852.00/8654½

Memorandum by the Assistant Secretary of State ( Berle ) to President Roosevelt

On November 7th you spoke to me about the possibility of a Spanish armistice, outlining the possible method. I went to work on this.

I believe the Secretary of State has already told you that he was working on the matter. The present idea of the people here is that in view of our changed relations with Germany it will be necessary to associate some South American countries with us; and if possible, make it a unanimous act of the Lima conference. A formula has been prepared which Sumner will probably take up with you. It seems to me that some move is essential. I think that Loyalist Spain would accept; there is a possibility that Franco might, but that if he did not, the knowledge that he had declined would liberate political forces which might force peace within a few months. Further, if he did refuse it would clear the way for changing our position in the matter of the Spanish embargo.

What must be done here is to make sure, if possible, that the Vatican goes along. This would have to be handled while we are en route to Lima.

I feel no possible harm would come from making a strong move; great good might result; and the move works along with your policies whether successful or unsuccessful in immediate effect. The career people feel there is at least an even chance of its being successful.

A. A. Berle, Jr.