Papers Relating to the Foreign Relations of the United States, 1918

File No. 412.00/64

The British Ambassador ( Reading ) to the Secretary of State

No. 264

Washington , March 12, 1918 .

Dear Mr. Secretary: Your Department will doubtless be in possession of a translation of a decree which was published in Mexico by the Government of General Carranza under date of November 24 last ordering the appointment of a commission for investigating the claims for damages caused by the revolution. All members of the commission must be Mexican citizens.

Foreign claimants who might not be satisfied with the decision of the committee were given the right to appeal against them, and the matter then would be referred to an arbitration committee of three members, one of whom would be appointed by the President of the Republic, another by the diplomatic representative of the country of the claimant, and the third by mutual agreement between the first two. Amongst other articles in the decree was one which declared that joint stock companies formed in accordance with Mexican law should be considered as Mexican companies in respect of their claims, even though some or all of the shareholders might be foreigners.

In accordance with instructions which I have received from His Majesty’s Principal Secretary of State for Foreign Affairs, I have the honour to enquire what are the views of the United States Government as to the effect of this decree.

Believe me [etc.]

Reading

The Secretary of State to the British Ambassador ( Reading )

No. 30

Washington , March 19, 1918 .

Excellency: I have the honor to acknowledge the receipt of your excellency’s note No. 264 of March 12, 1918, in regard to President Venustiano Carranza’s decree of November 24, 1917, respecting the settlement of claims against the Mexican Government. You request to be furnished with an expression of this Government’s views regarding this decree.

In reply I have the honor to say to your excellency that further information has been requested from the Mexican Government with relation to the meaning of Articles 5, 6, 7, 12 and 14 of the decree in question, and that no definite position will be taken respecting the decree until the Department shall be more fully advised in the premises.

However, it may be added that the Department is desirous of accepting the plans of the Government of Mexico for the disposition of the claims of foreigners if the Government of the United States finds that this can be done with justice to the interests of American citizens concerned.

I have [etc.]

Robert Lansing