The proposed Panama Canal treaties : a digest of information

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Title:
The proposed Panama Canal treaties : a digest of information
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ix, 536 p. : ; 24 cm.
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English
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United States -- Congress. -- Senate. -- Committee on the Judiciary. -- Subcommittee on Separation of Powers
United States -- Congress. -- Senate. -- Committee on the Judiciary
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U.S. Govt. Print. Off.
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Washington
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Subjects

Subjects / Keywords:
Foreign relations -- United States -- Panama   ( lcsh )
Foreign relations -- Panama -- United States   ( lcsh )
Panama Canal (Panama)   ( lcsh )
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bibliography   ( marcgt )
federal government publication   ( marcgt )
non-fiction   ( marcgt )

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Includes bibliographical references.
Additional Physical Form:
Also available in electronic format.
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Reuse of record except for individual research requires license from LexisNexis Academic & Library Solutions.
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CIS Microfiche Accession Numbers: CIS 78 S522-5
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Reuse of record except for individual research requires license from Congressional Information Service, Inc.
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Issued Feb. 1978.
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At head of title: 95th Congress, 2d session. Committee print.
Statement of Responsibility:
prepared for the Committee on the Judiciary, United States Senate by its Subcommittee on Separation of Powers, James B. Allen, chairman.

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University of Florida
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All applicable rights reserved by the source institution and holding location.
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aleph - 022556118
oclc - 03718462X
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Full Text










95th Congress COMMITTEE PRINT
2d Session J






THE PROPOSED


PANAMA CANAL


TREATIES


A DIGEST OF INFORMATION




PREPARED FOR THE

COMMITTEE ON THE JUDICIARY


UNITED


STATES


SENATE


BY ITS


SUBCOMMITTEE ON SEPARATION OF POWERS


JAMES B.


ALLEN, Alabama, Chirman


FEBRUARY 1978


Printed for the use of the Committee on the Judiciary


U.S. GOVERNMENT PRINTING OFFICE
WASHINGTON : 1978


For sale by the Superintendent of Documents, U.S. Government Printing Office
Washington, D.C. 20402


99-592








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COMMITTEE ON THE JUDICIARY

JAMES 0. EASTLAND, Mississippi, Chairman


EDWARD M. KENNEDY, Massachusetts
BIRCH BAYH, Indiana
ROBERT C. BYRD, West Virginia
JAMES ABOUREZK, South Dakota
JAMES B. ALLEN, Alabama
JOSEPH R. BIDEN, J., Delaware
JOHN C. CULVER, Iowa
HOWARD M. METZENBAUM, Ohio
DENNIS DaCONCINI, Arizona
PAUL G. HATFIELD, Montana


STROM THURMOND, South Carolina
CHARLES McC. MATHIAS, J., Maryland
WILLIAM L. SCOTT, Virginia
PAUL LAXALT, Nevada
ORRIN G. HATCH, Utah :,
MALCOLM WALLOP, Wyoming


FRaNcIS C. ROSENBERGER, Chief Counsel and Staff Director



SUBCOMMITTEE ON SEPARATION Or POWERS

JAMES B. ALLEN, Alabama, Chairman


ROBERT C. BYRD, West Virginia
JAMES 0. EASTLAND, Mississippi


ORRIN G. HATCH, Utah
WILLIAM L. SCOTT, Virginia


QUENTIN CBOMMELIN, Jr., Chief Counsel and Staff Director
PAUL GULLER, Editorial Director
MELINDA CAMPBELL, Chief Clerk

(II)


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LETTER OF TRANSMITTAL


U.S. SENATE,
CO:INT'TErE ON THE JUDICIARY,
SUBCOMMITTEE ON SEPARATION OF POWERS,
Washington, D.C., January 12, 1978.
Hon. JAMES 0. EASTLAND,
Chairman, Corn mittee on the Judiciary,
U.S. Senate, WVahington, D.C.
DEAR MRn. CHAIRMAN : The Subcommittee on Separation of Powers
respectfully submits the following digest of information on the pro-
posed Panama Canal treaties. The information set forth has been
collected by the subcommittee during the course of its investigation
of constitutional issues associated with the proposed treaties and is
provided for the use of the committee and the Senate in studying these
and related issues.
With kindest personal regards, I am
Respectfully,
JAMES B. ALLEN,
Chairman, Subconnmmittee on Separation of Powers.
(III)


























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CONTENTS


TREATIES
A General Treaty of Peace, Amity, Navigation and Commerce Between Page
the United States and the Republic of New Granada (1846)------------ 3
Ship Canal (Clayton-Bulwer Treaty) -Convention Between the United
States and Her Britannic Majesty (1850)--------------------------- 13
Ship Canal (Hay-Pauncefote Treaty) (1901)-------------------------- 17
The Spooner Act (1902)---------------------- 19
Treaty with Colombia (Hay-Herrin) -Transmitting a Convention Be-
tween the United States and the Republic of Colombia for the Construc-
tion of a Ship Canal, etc., to Connect the Waters of the Atlantic and
Pacific Oceans (1903)-------------------------23
Panama-Isthmian Canal (Hay-Varilla Treaty) (1903)---------------- 33
Treaty Between the United States and Panama for the Mutual Extra-
dition of Criminals (1905)----------------------- 39
Neutrality Agreement (1914)-------------------- 43
Convention Between the United States and Nicaragua ceding rights for
Construction of ship Canal by Nicaraguan Route (1916)------------- 45
Friendship and Cooperation Treaty With Panama (1936)--------------- 47
Mutual Understanding and Cooperation Treaty with Panama (1955) --- 55
Termination of convention of 1914 between the U.S. and the Republic of
Nicaragua respecting a Nicaraguan canal route, 1971---------------- 64
COSTS
Total payments as a result of the 1903 treaty ------------- 69
Announcement of Secretary of the Army Clifford L. Alexander, Jr., of
appointments to the Board of Directors of the Panama Canal Company,
dated September 2, 1977---------- --------------- 71
Economic studies of the State of the Panamanian economy and projections
for its future--------------------------------- 71
Letter from David Hoyt, analyst in banking and capital markets, Congree-
sional Research Service. On U.S. Commercial Bank Loans to the Gov-
ernment of Panama----------------------- 75
STATEMENTS
Bell, Griffin B., Attorney General, opinion on a question involving the
treaty-making power of the President and its relation to the power of
Congress to dispose of property------------------- 79
Berger, Prof. Raoul------------------------- 85
Appendix--- --------------------------------------------------91
Addendum-------------- -----------------92
Rice, Charles E., professor of law, University of Notre Dame Law School_ 95
Statutory authority for certain transfers of U.S. property in the Isthmus of
Panama-- ----------------------------101
Moorer, Adm. Thomas H., USN (Ret.), Chairman of the Joint Chiefs of
Staff 1970-74---- ---------------------- 103
Bendetsen, Karl R., Under Secretary of the Army, 1948-52__--- -- __ 107
Reagan, Hon. Ronald, former Governor of California------------------ 129
Rogers, William J., Past National Commander, American Legion-------- 137
Resolution No. 445--- -------------------- 142
Letter to President Carter------------------- 143
Haar, Herbert R., Jr., Associate Port Director, Port of New Orleans, onl
behalf of the Gulf Ports Association, Inc., the Mid-Gulf Seaports Marine
Terminal Conference, and the Port of New Orleans--------------- 145
Two letters to President Carter- ------------------146









CONTENTS-Continued
EXCERPTS FROM THE CONGRESSIONAL RECORD-
SENATE
Convention With Nicaragua Terminating the Bryan-Chamorro Treaty of Paw
1914 (Senator Mansfield) February 10, 1971----- --------- 151
Convention With Nicaragua (Senator Mansfield) February 17, 1971, speech
by Senator Thurmond on treaty vote------------- -- 154
A compilation of 24 speeches by Senator James B. Allen (Alabama):
1. No Right To Intervene To Defend Canal, September 12, 1977--- 160
New York Times article, "The Canal Terms, Argued From
Different Premises" by Paul B. Ryan------ -----161
Washington Post article "The Case Against the Canal
Treaties" by Philip Crane- ------------- 162
Washington Post article "The Alternative to the Carter Pro-
posals" by Jesse Helms-----------------163
2. Remarks to the Leadership and opening statement before the
Subcommittee on Separation of Powers regarding Constitutional
issues, September 13, 1977----__--- -------- 165
3. Construction of New Canal In Another Country Forbidden Unless
Permitted by Panama, September 15, 1977--------- 168
4. Panamanian Minister Barletta Estimates the Cash Flow From
the Proposed New Treaties in Stark Contrast With Analysis
by the Treasury Department, September 16, 1977----------- 172
Excerpt from speech by Minister Nicolas Ardito Barletta -_ 174
5. Ability To Operate and Defend the Canal Questionable, Septem-
ber 20, 1977------------------------------------------ 176
6. Old Soldiers Never Die-They Just Obey, September 21, 1977-- 179
Editorial from Army Times, "Using the Chiefs" ------- 180
7. Treaties Help Perpetuate Present Dictatorial Regime, Septem-
ber 22, 1977---- --------------------182
8. Treaties Designed To Prevent Panama From Defaulting On Tre-
mendous Loans Owed Multi-National Banks, September 27,
1977--- ----------------------187
9. Unavoidable Adverse Environmental Impact of Proposed Treaties,
September 28, 1977 --------------------- 195
Major Trade Routes in Panama Canal Traffic: 1975-__--- -- 198
Panama Canal traffic by commodities, 1975---------------- 199
Effect of 50-percent Tolls Increase On Commodity Move-
ments Through Panama Canal in 1985- ---------- 199
Diversion of commodities from Panama Canal to Suez or Cape
of Good Hope resulting from 50-percent increase in Panama
Canal Tolls (1985)---------------------- -------- 200
Cargo diversions involving voyages of decreased length via
Suez Canal or Cape of Good Hope---_ ------- 201
Distances Yokohama to New York on all-water routes via
Panama Canal- -------------------201
10. Treaties if Ratified, Could Be Greatly Altered by Executive Agree-
ment Without Approval of the Senate, September 29, 1977 -. 202
11. Statement Before The Committee on Foreign Relations-Five
Major Flaws In The Treaties, October 4, 1977------------- 205
12. Misinformation in The Historical Background, October 5, 1977-.. 210
13. Events Leading to the Hay/Bunau-VariUlla Treaty of 1903,
October 6, 1977--------------------------------------- 214
14. Proposed Treaties Should Be Withdrawn, Redrafted, and Renego-
tiated, October 10, 1977-------------------218
15. Brilliant U.S. Negotiators in Diplomatic Coup Secured "Conces-
sion" Already Provided in 1903 Treaty, October 12, 1977-%-- 222
16. Heroin Connection, October 13, 1977 ------------- 225
Articles from the Washington Star and the New York Times- 226
17. Unsigned, Meaningless, Nonbinding, and Confusing Document,
October 19, 1977------------------- 229
18. Panamanian Leaders Get Assets--U.S. Taxpayers Get Liabilities,
October 20 1977 -------------------- 232
19. Democracy and Human Rights In Panama A Farce,-October 26,
1977 ----------------.-..-------- 236
20. Existing Treaty Ties Abrogated, October 27, 1977 ------240







VII


CONTENTS-Continued
EXCERPTS FROM.[ THE CONGRESSIONAL RECORD-
SENATE
A compilation of 24 speeches by Senator James B. Allen (Alabama)-Con.
21. When Present Dictator Falls, New Government Could Reject Page
Treaties, October 28, 1977---------------------242
22. No Priority Transit of U.S. War Vessels, November 1, 1977_---- 244
23. Present Drug Traffic Not Foreseen in Extradition Treaty of 1904,
November 2, 1977 ------------------- 247
24. Executive Agreement Longer Than Both Treaties Combined,
November 8, 1977 ------------------------- 251
Article from the S:n Diego Evening Tribune, entitled "Ad-
miral Opposed Canal Treaties" by Adm. Horacio Rivero_. 253
Panama Canal Giveaway Violates Constitution (Senator Garn) Septem-
ber 7, 1977------------------------------- 256
Article from the Conservative Digest by Senator Orrin G. Hatch--.... 257
Panama Canal Treaties (Senator Thurmond) September 8, 1977__--------- 260
Compara t ive Survey of Freedom-Table of Nations- -----------261
Poll Shows Close Margin on Pan:ima. Canal Treaty (Senator Chafee)
September 8, 1977--- ------------ ---------265
Gallup Poll---- ------------------- 266
Text of the Proposed Panama Canal Treaties (Senator Muskie)---- 266
The Canal Tr.aties: Reason or Risk? (Senator Harry F. Byrd, Jr.) Sep-
tember 13, 1977---- ---------------------- 284
"Panama: The Specter of Violence" (Senator Cranston) September 14,
1977-------------- ------------------289
Misconceptions About Panama (Senator Crzinston) September 16, 1977--- 292
The Panama Canal Treaty (Senator Harry F. Byrd, Jr.) September 16,
1977------------------------------------- ---------------------- 293
The Panama Canal: Sovereignty and Security, by Han.on W. Baldwin,
AEI Defense Review---------------------- 293
The Panama Canal Treaty (Senator Thurmond) September 21, 1977-- --- 314
Article from the Jacksonville Timni(-Union entitled "Guantanamo
Surrender Next" by John Chambelain--------------314
The Panama Canal (Mr. Cranston) statement by Senator Hollings------ 316
The Panama Canal Treaties (Senator Dole), defines defects of treaties and
suggests ainendments- ----------------------- 322
The Panama Canal Treaties (Senator Harry F. Byrd, Jr.) September 23,
1977 -------- --------- ------------ 331
"Communists Welcome Panama Canal Treaty," by Henry J. Taylor,
syndicated columnist ----------------- 331
Plnama Canal Issue (Senator Mathias), editorial in the Cleveland Press,
with response from Reed I. Irvine----------------- 332
Ratification of the Panama Canal Treaties (Senator Sparkman) statement
by Senator Strom Thurmond-- -------------------334
The Panama Canal Treaties (Senator Thurmond), news release by Senator
Dole: "Confidential Cable Proves Panama Can:ial Treaty Flawed"---- 33S
Panama Canal Treaties (Senator Percy), statement by Senaitor William L.
Scott------------------------- ---------------------------------340
The Panama Canal Treaty Cable (Senator Dole) ------------ 345
Doubts About the Canal Treaties (Senator Harry F. Byrd Jr.), article from
Human Events discusses the effects of the Escobar statements entitled
"Senate Remains Skeptical About Panama Canal Treaties"-- ------- 347
Statements before the Committee on Foreign Relations:
Senator Mike Gravel-------------------- ---- 350
Senator Paul Laxalt------------------------------------------- 359
Senator Bob Dole------- --------------------365
Senator William L. Scott----- ---------------- 371
Senator Jesse Helms----- ----- ------------375
Panama Canal Treaty (Senator Thurmond), articles:
"U.S., Panama Differences Cited: Canal Treaties Get a Jolt," from
the Washington Post, October 5, 1977, by John M. Goshko------- 379
"Dole Says U.S. Cable Shows Differences With Panama on Treaties,"
from the New York Times, October 5, 1977, by Graham Hovey-- 381
The Panama Canal (Senator McGovern), letters to the editor, Nation's
Center News, September 16, 1977--------------------------------- 383







