diff server/cityhand.c server/cityhand.c
--- server/cityhand.c	Tue Aug 22 04:21:14 2000
+++ server/cityhand.c	Tue Aug 22 04:24:46 2000
@@ -1098,7 +1098,8 @@
   }
 
   if ((pcity = map_get_city(x,y)) && pcity->id == pdcity->id &&
-      city_got_building(pcity,  B_PALACE))
+      city_got_building(pcity, B_PALACE) &&
+      player_has_embassy(pplayer, &pplayer[pdcity->owner]))
     packet->capital=1;
   else
     packet->capital=0;
diff server/diplhand.c server/diplhand.c
--- server/diplhand.c	Sat Aug 19 23:29:50 2000
+++ server/diplhand.c	Tue Aug 22 05:28:52 2000
@@ -74,6 +74,7 @@
 {
   struct Treaty *ptreaty;
   struct player *plr0, *plr1, *pgiver, *pdest;
+  int *giver_accept;
   
   plr0=&game.players[packet->plrno0];
   plr1=&game.players[packet->plrno1];
@@ -81,9 +82,29 @@
   
   if((ptreaty=find_treaty(plr0, plr1)) && pgiver==pplayer) {
     if(ptreaty->plr0==pgiver)
-      ptreaty->accept0=!ptreaty->accept0;
+      giver_accept = &ptreaty->accept0;
     else
-      ptreaty->accept1=!ptreaty->accept1;
+      giver_accept = &ptreaty->accept1;
+
+    if (! *giver_accept) { /* Accepts now. */
+      struct genlist_iterator myiter;
+      genlist_iterator_init(&myiter, &ptreaty->clauses, 0);
+      
+      for(;ITERATOR_PTR(myiter); ITERATOR_NEXT(myiter)) {
+	struct Clause *pclause=(struct Clause *)ITERATOR_PTR(myiter);
+        if(pclause->type == CLAUSE_CITY) {
+	  struct city *pcity = find_city_by_id(pclause->value);
+          if (pcity && pcity->improvements[B_PALACE] &&
+              pcity->owner == pplayer->player_no) {
+            notify_player(pplayer,
+             _("Game: You can't accept treaty that gives your capital away."));
+            return;
+	  }
+	}
+      }
+    }
+
+    *giver_accept = ! *giver_accept;
       
     lsend_packet_diplomacy_info(&plr0->connections, 
 			       PACKET_DIPLOMACY_ACCEPT_TREATY,