- In 1997 the Minsk group presented its three approaches to the solution of the conflict. The first two ones - package approach and step-by-step approach, which were the most acceptable for the conflict solution, were rejected by Armenia un-constructively. The third one-common state approach was rejected by Azerbaijan, as aaccording to this concept, Nagorno-Karabakh would have the status of a state and a territorial unit in the form of a republic, which, together with Azerbaijan would constitute the common state within internationally recognized borders of Azerbaijan. Azerbaijan rejected those proposals, since they violated its sovereignty and contradicted the Lisbon principles. Since then no new proposals were made and the Minsk process practically reached a deadlock. Azerbaijan is proposing the highest status in the world to Nagorno-Karabakh and stated that any agreement on the issue must not compromise its territorial integrity.  The most recent round of negotiations called the “Prague Process” has failed to produce a settlement largely because of disagreements over sequencing.  Azerbaijan refuses to negotiate a final status agreement until Armenia ends its occupation, while Armenia refuses to end its occupation until Nagorno-Karabakh’s future status is determined.