tilt

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ThePanam': Caja -Tete Sntr'ar .Br .'l ^^-pe"(-^ ^
e Panama Canal Treaty Should Bte' Ad` ded or W t.4xawj (Sea3or8-
:Dole) ,_ ,-.---aaP.p go p .o- ) 387
- - .- ,-- -. 5. .Shipping ;- li-- ---. I-~ '--'"
Switch in Panama Canal Potion ofU.S. Sipping or)
article' entitled "Canal Toll Plan Sours Lykes Ch4 rA'Qtprt ,fpjr-act-
Dropped Because of Toll Increase," from the- Joud tu Pboznmner .e .by1
Anita Schrodt___-..... .. .' "388
Another Panamanian Negotiator Denies U.$ Interv'ptipn 1Rights, Under
Treaty (Senator Dole), television report from the Foreign Broadcast
Information Service ..-__-.--- _-__--- --------------- 390
Senator Jesse Helms Upon Filing Suit Asks the U.S. Suipreme Cobfrt, )'o
Rule on Meaning of Article IV, Section 3--------,--..-4.-- --.,..- -391
The Panama Canal and Allegations of Drug Traffickjng (Senator Dole)-. 400
Panama Canal Poll (Senator Thurmond) article in October 18, 1977 1En-
quirer, Lantana, Fla., entitled Poll: 97 Percent Say Don't Give Cot-rol.
of Canal to Panama- ----..---- --- ---.- '--03
The Panama Canal Treaties (Senator Thurmond):
Statement of Understanding issued by the White H-ouse-_.- _--_ 406
Report from the Foreign Information Broadcast Service------. 406
Article from the Washington Post, October 16,'1 i977; entitled "Gen.
Qmar Torrijos Denies Signing New Canal Pact-L .- -46...,.6
U.S. Interests in the Panama Canal (Senator Harry 'F. Byrd, Jr.) articles: -
"Keep the Canal" from the Richmond Va,. New Leader, .February 3,,'.
1976---------------------- ...... ..... ....- __ 40
"Panama: Strategic 'Pitfall" from Strategic Review, Winter 1976, by'-
Lt. Gen. V. R. Krulak, USMC,.(Ret.)..,-------..--------- :409
Torrijos Continues to Orchestrate Blackmail (Senator Thurmond) article
From the Richmond Times-Dispatch, April 10,, 1976,. entitled. "Resolve
Dispute by 1977,, Panamanian Warns"- 10- _1... t- i.t.d ---".f o 41v
Panama Canal: Catalyst for Restoration of National Will (SenatoI Harry F..
Byrd, Jr.), address by Franz 0. Willenbucher, J. D., Captain, U.S. Navy,
(Ret.)-- _-- -----------------------------------------r 41$
EXCERPTS FROM THE CONGRESSIONAL RECORP- L
HOUSE :
The Canal Zone-Panama and the United States (Repesentative Hansen
of Idaho), article from the Heritage Foundation--- .----- ----.-- 423
Worried About A Giveaway (Representative Jaimes Abdpr of (Soutli
Dakota) editorial from the Herald, Canova, S.D., ent tled "To Give.,,. ..
Away-Or Keep It". -. 430
The Panama Canal Treaty: Questionable Defense Provisihons (Representa- ,.
tive Leo C.' Zeferetti, New York), article entitled "The Canal Terms,
Argued From Different Premises," September :11jt. 1977, New,, York.
Times, by Paul B. Ryan 430
A. Fresh Look at the Panama Canal Treaty (Representative Robert H.
Michel, Illinois), article from the Peoria Journal Star,, Septemb& 8,
1977, entitled "Gangster in the White House"- -- -- -- 4... 33
An Opponent to New Panama Treaties (Representative Robert J, aTgO-
marsino, California), statement by Dr. John Waslik,. National Com-
mander-in-Chief, Veterans of Foreign Wars _--.. 435
State Department Negotiated Panama Canal Treaties in Flagrant Viqlation
of National Environment Policy Act (Representative Gene Spyder,
-Kentucky), press release and correspondence-------- _, _. 441
The Panama Canal Treaty (Representative Dan DaiielN 2irg *fiU, state-
ment of Governor Meldrim Thomson, Jr., N.HL, an4d Rblu -niNo44- 444
Latin Leaders Refuse To Endorse Treates (Representitlit qen i d
Kentucky) article from the Hemisphere Hot404p ,Rbrt, ",i rii& 450
PrewettL---------... ------ -----------,. --- ------..------
"Human Right in Panama" (Representativp, Ltnarif Wo4..: 452
..'" . .. .... 453
Ranking of Nations by Political Rights,.- 4-54---- -..- .
Ranking of Nations by Civil Rights.. - 7i .* --V. +









CONTENTS-Continued

EXCERPTS FROM THE CONGRESSIONAL RECORD-
HOUSE-Continued
Letter to Representative Gene Snyder, Kentucky, from Carolyn Lowe, Page
vice president, Panama Audubon Society--------------------------- 456
Why We Must Keep America's Canal In American Hands (Representative
Steven D. Symms, Idaho), address by Governor Meldrim Thomson, Jr.,
New Hampshire, to the John Birch Society------------- 457
Panama Canal Treaty Issue (Representative Robert J. Lagomarsino,
California), testimony of Representative Samuel S. Stratton, New York_ 463
MISCELLANEOUS
Excerpts from speeches given on July 19, 1977 before the Panamanian
National Assembly at Panama City, Panama----------------------- 469
Letters to the New York Times editor from Representative John M. Mur-
phy_---------- ------------------- -- 476
"The Nicaragua Canal Story", by Lt. Col. H. R. Haar, Jr., Corps of
Engineers, U.S. Army------------------ ----- 479
Map: Route of the Nicaragua Canal Location --------- 483
Panama Canal Plays Vital United States Business Role, by Guy Halverson,
Christian Science Monitor---------------------- 489
Scare Talk and the Canal, by Roger W. Fontaine, director of Latin Amer-
ican Studies at Georgetown University Center for Strategic and Inter-
national Studies, from the Wall Street Journal-------------- --- 491
Map: The Third Locks-Terminal Lake Plan, showing extensive excava-
tions made between 1939 and 1942_---------------------------------- 493
"Panama Canal", excerpted from the Encyclopaedia Britannica 1970, by
Capt. Miles P. Du Val, Jr., U.S. Navy (Retired)--- ------- 494
Submitted for the record by the Panamanian Committee for Human Rights- 503
Letter to Bernard Diederich, Time Magazine, from Phillip Harman, director
of information, Canal Zone Non-Profit Public Information Corporation,
August 20, 1977------------------------------------------------- 515
Excerpt from statement of Virginia Prewett, Washington columnist on
Latin America, North American Newsletter Alliance --- ------ 517
Prepared statement of Hon. Gene Snyder of Kentucky ----------------- 518
The Panama Canal-An Early View (1910), by the late Fred S. Ball, Sr., of
Montgomery, Ala- ------------------------- 522
Letter from Senator Allen to Secretary of the Army, Clifford Alexander,
inquiring about the authenticity of a memorandum------------ 525
Sworn statements of Leland L. Riggs, Jr., retired Special Agent in Charge
of the U.S. Drug Enforcement Administration, dated December 1, 1977- 528
























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TREATIES












































































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PEACE, AMITY, NAVIGATION, AND COMMERCE
General treaty, with additional article, signed at Bogold December 12, 1846.
Ratified by New Granada 1 June 15, 1847.
Senate adirice and consent to ratification June 3, 1848.
Ratified by the President of the United States June 10, 1848.
Ratifications exchanged at Washington June 10, 1848.
Entered into force June 10, 1848.
Proclaimed by the President of the United States June 12, 1848.
Article 33 abrogated by the United States July 1, 1916, in accordance with
Seaman's Act of March 4,1915.2
Provisions inconsistent with those of agreement of September 13, 1935J,
superseded by 1935 provisions while later agreement remained in force.
9 Stat. 881; Treaty Series 54 4

A GENERAL TREATY OF PEACE, AMITY, NAVIGATION AND COM 3ERCE BE-
TWEEN THE UNITED STATES OF AMIERICA AND THE REPUBLIC OF
NEW GRANADA

The United States of North America and the Republic of New
Granada 1 in South America, desiring to make lasting and firm the
friendship and good understanding which happily exists between
both nations have resolved to fix in a manner clear, distinct and posi-
tive, the rules which shall in future be religiously observed between
each other by means of a treaty, or general convention of peace and
friendship, commerce and navigation.
For this desirable object the President of the United States of
America has conferred full powers on Benjamin A. Bidlack a citizen
of the said States and their Charge d'Affaires in Bogota, and the
President of the Republic of New Granada has conferred similar and
equal powers upon Manuel Maria Mallarino Secretary of State and
foreign relations, who, after having exchanged their said full powers
in due form, have agreed to the following articles.

ARTICLE 1st
There shall be a perfect, firm and inviolable peace and sincere, friendship be-
tween the United States of America and the Republic of New Granada, in all
the extent of their possessions and territories, and between their citizens re-
spectively, without distinction of persons or places.
ARTICLE 2d
The United States of America and the Republic of New Granada, desiring
to live in peace and harmony with all the nations of the earth, by means of a
policy frank and equally friendly with all, engage mutually not to grant any
particular favor to other nations, in respect of commerce and navigation, which
shall not immediately become common to the other party, who shall enjoy the
same freely, if the concession was freely made, or on allowing the same com-
liensation, if the concession was conditional.
1 See footnote 1, ante, p. 865.
S38 Stat. 1164.
3 EAS 89, post, p. 913.
S For a detailed study of this treaty, see 5 Miller 115.
(3)









ARTICLE 3r4
The two high contracting parties, being likewise desirous of placing the com-
merce and navigation of their respective countries on the liberal basis of per-
fect equality and reciprocity, mutually agree that the citizens of each may
frequent all the coasts of countries of the other, and reside and trade there, in
all kinds of produce, manufactures and merchandise; and that they shall enjoy,
all the rights, privileges and exemptions, in navigation and. commerce, which
native citizens do or shall enjoy, submitting themselves to the laws, decrees
and usages there established, to which native citizens are subjected. But it is
understood that this article does not include the coasting trade of either country,
the regulation of which is reserved by the parties respectively according to their
own separate laws.
ABICiLE 4th
They likewise agree that whatever kind of produce, manufacture of mer-
chandize of any foreign country can be, from time to time, lawfully imported in-
to the United States in their own vessels, may be also imported in vessels of
the Republic of New Granada; and that no higher or other duties upon the ton-
nage of the vessel and her cargo, shall be levied and collected, whether the im-
portation be made in vessels of the one country or. of the other. And in like
manner, that whatever kind of produce, manufactures or merchandize of any
foreign country, can be from time to time lawfully imported into the Republic
of New Granada in its own vessels, may be also imported in vessels of the United
States; and that no higher or other duties, upon the tonnage of the vessel and
her cargo, shall be levied or collected, whether the importation be made in ves-
sels of the one country or the other.
And they further agree, that whatever may be lawfully exported or reexported,
from the one country, in its own vessels to any foreign country, may in like man-
ner be exported or reexported, in the vessels of the other country. And the same
bounties, duties and drawbacks, shall be allowed and collected, whether such
exportation or reexportation, be made in vessels of the United States or of the
Republic of New Granada.
ARTICLE 5th
No higher or other duties shall be imposed on the importation into the United
States of any articles the produce or manufacture of the Republic of New
Granada, and no higher or other duties shall be imposed on the importation into
the Republic of New Granada of any articles the produce or manufactures of
the United States, than are or shall be payable on the like articles being the
produce or manufactures of any other foreign country; nor shall any higher
or other duties or charges be imposed in either of the two countries on the
exportation of anfy articles to the United States or to the Republic of New
Granada respectively, than such as are payable on the exportation of the like
articles to any other foreign country, nor shall any prohibition tbe imposed on
the exportation or importation of any articles, the produce or manufactures of
the United States or the Republic of New Granada to or from the territories of
the United States or to or from the territories of the Republic of New Granada
which shall not equally extend to all other nations.

ARTICLE 6th
In order to prevent the possibility of any misunderstanding, it is hereby
declared that the stipulations contained in the three preceding articles are to
their full extent applicable to the vessels of the United States and their cargoes
arriving in the ports of New Granada, and reciprocally to the vessels of the
said Republic of New Granada and their cargoes arriving in the ports of the
United States; whether they proceed from the ports of the country to which
they respectively belong, or from the ports of any other foreign country; and
in either case no discriminating duty shall be imposed or collected in the ports
of either country on said vessels or their cargoes, whether the same shall be of
native or foreign produce or manufacture.

A RTICLE 7th...............
It is likewise agreed, that it shall be wholly free for all mercliaits4 commanders
of ships, and other citizens of both countries to manage by themselves or agents
their own business in all the ports and places subject to the: JuflsdICtfifl of each










other, as well with respect to the consignments and sale of their goods and
minerchliandize by whole sale or retail, as with respect to: the loading, unloading
a nd sending off their ships; they being, in all these cases, to be treated as citizens
of the country in which they reside, or at least to be placed on an equality with
the subjects or citizens of the most favored nation.

ARTICLE 8th
The citizens of neither of the contracting parties shall be liable to any em-
la;rg(, nor be detained with their vessels, cargoes, merchandize or effects for
any military expedition, nor for any public or private purpose whatever, without
allowing to those interested an equitable and sufficient indemnification.

ARTICLE 9th
Whenever the citizens of either of the contracting parties shall be forced to
seek refuge or asylum, in the rivers, bays, ports or dominions of the other with
their vessels, whether merchant or of war, public or private, through stress of
weaithlier, pursuit of pirates or enemies, or want of provisions or water, they
.liill be received and treated with humanity, giving to them all favor and protec-
tion for repairing their ships. procuring provisions, and placing themselves in a
situationn to continue their voyage, without obstacle or hindrance of any kind
or the payment of port fees or any charges other than pilotage, except such
vessels continue in port longer than forty eight hours counting from the time they
ca.it anchor in port.
ARTICLE 10th
All the ships, merchandize and effects belonging to the citizens of one of the
contracting parties, which may be captured by pirates, whether within the
limits of its jurisdiction or on the high seas, and may be carried or found in
the rivers, roads, bays, ports or dominions of the other, shall be delivered up
to the owners, they proving in (dle and proper form their rights, before the
competent tribunals; it being well understood that the claim shall be made
within the term of one year by the parties themselves, their attorneys, or agents
of their respective Governments.

ARTICLE 11th
When any vessels belonging to the citizens of either of the contracting parties
.-hall be wrecked or foundered or shall suffer any damage on the coasts, or
within the dominions of the other, there shall be given to them all assistance
and protection, in the same manner which is usual and customary with the
vessels of the nation where the damage happens: permitting them to unload
the said vessel, if necessary, of its merchandize and effects, without exacting
for it any duty, impost or contribution whatever, unless they may be destined
for consumption or sale in the country of the port where they may have been
disembarked.
ARTICLE 12th
The citizens of each of the contracting parties shall have power to dispose of
their personal goods or real estate within the jurisdiction of the other, by sale,
donation, testament, or otherwise, and their representatives being citizens of the
other party, shall succeed to their said personal goods or real estate, whether by
testament or ab intestato, and they may take possession thereof, either by them-
selves or others acting for them. and dispose of the same at their will, paying such
dues only as the inhabitants of the country, wherein said goods are, shall be sub-
Ject to pay in like cases.
ARTICLE 13th
Both contracting parties promise and engage formally to give their special pro-
tection to the persons and property of the citizens of each other, of all occupations,
who may be in the territories subject to the jurisdiction of one or the other, tran-
sient or dwelling therein, leaving open and free to them the tribunals of justice for
their judicial recourse, on the same terms which are usual and customary with the
natives or citizens of the country; for which purpose they may either appear in
proper person or employ in the prosecution or defense of their rights such ad-
vocates. solicitors, notaries, agents and factors as they may judge proper in all
their trials at law; and such citizens or agents shall have free opportunity to be




