793.003/328

The Department of State to the British Embassy

Memorandum

Referring to the British Embassy’s memorandum of March 18,13 it is noted that Sir M. Lampson had under consideration the possible advisability of considering seriously the idea of a provision for foreign co-judges, with surrender of criminal jurisdiction, provided there could also be secured rights of evocation and other safeguards, a minimum duration of a specified period of years, and most-favored-nation treatment in all matters of jurisdiction. It is noted that Sir M. Lampson and Judge Feetham and His Majesty’s Consul General at Shanghai conferred on the subject of the possible effect of the surrender of criminal and even civil jurisdiction on the status of settlements and concessions with special reference to Shanghai and that Sir M. Lampson reached the conclusion that the position with regard to settlements and concessions must be fully safeguarded in any new agreement abolishing or seriously impairing the existing extraterritorial rights. Note is made of the alternative methods which Sir M. Lampson suggests for dealing with that problem.

The views of His Majesty’s Government on the questions raised with regard to Shanghai, as communicated to Sir M. Lampson on February 26; also the observations of His Majesty’s Government on the general question; the view expressed that it might be worth making an effort to secure co-judges and the right of evocation for the return of criminal jurisdiction; the suggestion that the Chinese objections might possibly be met by adopting the Siamese system, as outlined; and the suggestion made with regard to the tactics which might be employed are noted.

It is noted that on March 6 Sir M. Lampson informed the Secretary of State for Foreign Affairs that a more detailed scheme, embodying the principle of surrender of all jurisdiction in return for foreign co-judges plus safeguards and providing for geographical exclusion of settlements and concessions, was under preparation; and note is made of Sir M. Lampson’s expression of the opinion that the provision for foreign co-judges should be the objective on which to concentrate.

It is noted that His Majesty’s Government and Sir M. Lampson appeared to be in agreement as to the wisdom of separating the question of Shanghai from the general question of extraterritorial jurisdiction. Sir M. Lampson’s suggestions with regard to tactics in dealing with the question of settlements and concessions are noted.

[Page 425]

Note is made of the comment of His Majesty’s Consul General at Shanghai, received by Mr. Henderson on March 12, with regard to the area at Shanghai which might best be considered for exclusion, including the arguments advanced in support of the idea of standing out for the exclusion of “greater Shanghai”.

Commenting upon the above, reference may be made to the view of the Department already communicated to the British Embassy that the problem of Shanghai may reasonably be regarded as distinguishable from the general problem of extraterritoriality. It is believed that it would be desirable to deal with it as a separate problem. It is believed, also, that for purposes of consideration it will be desirable to envisage the possibility of making a special agreement dealing with the area of “greater Shanghai”.

The Department has been informed by the American Minister to China, Mr. Johnson, that he and Sir M. Lampson are collaborating in the drafting of a proposal with a view to submitting to their respective Governments for consideration ideas upon which they may be able to agree as a basis for a plan which might be simultaneously though separately offered to the Chinese for consideration. The Department welcomes this development and is confident that the contact thus established will contribute substantially toward ensuring full consideration of the many angles and possibilities of the problems involved. The Department has now received a copy of the text of a draft upon which Sir M. Lampson and Mr. Johnson have collaborated and will communicate to the Embassy a copy thereof.

  1. Not printed.