711.4215 Air Pollution/574

Memorandum by the Under Secretary of State (Phillips)

Messrs. Skelton and Read, of the Department of External Affairs, arrived in Washington on December 10th and during the afternoon, together with Mr. Metzger, we discussed the Trail Smelter case. It developed that the Canadians did not come with any new draft as a basis for further discussion nor had they any suggestions to offer. I expressed disappointment and said that inasmuch as we were no further along it would seem necessary for the experts to get together and start from scratch. Before separating we did discuss the case along general lines. Messrs. Metzger and Read then retired to the [Page 966] former’s office, where they were joined later by Skelton. Later Mr. Metzger advised me that satisfactory progress had been made towards a solution of the problem after January 1, 1932. The Canadians, however, were insistent that damages up to January 1, 1932, should be settled by the amount, recommended by the Joint Commission, of $350,000.

During luncheon on the following day I again emphasized as strongly as possible the importance of reaching a decision with regard to procedure before the opening of Congress. Skelton said that he believed he would be able to submit a new draft within ten days. Before parting I asked him whether he had ever thought of utilizing the World Court in case the procedure envisaged in the arbitration did not develop. Skelton replied that he had not thought of utilizing the Court in this connection, but that it was an interesting suggestion. He did not appear to react to it favorably.

I put forward the above suggestion with respect to the World Court only as a personal one. I had an opportunity to speak to the President during the morning with regard to this matter and he approved of my mentioning the World Court in this informal and personal manner.

William Phillips