r


6

present at the decisions or; se'atenw ottbetribtuale,is iaHcnhw bhik mayek-
cern them, and likewise at the taking oalLenmeiaatiope aivid evek w ewas
be exhibitedin the said trials.: s..i ,: ;*.. : i.
.& TICLU J4t1 w i i ? j' .. *i i. .: :4
The citizens of the United States' residing in the territories a! the Republic Ot
New Granada, shall enjoy the most perfect. and entire security of conscience with-
out being annoyed, prevented, or disturbed on account of their religious belief.
Neither shall they be annoyed; molested or disturbed in the proper exercise of
their religion in. private houses or in the Chapels or plates of wotship appointed
for that purpose, provided that in sodoinig they observe, the deebrqm due to dvibe
worship, and the respect due to the laws, usages a&d customs of:'the country,
Liberty shall also be granted to bury the citizens of the United States who may
die in the territories of the Republic of New Granada in convenient and adequate
places to be appointed and established by themselves for that purpose, with the
knowledge of the local authorities, or in such other placeS of seputureas may be
chosen by the friends of their deceased; nor shall the funerals or'epulchres of the
dead be disturbed in any wise nor upon any account i ':
In like manner the citizens of New Granada shall enjoy, within the (Aovern-
ment and territories of the United States, a perfect and unrestrained liberty of
conscience and of exercising their religion, publicly or privately, uwin their own
dwelling houses, or in the chapels' and places of' worship 'appointed for that
purpose, agreeably to the laws; usages & customs of the United States>
.," i' .* . ,. .: ..
ARTICLE 15t"
It shall be lawful for the citizens of the United States of America and of the
Republic of New Granada to sail with their ships, with .*t'mariner of'liberty and
security, no distinction being made who are the'pr6prietors of the in. haquidize
laden thereon, from any port to the places of those who now atid orlierhate.r shall
be at enmity with either of the contracting parties. It shall likewise be lawfil for
the citizens aforesaid to sail with the ships and merchandize4'before mentioned
and to trade with the same liberty and security from the placs,I ports and hivens
of those who are enemies of both or either party, without any opposition or dis-
turbance whatsoever, not only directly from the places of tbe &"zey before men-
tioned to neutral places, but also from one place belonging to an enemy to another
place belonging to an enemy, whether they be under the jurisdiction of one power
or under several And it is hereby stipulated that free ships shall alsp giye free-
dom to goods, and that every thing which shall be found on board h khijp0
longing to the citizens of either of the contracting parties, shall be .deemd to be
free and exempt, although the whole lading or any part ther'ef should ax*rtain
to the enemies of either (contraband goods being always excepted):'Itfis;alS6
agreed in like manner, that the same liberty shall be extended to persons wh are
on board a free ship, with this effect, that although they b6 enemico ti Both or
either party, they are not to be taken out of that free ship, unless they .re diceys
and soldiers, and in the actual service of the enemies; provided howev=.=. a At is
hereby agreed, that the stipulations in this article contained, declarig that the
flag shall cover the property, shall be understood as applying to those powers only,
who recognize this principle, but if either of the two contracting parties shall be
at war with a third, and the other remains neutral, the flag of the neutral shall
cover the property of enemies whose Governments acknowledge this principle and
not of others. ,
ARTICLE t16t"'
It is likewise agreed, that in the case where the neutral flag of opO 4 the con-
tracting parties shall protect the property of the enemieS of th .the.e, by .virtue of
the above stipulation it shall always be understood that the neutral ptpert6 found
on board such enemy's vessels, shall be held and considered as enemy's property,
and as such shall be liable to detention and confiscation, ex t sAuchprppertlas
was put on board such vessel before the declaration of war, or even afterwards, if
it were done without the knowledge of it;. but the contracting parties agree that
two months. having elapsed.after the declaration of war, their eitensshall not
plead ignorance thereof. On the contrary, if the flag of the neutral doea s:ot pro-
tect the enemy's property, in that case, the goods and merchandise Qi the neutral
embarked on such enemy's ,ship shall be free. f t- ,. ,. ,* '
, 1 '. * ~ ~'(* ; : : ':' f i










COLOMBIA

ARTICLE 17th
This liberty of navigation and commerce shall extend to all kinds of mer-
chandise, excepting those only which are distinguished by the name of contra-
band; and under this name of contraband, or prohibited goods, shall be com-
prehended.
1st Cannons, mortars, howitzers, swivels, blunderbusses, muskets, rifles, car-
bines, pistols, pikes, swords, sabres, lances, spears, halberts; and grenades, bombs,
powder, matches, balls, and all other things belonging to the use of these arms.
2nd Bucklers, helmets, breast plates, coats of mail, infantry belts, and clothes
made up in the form and for the military use.
3d Cavalry belts, and horses with their furniture.
4th And generally all kind of arms and instruments of iron, steel, brass, and
copper, or of any other materials manufactured, prepared and formed, expressly
to make war by sea or land.
5th Provisions that are imported into a besieged or blockaded place.

ARTICLE 18th
All other merchandize and things not comprehended in the articles of contra-
band, explicitly enumerated and classified as above, shall be held and con-
sidered as free, and subjects of free and lawful commerce, so that they may be
carried and transported in the freest manner by the citizens of both the con-
tracting parties, even to places belonging to an enemy, excepting those places
only which are at that time besieged or blockaded; and to avoid all doubt in
this particular, it is declared, that those places only are besieged, or blockaded,
which are actually attacked by a belligerent force capable of lprevenritiig the
entry of the neutral.
ARTICLE 19th
The articles of contraband, before enumerated and classified, which may be
found in a vessel bound for an enemy's port, shall be subject to detention and
confiscation, leaving free the rest of the cargo and the ship, that the owners may
dispose of them as they see proper. No vessel of either of the two nations shall
be detained on the high seas on account of having on board arti'-les of contra-
band, whenever the master, captain or supercargo of said vessel will deliver
up the articles of contraband to the captor, unless the quantity of s.i,-?i articles
be so great and of so large a bulk, that they cannot be received on board the
capturing ship without great inconvenience; but in this and all other cast.,
of just detention, the vessel detained shall be sent to the nearest convenient
and safe port, for trial and judgment according to law.

ARTICLE 20th
And whereas it frequently happens, that vessels sail for a port or i:lnce be-
longing to an enemy, without knowing that the same is besieged or blockaded
or invested, it is agreed that every vessel so circumstanced may be turned away
from such port or place, but shall not be detained, nor shall any part of her cargo,
if not contraband, be confiscated, unless, after warning of such blockade or
investment, from the commanding officer of the blockading forces-., she shall
again attempt to enter; but she shall be permitted to go to any other port or
place she shall think proper. Nor shall any vessel that may have entered into such
port before the same was actually besieged, blockaded or invested by the other,
be restrained from quitting that place with her cargo, nor if found therein, after
the reduction and surrender, shall such vessel or her cargo be liable to cofitkCi-
tion, but they shall be restored to the owners thereof.

ARTICLE 21st
In order to prevent all kind of disorder in the visiting and examination of the
ships and cargoes of both the contracting parties on the high seas, they have
agreed mutually, that whenever a national vessel of war, public or private,
shall meet with a neutral of the other contracting party, the first shall reniain
out of cannon shot, unless in stress of weather, and may .send its boat with two


99-592-78---2









or three men only, in order to execute .the ,said examination of the papers
concerning the ownership and cargo of the vessel, without causing the least
extortion, violence or ill treatment, for which the commanders of said armed
ships shall be responsible with their persons and property; for which purpose
the commanders of private armed vessels shall, before receiving tiieir, com-
missions, give sufficient security to answer for all the damages they may
commit. And it is expressly agreed, that the neutral party sha.ll-idm so case
be required to go on board the examining vessel, for the purpose of exhibiting
her papers, or for any other purpose whatever. J '"
a . ,-
ARTICLE .22? "
To avoid all kind of vexation and abuse inr the examination of thepapers relat-
ing to the ownership of the vessels belonging to the citizens of the two lcontract-
ing parties, they have agreed, and do hereby agree, that in case, one of them
should be engaged in war, the ships and vessels belonging to the citizens of, the
other must be furnished with sea letters or passports, expressing the. nasme, prop-
erty and bulk of the ship, as also the name and place of habitation of the master
and commander of the said vessel, in order that it may thereby appear, that the
ship really and truly belongs to the citizens of one of the parties; they have like-
wise agreed, that when such ships have a cargo, they shall also be provided,
besides the said sea letters or passports, with certificates containing :the several
particulars of the cargo, and the place whence the ship sailed, so that it may be
known, whether any forbidden or contraband goods are on board the same, Which
certificates shall be made out by the officers of the place whence the ship sailed,
in the accustomed form, without which requisites, said vessel may be detained,
to be adjudged by the competent tribunal, and may be declared lawful prize,
unless the said defect shall be proved to be owing to accident and shall be satis-
fied or supplied by testimony entirely equivalent.

ARTICLE 28'
It is further agreed, that the stipulations above expressed, relative to the visit-
ing and examination of vessels, shall apply only to those which sail without
convoy, and when said vessels shall be under convoy, the verbal declaration of
the commander of the convoy, on his word of honor, that the vessels under his
protection belong to the nation whose flag he carries, and when they may be
bound to an enemy's port, that they have no contraband goods on board, bshall be
sufficient.
AiL24 :
It is further agreed, that, In all cases, the established courts for prize causes,
in the country to which the prizes may be conducted, shall alone take cognizance
of them. And whenever such tribunals of either party shall pronounce judgment
against any vessel or goods or property claimed by the citizens of the other party,
the sentence or decree shall mention the reasons or motives upon which the same
shall have been founded, and an authenticated copy of the sentence or decree and
of all the proceedings in the case, shall, if demanded, be delivered to the com-
mander or agent of said vessel, without any delay, he paying the legal fees for
the same. .
ARTICLE 25th .
For the purpose of lessening the evils of war, the two high contracting parties,
farther agree that, in case a war should unfortunately take place between them,
hostilities shall only be carried on by persons duly commissioned by the Govern-
ment, and by those under their orders, except in repelling an attack or invasion,.
and in the defense of property. '2
ABTICLB 26r
Whenever one of the contracting parties shall be engaged in war with another
State, no citizen of the other contracting party shall accept a commission or
letter of marque, for the purpose of assisting or cooperating hostilely with the
said enemy against the said parties so at war, under the pain of beif treated as .w
pirate. ,. T .
AETImz 27t
If by any fatality which cannot be expected, and God forbid, thb t wonftiraet-
ing parties should be engaged In a war with each other, they have agreed and do
agree now for then, that there shall be allowed the term of six months to the
*t- 'c. ..'. ,










merchants residing on the coasts and in the ports of each other, and the term of
one year to those who dwell in the interior, to arrange their business and trans-
port their effects wherever they please, giving to them the safe conduct necessary
for it, which may serve as a sufficient protection until they arrive at the desig-
iiated port. The citizens of all other occupations, who may be established in the
territories or dominions of the United States or of New Granada, shall be re-
spected, and maintained in the full enjoyment of their personal liberty and prop-
erty, unless their particular conduct, shall cause them to forfeit this protection,
which in consideration of humanity, the contracting parties engage to give them.

ARTICLE 28th
Neither the debts due from individuals of the one nation to the individuals of
the other, nor shares, nor money which they may have in public funds, nor in
public or private banks, shall ever in any event of war or of national difference
be sequestered or confiscated.
ARTICLE 29th
Both the contracting parties being desirous of avoiding all inequality, in rela-
tion to their public communications and official intercourse, have agreed and do
agree to grant to the envoys, ministers, and other public agents, the same favors,
immunities and exemptions, which those of the most favored nations do or shall
enjoy, it being understood that, whatever favors, immunities or privileges, the
United States of America or the Republic of New Granada may find it proper to
give to the ministers and public agents of any other power, shall, by the same act,
be extended to those of each of the contracting parties.
ARTICLE 30th
To make more effectual the protection which the United States and the Re-
public of New Granada shall afford in future to the navigation and commerce of
the citizens of each other, they agree to receive and admit Consuls and Vice-
consuls, in all the ports open to foreign commerce, who shall enjoy in them all
the rights, prerogatives and immunities of the Consuls and Viceconsuls of the
most favored nation, each contracting party, however, remaining at liberty to
except those ports and places in which the admission and residence of such
Consuls may not seem convenient.

ARTICLE 31st
In order that the Consuls and Viceconsuls of the two contracting parties may
enjoy the rights, prerogatives and immunities which belong to them. by their
public character, they shall, before entering on the exercise of their functions,
exhibit their commission, or patent, in due form, to the Government to which
they are accredited, and having obtained their Exequatur, they shall be held and
(considered as such by all the authorities, magistrates and inhabitants in the
consular district in which they reside.

ARTICLE 32d
It is likewise agreed that the Consuls, their Secretaries, officers and persons
attached to the service of Consuls, they not being citizens of the country in which
the Consul resides, shall be exempt from all public service, and also, from all kind
of taxes, imposts and contributions, except those which they shall be obliged to
pay on account of commerce or their property, to which the citizens and inhabi-
tants native and foreign of the country in which they reside are subject, being
in every thing besides subject to the laws of the recpe'-tive States. The archives
a nd papers of the Consulates shall be respected inviolably, and under no pretext,
whatever, shall any magistrate seize, or, in any way, interfere with them.

ARTICLE 33d 5
The saOid Consuls shall have power to require the assistance of the authorities
of the country, for the arrest, detention and custody of deserters from the public
and private vessels of their country, and for that purpose they shalll address,
themselves, to the courts, judges, and offir-ers competent, and sbhall demand in

SArt. 33 abrogated by the United States July 1, 1916, in accordance with Seamen's Act
of Mar. 4, 1915 (38 Stat. 1164).







10


ri ting the Said deserters; proving b7 an &ufhbtioa of the regi4sr" 9ttl^%WP'
or sEp's nl, or other public document, that those meo were pfa t. ,Qt
crews % and ow this demand so proved savingg however wl.wrw v pnxtrp.
proved fe other testimonies) the delivery AhWall not be refas$. PcsW4dPerters,
when arrested, shaHd beo.xmt at the disposal of the Maid Consula, av biqb t ,
in the puic prisons, 'at the request and expense of those wln.plab 9
be sent to the ships to which they belonged, or to others Of ..app qflai q o5ai9&
if they be not sent back within two months, to be counted from .t day pf .the
arrest, 'they shall be set at liberty, and shall be no more armeti* for tphe 3a
cause.
AWNCLE 34th
For the purpose of more effectually protecting their commerce and navigtion,
the two cottfacting parties do hereby agree to form as soon hereafter a. cEr-
cumstances Will permit, a consular convention,-which shall declare specially
powers and immunities of the Consuls and Viceconsuls of the respeeMtive partly .
ARTICLE 35th
.. -'' ;' ,* ; . '*-
The United States of America and the Republic -of New Granada tesiring to
make as durable as possible, the relations which are to be establlsked between
the two parties by virtue of this treaty, have declared solemnly, aId do aree to
the following points. ..-
1t' For'thet better understanding of the preceding articles, it is, and has boea
stipulated, between the high contracting parties, that the citizens, vessels, and
merchandize of the United States shall enjoy in the ports lof New Graaiada, 4n-
cluding those of the part of the granadian, territory generally denominated
Isthmus of Panama from its southern-most ixtremity until the boundary of Costa
Rica, all the exemptions, privileges and immunities, concerning commerce and
navigation,,which are now, or may hereafter be enjoyed by, GranadiaA citizen,
their vesselswand merchandise; and that this equality of favours qijal be made
to extend tq-the passengers, correspondence and merchandizeO, of .. Uni Sta.es
in .their transit across the said territory, from one sea to the 6theqr. qvebenr
meant of New Granada guarantees to the Government ot the UnitedSate, that
the right of way or transit across the Isthmus of Panamd, upon any os 1of
communication that now exist, or that may be, hereafter, construpted, ..a, 1be
open and free to the Government and citizens of the United States, and for' the
transportation of any articles of produce, manufactures or merchandize, of law-
ful commerce, belonging to the citizens of the United States; that no other tolls
or charges shall be levied or collected upon the citizens of the United States, or
their said merchandise thus passing over any road or canal that may be made by
the Government of New Granada, or by the authority of the'same, than is under
like circumstances levied upon and collected from the granadian citizens: that
any lawful produce, manufactures or merchandize belonging to citizens of the
United States thus passing from one sea to the other, in either direclton, for
the purpose of exportation to any other foreign country, shall net be liable to any
import duties whatever; or having paid such duties, they shall be entitled to
drawback, upon their exportation: nor shall the citizens of the United States be
liable to any duties, tolls, or charges of any kind to which native citizens are not
subjected for thus passing the said Isthmus. And, in order to secure to themselves
the tranquil and constant enjoyment of these advantages, and as an especal com-
pensation for the said advantages and'for the favours they have acquire ty the
4th, 5, and 6' articles of this 'Treaty, the United States guarantee positively and
efficaciously to New Granada, by the present stipulation, the perfect neutrality
of the before mentioned Isthmus, with the view that the free transit from the
one to the other sea, may not be interrupted or embarrassed in any future time
while this Treaty exists; and in consequence, the United Statei also guarantee,
in the same manner, the rights of sovereignty and property which New Granada
has and possesses over the said territory.
2d The present Treaty shall remain in full force and vigor, for the term of
twenty years, from the day of the exchange of the ratifications; and, from the
same day, the treaty that was concluded between the United States and Colombia
on the 13th of October 1824,' shall cease to have effect, notwithstandtng what was
disposed in the 10t point of its 31st article.
6 See TS 55. post. n. 882.
TBS 52, ante, p. 855.







