The Secretary of State to the Ambassador in Chile ( Bowers )
900. Ruíz and Illanes11 approached Dept today re withdrawal PL and re disposition Axis trademarks. They were not aware position Chilean Govt as reported urtel 1458, Nov. 2112 and expressed view question of withdrawal would be further explored Nov. 27 at meeting between Emb and Govt. They asked Dept to confirm info in their possession that lists would be completely withdrawn next May. Dept replied date for withdrawal of lists had not been officially determined. Dept however did not indicate termination at approx that time would be an impossibility. Obviously, date on which this Govt tentatively intends withdrawing lists should not be disclosed. To do so might jeopardize replacement program in countries which have made unsatisfactory progress in eliminating enemy interests. If it becomes known that PL may be discontinued next May its present effectiveness and prestige will suffer. Moreover although present schedule calls for withdrawal 1 year after VE day,13 unforeseeable factors might conceivably make continuance of lists beyond that date advisable and this Govt does not wish to be bound by publicity or commitments to discontinue at any given time.
Re trademarks Dept informed Chilean representatives that Dept’s policy was to encourage retirement of all Ger marks. Dept informed them that if Chilean Govt believes such action unfeasible then use of marks not having Ger connotation would be possible without objection of Dept provided (1) marks would be under Govt control to extent their transfer to former owners and other undesirable persons is prohibited, (2) agreement can be reached by Emb and Govt as to which marks have Ger connotation and which do not, (3) use of marks by Chileans does not defeat measures taken against same marks in other countries, (4) no shipments of goods bearing marks are made to countries which have taken no action against marks.
Provisos 3 and 4 would virtually if not completely preclude exportation. Dept stated Emb instructed to discuss trademark problem within scope of foregoing.