441.11 W 892/37

The Department of State to the British Embassy

Aide-Mémoire

The question of adjusting between the Government of Great Britain and the Government of the United States those pecuniary claims which have their origin in events subsequent to August 18, 1910, the date of the last claims agreement between the two Governments, has been the subject of numerous informal discussions. This question was raised again in an aide memoire from the British Ambassador dated February 4, 1926, in which reference was made to certain unsettied [Page 225] claims and demands arising out of the operation of naval forces of the United States and Great Britain during the period from April 6, 1917, to March 3, 1921, and to other claims between departments of the two Governments. The British Ambassador suggested that these claims be settled by direct negotiations between the departments concerned.

As the British Government has heretofore been informed and as has recently been orally pointed out to the British Ambassador, there are other claims in which the two Governments are interested and which, in the opinion of the Government of the United States, should be considered with a view to their settlement at the same time as the interdepartmental claims. Pending an understanding on this point, therefore, the Department of State is taking no steps looking to the settlement of the strictly interdepartmental claims only, and in recent notes to the British Ambassador13 this position of the Department of State has been set forth.

There is on file in the Department of State a considerable number of papers relating to alleged claims of American nationals against the Government of Great Britain or its nationals, and no doubt His Majesty’s Government has record of many claims against the Government of the United States which have not as yet been presented to the latter through diplomatic channels. The papers filed with the Department of State relate to a great variety of circumstances such as alleged breaches of contracts, personal injuries, and losses due to import restrictions, to maximum price orders and to the requisition, use or expropriation of private property, as well as to losses said to have been suffered through other exceptional war measures.

The Government of the United States realizes that some of the claims filed with the Department of State involve questions of very great delicacy. It feels, nevertheless, that it would be desirable from the standpoint of both Governments if the question of these claims could be explored in the near future for the purpose of arriving at a mutually satisfactory arrangement for their ultimate disposition. Accordingly, in a conversation on March 29, 1926, the Secretary of State outlined tentatively and informally to the British Ambassador a form of procedure which, if agreed to by His Majesty’s Government, he believes might well afford a basis for the adjustment of the existing differences of opinion.

The procedure thus orally outlined to the British Ambassador is submitted below in more specific form for the consideration and comment of the British Government. It is briefly as follows:

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That the Department of State and the appropriate Department of His Majesty’s Government undertake at once a preliminary survey of all claims now on file with each Government against the other Government or its nationals with a view to eliminating from further consideration those claims where, in all the circumstances, the claimants do not appear to be entitled to diplomatic support.

That in respect of those claims which appear prima facie to be meritorious the two Governments bring their information down to date with a view to ascertaining whether the subject matter of the claim has not been so disposed of as to obviate the necessity for further diplomatic intervention.

That informally designated representatives of the two Governments meet as soon as can conveniently be arranged, to discuss informally and sympathetically the claims remaining for disposition.

It is believed that an informal and friendly consideration of the question pursuant to a procedure similar to that outlined above will go far towards settling the perplexing questions now outstanding between the two Governments and will promote their mutual interests. The Government of the United States has no intention of holding rigidly to the procedure suggested above and will gladly consider any modifications therein which the British Government may believe will facilitate the adjustment of this important and delicate question without friction and possible misunderstanding. It is the earnest desire of the Secretary of State that a common ground may soon be found for the examination and adjustment of this whole matter and he has no doubt that the British Government will approach the problem with equal good will.

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