11

3rd Notwithstanding the foregoing, if neither party notifies to the other its
intention of reforming any of, or all, the articles of this treaty twelve months
before the expiration of the twenty years, stipulated above, the said treaty shall
continue binding on both parties, beyond the said twenty years, until twelve
months from the time that one of the parties notifies its intention of proceeding
to a reform.
4th If any one or more of the citizens of either party shall infringe any of the
articles of this treaty, such citizens shall be held personally responsible for the
same, and the harmony and good correspondence between the nations shall not
be interrupted thereby; each party engaging in no way to protect the offender,
or sanction such violation.
5th If, unfortunately, any of the articles contained in this treaty should be
violated or infringed in any way whatever, it is expressly stipulated that neither
of the two contracting parties shall ordain or authorize any acts of reprisal,
nor shall declare war against the other on complaints of injuries or damages,
until the said party considering itself offended shall have laid before the other
a statement of such injuries or damages, verified by competent proofs, demand-
ing justice and satisfaction, and the same shall have been denied, in violation
of the laws of international right.
6th Any special or remarkable advantage that one or the other power may
enjoy, from the foregoing stipulations, are and ought to be always understood in
virtue and as in compensation of the obligations they have just contracted and
which have been specified in the first number of this article.

ARTICLE 36th
The present treaty of peace, amity, commerce and navigation shall be ap-
proved and ratified by the President of the United States, by and with the advice
and consent of the senate thereof, and by the President of the Republic of New
Granada with the consent and approbation of the Congress of the same, and the
ratifications shall be exchanged in the city of Washington, within eighteen
months from the date of the signature thereof, or sooner, if possible.
In faith whereof, we the Plenipotentiaries of the United States of America, and
of the Republic of New Granada have signed and sealed these presents in the city
of Bogota on the twelfth day of December, in the year of Our Lord one thousand
eight hundred and forty six.
[SEAL] B. A. BIDLACK.
[SEAL] M. M. MALLARINO.
ADDITIONAL ARTICLE
The Republics of the United States and of New Granada will hold and admit
as national ships of one or the other, all those that shall be provided by the
respective Government with a Patent issued according to its laws.
The present additional article shall have the same force and validity as if it
were inserted, word for word, in the Treaty signed this day. It shall be ratified,
a nd the ratifications shall be exchanged at the same time.
In witness whereof, the respective Plenipotentiaries have signed the same,
and have affixed thereto their seals.
Done in the city of Bogota, the twelfth day of December, in the year of Our
Lord one thousand eight hundred and forty six.
[SEAL] B. A. BIDLACK.
[SEAL] M. M. MALLARINO.

























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SHIP CANAL (CLAYTON-BULWER TREATY)


Cont renjtion. signed at Washington April 19, 1850.
Senate advice and consent to ratification May 22. 1850.
Ratified by the President of the United States May 23, 1850.
Ratified by the United Kingdom June 11, 1850.
Ratifications exchanged at Washington. July 4, 1850.
Entered into force July 4, 1850.
Proclaimed by the Prc.ident of the United States July 5, 1850.
Salpcr8cded Fcbrduary 21, 1902, by treaty of November 18,1901.1
9 Stat. 995 ; Treaty Series 122 2

CONVENTION BETWEEN THE UNITED STATES OF AMERICA AND HER BRITANNIC
MAJESTY
The United States of America and Her Britannic Majesty, being desirous of
consolidating the relations of amity which so happily suiibsist between them, by
setting forth and fixing in a Convention their views and intentions with reference
to any means of communication by Ship Canal. which may be constructed between
the Atlantic and Pacific Oceans, by the way of the River San Juan de Nicaragua
and either or both of the Lakes of Nicaragua or Managua, to any port or place on
the Pacific Ocean-The President of the United States, has conferred full powers
on John M. Clayton, Secretary of State of the United States; and Her Britannic
Majesty on the Right Honourable Sir Henry Lytton Bulwer, a Member of Her
Majesty's Most Honourable Privy Council, Knight Commander of the Most Hon-
ourable Order of the Bath, and Envoy Extraordinary and Minister Plenipoten-
tiary of Her Britannic Majesty to the United States, for the aforesaid purpose;
and the said Plenipotentiaries having exchanged their full powers, which were
found to be in proper form, have agreed to the following articles.

ARTICLE I
The Governments of the United States and Great Britain hereby declare, that
neither the one nor the other will ever obtain or maintain for itself any exclusive
control over the said Ship Canal; agreeing, that neither will ever erect or main-
tain any fortifications commanding the same, or in the vicinity thereof, or occupy,
or fortify, or colonize, or assume, or exercise any dominion over Nicaragua, Costa
Rica, the Mosquito Coast. or any part of Central America; nor will either make
use of any protection which either affords or may afford, or any alliance which
either has or may have, to or with any State or People for the purpose of erecting
or maintaining any such fortifications, or of occupying, fortifying, or colonizing
Nicaragua, Costa Rica, the Mosquito Coast or any part of Central America, or of
assuming or exercising dominion over the same; nor will the United States or
Great Britain take advantage of any intimacy, or use any alliance, connection or
influence that either may possess with any State or Government through whose
territory the said Canal may pass, for the purpose of acquiring or holding, directly
or indirectly, for the citizens or subjects of the one, any rights or advantages in
regard to commerce or navigation through the said Canal, which shall not be
offered on the same sterns to the citizens or subjects of the other.

ARTICLE II
Vessels of the United States or Great Britain, traversing the said Canal, shall,
in case of war between the contracting parties, be exempted from blockade, deten-
tion or capture, by either of the belligerents; and this provision shall extend to.
such a distance from the two ends of the said Canal, as may hereafter be found
expedient to establish.
I TS 401. post. p. 25S.
2 For a detailed study of this convention, see 5 Mfiller 671.
(13)









ARTICLE III
In order to secure the construction of the said Canal, the contracting parties
engage that, if any such Canal shall be undertaken upon fair and equitable terms
by any parties having the authority of the local Government or Governments,
through whose territory the same may pass, then the persons employed in making
the said Canal and their property used, or to be used, for that object, shall be pro-
tected, from the colmieeement 'of We &aiA Oa(nal to its'comnpktio6, by the Govern-
ments of the United States and Great Britain, from ujuqt etentio.ns.ation,
seizure or any violence whatsoever. u
I b I, \ ., . j : .
4urxoxz IV ,^ i ^ ^ ;
The contracting parties will use whatever influence they respectively exei.,se,
with any State, States or Governments possessing, or claiming to poss'es; any
jurisdiction or right over the territory which1 the said Canal shal traverfe or
which shall be near the waters applicable'thereto; in order to indbce such States,
or Governments, to facilitate the construction of the said Canal by every means in
their power; and furthermore, the United States and Great Britain agree to use
their good offices, wherever or however it may be most expedient, ;in orter to pro-
cure the establishment of two free Ports-one at each end of the said Canal.
AIIcLEc V -
The contracting parties further engage, that, when. the said Canal sha have
been completed, they will protect. it from interruption, seizure orNunjiwt eopfisca-
tion, and that they will guarantee the nettraJity thereof, so that the sal" Canal
may forever be open and free, and the capital invested therein, i seeure. Neverthe-
less, the Governments of the United States and Great Britain, in aordg their
protection to the construction of the said Canal, and guaranteeing its neutrality
and security when completed, always understand that, this protection andguaras-
tee are granted conditionally, and may be withdrawn by both Governments, or
either Government, if both Governments, or either Government, should deem that
the persons, or company, undertaking or managing the same, adopt q establish
such regulations concerning the traffic thereupon, as are c(tra ry ti t spirit
and intention of this Convention-either, by making unfair. discriminations in
favor of the commerce of one of the contracting parties over the commerce of the
other, or by imposing oppressive exactions or unreasonable tolls upon passengers,
vessels, goods, wares, merchandise or other articles. Neither party, however, shall
withdraw the aforesaid protection and guarantee,: without first giving sx months
notice to the other. r
ARTICLE VI .
The contracting parties in this Convention engage to invite every State with
which both or either have friendly intercourse,, to enter into stipulations with
them similar to those which they have entered into with eaph otker; to the end,
that all other States may share in the honor and advantage of having coibuted
to a work of such general interest, and importance as the Canal ierei: eontem-
plated. And the contracting parties likewise agree that, each shaUl enter into
Treaty stipulations with such of .the Ceftral American States, as they may deem
advisable, for the purpose of more effectually, carrying, out the gra.t design of
this Convention, namely-that of const 4uctig. and maintaining ,tb said: Canal
as a ship-communication between the :wo Oceans, for the beneft of mankind, on
equal terms to all, and of protecting the same; and they, also, agree, that the good
offices of. either shall be employed, when requested by the other, .in ading sand
assisting the negotiation of such Treaty stipulations; and, should any differences
arise as to right or property over the territory through which the said Canal shall
pass-between the States or Governments of Central America-and such differ-
ences should, in any way, impede or obstruct the execution of the said Oanal, the
Governments of the United States and GrbattBritain will use thehogiod offices to
settle sueh. differences In the- manner beet suited t promote he 'Iftwin s '6f the
said Canal, and to strengthen the bonds of frieAblkilp andtffltance ficli exist
between the contracting parties. T ,
ARTICLE VII ; ... '1
It being desirable that no time should be unnecessarily lpoIn cbiMn'And
constructing the said Canal, the Governments of the Tnited States and Great
Britain determine to give their suppiort'and encouragement to such persons,










or company, as may first offer to commence the same with the necessary capital,
the consent of the local authorities, and on such principles as accord with the
spirit and intention of this Convention; and if any persons, or company, should
already have, with any State through which the proposed Ship-Canal may pass,
a contract for the construction of such a Canal as that specified in this Conven-
tion-to the stipulation of which contract neither of the contracting parties in this
Convention have any just cause to object-and the said persons, or company,
shall, moreover, have made preparations and expended time, money and trouble
on the faith of such contract, it is hereby agreed, that such persons, or company,
sliall have a priority of claim over every other person, persons or company, to
the protection of the Governments of the United States and Great Britain, and
be allowed a year, from the date of the exchange of the ratifications of this Con-
vention, for concluding their arrangements, and presenting evidence of sufficient
capital subscribed to accomplish the contemplated undertaking; it being under-
stood, that if, at the expiration of the aforesaid period, such persons, or company,
be not able to commence and carry out the proposed enterprise, then the Govern-
ments of the United States and Great Britain shall be free to afford their pro-
tection to any other persons, or company, that shall be prepared to commence
and proceed with the construction of the Canal in question.

ARTICLE VIII

The Governments of the United States and Great Britain having not only
desired in entering into this Convention, to accomplish a particular object, but,
also, to establish a general principle, they hereby agree to extend their protection,
by Treaty stipulations, to any other practicable communications, whether by
Canal or rail-way, across the Isthmus which connects North and South America;
and, especially, to the interoceanic communications-should the same prove to
be practicable whether by Canal or rail-way-which are now proposed to be
established by the way of Tehuantepec, or Panama. In granting, however, their
joint protection to any such Canals, or rail-ways, as are by this Article specified,
it is always understood by the United States and Great Britain, that the parties
constructing or owning the same, shall impose no other charges or conditions of
traffic thereupon, than the afforesaid Governments shall approve of, as just and
equitable; and, that the same Canals, or rail-ways, being open to the citizens
and subjects of the United States and Great Britain on equal terms, shall, also, be
open on like terms to the citizens and subjects of every other State which is
willing to grant thereto, such protection as the United States and Great Britain
engage to afford.
ARTICLE IX

The ratifications of this Convention shall be exchanged at Washington, within
six months from this day, or sooner, if possible.
In faith whereof, we, the respective Plenipotentiaries, have signed this Con-
vention, and have hereunto affixed our seals.
Done, at Washington, the nineteenth day of April, Anno Domini, one thousand
eight hundred and fifty.
[SEAL] JOHN M. CLAYTON.
[SEAL] HENRY LYTTON BULWER.





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SHIP CANAL (HAY-PAUNCEFOTE TREATY)


Treaty signed at Washington Novenmber 18, 1901.
Snciate advice and conwsent to ratification Dccemtlber 16, 1901.
Ratified by the President of the United States Dececi tber 26, iol.
Ratified by the United Kingdom Jan itary 20, 1902.
1?atifications exchanged at Washington February 21, 1902.
Entered into force Febrtuary 21, 1902.
Prorlainined by the 'Presi(.idnt of the United States Feblbiary 22, 1902.
32 Stat. 1903; Treaty Series 401
The United States of America and His Majesty Edward the Seventh, of the
United Kingdulm of Great Britain and Ireland, and of the British Dominions
I'eyond the Seas, King, and Emperor of India, being desirous to facilitate
the construction of a ship canMal to connect the Atlantic and Pacific Oceans, by
whatever route may be considered expedient, and to that end to remove any
objection which may arise out of the Convention of the 19th April, 1950,1
ciinmmouly called the Clayton-Bulwer Treaty, to the construction of such c;i:u;l
under the auspices of the Government of the United States, without impairing
the "general principle" of neutralization established in Article VIII of that
(Convention, have for that purpose appointed as their Plenipotentiaries.
The President of the United States, John Hay, Secretary of State of the United
States of America;
And His Majesty Edward the Seventh, of the United Kingdom of Great Britain
and Ireland, and of the British DIominions beyond the Seas, King, and Emperor
of India, the Right Honorable Lord Pauncefote, G. C. B., G. C. M. G., His
Majesty's Anilbassador Extraordinary and Plenipotentiary to the United States:
Who, having communicated to each other their full powers which were found
to be in due and proper form, have agreed upon the following Articles:

ARTICLE I
The High Contracting Parties agree that the present Treaty shall supersede the
afore-mentioned Convention of the 19th April, 1850.

