Chargé Garrett to the Secretary of State.

No. 886.]

Sir: Referring to Mr. Newel’s No. 808, of November 24, 1904, (a) in connection with the Japanese house-tax arbitration, I have the honor to inclose herewith duplicate copies of the minutes of the meeting of [Page 693]the tribunal held on the 15th instant and of the sentence pronounced on the 22d instant.

The tribunal met to pronounce its sentence on the 22d instant. The sentence was read by the secretary-general.

In accordance with the provisions of paragraph 1 of Article LII of The Hague convention the sentence is preceded by a statement of the reasons that led the majority to reach its decision. The sentence reads as follows:

The provisions of the treaties and other engagements mentioned in the protocols of arbitration exempt not alone the lands held in virtue of the perpetual leases granted by the Japanese Government, or in its name, but they exempt the lands and buildings of all kinds constructed, or that may be constructed, on these lands from all dues, taxes, charges, contributions, or terms whatsoever other than those expressly stipulated in the leases in question.

In accordance with the second paragraph of Article LII above mentioned, the Japanese member of the tribunal signified his dissent from the reasoning and conclusion of the majority in the following words:

At the moment of proceeding to the signature of the present arbitral sentence, using the privilege conferred on me by Article 52, paragraph 2 of the convention for the pacific settlement of international disputes, concluded at The Hague July 29, 1899, I wish to record my absolute dissent from the majority of the tribunal in as far as concerns both the reasons and the conclusion of the sentence.

It is interesting to note that this is the first dissenting opinion of a tribunal under the terms of The Hague convention, the awards in the Pious fund case and in the Venezuela preferential treatment case having been unanimous. After duly certified copies of the sentence had been distributed to the agents of the respective parties, the tribunal adjourned.

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I have, etc.,

John W. Garrett.
  1. Not printed.