When a nation breaks its covenants.
Art. XVI.—Should any of the high contracting parties break or disregard its covenants under Article XII. it shall thereby ipso facto be deemed to have committed an act of war against all the other members of the League, which hereby undertakes immediately to subject it to the severance of all trade or financial relations, the prohibition of all intercourse between their nationals and the nationals of the covenant-breaking State and the prevention of all financial, commercial, or personal intercourse between the nationals of the covenant-breaking State and the nationals of any other State, whether a member of the League or not.
Armed forces of the League.
It shall be the duty of the Executive Council in such case to recommend what effective military or naval force the members of the League shall severally contribute to the armed forces to be used to protect the covenants of the League.
Financial economic measures.
The high contracting parties agree, further, that they will mutually support one another in the financial and economic measures which may be taken under this article in order to minimize the loss and inconvenience resulting from the above measures, and that they will mutually support one another in resisting any special measures aimed at one of their number by the covenant-breaking State and that they will afford passage through their territory to the forces of any of the high contracting parties who are cooperating to protect the covenants of the League.
When a non-member is party to a dispute.
Art. XVII.—In the event of dispute between one State member of the League and another State which is not a member of the League, or between States not members of the League, the high contracting parties agree that the State or States, not members of the League, shall be invited to accept the obligations of membership in the League for the purposes of such dispute, upon such conditions as the Executive Council may deem just, and upon acceptance of any such invitation, the above provisions shall be applied with such modifications as may be deemed necessary by the League.
Upon such invitation being given the Executive Council shall immediately institute an inquiry into the circumstances and merits of the dispute and recommend such action as may seem best and most effectual in the circumstances.
In the event of a power so invited refusing to accept the obligations of membership in the League for the purposes of the League, which in the case of a State member of the League would constitute a breach of Article XII., the provisions of Article XVI. shall be applicable as against the State taking such action.