ARTICLE II
It is agreed that the canal may be constructed under the auspices of the
Government of the United States, either directly at its own cost, or by gift
or loan of money to individuals or Corporations, or through subscription to or
purchase of stock or shares, and that, subject to the provisions of the present
Treaty, the said Government shall have and enjoy all the rights incident to such
construction, as well as the exclusive right of providing for the regulation and
management of the canal.
ARTICLE III
The United States adopts, as the basis of the neutralization of such ship
canal, the following Rules, substantially as embodied in the Convention of
Constantinople, signed the 28th [29th] October, 1888,2 for the free naviga-
tion of the Suez Canal, that is to say :
1. The canal shall be free and open to the vessels of commerce and of war
of all nations observing these Rules, on terms of entire equality, so that there
shall be no discrimination against any such nation, or its citizens or subjects.
in respect of the conditions or charges of traffic, or otherwise. Such conditions
and charged of traffic shall be just and equitable.
1 TS 122. ante, p. 105.
2 For text, see British and Foreign State Papers, vol. 79, p. 18.
(17)








18


2. The canal shall never be blockaded, nor shall any right of war be exercised
nor any act of hostility be committed within it. The United States, however,
shall be at liberty to maintain such military police along the canal as may be
necessary to protect it against lawlessness and disorder.
3. Vessels of war of a belligerent shall not revictual nor take any stores in
the canal except so far as may be strictly necessary; and the transit of such
vessels through the ca4#l shall bq effected with the lsastl paqsaible delay in ac-
cordance with the Regulations in force, and with only such intermission as may
result from the necessities of the service. . ,.,,
Prizes shall be in klU reflpects subject to the same Rules s vessels o rwr.of
the belligerents. -. ,'.'
4. No belligerent shall embark or disembark troops,,munitionsa of %waAor
warlike materials in the canal;'efept 'in awe- .of accidental ,hindraue. o Cthe
transit, and in such case the transit shall beoresumed, with all possible dispatch.
5. The provisions of this Article shall apply to waters' adjacent to the canal,
within 3 marine miles of either end. Vessels of war of a belligerent shall not
remain in such waters longer than twenty-four hours at any one time, except
in case of distress, and in such case shall depart ai soo9 as possible ;butt a rwel
of war of one belligerent shall nql depart within twenty-ftor hoars fli'#fe
departure of a vessel, of war of the bther helig.erent /,
6. The plant, establishments, buildings, and a41l,'Worknecqssary t01 t.econ
struction, maintenance, and operation of: the. ca'na l' a be .deee4 to be pt
thereof, for the purposes of this Treaty, And in time pof w.ar, tas ii l of pece,
shall enjoy complete immunity from attack or injury by bellgqrents, anA'.rm
acts calculated to impair their usefulness as .part of the, canal. ,


It is agreed that no change of territorial sovereignty or of the tftetinatmnlI
relations of the country or countries traversed by the beforei-miention & 4 ica
shall affect the general principle of neutralization or the obligation of' tiAei5'gh
Contracting Parties under the present Treaty. 1 ;' "
AtrICLE V -' : 4

The present Treaty shall be ratified by the President of the United Stateu; by
and with the advice and consent of the Senate thereof, and by His Britannic
Majesty; and the ratifications shall be exchanged at Washington or at London
at the earliest possible time within six months from the date hereof,
IN FAITH WHEREOF the respective' Plenipftentiaties have siged fthis Tatty
and thereunto affixed their seals. '
DONE in duplicate at Washington, the 18it day of November, in the year of
Our Lord one thousand nine hundred and one.
[SEAL] ., -. O :H;A
[SEAL] ,- PAUt. OTE. ..
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THE SPOONER ACT'1


AN ACT To provide for the construction of a canal connecting the waters of the
Atlantic and Pacific oceans.
Be it enacted by the Senate and House of Representittires of the United States
of America in Congress assembled, That the President of the United States is
hereby authorized to acquire, for and on behalf of the United States, at a cost not
exceeding forty millions of dollars, the rights, privileges, franchises, concessions,
grants of land, right of way, unfinished work, plants, and other property, real,
personal, and mixed, of every name and nature, owned by the New Panama Canal
Company, of France, on the Isthmus of Panama, and all its maps, plans, drawings,
records on the Isthmus of Panama and in Paris, including all the capital stock,
not less, however, than sixty-eight thousand eight hundred and sixty-three shares
of the Panama Railroad Company, owned by or held for the use of said canal com-
pany, provided a satisfactory title to all of said property can be obtained.
SEC. 2. That the President is hereby authorized to acquire from the Republic of
Colombia, for and on behalf of the United States, upon such terms as he may deem
reasonable, perpetual control of a strip of land, the territory of the Republic of
Colombia, not less than six miles in width, extending from the Caribbean Sea to
the Pacific Ocean, and the right to use and dispose of the waters thereon, and to
excavate, construct, and to perpetually maintain, operate, and protect thereon a
canal, of such depth and capacity as will afford convenient passage of ships of the
greatest tonnage and draft now in use, from the Caribbean Sea to the Pacific
Ocean, which control shall include the right to perpetually maintain and operate
the Panama Railroad, if the ownership thereof, or a controlling interest therein,
shall have been acquired by the United States, and also jurisdiction over said strip
and the ports at the ends thereof to make such police and sanitary rules and regu-
lations as shall be necessary to preserve order and preserve the public health
thliereon, and to establish such judicial tribunals as may be agreed upon thereon
as may be necessary to enforce such rules and regulations.
The President may acquire such additional territory and rights from Colombia
as in his judgment will facilitate the general purpose hereof.
SEC. 3. That when the President shall have arranged to secure a satisfactory
title to the property of the New Panama Canal Company, as provided in section
one hereof, and shall have obtained by treaty control of the necessary territory
from the Republic of Colombia, as provided in section two hereof, he is authorized
to pay for the property of the New Panama Canal Company forty millions of
dollars and to the Republic of Colombia such sum as shall have been agreed
upon, and a sum sufficient for both said purposes is hereby appropriated, out
of any money in the Treasury not otherwise appropriated, to be paid on warrant
or warrants drawn by the President.
The President shall then through the Isthmian Canal Commission hereinafter
authorized cause to be excavated, constructed, and completed, utilizing to that
end as far as practicable the work heretofore done by the New Panama Canal
Company, of France, and its predecessor company, a ship canal from the Carib-
bean Sea to the Pacific Ocean. Such canal shall be of sufficient capacity and
depth as shall afford convenient passage for vessels of the largest tonnage and
greatest draft now in use, and such as may be reasonably anticipated, and
shall be supplied with all necessary locks and other appliances to meet the
necessities of vessels passing through the same from ocean to ocean; and he
shall also cause to be constructed such safe and commodious harbors at the
termini of said canal, and make such provisions for defense as may be necessary
for the safety and protection of said canal and harbors. That the President is
authorized for the purposes aforesaid to employ such persons as he may deem
necessary, and to fix their compensation.
SEC. 4. That should the President be unable to obtain for the United States
a satisfactory title to the property of the New Panama Canal Company and
1 United States Statutes at Large, Vol. XXXII, Pt. I, Chap. 1302.
(19)







20

the control of the necessary territory of the Republic of Colombia and the rights
mentioned in sections one and two of this Act, within a reasonable time and
upon reasonable terms, then the President, having first obtained for the United
States perpetual control by treaty of the necessary territory from Costa Rica
and Nicaragua, upon terms which he may consider reasonable, for the con-
struction, perpetual maintenance, operation, and protection of a canal connect-
ing the Caribbean Sea with the Pacific Ocean by what is commonly known as
the Nicaragua route, shall through the said Isthmian Canal Commission cause
to be excavated and constructed a ship cenal and waterway from a poipt on
the shore of the Caribbean Sea near Greytown, by way of Lake Nicaragua, to
a point near Brito on the Pacific Ocean. Said canal shall be of sufficient capacity
and depth to afford convenient passage for vessels of the largest tonnage and
greatest draft now in use, and such as may be reasonably anticipated, and shili
be supplied with all necessary locks and other appliances to meet the necessities
of vessels passing through the same from ocean to ocean; and hb shall also
construct such safe and commodious harbors at the termini of said canal as
shall be necessary for the safe and convenient use thereof, and shall mike such
provisions for defense as may be necessary for the safety and protection of Said
harbors and canal; and such sum or sums of money as 'may be agreed upon
by such treaty as compensation to be paid to Nicaragua and Costa Rica for the
concessions and rights hereunder provided to be acquired by the United States,
are hereby appropriated, out of any money in the Treasury not otherwise appro-
priated, to be paid on warrant or warrants drawn by the President.
The President shall cause the said Isthmian Canal Commission to make stich
surveys as may be necessary for said canal and harbors to be made, and in
making such surveys and in the construction of said canal may employ such
persons as he may deem necessary, and may fix their compensation.
In the excavation and construction of said canal the San Juan River- and
Lake Nicaragua, or such parts of each as may be made available, shall be uned.
SEc. 5. That the sum of ten million dollars is hereby appropriated, out of any
money in the Treasury not otherwise appropriated, toward the project herein
contemplated by either route so selected. '
And the President is hereby authorized to cause to be entered into such con-
tract or contracts as may be deemed necessary for the proper excavation, con-
struction, completion, and defense of said canal, harbors, and defenses, by the
route finally determined upon under the provisions of this Act. Appropriations
therefore shall from time to time be hereafter made, not to exceed in the aggre-
gate the additional sum of one hundred and thirty-five millions of dollars should
the Panama route be adopted, or one hundred and eighty millions of dollars
should the Nicaragua route be adopted.
SEC. 6. That in any agreement with the Republic of Colombia, or with the
States of Nicaragua and Costa Rica, the President is authorized to guarantee to
said Republic or to said States the use of said canal and harbors, upon such
terms as may be agreed upon, for all vessels owned by said States or by citizens
thereof.
SEC. 7. That to enable the President to construct the canal and Works appur-
tenant thereto as provided in this Act, there is hereby created the Isthmian
Canal Commission, the same to be composed of seven members, who shall be
nominated and appointed by the President, by and with the advice and consent
of the Senate, and who shall serve until the completion of said canal unless
sooner removed by the President, and one of whom shall be named as the chair-
man of said Commission. Of the seven members of said Commission at least four
of them shall be persons learned and skilled in the science of engineering, and
of the four at least one shall be an officer of the United States Army, and at
least one other shall be an officer of the United States Navy, the said officers
respectively being either upon the active or retired list of the Army or of the
Navy. Said commissioners shall each receive such compensation as the President
shall prescribe until the same shall have been otherwise fixed by the Cong*ss.
In addition to the members of said Isthmian Canal. Commission, the President
is hereby authorized through said Commission to employ in said service any of
the engineers of the United States Army at his discretion, and likewise to em-
ploy any engineers in civil life, at his discretion, and any other persons necessary
for the proper and expeditious prosecution of said work. The compensation of
all such engineers and other persons employed under this Act shall be fixed by
said Commission, subject to the approval of the President. The official salary of
any officer appointed or employed under this Act shall be deducted from the








21

amount of salary or compensation provided by or which shall be fixed under
the terms of this Act. Said Commission shall in all matters be subject to the
direction and control of the President, and shall make to the President annually
and at such other periods as may be required, either by law or by the order of
the President, full and complete reports of all their acting and doings and of
all moneys received and expended in the construction of said work and in the
performance of their duties in connection therewith, which said reports shall
lbe by the President transmitted to Congress. And the said Commission shall
furthermore give to Congress, or either House of Congress, such information as
may at any time be required either by Act of Congress or by the order of either
hlouse of Congress. The President shall cause to be provided and assigned for the
use of the Commission such offices as may, with the suitable equipment of the
same, be necessary and proper, in his discretion, for the proper discharge of
the duties thereof.
SEC. 8. That the Secretary of the Treasury is hereby authorized to borrow
on the credit of the United States from time to time, as the proceeds may be
required to defray expenditures authorized by this Act (such proceeds when
received to be used only for the purpose of meeting such expenditures), the sum
of one hundred and thirty million dollars, or so much thereof as mnay be neces-
sary, and to prepare and issue therefore coupon or registered bonds of the United
States in such form as he may prescribe, and in denominations of twenty
dollars or some multiple of that sum, redeeminable in gold coin at the p1leaiure
of the United States after ten years from the date of their issue, and payable
thirty years from such date, and bearing interest payable quarterly in gold coiln
at the rate of two per centum per annum; and the bonds herein authorized shall
be exempt from all taxes or duties of the United States, as well as from taxation
in any form by or under State, municipal, or local authority: Provided, That
.said bonds may be disposed of by the Secretary of the Treasury at not less
than par, under such regulations as he may prescribe, giving to all citizens of
the United States an equal opportunity to subscribe therefore, but no commissions
shall be allowed or paid thereon; and a sum not exceeding one-tenth of one per
centiumn of the amount of the bonds herein authorized is hereby appropriated, out
of any money in the Treasury not otherwise appropriated, to pay the expense of
preparing, advertising, and issuing the same.
Approved, June 28, 1902.












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[Senate, Executive K, Fifty-seventh Congress, second session]


TREATY WITH COLOMBIA-HAY-HERRAN


MESSAGE FROM THE PRESIDENT OF THE UNITED STATES


TRANSMITTING A CONVENTION BETWEEN THE UNITED STATES AND THE REPUBLIC OF
COLOMBIA FOR THE CONSTRUCTION OF A SHIP CANAL, ETC., TO CONNECT THE WATERS
OF THE ATLANTIC AND PACIFIC OCEANS, SIGNED JANUARY 22, 1903


JANUARY 23, 1903.-Read; convention read the first time and referred to the
Committee on Foreign Relations, and, together with the message, ordered to be
printed in confidence for the use of the Senate.
JANUARY 24,1903.-Injunction of secrecy removed.
MARCH 5, 1903.-Again referred to the Committee on Foreign Relations.
MARCH 9,1903.-Reported without amendment.
MARCH 17, 1903.-Senate advises and consents to ratification.

To the Senate:
I transmit herewith, with a view to receiving the advice and consent of the
Senate to its ratification, a convention between the United States of America and
the Republic of Colombia for the construction of a ship canal, etc., to connect
the waters of the Atlantic and Pacific oceans, signed at Washington on Janu-
a ry 22, 1903.
THEODORE ROOSEVELT.
WHITE HOUSE, January 23,1903.

The PRESIDENT:
The undersigned, Secretary of State, has the honor to lay before the President
for his consideration a convention between the United States of America and the
Republic of Colombia for the construction of a ship canal, etc., to connect the
waters of the Atlantic and Pacific oceans, signed by the respective plenipoten-
tiaries of the two Governments on January 22, 1903.
JOHN HAY.
DEPARTMENT OF STATE,
Washington, January 23,1903.

The United States of America and the Republic of Colombia, being desirous
to assure the construction of a ship canal to connect the Atlantic and Pacific
Oceans and the Congress of the United States of America having passed an Act
approved June 28, 1902, in furtherance of that object, a copy of which is here-
unto annexed, the high contracting parties have resolved, for that purpose, to
conclude a Convention and have accordingly appointed as their plenipotentiaries,
The President of the United States of America, John Hay, Secretary of State,
-and
The President of the Republic of Colombia, Thomas Herran, Charge d'Affaires,
thereunto specially empowered by said government, who, after communicating
to each other their respective full powers, found in good and due form, have
41 greed upon and concluded the following Articles:
!23)


99-592-78-3







24

ARTICnL I

The Government of Colombia authorizes the New Panama Canal Company
to sell and transfer to the United States its rights privileges, properties, and
concessions, as well as the Panama Railroad and all the shares or part of the
shares of that company; but the public lands situated outside of the zone here-
inafter specified, now corresponding to the concessions to both said enterprises
shall revert to the Republic of Colombia, except any property now owned by or
in the possession of the said companies within Panama or Colon, or the ports
and terminals thereof.
But it is understood that Colombia reserves all its rights to the special shares
in the capital of the New Panama Canal Company to which reference is made
in Article IV of the contract of December 10, 1890, which shares shall be paid
their full nominal value at least; but as such right' of Colombia exists solely
in its character of stockholder in said Company, no obligation under this pro-
vision is imposed upon or assumed by the United States.
The Railroad Company (and the United States as owner of the enterprise)
shall be free from the obligations imposed by the. railroad concession, o.eepting
as to the payment at maturity by the Railroad Company of the outstanding bonds
issued by said Railroad Company.
ABTICmL II -
The United States shall have the exclusive right for the term of one. hundred
years, renewable at the sole and absolute option of the United States,. for .Veriods
of similar duration so long as the United States ,may desire, tsr exeavat., con-
struct, maintain, operate, control, and protect the Maritime Canal with or without
locks from the Atlantic to the Pacific Ocean, to and across the territory of
Colombia, such canal to be of sufficient depth and eapacity for vessels- n-t the
largest tonnage and greatest draft now engaged in commerce, and such. as may
be reasonably anticipated, and also the same rights for the construction, main-
tenance, operation, control, and protection of the Panama Railroad and of rail-
way, telegraph and telephone lines, canals, dikes, dams, and reservbirs,ti d sueh
other auxiliary works as may be necessary and convenient for the construction,
maintenance, protection, and operation of the canal and railroads. .
9 : ;i 9*I. *
ARTICLE III -.,, .*
To enable the United States to exercise the rights and privileges granted by
this Treaty the Republic of Colombia grants to that Gove.rnet. the use and
control for the term of one hundred years, renewable at the sole and absolute
option of the United States, for periods of similar duration so long as the United
States may desire, of a zone of territory along the route of the carmtidt beacon,
structed five kilometers in width on either side thereof measured. from its eater
line including therein the necessary auxiliary canals not expedip in any.. case
fifteen miles from the, main canal and other works, together wi ten . aothoms of
water in the Bay of Limon in extension of the canal. and at least three. marine
miles from mean low water mark from each terminus of the .cunal tfi-.the
Caribbean Sea and the Pacific Ocean respectively. So far as necessary *6r tthe
construction, maintenance and operation of the canal, the United .StaXte.*.all
have the use and occupation of the group of small islands in the B4 of.Panama
named Perico, Naos, Culebra and Flamenco, but the'same shall mot be construed
as being within the zone herein defined nor governed by th.e special pVrovisions
applicable to the same. ,, ,..,
This gant shall in no manner invalidate the titles, or rigbta g private land
owners in the said zone of territory, nor shall it inerfere with! M e gb4t of
way over the public roads of the Department; provided, however, ,Oiat nothing
herein contained shall operate to diminish, impair or restict the rights else-
where herein granted to the United States. .
This grant shall not include the cities of Panama and Coton, except so far..as
lands and Qther property therein are now owned by or ln,possewsion of the said
Canal Compainy or the said Railroad Company; but all the stiulations containpd
in Article 85 of the Treaty of 1846-48 between the contra .. pe s shall con-
tinue and apply in full force to the cities of Panama and Col.i' and .to the
accessory community lands and other property within the said zone, and the
territory thereon shall be neutral territory, and the United States shall continue
to guarantee the neutrality thereof and the sovereignty of Colombia thereover,
in conformity with the above-mentioned Article 85 of said Treaty.







