“Kate and Anna.”
The defendant party in its counter memorandum set forth the reasons why it feels obliged to pay for the 124 seal skins confiscated from, the Kate and Anna a sum of $1,240, with interest at 6 per cent.
The defendant party discards the claim relating to indirect damages for the reasons specified in the present rejoinder. It considers that indemnity for indirect damages is so much less applicable to the present case, because the American vessel above mentioned was only detained in her course without having been confiscated, and that consequently it was entirely free to continue sealing, in so far as was legitimate. It was only notified by the commander of the Russian cruiser to stop sealing in Russian waters. Proof of this is given in the document submitted to the arbitration which, in the present case, is in itself sufficient evidence of the warning given by the Russian commander.
Moreover, the said commander could not assume the authority to give prohibitory orders overreaching the instructions furnished to him, and the methods at his command. At any rate he could not compel the American captain to return to the United States. He could not, above all, suppose that Captain Lutjens would comply with such order, had it really been given, for it was very evident there was no reason for such order.
From the above arguments the defendant party sustains the conclusions which it has submitted, concerning this affair, in the counter memorandum.