763.72/13402b: Telegram
The Secretary of State to the Ambassador in Germany (Gerard)
2645. For the Ambassador and Colonel House:
On the 22d the German Ambassador submitted two tentative drafts of a memorandum in the Lusitania case by which the German Government repeated its regret that Americans were killed by the justifiable retaliatory act of its submarine commander and offered, out of regard for the friendship of the two countries, to pay an indemnity.
[Page 526]On the 25th I had an interview with Count von Bernstorff and told him that both drafts were unsatisfactory; that the act of the submarine commander, being retaliatory, was admittedly illegal and though it might be justified against an enemy it could not be justified against neutrals. I told him that this Government would be satisfied with nothing less than an admission of the wrongful conduct of the submarine commander and an admission of liability for the lives of American citizens lost by his act. He replied that he was sure his Government could not go as far as that as they had denied liability. He asked me what would be our course in case Germany could not meet our demands. I replied that I saw no other course except to break off diplomatic relations, to which he answered that he thought it would go further than that in case we followed that course. I told him that was probably correct but that I had discussed the matter fully with the President and that we would not hesitate to assume responsibility for the consequences. He stated that he would think the matter over and see me again today.
At noon today the German Ambassador called and after discussing the matter he submitted the following memorandum which he is sending to his Government for their approval.
“The German submarine war against England’s commerce at sea, as announced on February 4, 1915, is conducted in retaliation of England’s inhuman war against Germany’s commercial and industrial life. It is generally recognized as justifiable that retaliation may be employed against acts committed in contravention of the law of nations. Germany is enacting such retaliation because it is England’s endeavor to cut off all imports from Germany by preventing even legal commerce of neutrals with her and thereby subjecting the German population to starvation. In answer to these acts Germany is making efforts to destroy England’s commerce at sea, at least as far as it is carried on by enemy vessels. If Germany has notwithstanding limited her submarine warfare this was done in view of her longstanding friendship with the United States and in view of the fact that the sinking of the Lusitania caused the death of citizens of the United States. Thereby the German retaliation affected neutrals, which was not the intention as retaliation becomes an illegal act if applied to other than enemy subjects.
The Imperial Government, having, subsequent to the event, issued to its naval officers the new instructions which are now prevailing, expresses profound regret that citizens of the United States suffered by the sinking of the Lusitania and, recognizing the illegality of causing their death, and admitting liability therefor, offers to make reparation for the lives of the citizens of the United States who were lost by the payment of a suitable indemnity.
In the note of the American Government, July 21,6 concerning the Lusitania incident, the Government of the United States invited the practical cooperation of the Imperial German Government in contending [Page 527] for the principle of the freedom of the seas, and added that this great object could, in some way be accomplished before the present war ends. The Imperial Government will at all times gladly cooperate with the Government of the United States for the purpose of accomplishing this common great object.”
If the German Government can agree to the above memorandum I believe that the Lusitania case will be satisfactorily ended. The memorandum was read to the President and received his approval.