25


In furtherance of this last provision there shall be created a Joint Commission
by the Governments of Colombia and the United States that shall establish and
enforce sanitary and police regulations.
ARTICLE IV

The rights and privileges granted to the United States by the terms of this
convention shall not affect the sovereignty of the Republic of Colombia over the
territory within whose boundaries such rights and privileges are to be exercised.
The United States freely acknowledges and recognizes this sovereignty and
disavows any intention to impair it in any way whatever or to increase its
territory at the expense of Colombia or of any of the sister republics in Central
or South America, but on the contrary, it desires to strengthen the power of the
republics on this continent, and to promote, develop and maintain their prosper-
ity and independence.
ARTICLE V
The Republic of Colombia authorizes the United States to construct and
maintain at each entrance and terminus of the proposed canal a port of vessels
using the same, with suitable light houses and other aids to navigation, and the
United States is authorized to use and occupy within the limits of the zone
fixed by this convention, such parts of the coast line and of the lands and islands
aiacent thereto as are Iieces-;try for this purpis.e, including the construction
and maintenance of breakwaters, dikes, jetties, embankments, coaling stations,
docks and other appropriate works, and the United States undertakes the con-
struction and maintenance of such works and will bear all the expenses thereof.
The ports when established are declared free, and their demarcations shall be
clearly and definitely defined.
To give effect to this Article, the United States will give special attention
and care to the maintenance of works for drainage, sanitary and healthful
purposes along the line of the canal, and its dependencies, in order to prevent
the invasion of epidemics or of securing their prompt suppression should they
al)pear. With this end in view the United States will organize hospitals along
the line of the canal, and will suitably supply or cause to be supplied the towns
of Panama and Colon with the necessary aqueducts and drainage works, in
order to prevent their becoming centers of infection on account of their proximity
to the canal.
The Government of Colombia will secure for the United States or its nominees
the lands and rights that may be required in the towns of Panama and Colon
to effect the improvements above referred to, and the Government of the United
States or its nominees shall be authorized to impose and collect equitable water
rates, during fifty years for the service rendered; but. on the expiration of said
term the use of the water shall be free for the inhabitants of Panama and Colon,
except to the extent that may be necessary for the operation and maintenance
of said water system, including reservoirs, aqueducts, hydrants, supply service,
drainage and other works.
ARTICLE VI
The Republic of Colombia agrees that it will not cede or lease to any foreign
Government any of its islands or harbors within or adjacent to the Bay of
Panama. nor on the Atlantic Coast of Colombia, between the Atrato River and
the western boundary of the Department of Panama, for the purpose of estab-
lishing fortifications, naval or coaling stations, military posts, docks or other
works that might interfere with the construction, maintenance, operation, pro-
tection, safety, and free use of the canal and auxiliary works. In order to enable
Colombia to comply with this stipulation, the Government of the United States
agrees to give Colombia the material support that may be required in order to
prevent the occupation of said islands and ports, guaranteeing there the sov-
ereignty, independence and integrity of Colombia.

ARTICLE VII
The Republic of Colombia includes in the foregoing grant the right without
obstacle, cost, or impediment, to such control, consumption and general utiliza-
tion in any manner found necessary by the United States to the exercise by it of
the grants to, and rights conferred upon it by this Tieaty, the waters of the
Chagres River and other streams, lakes and lagoons, of all non-navigable waters,







26


natural and Artificial, and t iw to navigate all' r≤, stream hlanes andi other
navigable water-ways, within t 6e jurisdiction ad under tedomnion .:i tt
Republic of Colombia, in the Department of-Panama wtthiia or withoutsaid .ome,
as may be necessary or desirable for the construction, maintenance and operation
of the canal and its auxiliary canals and other-works, and without tolls or charges
of any iqnd; and to raise and. lower thel levels of the waters, and to deflect them,
and to impound any such watbrs and to overflow any lands necessaryyto" tr due
exercise of such grants and r ts' to the'United ,States; and to rectify, contrut
and improve the navigation of af such rivers, streams, lakes and lagons kt ite
sole cost of the United States but any such waterways so' made by thie United
States may be used by citizens of Colombia free-of tolls or other charges.A$
the United States shall have the right to use without cost, any water,'stb.t
clay, earth, or other minerals belonging to Colombfk on the .pMblic domain'%a
may be needed by it. ''"
All damages caused to private land owners by inundation or by the deviatioxi
of water courses, or in other ways, arising out of the construction or operation
of the canal, shall in each case be appraised and settled by, a joint commission. ap-
pointed by the Governments of the United States and Colombia, but the ot ..of
the indemnities so agreed upon shall be borne solely by the United States. ,

ARTICLE VIII ,
The Government of Colombia declares free for all time the ports at either
entrance of the Canal, including Panama and Colop. and the waters thereof in
such manner that there shall not be collected by the Government of Colombia
custom house tolls, tonnage, anchorage, light-house, wharf, pilot, oqt quar.nt iUp
dues, nor any other charges ot taxes of any kind shall be levied or imposed by: tie
Government of Colombia upon any vessel using or passing through thie Ca.l or
belonging to or employed by the United States, directly or indirecty, in connection
with the construction, maintenance and operation of the main work., or .,Its
auxiliaries, or upon the cargo, officers, crew, or passengers of any such vesss:
it being the intent of this convention that all vessels and their cargoes, qrews, asd
passengers, shall be permitted to use and pass through the Canal and. the po10
leading thereto, subject to no other demands or 'impositions than such tolls and
charges as may be imposed by the United .States for the use of the Canal pnd
other works. It being understood that such tolls and charges shall be governedby
the provisions of Article XVI.......
The ports leading to the Canal, including Panama and Colon, also shall be
free to the commerce of the world, tnd no duties or taxes shall be imposed, except
upon merchandise destined to be Introduced for the consumption of the rest of
the Republic of Colombia, or the Department of Panama, and upon vessels touch-
ing at the ports of Colon and Panama and which do not cross the Canal.
Though the said ports shall be free and open to all, the Government of Colom-
bia may establish in them such custom houses and guards as Colombia may deem
necessary to collect duties on importations destined to other portions of Colombia
and to prevent contraband trade. The United States shall have the right to make
use of the ports at the two extremities of the Canal Including Panama and Colon
as places of anchorage, in order to make repairs for loading; unloading, depositing
or transshipping cargoes either in transit or destined for the service of the Canal
and other works.
Any concessions or privileges granted by Colombia for the operation of light
houses at Colon and Panama shall be subject to expropriation, indemnification
and payment in the same manner as provided by Article XIV in respect to the
property therein mentioned.; but Colombia shall make no additional grant of any
such privilege nor change the status of any existing coneessieon. : t.

.., ARTICLE IX ,. ... ,
There shall not be imposed any taxes, national, munielpali, departmental, or of
any other class, upon the canal, the vessels that may use it, tugs and other
vessels employed in the service of the canal, the railways and auxiliary works,
store houses, work shops, offices,... quarters for-laborere ftactories -f all kiN&s,
warehouses, wharves, machinery ald other works, proprty and -ffeets appeiu
training to the canal or railroad or that may be necessary far the service o uti
canal or railroad and their dependencies whether situated within the. eittes*41
Panama and Colon, or any other place aut.oried by the prWvltoniU o, tkf
convention.







27


Nor shall there be imposed contributions or charges of a personal character of
whatever .species upon officers, employees, laborers, and other individuals in the
service of the canal and its dependencies.
ARTICLE X

It is agreed that telegraph and telephone lines, when established for canal
purposes, may also, under suitable regulations, be used for public and private
business in connection with the systems of Colombia and the other American
Republics and with the lines of cable companies authorized to enter the ports
and territories of these Republics; but the official dispatches of the Government
of Colombia and the authorities of the Department of Panama shall not pay for
such service higher tolls than those required from the officials in the service of
the United States.
ARTICLE XI
The Government of Colombia shall permit the immigration and free access
to the lands and workshops of the canal and its dependencies of all employees
and workmen of whatever nationality under contract to work upon or seeking
employment or in any wise connected with the said canal and its dependencies,
with their respective families, and all such persons shall be free and exempt
from the military service of the Republic of Colombia.

ARTICLE XII
The United States may import at any time into the said zone, free of customs
duties, imposts, taxes, or other charges, and without any restriction, any and all
vessels, dredges, engines, cars, machinery, tools, explosives, materials, supplies,
and other articles necessary and convenient in the construction, maintenance and
operation of the canal and auxiliary works, also all provisions, medicines, cloth-
ing. supplies and other things necessary and convenient for the officers, employees,
workmen and laborers in the service and employ of the United States and for
their families. If any such articles are disposed of for use without the zone
excepting Panama and Colon and within the territory of the Republic, they shall
be subject to the same import or other duties as like articles under the laws of
Colombia or the ordinances of the Department of Panama.

ARTICLE XIII
The United States shall have authority to protect and make secure the canal,
as well as railways and other auxiliary works and dependencies, and to preserve
order and discipline among the laborers and other persons who may congregate
in that region and to make and enforce such police and sanitary regulations as it
may deem necessary to preserve order and public health thereon, and to protect
navigation and com nimerce through and over said canal, railways and other
works and dependencies from interruption or damage.
I. The Republic of Colombia may establish judicial tribunals within said zone,
for the determination, according to its laws and judicial procedure, of certain
controversies hereinafter mentioned.
Such judicial tribunal or tribunals so established by the Republic of Colombia
shall have exclusive jurisdiction in said zone of all controversies between citizens
of the Republic of Colombia, or between citizens of the Republic of Colombia and
citizens of any foreign nation other than the United States.
II. Subject to the general sovereignty of Colombia over said zone. the United
States may establish judicial tribunals thereon, which shall have jurisdiction of
certain controversies hereinafter mentioned to be determined according to the
laws and judicial procedure of the United States.
Such judicial tribunal or tribunals so established by the United States shall
have exclusive jurisdiction in said zone of all controversies between citizens
of the United States, and between citizens of the United States and citizens of
any foreign nation other than the Republie of Colombia; and of all controversies
in any wise growing out of or relating to the construction, maintenance or
operation of the canal, railway and other properties and works.
III. The United States and Colombia engage jointly to establish and maintain
upon said zone, judicial tribunals having civil, criminal and admiralty juris-
diction and to be composed of jurists appointed by the Governments of the
United States and Colombia in a manner hereafter to be agreed upon between







15


said Gbyernments, and Whichtturntffilsall ut e Aiurhaii w'Eeae
troverisies hereinafter ient onet, d of 'xIU crimes' felmialEnmdnedemnoe
committed within said zone, and of all1c6ases afl~igii In Stfir brdlbm!, rib
such laws and procedure as shall bq hereafter agreed upon and declared by the
two governments. :' .
Such. joint judicial, tribunal .hallhave exclusive j p'41t in *id zon eof
n31 controversies between citi00nk of a ie Unted t~te4 4 t
and between citizens of ntWmions otiei, tin C6oI0blaa or.t1,tlttted t
also o aul cries, fepm. n WM nqdfineanors comired witMh. on,
of all questions and atdmiwty h.rng therein;. 4 0. , .,4
IV. The two Governmeints lireafter, and from timet.q m.accon
shall agree upon anid .estja4blish tb laws an4 procedure whic, al goqverpl sicb
joint judicial tibunal and whichAshall be applpabCle to the -'rsons iqtd a
over which such tribunal shall have/jurisdiction, and also shAll likew'isecfIeate
the requisite officers and employee of such 'court and establish their powers
and duties; and further shal, make adequate proviion by: like: agreement for
the pursuit,' capture, imprisonment, detention and delivery within 'p.aid eOne
of persons charged with the commitment of crimes, .felonies or:. misdemeanors
without said zone;, and for the pursuit, capture imprisouinent, .detention #nd
delivery without said mone of persons charged with the commitment of crimes,
felonies and misdemeanors within said zone. ., l! .


The works of the canal, the railways and their- auxiliaries are declared of
public utility, and in consequence .allfareas of land awl water necessary for the
construction, maintenance,, and operation of the canal.nd the other specified
works may be expropriated in conformity with the l.-ws p. Calombia, ,ewcapt
that the indemnity shall be conclusively determined without appeal, by aI joiat.
commission appointed; by the Governments.:of Golombia and the Un.ted :Stat4s
The indemnities awarded by the Commission for such expropriation shall be
borne by the United States, but the appraisal .of said lands,an*1 the assessment
of damages shall be based upon their: value before the commencement oft ,th
work upon the canal., X .. : :
AmTIO&ME XV:. ;
The Republic of Colombia grants to the United States the use of all the ports
of the Repufblic open to commerce as places of refuge for any vessels employed
in the canal enterprise, and for all vessels in distress having the right top.ss
through the canal and wishing to anchor in said ports. Such .vessels shall be
exempt from anchorage and tonnage dues on the port of Colombi ,
I: ,: "'''
A.*TIOIE. XVI ,Pr
The canal, when constructed, and the entrance thereto shall be neuitrt.Jin
perpetuity, and shall be.,ppened upon the terms provided tor by, :*ki of
Article three of, and in conformity with all the stipulations of, the trety entered
into by the Governments of the United 'States anl Great Brltai on Novejer.18,
1901.
ARTICLE XVII ..
The Government of Colombia shall have the right to transport over the c l1
its vessels, troops, and munitions of war at all times,*ithout payng charges
of any kind. This exemption is to be extended to the atxiliary railway for the
transportation of persons in the service of the Repb-.lic of Colmbia .Wr of the.
Department -of Panama, or of the police force charged with tie preservation
of public order outside of said zone, as well as to thi6 baggage, munitions
war and supplies. A "n x ...
ABTI~Cr XVIII li '.
.. i 4 m. l .; 1*: *:'
The United States shall have full power and authority to establiSh a and enforce
regulations for the use of the canal, railways, and the entering ports -and anxi0fary.
works, and to fix rates of.. tolls and charges thereof, subject to the Iimttatons
stated in Artlvle XVI. *" '. '. j ,..
S, X* i_. .4.N ., . u I
The rights and privileges granted ..0 tbi tUnit4 Statel y oe coAxaeisfljae na
not affect the sovereignty of the kiptiblic of Cdlombia over the real estate tiat







29

may be acquired by the United States by reason of the transfer of the rights
of the New Panama Canal Company and the Panama Railroad Company lying
outside of the said canal zone.
ARTICLE XX
If by virtue of any existing treaty between the Republic of Colombia and any
third power, there may be any privilege or concession relative to an interoceanic
means of communication which especially favors such third power, and which
in any of its terms may be incompatible with the terms of the present conven-
tion, the Republic of Colombia agrees to cancel or modify such treaty in due form,
for which purpose it shall give to the said third power the requisite notification
within the term of four months from the date of the present convention, and in
case the existing treaty contains no clause permitting its modification or annul-
mient, the Republic of Colombia agrees to procure its modification or annulment in
such form that there shall not exist any conflict with the stipulations of the
present convention.
ARTICLE XXI
The rights and privileges granted by the Republic of Colombia to the United
States in the preceding Articles are understood to be free of all anterior con-
cessions or privileges to other Governments, corporations, syndicates or individ-
uals, and consequently, if there should arise any claims on account of the present
concessions and privileges or otherwise, the clain;tiats shall resort to the Govern-
ment of Colombia and not to the United States for any indemnity or compromise
which may be required.
ARTICLE XXII
The Republic of Colombia renounces and grants to the United States the
participation to which it might be entitled in the future eariiings of the canal
under Article XV of the concessionary contract with Lucien N. B. Wyse now
owned by the New Panama Canal Company and any and all other rights or claims
of a pecuniary nature arising under or relating to said concession, or arising
under or relating to the concessions to the Panama Railroad Company of any
extension or modification thereof; and it likewise renounces, confirms and grants
to the United States, now and hereafter, all the rights and property reserved
in the said concessions which otherwise would belong to Colombia at or before
the expiration of the terms of ninety-nine years of the concessions granted to or
held by the above mentioned party and companies, and all right, title and interest
which it now has or may hereafter have, in and to the lands, canal, works,
property and rights held by the said companies under said concessions or other-
wise, and acquired or to be acquired by the United States from or through the
New Panama Canal Company, including any property and rights which might
or may in the future either by lapse of time, forfeiture or otherwise, revert to
the Republic of Colombia under any contracts of concessions, with said Wyse,
the Universal Panama Canal Company, the Panama Railroad Company and the
New Panama Canal Company.
The aforesaid rights and property shall be and are free and released from any
present or reversionary interest in or claims of Colombia and the title of the
United States thereto upon consummation of the contemplated purchase by the
United States from the New Panama Canal Company, shall be absolute, so far
as concerns the Republic of Colombia, excepting always the rights of Colomblia
specifically secured under this treaty.

