It's called disputed territory. That's the nature of disputed territory. South Korea doesn't owe North Korean citizens any rights while they are at war (since the 50s), for example, and claims the whole Korean peninsula.

It is wrong to say the PA is not at war with Israel. They currently have a cooperation agreement they are holding to. The PA still compensates any terrorists committing attacks against Israel and disputes Israel's sovereignty. The issue is not resolved as the implementation of the agreements at the Camp David accords were interrupted by the second intifada.

This is what is called an unresolved conflict. It is true that Israel has full military control. The reason the conflict is unresolved is because the Palestinians refuse to capitulate under any circumstances, and because despite all the claims to the contrary, Israel is actually unwilling to destroy, oppressively occupy, or perpetrate a genocide on the Palestinians.