1.Meaning & Definition of State Succession:

       According to Professor Starke, the term "State Succession" means transmission of rights and obligations from States which have altered or lost their identity to other States or entities, such alteration or loss of identity to other State or entities, such alteration or loss of identity occurring primarily when complete or partial changes of sovereignty takes place over portions of territory.
      Under Article 2 of the Vienna Convention, 1983, on Succession of States, it has been defined that Succession of States means the replacement of one State by another in the responsibility for the international relations of territory.  
       A State may succeed another State by incorporating a certain portion of the latter's territory; it may be spilt up into two or more States, or new States may emerge out of the territory of a dismembered State as happened to the territory of the Austo-Hungarian Monarchy as a result of the first world war or to the territory of German Reich as a result of the Second world war.
   

2.Consequences of State Succession:

Consequences of State Succession are as folllows...

(1) Treaty Rights and Obligation:  

       Where a Staten merges voluntarily into another State or where it is subjugated by another State, the Successor State remains one and the same International Person, while the predecessor State which has merged or been subjugated becomes totally extinct as an International Person. Political treaties and alliances and rights and obligations occurring thereunder, in the absence of a substantial continuity of personality, become extinct and invalid and the Successor State does not succeed to such rights and duties of the extinct State.      

(2) Membership:


        Membership of the International organizations and the obligations incidental thereto do not pass to a successor State.  The Irish free State applied for its admission, and was admitted, to the League of Nations; Iceland did not inherit any part of the membership of Denmark and was admitted to International Labour Organization in 1944.

(3) Public Property and Public Rights:

         When one State Succeeds de facto to another, it succeeds to all the public and proprietary rights of the extinct State. State Property State railways and fiscal funds pass to the annexing State.  
         The successor State takes all the assets of the vanquished State, including such assets as State funds, funds invested abroad, movable and immovable property. It also acquires the right to collect taxes due to the replaced State.

(4) Private Rights:

          A cession of territory from one State to another, however, affords no title to the successor State to private property in the soil for succession merely refers to public rights of sovereignty and not to private proprietary rights. The private rights of inhabitants, and their relations to each other, unless specially altered by the conqueror, remain the same.  

(5) Private Property:


           "A cession of territory does not operate as a  cession of the property belonging to its inhabitants."
             It is a general rule of public law that whenever political jurisdiction and legislative power over any territory are transferred from one nation or sovereign to another, the municipal laws of the country that is laws which are intended for the protection of private rights, continue in force until abrogated or changed by new government r sovereign.
    
(6) Contractual Liability: 

            The Successor State is bound by the contract of the extinct State. The new State becomes Liable for all local and contractual obligation.
                    

(7) Torts 
   
             The Succeeding States, whether by conquest or voluntary absorption, are under no liability for the deficits of the extinct States.

(8) Public Debts 

              In the case of succession to public debts of a State which ceded part of a territory only but continues to exist, the question assumes greater difficulty. It was observed by Arbitrator Eugene Borel in the Ottoman Public Debt Arbitration on 18 April 1925 that, "it is impossible despite existing precedents to say that a Power which acquires territory by cession is legally obligated to assume a corresponding part of public debt."

(9) Nationality :

               As regards nationality, the inhabitants of the ceded or vanquished territory become subjects of the annexing State and lose the citizenship of the former State.

(10) Laws:

              The civil law of the former sovereign continues unless changed by the successor State; public law, however, changes simultaneously with the transfer of sovereignty: Philippine Sugar Estate Development Co.Ltd. v. United States. whenever public law continues to remain in operation after a territorial transfer derives its force as positive law owing to its acceptance by the acquiring State.  





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