312.115 Ol 41/26

The Ambassador in Mexico (Sheffield) to the Secretary of State

No. 4045

Sir: Referring to my despatch No. 3957 of April 12, 1927,96 reporting the representations I made on that date to the Minister of Foreign Affairs with regard to the case of the Oliver-American Trading Company, I have the honor herewith to enclose for the Department’s information copy with translation of a memorandum dated April 29, last, which I have received from the Foreign Office with reference to the aide memoire left with the Minister of Foreign Affairs on April 12.

I have [etc.]

James R. Sheffield
[Page 270]
[Enclosure—Translation97]

The Mexican Foreign Office to the American Embassy

No. 7144

The Department of Foreign Relations refers to the courteous memorandum of the Embassy of the United States of America, No. 1899, of the 12th instant, wherein, in the case of Mr. Oliver, the American Government recognizes as an unmistakable evidence of the desire of the Mexican Government to give to Mr. Oliver an opportunity to settle his case the fact that it suspended the effects of the decree of expulsion against him; but, it states, that notwithstanding this helpful action of the President of the Republic in suspending the effects of the said decree, this, in its opinion, does not completely meet the situation since, according to information furnished to the Department of State by Mr. Oliver, it appears that the Mexican authorities, through their attorneys, engaged in negotiations with Mr. Oliver in 1922 and 1923 for a friendly settlement of his case.

According to the memorandum mentioned, the said proposed plan of settlement was approved by the President of the Republic and communicated by Señor Pesqueira to Señor Félix, the Financial Agent of Mexico in New York in a telegram dated December 22, 1922, and a copy of the text of that message, as well as of the affidavit of a member of the firm of attorneys who represented Mr. Oliver were submitted to the Department of State.

It is added, that in view of these negotiations, subsequent to the litigation before the Mexican authorities in 1921, the Embassy of the United States of America believes that the Mexican Government would be disposed, perhaps, to disregard technical considerations and to authorize its attorneys or the Financial Agent to take up the matter with the attorneys of Mr. Oliver, it being added, finally, that although the Government of the United States does not pass upon the merits of the Oliver claim and does not espouse it as a diplomatic claim, it presents it to the consideration of the Mexican Government in an informal and friendly way, because it appears to be a case deserving appropriate attention.

The Department of Foreign Relations has duly noted the contents of the said memorandum No. 1899 of the 12th instant and has the honor to state that the President of the Republic agreed to order the suspension of the expulsion of Mr. Oliver precisely for the purpose of aiding him in settling his affairs in Mexico, taking into account the spirit of friendship in which the representation was made and the statement of the Embassy of the United States, now repeated, not to pass upon the merits of the case.

[Page 271]

Regarding the possibility of a direct settlement between Mr. Oliver and the Mexican Government, the Department of Foreign Affairs thinks that as there is in question a controversy regarding compliance with obligations and the exercise of rights of a purely civil character, the settlement thereof should be entrusted to the Mexican courts which, moreover, have already intervened in one aspect of the question and recently handed down a decision with all its legal effects.

As for the antecedents which it is sought to adduce as a basis for the direct settlement of this matter between Oliver and the Mexican Government, the Department of Foreign Relations hastens to declare that Señor Pesqueira, in relation to this case, was not commissioned either officially or unofficially to settle it, as it was still pending settlement in the American courts at the time to which the copy of the telegram refers, and, therefore, his acts have no binding force whatever for the Mexican Government.

It seems useless, moreover, to pass on the probative value of an affidavit of Oliver’s attorneys, who, in his name, and at his expense, intervened in the said case.

The Department of Foreign Relations has the honor again to recommend to the Embassy of the United States the expediency of reminding Mr. Oliver that the Mexican courts are qualified to take cognizance of his case in conformity with the applicable legal precepts, and that for this purpose he will enjoy the guarantees and facilities granted by our laws.98

  1. Not printed.
  2. File translation revised.
  3. On December 23, 1927, the Department was informed by Mr. Oliver that he was leaving for Mexico City. (File No. 312.115 Ol 41/33b.)

    In despatch No. 313, Jan. 31, 1928 (file No. 312.115 Ol 41/36), the Ambassador in Mexico reported that upon Mr. Oliver’s arrival in Mexico, the Embassy, in accordance with telegraphic instruction No. 273, Nov. 25, 1927 (file No. 312.115 Ol 41/29), lent its good offices “in bringing Mr. Oliver and the Mexican Government together to discuss and if possible settle the controversy.” Mr. Oliver, however, failed to secure a settlement of his claim.

    None of the above-mentioned communications is printed.