ARTICLE XXIII
If it should become necessary at any time to employ armed forces for the safety
or protection of the canal, or of the ships that make use of the same, or the rail-
ways and other works, the Republic of Colombia agrees to provide the forces
necessary for such purpose, according to the circumstances of the case, but if the
Government of Colombia cannot effectively comply with this obligation, then,
with the consent of or at the request of Colombia, or of her Minister at Washing-
ton. or of the local authorities, civil or military, the United States shall employ
such force as may be necessary for that sole purpose; and as soon as the necessity
shall have ceased will withdraw the forces so employed. Under exceptional cir-
cumstances, however, on account of unforeseen or imminent danger to said canal.
railways and other works, or to the lives and property of the persons employed
upon the canal, railways, and other works, the Government of the United States
is authorized to act in the interest of their protection, without the necessity of







so

obtaining the consent beforehand of the Government of Coleabia; and At shall
give immediate advice to the measures adopted for the purpmzaiftted ;t."d as
soon as sufficient Colombian forces shall arrive to attend to the indicated ppijse,
those of the United States shall retire.

Ai4~iCLE XXIV I
The Government of the United Stttes agrees to complete the constrUction of the
preliminary works necessary, together with all the auxiliary w6rs, li t short-
est time possible; and within two years from the date of the exchahge of ratiflea-
tion of this convention the main works of the canal proper shall be commenced,
and it shall be opened to the traffic between the two oceans within' twelve years
after such period of two years. In case, however, that any dificulties or obstacles
should arise in the construction of the canal which are at present impossible to
foresee, in consideration of the good faith with which the Government of the
United States shall have proceeded, and the large amount of money expended so
far on the works and the nature of the difficulties which may have arisen, the
Government of Colombia will prolong the terms stipulated in this Article up to
twelve years more for the completion of the work of the canal.
But in case the United States should, at any time, determine to make such
canal practically a sea level canal, then such period shall be extended for ten
years further.
ARTIoLE XXV
As the price or compensation for the right to use the zone granted in this con-
ventidn by. Colombia to the United States for the construction of a canal, together
with the proprietary right over the Panama Railroad, and for the annuity of two
hundred and fifty thousand dollars gold, which Colombia ceases to receive from
the said railroad, as well as in compensation for other rights, privileges and
exemptions granted to the United States, and in consideration of the increase
in the administrative expenses of the Department of Panama consequent upon
the construction of the said canal, the Government of the United States binds it-
self to pay Colombia the sum of ten million dollars in gold coin of the United
States on the exchange of the ratification of this convention after its approval
according to the laws of the respective countries, and also an annual payment
during the life of this convention of two hundred and fifty thousand dollars in
like gold coin, beginning nine years after the date aforesaid.
The provisions of this Article shall be in addition to all other benefits assured
to Colombia under this convention.
But no delay nor difference of opinion under this Article shall affect nor in-
terrupt the full operation and effect of this convention in all other respects:

ARTICLE XXVI
No change Wither in the Government or in the laws and treaties of Colombia.
shall, without the consent of the United States, affect any right of the United
States under the present convention, or under any treaty stipulation between
the two countries (that now exist or may hereafter exist) touching the subject-
matter of this convention.
If Colombia shall hereafter enter as a constituent into any other Government
or into any union or confederation of States so as to merge her sovereignty or
independence in such Government, union, or confederation, the rights of the
United States under this convention shall not be in any respect lessened or
impaired.
ABTICLe XXVII
].,. i
The joint commission referred to in Article III, VII and XIV shail be estabv
lished as follows:
The President of the United States shall nominate two persons and the Presi-
dent of Colombia shall nominate two persons and they shall proceed to a deci-
sion; but in case of disagreement of the Commission (by reason of their bein(
equally divided in conclusion) an umpire shall be appointed by the two Govern-
ments, who shall render the decision. In the event of death, absence or incapaCtlt
of any Commissioner or umpire, or his omitting, declining or ceasing to act, his
place shall be filled by the appointment of another person in the manner above
indicated. All decisions by a majority of the Commission or by the umpire shall
be final. .







31

ABTICL XXVIII
This convention when signed by the contracting parties, shall be ratified ac-
cording to the laws of the respective countries and shall be exchanged at Wash-
ington within a term of eight months from this date, or earlier if possible.
In faith whereof, the respective plenipotentiaries have signed the present con-
vention in duplicate and have hereunto affixed their respective seals.
Done at the City of Washington, the 22d day of January in the year of our
Lord nineteen hundred and three.
[SEAL.] JOHN HAY.
[SEAL.] TOMAS HERRAN.





















" 1 '/ ":.. ....:- 4


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I I















PANAMA-ISTH.M IAN CANAL


Convention .signed at Wa.- ington No rcemiber 18, 1903.
Ratified by Panama December 2,1903.
Senate advice and consent to ratification. February 23,1904.
Ratified by the Preside(nt of the United States Fcbruary 25, 1904.
Ratifications exchanged at Washiington February 26, 19041.
Entered into force Febru ary 26,1904.
Proclain: d by the Prcsidcnt of the Unitrid States Febrtuary 26, 1904.
Amended by treaties of Marct 2,1936,1 and Jai uary 25,1955.2
33 Stat. 2234; Treaty Series 431

ISTHMIAN CANAL CONVENTION

The United States of America and the Republic of Panama being desirnn to
insure the construction of a ship cii:,:.l acro,:s the Isthmus of Panama to connect
the Atlantic and Pacific oceirris. and the Congress of the United States of Ameri,-a
having passed an act approved June 28, 1902, in furtherance of that object, by
which the President of the United States is authorized to acquire within a re;son-
able time the control of the nece-ary territory of the Republic of Colombia, and
the sovereignty of such territory being actually vested in the Republic of Panamina,
the high contracting parties have resolved for that purpose to conclude a conven-
tion and have accordingly appointed as their plenipotentiaries,-
The President of the United States of America, JOHN HAY, Secretary of State,
and
The Government of the Republic of Panamra. PHILIPPE BUTTNAUTVARILLA, Envoy
Extraordinary and Minister Plenipotentiary of the Republic of Panama, there-
unto specially empowered by said government, who after communicating with each
other their respective full powers, found to be in good and due form, have agreed
upon and concluded the following articles:

ARTICLE I3

The United States guarantees and will maintain the independence of the Repub-
lic of Panama.
ARTICLE II'

The Republic of Panama grants to the United States in perpetuity the use,
occupation and control of a zone of land and land under water for the construc-
tion, maintenance, operation, s:nitation and protection of said Canal of the width
of ten miles extending to the distance of five miles on each side of the center line
of the route of the Canal to be constructed: the said zone beginning in the
Caribbean Sea three marine miles from me.n low water mark and extending to
and across the Isthmus of Panama into the Pacific ocean to a distance of three
marine miles from mean low water mark with the proviso that the cities of
Panama and Colon and the harbors adjacent to said cities, which are included
within the boundaries of the zone above described, shall not be included within
this grant. The Republic of Panama further grants to the United States in per-
petuity the use, occupation and control of any other lands and waters outside of
the zone above described which may be necessary and convenient for the con-
struction, maintenance, operation, sanitation and protection of the said Canal or
of any auxiliary canals or other works necessary and convenient for the construc-
tion, maintenance, operation, sanitation and protection of the said enterprise.
The Republic of Panama further grants in like manner to the United States in
perpetuity all islands within the limits of the zone above described and in addi-
1 TS 945. post, r. 742.
2 6 UST 2273; TIAS 3297.
8 Art. I superseded by art. I of treaty of Mar. 2. 19?>I (TS 945, post, p. T'43).
Art. II modified by art. II of treaty of M.ir. 2, 1936.
(33)







34

tion thereto the group of small islands in the Bay of Panama, named Perico, Naos,
Culebra and Flamenco.
ARTICLE III
The Republic of Panama grants to the United States all the rights, power and
authority within the zone mentioned and described in Article II of this agreement
and within the limits of all auxiliary lands and waterM mentioned and described
in said Article II which the United States would possess and exercise if it were
the sovereign of the territory within which said lands and waters axe located to
the entire exclusion of the exercise by the Republic of Panama of any such sov-
ereign rights, power or authority.

ARTICLE IV
As rights subsidiary to the above grants the Republic of Panama grants in
perpetuity to the United States the right to use the rivers, streams, lakes and
other bodies of water within its limits for navigation, the supply of water or water-
power or other purposes, so far as the use of said rivers, streams, lakes and
bodies of water and the waters thereof may be necessary and convenient for the
construction, maintenance, operation, sanitation and protection of the said Canal.

ARTICLE V5
The Republic of Panama grants to the United States in perpetuity a monopoly
for the construction, maintenance and operation of any system. of communication
by means of canal or railroad across its territory between the Caribbean Sea and
the Pacific ocean.
ARTICLE VIE
The grants herein contained shall in no manner invalidate the titles or rights
of private land holders or owners of private property in the said zone or in or to
any of the lands or waters granted to the United States by the provisions of any
Article of this treaty, nor shall they interfere with the rights of way over the
public roads passing through the said zone or over any of the said lands or
waters unless said rights of way or private rights shall conflict with rights
herein granted to the United States in which case the rights of the United States
shall be superior. All damages caused to the owners of private lands or private
property of any kind by reason of the grants contained in this treaty or by
reason of the operations of the United States, its agents or employees, or by
reason of the construction, maintenance, operation, sanitation and protection
of the said Canal or of the works of sanitation and protection herein provided
for, shall be appraised and settled by a joint Commission appointed by the Gov-
ernments of the United States and the Republic of Panama, whose decisions as
to such damages shall be final and whose awards as to such damages shall be
paid solely by the United States. No part of the work on said Canal or the Pan-
ama railroad or on any auxiliary works relating thereto and authorized by the
terms of this treaty shall be prevented, delayed or impeded by or pending such
proceedings to ascertain such damages. The appraisal of said private lands and
private property and the assessment of damages to them shall be based upon
their value before the date of this convention.

A naoI VII
The Republic of Panama grants to the United States within the limits of the
cities of Panama and Colon and their adjacent harbors and within the territory
adjacent thereto the right to acquire by purchase or by the exercise of the right
of eminent domain, any lands, buildings, water rights or other properties neces-
sary and convenient for the construction, maintenance, operation aInd protection
of the Canal and of any works of sanitation, such as the collection and disposition
of sewage and the distribution of water in the said cities of Panama and Colon,

5 Art. V abrogated In part by art III of treaty of Jan. .25, 1955 (6 UST 2273: TIAS
8297).
Art. VI modified by art. X of treaty of Jan. 25, 1955.
S First sentence of art. VII amended and third paragraph abrogated by art. VT of treaty
of Mar. 2. 1936: first paragraph modified and second paragraph abrogated by afta. V and
IV of treaty of Jan. 25, 1955. See also agreement of May 18, 1942 (EAS 859), post, p. 809.








35


which, in the discretion of the United States may be necessary and convenient
for the construction, maintenance, operation, sanitation and protection of the
said Canal and railroad. All such works of sanitation, collection and disposition
of sewage and distribution of water in the cities of Panama and Colon shall be
made at the expense of the United States, and the Government of the United
States, its agents or nominees shall be authorized to impose and collect water
rates and sewerage rates which shall be sufficient to provide for the payment
of interest and the amortization of the principal of the cost of said works within
a period of fifty years and upon the expiration of said term of fifty years the
system of sewers and water works shall revert to and become the properties of
the cities of Panama and Colon respectively, and the use of the water shall be
free to the inhabitants of Panama and Colon, except to the extent that water
rates may be necessary for the operation and maintenance of said system of
sewers and water.
The Republic of Panama agrees that the cities of Panama and Colon shall
comply in perpetuity with the sanitary ordinances whether of a preventive or
curative cliaracter prescribed by the United States and in case the Governiinient
of Panama is unable or fails in its duty to enforce this compliance by the cities
of Panama and Colon with the sanitary ordinance of the United States the
Republic of Panama grants to the United States the right and authority to en-
force the same.
The same right and authority are granted to the United States for the main-
tenance of public order in the cities of Panama and Colon and the territories
and harbors adjacent thereto in case the Republic of Pannnama should not be, in
the judgment of the United States, able to maintain such order.

ARTICLE VIII
The Republic of Panamn grants to the United States all rights which it now
has or hereafter may acquire to the property of the New Panama Canal Com-
panny and the Panamn Railroad Comipany as a result of the transfer of sovereignty
from the Republic of Colombia to the Republic of Pannma over the Isthmus of
Pa inia and authorizes the New Panama Canal Company to sell and transfer to
the United States its rights, privileges, properties and concessions as well as
the Panama Railroad and all the shares or part of the shares of that company;
but the public lands situated outside of the zone described in Article II of this
treaty now included in the concessions to both said enterprises and not required
in the construction or operation of the Canal shall revert to the Republic of
Panama except any property now owned by or in the possession of said companies
within Panama or Colon or the ports or terminals thereof.
ARTICLE IX8
The United States agrees that the ports at either entrance of the Canal and
the waters thereof, and the Republic of Panama agrees that the towns of Panama
and Colon shall be free for all time so that there shall not be imposed or collected
custom house tolls, tonnage, anchorage, lighthouse, wharf, pilot, or quarantine
dues or any other charges or taxes of any kind upon any vessel uiing or passing
through the Canal or belonging to or employed by the United States, directly or
indirectly, in connection with the construction, maintenance, operation, sanit;i-
tion and protection of the main Canal, or auxiliary works, or upon the cargo,
officers, crewv, or passengers of any such vessels, except such tolls and charges as
may be imposed by the United States for the use of the Canal and other
works, and except tolls and charges imposed by the Republic of Panama upon
merchandise destined to be introduced for the consumption of the rest of the
Republic of Pamin ma, and upon vessels touching at the ports of Colon and Panama
and which do not cross the Canal.
The Governmnnt of the Republic of Panama shall have the right to estabilsh in
such ports and in the towns of Panama and Colon such houses and guards as it
may deem necessary to collect duties on importations destined to other portions
of Panama and to prevent contraband trade. The United States shall have the
right to make use of the towns and harbors of Panama and Colon .as places of


8 Art. IX superseded by art. V of treaty of Mar. 2. 1936.








36'

anchorage, and fod.making repatTs, .or1 loading, 'tuloafdii -depositing W trahis
shipping cargoes either in transit or destined, for the service tf the. Canal and!
J . 1 ..7
for other works pertaining to the Canal, ... ; .:.ri .... .
* : .. ] ... ,* : *:. : /, *. ;i .- u' P D : ** i .; ; f ; .>..* .
4 !%A V*riPtm V' .T *.i *X kr i
.* > : ,: : ** i *I'I Ci fl, *H *i' '; '* . :S si r .. r -' i ,i ...* f
The Republic of .nama tagreps.,that there..saA pot be i.ui osed any "axas,
national, municipal, departmental; or of any other cla.., upop the wal, ... rail-
ways and auxiliary. wozkS, tugs and other vessel. egpoAyed 4n. their qrvice q the;
Canal, store houseN work shops, ioeaes, quarters for laborers, factories of all
kinds, warehouses, wharves, mapIimery and other .works,. property, gpd,ffects
appertaining to the Canal or railroad and auxualry works, or thbqir f1icrs or
employees, situated within the. cities of Panama and Colon,. and that tbher shall
not be imposed contributions or charges of a personal character of.any kiAj upon.
officers, employees, laborers, and other individuals. in the service of the Canal
and railroad and auxiliary works. ...

