Mr. Seward to Mr. Hassaurek.

No. 114.]

Sir: Referring to my despatch No. 113, of the 19th instant, I have now to acknowledge the receipt of your despatch No. 196, of November 12th, ultimo, with its accompanying enclosures, covering your correspondence with the minister for foreign affairs of Ecuador, on the subject of the steamer Washington and its ramifications.

The enclosed memorandum or report on the case, which has been prepared by my direction, after taking into consideration not only your despatch No. 196, but also the whole of your previous correspondence with this department upon the same subject, will, with the instructions hitherto given you, govern your future proceedings in the conduct of the case as it at present stands, and it is sincerely hoped that you will be enabled, by adopting the suggestions made in the report now transmitted you, to bring the question to a successful and amicable termination.

Your despatch No. 198, of the 27th ultimo, has likewise been received, and for which you have my thanks.

I am, sir, your obedient servant,

WILLIAM H. SEWARD.

Frederick Hassaurek, Esq., &c., &c., &c.

[Page 455]

Memorandum as to the case of the steamer Washington, condemned, in the first instance, by the supreme court of Ecuador as lawful prize of war.

The parties complaining of the detention and use by the Ecuadorian government of the Washington are American citizens long domiciled in its territory, and owning less than one-half of the vessel, the remaining interest being owned by native citizens of Ecuador.

The vessel is employed not in maritime commerce, but in an internal river traffic, and is therefore peculiarly subject to the municipal law of Ecuador.

The steamer was admittedly engaged in hostility to Ecuador, and was captured in actual fight.

Her condemnation is based on these facts, and, if correct, establishes a title which relates to the time of the capture.

We may dismiss all consideration of the use of the steamer, intermediate the capture and condemnation. If the latter is valid, it justifies that use; if not, the claimants are entitled to the value of the vessel when converted.

So we may dismiss all consideration of the delay in bringing on the trial and decision. If there was any wrong in this, it is merged in the greater one.

Upon the conceded facts thus far stated the propriety of the condemnation admits of no serious question.

It is said, however, that restitution to the owners should have been decreed because the Washington passed into the hostile service by the barratry of her master; and second, that the seizure and employment of her by the insurgents were piratical.

It is not denied that the master of the Washington was in conspiraçy with the revolutionists, to whom he voluntarily surrendered her.

Assuming that the owners of the steamer were guiltless of any complicity with the master, the question is, how does his conduct, criminal, both as respects the Ecuadorian government and the owners, affect the rights of the latter?

It is doubtless true that the owners of a ship are often held responsible for offences committed by the master against belligerent rights, so as to involve the forfeiture of the vessel, and sometimes even personal damages in addition, although they neither commanded nor knew of them.

I think, however, that such cases will be found to have in them this element, viz: that the acts were such as the master could have supposed himself to be doing in the course of his general employment, and in the interest of his owners. The abandonment of the ship to the pirates, or to mere insurgents, can hardly be brought into this category. Then these are maritime instances, and it seems to me there is such a difference between the very large authority and discretion necessarily intrusted to the master of a sea-going vessel, and that which suffices for short river voyages, as to justify a corresponding distinction in the liability of the owners for his acts. At sea, out of reach of his owners and of courts, he may be taken to represent them in a much ampler sense than on a river.

I am bound to say, however, that this view of the case does not strike me as so irresistible that I could characterize an opposite determination by any judicial tribunal as manifesting such flagrant disregard of law and justice as to lose its title to respect and submission.

Let us suppose that we had permitted a steamer owned about half by English residents of Baltimore, and commanded by such a resident, to ply between that port and City Point at the time of the outbreak of the late rebellion; the steamer to have been surrendered by him to rebels in the James river; to have been armed by them, and to have captured one of our small cruisers in the Potomac; to have been subsequently captured by us and brought before a prize court. The evidence wholly failing to inculpate the owners, who intervene and ask a restitution of the vessel, the court may be supposed to say:

Public policy requires that those who intrust a steamer, capable of the mischief which this has wrought, with the power to put her into a position to do that mischief, should be answerable for the consequences of his acts, though not contemplated or approved by them. True, we find no evidence of their complicity, and this act, as it turns out, was manifestly opposed to their interests; but if the captain was acting in conformity with their secret instructions, or with their real, though unexpected, desire, it would always be a matter of the greatest ease to conceal the proofs. A consideration of the general interest, in having a plain rule capable of ready practical application, must override that of occasional hardship to the innocent.

Would such a decision be so manifestly outrageous as to authorize Great Britain to declare that it could not have proceeded from error, but must have been dictated by interest, malice, or wilful disregard of universal principles of justice? I think not.

I attribute no consequence whatever to the fact that the Ecuadorian government denounced the seizure as piratical, nor does it seem important to inquire whether, in truth, it was piratical, either under the municipal law or the law of nations. It was a naval operation for a political insurrection. That it so overstepped the limits which nations prescribe to themselves in the prosecution of war as to be piratical also, does not seem to me so to restrict the rights which the capturing government may assert in its discretion, or waive in its generosity.

This, I think, disposes of any question under article 10 of our treaty with Ecuador; that must, I think, be understood to refer to cases of simple piracy, unconnected with insurrection or belligerency in any form.

[Page 456]

I understand the rule to be that before a nation intervenes in behalf of its citizens domiciled abroad, whose rights have been passed upon by a judicial tribunal, it is required: 1st. That he should have defended those rights himself, and done what was in his power to enlighten the court; 2d. That he should prosecute the case through all the appellate tribunals to that of last resort, so that it may appear that no further remedy is left to him in the courts; 3d. That the final decision should be not merely erroneous, but so flagrant as to shock the moral sense, and beget the conviction that the court cannot be supposed to have acted from mistake of judgment, but have wilfully disregarded plain rights.

Our citizens who go to reside under foreign jurisdictions, go there to take such law and such modes of administering it as are dealt to native subjects, however imperfect they may be, except in such countries as China, Japan, &c., where special treaties relieve them of the obligation.

In this case there is no pretence that the injustice alleged is aimed at American citizens, as such, for a majority of the owners of the Washington are Ecuadorians.

On the whole, I think that our minister should desist from further discussion until, after final judgment in the court of last resort, he has reported its decision and the reasons it may assign, and has received such instructions as the case may then seem to require.

If it were practicable to advise the American owners of the Washington, I should recommend them to offer to the Ecuadorian government the same salvage (one-third of the value) which that government offered for the recapture of its war ship captured by the Washington, and ask restitution on those terms before the prize court had reviewed the judgment in the first instance. It is unreasonable (dismissing all question of legal right) that the government should bear the expense of restoring to the owners a ship of which they had been deprived by their own agent. The salvage is, probably, quite insufficient to reimburse Ecuador for the expenses to which it has been subjected.

Approved.

WILLIAM H. SEWARD.