The whole history is extremely complicated, at the end of the preemptive 6 Days war, the country of Israel had the West Bank and the Gaza strip and other things. And they offered to return it in exchange for peace from their neighbors. The neighbors refused, so the country of Israel refused to return the territory.

I believe the camp David accords made a similar offer to the people of Palestine, we will give you this land, and exchange for an agreement of peace. But the people of Palestine or at least their political leaders, wouldn’t agree to seceding all of their other land. Much like the American Indians don’t agree to secede land for any price in the United States politically.

This isn’t a justification, it’s just a summary of the complex history to this point as I understand it. Maybe the path forward is not to get a peace agreement before giving independence, independence plus economic support plus trade buys more forgiveness than being held hostage. Making people economically reliant on each other has historically been the way to guarantee peace