882.6176 F 51/128
Agreement Number 3 Between the Government of Liberia and the Firestone Plantations Company, Signed at New York, September 16, 1925
Memorandum of Agreement made and entered into at the City of New York this 16th day of September in the year of our Lord Nineteen Hundred and Twenty-five by and between the Government of the Republic of Liberia, represented by Edwin Barclay, Secretary of State of the said Republic, hereinafter styled the Government, and Firestone Plantations Company, a corporation organized and existing under and by virtue of the laws of the State of Delaware, with its principal office in the City of Akron, State of Ohio, United States of America, hereinafter styled Lessee, Witnesseth:—
Article I
That provided Agreements numbered One and Two between the parties hereto, Number One providing for the lease of Mount Barclay Rubber Plantation, and Number Two providing for the lease of lands to be selected by the Lessee not to exceed One Million acres, shall be finally consummated in their present or some other form acceptable to the parties, the Lessee is hereby granted the right and option to improve the Harbour of Monrovia in Liberia by constructing the necessary breakwaters, wharfage and lighterage facilities, such option to be exercised and such work to be begun within five years of the execution of this Agreement, and to be pushed to completion with all reasonable speed; provided, however, that such work if undertaken by the Lessee shall be begun before the Government shall itself begin the work of permanently and adequately developing the Harbour facilities. Plans for such development shall be by the Lessee submitted to the Government and approved by it; but the Government agrees to approve plans submitted by the Lessee providing the same are reasonably suitable, for the purpose intended; and the Lessee is further given the right, in case it constructs the Harbour as aforesaid, to keep the same in repair, and agrees to perform such repair work as shall from time to time be required by the Government during the term of this Agreement.
Article II
In consideration of the Lessee’s undertaking, as aforesaid, the Government agrees
- (a)
- To repay Lessee the expenditure made by it for the construction and repair work as aforesaid, but in no case to exceed in total [Page 462] the sum of $300,000.00 aside from cost of repairs; payment to be made by the Government in the manner hereinafter provided.
- (b)
- To place at the disposal of the Lessee, lands contiguous to the Harbour and Harbour improvement for the purpose of obtaining the necessary rock and other raw material sufficient for the economical construction of the work. But no charge shall be made by the Government for such lands or the materials taken therefrom.
- (c)
- The Government shall repay to Lessee all amounts expended in harbour construction and repair work hereunder, with interest thereon at the rate of 7% per annum from the date of the respective expenditures, on or before the second day of January 1931. In the event that the Government shall sell an amount of its External Forty Year Sinking Fund Seven per cent. (7%) Gold Bonds in excess of the face amount of $2,500,000, then the Government shall apply the first avails of the sale of such bonds, in, excess of $2,500,000 face amount, to the payment of said expenditures for harbour construction and repair work hereunder by Lessee with interest thereon as above stated, until the same shall be fully paid and satisfied. Lessee shall have the option at any time prior to payment thereof to take payment for said expenditures, with interest as aforesaid in bonds of said issue above described at the rate of $900. for each bond of the face amount of $1000. and upon ten days notice of its election to exercise such option the Government covenants to cause its fiscal agent to make payment to Lessee in said bonds according to the provisions hereof.
Article III
It is agreed by both parties hereto
- (a)
- That the Government shall at all times have the right to an accounting and an audit of the expenditures made by Lessee on account of Harbour construction, maintenance and repair and the Lessee undertakes to grant the Government every facility for this purpose.
- (b)
- That the Government may at any time at its option reimburse the Lessee its expenditures or the outstanding balance thereof with interest, on account of said construction, maintenance and repair, in which event all further obligations of the Lessee hereunder, shall become null and void. But the Lessee, nevertheless, shall have the right at its own expense to make all necessary repairs to said harbour facilities; and in the event said Lessee shall make expenditures on this account, the Government agrees to reimburse the Lessee for the reasonable cost of such repairs.
- (c)
- The harbour dues imposed and collected by the Government shall not be excessive, and shall be fixed with the purpose of covering [Page 463] only the reasonable cost of maintenance, operation and repairs of the harbour facilities, and interest on the investment, and the establishment of a reasonable sinking fund to liquidate the cost of construction within a period of twenty years.
- (d)
- The rights by this Agreement granted to the Lessee shall not be sold, transferred or otherwise assigned by the Lessee to any person, firm, group or trust without the written consent thereto of the Liberian Government previously had.
In Witness Whereof the Parties hereto have hereunto set their hands and seals the day and year first above written.
Secretary of State
Witness:
Firestone Plantations Company
By
President
Attest:
Secretary