US diplomacy on Israeli-Palestinian peace appears stalled. An Israeli panel finds the Gaza flotilla attack to have been lawful. Egypt links Palestinian extremists based in Gaza to the bombing of a church in Alexandria. Al Jazeera releases documents purporting to show Palestinian concessions to Israel during negotiations several years ago. Intolerance is reportedly increasing in Israel. Aaron David Miller says the Obama administration must proceed cautiously. Mohammed Khatib and Jonathan Pollak say Palestinian nonviolent protests will continue despite an Israeli crackdown. FM Lieberman proposes an interim plan. A Palestinian village in "Area C" of the West Bank is cut off from the outside world. A Palestinian reporter may be tried for mocking Pres. Abbas. Akiva Eldar and Jonathan Freedland both say the leaks prove Israel has had a peace partner all along. The US says it cannot vouch for the leaks' veracity, and UN officials say they create an "inaccurate impression" of the Palestinian leadership. The Guardian purports to explain how and why the papers were released. The Washington Institute releases maps of possible land swaps. Robert Grenier says the leaks may show the peace process is over.