of having committed acts in violation of the laws and customs of war are to be tried and punished by military tribunals under military law.

Section 7.  Reparation—­Germany accepts responsibility for all loss and damages to which civilians of the allies have been subjected by the war, and agrees to compensate them.  Germany binds herself to repay all sums borrowed by Belgium from the Allies.  Germany irrevocably recognizes the authority of a reparation commission named by the Allies to enforce and supervise these payments.  She further agrees to restore to the Allies cash and certain articles which can be identified.  As an immediate step toward restoration, Germany shall pay within two years $5,000,000,000 in either gold, goods, ships or other specific forms of payment.

The measures which the allied and associated powers shall have the right to take, in case of voluntary default by Germany, and which Germany agrees not to regard as acts of war, may include economic and financial prohibitions and reprisals and in general such other measures as the respective governments may determine to be necessary in the circumstances.

The commission may require Germany to give from time to time, by way of guaranty, issues of bonds or other obligations to cover such claims as are not otherwise satisfied.

The German government recognizes the right of the Allies to the replacement, ton for ton and class for class, of all merchant ships and fishing boats lost or damaged owing to the war, and agrees to cede to the Allies all German merchant ships of sixteen hundred tons gross and upward.

The German government further agrees to build merchant ships for the account of the Allies to the amount of not exceeding 200,000 tons’ gross annually during the next five years.

Section 8.  Devastated Areas—­Germany undertakes to devote her economic resources directly to the physical restoration of the invaded areas.

Coal—­Germany is to deliver annually for ten years to France coal equivalent to the difference between annual pre-war output of Nord and Pas de Calais mines and annual production during above ten year period.  Germany further gives options over ten years for delivery of 7,000,000 tons coal per year to France, in addition to the above, of 8,000,000 tons to Belgium, and of an amount rising from 4,500,000 tons in 1919 to 1920 to 8,500,000 tons in 1923 to 1924 to Italy, at prices to be fixed as prescribed.  Coke may be taken in place of coal in ratio of three tons to four.

Dyestuffs and Drugs—­Germany accords option to the commission on dyestuffs and chemical drugs, including quinine, up to 50 per cent of total stock to Germany at the time the treaty comes into force, and similar option during each six months to end of 1924 up to 25 per cent of previous six months’ output.

Cables—­Germany renounces all title to specific cables, value of such as were privately owned being credited to her against reparation indebtedness.