S- Aicrl XI
The United States agrees that the official dispatches of the Government of the
Republic of Panama shall be transmitted over any telegraph and telephone lines
established for canal purposes and used for public and private business at rates
not higher than those required from officials in the service of thle united States,
ARTICLE X1I

The Government of the Republic of Panama shall permit the immigration and
free access to the lands and workshops of the Canal and its auxiliary works of all
employees and workmen or whatevernationaUty under contract to work upon
or seeking employment upon or in any wise connected with the said Canal and its
auxiliary works, with their respective families, and all such persons shall be free
and exempt from the military service of tlhe Republic of Panama. ,

ABTCLE XIII'
The United States may import at any time into the said sone and auxiliary
lands, free of custom duties, imiosts, taxes, o:f other charges, andwithout any
restrictions, any and all vessels, dredges, engines, cars, machinery, tools, explo-
sives, materials, supplies, and other articles necessary and' convenient in 1the
construction, maintenance, operation, sanitation and protection of the Canal Slid
auxiliary works, and all provisions, medidnes, clothing, sutplies ahd other things
necessary and convenient for the officers, employees, workmen and laborers in the
service and employ of the United States and for their families. If any such articles
are disposed of for use outside of the zone and auxiliary lands granted to the
United States and within the territory of the Republic, they shall be subject to
the same import or other duties as .like articles imported wnder the lawi of the
Republic of Panama. ,
AaTicO =XIV .
As the price or compensation for the rights, powers and privileges granted In
this convention by the Republic of Panama to'the UnitedStates, the Government
of the United States agrees to pay to the 'RItepublie- bf Panama the sum of ten
million dollars ($10,000,000) in gold coin of the United States on the exchange of
the ratification of this convention and' also an annual payment during the life
of this convention of two hundred And fIfty thousand dollars ($250,000) in like
gold coin, beginning nine years after the date aforesaid.
The provisions of this Article shall be In addition to all other benefits assured
to the Republic of Panama under this convention.",.(:I"
But no delay or difference of opuinfbtin under this Article or any other providons
of this treaty shall affect or internirupt the full operation and 'effqet of thr con-.
ventlon in all other respects.
A..rt:t. XV:
The joint commission referred to in Article VI shall be established as-folows4
The President of the United States shalmU nominate two: person au4 the Presi-
dent of the Republic of Panama shall nominate two persons and they shall
Art. X modified by art. II of treaty of Jan. 25, 1955.
Art. XIV amended by art. VII of treaty of Mar. 2, 1986, and art. I of treaty of Jan. 25,
1955.










proceed to a decision; but in case of disagreement of the Commission (by reason
of their being equally divided in conclusion) an umpire shall be appointed by
the two Governments who shall render the decision. In the event of the death,
absence, or incapacity of a Commissioner or Umpire, or of his omitting, de-
clining or easing to act, his place shall be filled by the appointment of another
person in the manner above indicated. All decisions by a majority of the Com-
mission or by the umpire shall be final.

ARTICLE XVI
The two Governments shall make adequate provision by future agreement
for the pursuit, capture, imprisonment, detention and delivery within said zone
and auxiliary lands to the authorities of the Republic of Panama of persons
charged with the commitment of crimes, felonies or misdemeanors without said
zone and for the pursuit, capture, imprisonment, detention and delivery without
said zone to the authorities of the United States of persons charged with the
commitment of crimes, felonies and misdemeanors within said zone and auxiliary
lands.
ARTICLE XVII
The Republic of Panama grants to the United States the use of all the ports
of the Republic open to commerce as places of refuge for any vessels employed
in the Canal enterprise, and for all vessels passing or bound to pass through
the Canal which may be in distress and be driven to seek refuge in said ports.
Such vessels shall be exempt from anchorage and tonnage dues on the part of the
Republic of Panama.
ARTICLE XVIII
The Canal, when constructed, and the entrances thereto shall be neutral in
perpetuity, and shall be opened upon the terms provided for by Section I of
Article three of, and in conformity with all the stipulations of, the treaty entered
into by the Governments of the United States and Great Britain on November 18,
1901.11
ARTICLE XIXX
The Government of the Republic of Panama shall have the right to transport
over the Canal its vessels and its troops and munitions of war in such vess-els
at all times without paying charges of any kind. The exemption is to be extended
to the auxiliary railway for the transportation of persons in the service of the
Republic of Panama, or of the police force charged with the preservation of
public order outside of said zone, as well as to their baggage, munitions of war
and supplies.
ARTICLE XX
If by virtue of any existing treaty in relation to the territory of the Isthmus
of Panama, whereof the obligations shall descend or be assumed by the Republic
of Panama, there may be any privilege or concession in favor of the Government
or the citizens and subjects of a third power relative to an interoceanic means
of communication which in any of its terms may be incompatible with the terms
of the present convention, the Republic of Panama agrees to cancel or modify
such treaty in due form, for which purpose it shall give to the said third power
the requisite notification within the term of four months from the date of the
present convention, and in case the existing treaty contains no clause permitting
its modifications or annulment, the Republic of Panama agrees to procure its
modification or annulment in such form that there shall not exist any conflict
with the stipulations of the present convention.

ARTICLE XXI
The rights and privileges granted by the Republic of Panama to the United
States in the preceding Articles are understood to be free of all anterior debt,
liens, trusts, or liabilities, or concessions or privileges to other Governments.
corporations, syndicates or individuals, and consequently, if there should arise
any claims on account of the present concessions and privileges or otherwise.
the claimants shall resort to the Government of the Republic of Panama and
not to the United States for any indemnity or compromise which may be required.

TS 401, post, vol. 12, UNITED KINGDOM.
3 Art. XIX modified by art. IX of treaty of Jan. 25, 1955.







38


ARTICLE XXII
The Republic of Panama renounces and grants to the United States the
participation to which it might be entitled in the future earnings of the Canal
under Article XV of the concessionary contract with Lucien N. B. Wyse tor
owned by the New Panama Canal Company and any and all other rights or
claims of a pecuniary nature arising under or relating to said concession, or
arising under or relating to the concessions to the Panama Railroad Company
or any extension or modification thereof; and it likewise renounces, confirms
and grants to the United States, now and hereafter, all the rights and property
reserved in the said concessions which otherwise would belong to Panama
at or before the expiration of the terms of ninety-nine years of the concessions
granted to or held by the above mentioned party and companies, and all right,
title and interest which it now has or may hereafter have, in and to tle lands,
canal, works, property and rights held by the said companies under sid con-
cessions or otherwise, and acquired or to be acquired by the United States from
or through the New Panama Canal Company, including eny property and rights
which might or may in the future either by lapse of time, forfeiture or otherwise,
revert to the Republic of Panama under any contracts or concessions, with said
Wyse, the Universal Panama Canal Company, the Panama Railroad Company
and the New Panama Canal Company.
The aforesaid rights and property shall be and are free and released from
any present or reversionary interest in or claims of Panama and the title of
the United States thereto upon consummation of the contemplated purchase
by -the United States from the New Panama Canal Company, shall be absolute,
so far as concerns the Republic of Panama, excepting always the rights of the
Republic specifically secured under this treaty.

ARTICLE XXIII *rj
If it should become necessary at any time to employ armed forces for the safety
or protection of the Canal, or of the ships that make use of the same, or the
railways and auxiliary works, the United States shall have the right, at all
times and in its discretion, to use police and its land and naval forces or to
establish fortifications for these purposes.
ARTICLE XXIV
No change either in the Government or in the laws and treaties of the Republic
of Panama shall, without the consent of the United States, affect any.right of
the United States under the present convention, or under any treaty stipulation
between the two countries that now exists or may hereafter exist touching the
subject matter of this convention.
If the Republic of Panama shall hereafter enter as a constituent Into any other
Government or into any union or confederation of states, so as to merge her
sovereignty or independence in such Government, union or confederation, the
rights of the United States under this convention shall not be in any respect
lessened or impaired.
AnTILo XXV
"r
For the better performance of the engagements of this convention and to the
end of the efficient protection of the Canal and the preservation of its neuatrality,
the Government of the Republic of Panama will sell or lease to the Unitd States
lands adequate and necessary for naval or coaling stations on the Paefle coast
and on the western Caribbean coast of the Republic at certain points to bei agreed
upon with the President of the United States.

ARTICLE XXVI
This convention when signed by the Plenipotentiaries of the Conttracting
Parties shall be ratified by the respective Governments and the ratificatiOns
shall be exchanged at Washington at the earliest date possible. *
In faith whereof the respective Plenipotentiaries have signed the present con-
vention in duplicate and have hereunto affixed their respective sealed.
Done at the City of Washington the 18th day of November In the teartof rou
Lord nineteen hundred and three. ...................
[SEAL] Jonw HAT.
[SEAL] P. B3UNAUVAiLLA.
















Treaty between the United States and Panama for the mutual extradition of
criminals. Signed at the City of Panama, May 25, 1904; ratification adviser
by the Senate, January 6, 1905; ratified by the President. January 20, 1905;
ratified by Panama, May 25, 1904; ratification.s exchianged at City of Panama,
April 8, 1905; proclaimed, May 12, 1905.


BY THE PRESIDENT OF THE UNITED STATES OF AMERICA

A PROCLAMATION
Whereas a Treaty between the United States of America and the Republic
of Panama providing for the mutual extradition of fugitives from justice was
concluded and signed by their respective Plenipotentiaries at Panama on the
twenty-fifth day of May, one thousand nine hundred and four, the original of
which Treaty, being in the English and Spanish languages, is word for word
as follows:

TREATY BETWEEN THE UNITED STATES OF AMERICA AND TIHE REPUBLIC OF PANAMA,
PROVIDING FOR EXTRADITION OF CRIMINALS.
The United States of America and the Republic of Panama, being desirous to
confirm their friendly relations and to promote the cause of justice, have resolved
to conclude a treaty for the extradition of fugitives from justice between the
United States of America and the Republic of Panama, and have appointed for
that purpose the following Plenipotentiaries:-The President of the United
States of America, William W. Russell, Charge d'Affaires and interim of the
United States in Panama, and the President of the Republic of Panama, Tomds
Arias, Secretary of Government of Panama.
Who, after having communicated to each other their respective full powers,
found in good and due form, have agreed upon and concluded the following
articles:-
ARTICLE I
The Government of the United States and the Government of the Republic
of Panama mutually agree to deliver up persons who, having been charged
with or convicted of any of the crimes and offenses specified in the following
article, committed within the jurisdiction of one of the contracting parties, shall
seek an asylum or be found within the territories of the other: Provided, that
this shall only be done upon such evidence of Criminality as, according to the
laws of the place where the fugitive or person so charged shall be found, would
justify his or her apprehension and commitment for trial if the crime or offense
had been there committed.
ARTICLE II
Extradition shall be granted for the following crimes and offenses:-
1. Murder, comprehending assassination, parricide, infanticide and poisoning.
Attempt to commit murder; manslaughter, when voluntary.
2. Arson.
3. Robbery, defined to be the act of feloniously and forcibly taking from the
person of another money, goods, documents or other property by violence or
putting him in fear; burglary.
4. Forgery, or the utterance of forged papers; the forgery or falsification of
official acts of Government, of public authorities, or of courts of justice, or
the utterance of the thing forged or falsified.
5. The counterfeiting, falsifying or altering of money, whether coin or paper
or of instruments of debt created by national, state, provincial, or municipal
governminent.s, or of coupons thereof, or of bank notes or the utterance or circula-
tion of the saine; or the counterfeiting, falsifying or altering of seals of st;ite.
(39)
99-592-78- 4







40

6. Embezzlement by public officers; embezzlement by persons hired or salaried,
to the detriment of their employers; where in either class of cases the embezzle-
ment exceeds the sum of two hundred dollars; larceny.
7. Fraud or breach of trust by a bailee, banker, agent, factor, trustee, or other
person acting in a fiduciary capacity, or director or member or officer of any
company, when such act is made criminal by the laws of both countries and the
amount of money or, the value of the property misappropriated is not less than
two hundTed dollars. '
8. Perjury; subordination of perjury. '*i.. ",
9. Rape; abduction; kidnapping' "
10. Wilful and unlawful destruction or' obstruction of railroadstWhich endan-
gers human life. -
11. Crimes committed at sea.
(a) Piracy, by statute or by the laws-of nations.
(b) Revolt, or conspiracy to revolt, by two or more persons on board a ship
.on the high seas against the authority of the master. ..
(c) Wrongfully sinking or destroying a vessel at sea, or attempting to do so.
(d) Assaults on board a ship on the high seas with intent to do grievous bodily
harm.
12. Crimes and offenses against the laws of both countries tqr the suppre"sioa
of slavery and slave trading. ..
13. Bribery, defined to be the giving, offering or receiving of a rewar4dto inlu-
ence one in the discharge of a legal duty. .
Extradition is also to take place for participation in any of the crimes.iand
offenses mentioned in this Treaty, provided such participation may be punished,
in the United States as a felony,, and in the Republic of Panama by lmprison-
ment at hard labor.
ARTICLE III
.: * - .*: '
Requisitions for the surrender of'fugitives from justice sbal be made by. the
,diplomatic agents of the contracting parties, or in the absence of these Crom
the country pr its seat of government, may be made by the supepqr VonsM x
Officers. & L*i.
If the person whose extradition is requested phall have been convietof a crime
or offense, a duly authenticated copy of the sentence of the. court in. whiteI he
was convicted, or if the fugitive is merely charged with a crime, a duly a.uthen-
ticated copy of the warrant of arrest in thq country where the crime has been
committed, and of the depositions or other evidence upon, wfich su$ wanmnt
-was issued, shall be produced.
The extradition of fugitives underthe provisions of this Treaty shall be carried
out in the United States and in the Republic of Panama, respectively, in con-
formity with the laws regulating extradition for the time being In force in the
:state on which the demand for surrender ismade. ,
> ., #, j .t-. . .
Annam IV ; ,
Where the arrest and detention of a, fugitive are desired on telegraphic or
.other information in advance of the presentation of formal proofs, the proper
course in the United States shall be, to aPPly to a judge or other magistrate au-
thorized to issue warrants of arrest in extradition cases and present a comnplaift
*on oath, as provided by the statutes of the United States.
When, under the provisions of this article, the arrest and detention of a fugitive
are desired in the Republic of Panama, the proper course shall be to apply to
the Foreign Office, which will immediately cause the necessary steps to be taken
in order to secure the provisional aretat or detention of the fugitive. The provi-
sional detention of a fugitive shall cease and the prisoner be released if atformal
requisition for his surrender, accompanied by the necessary'evidence of his crim-
inality has not been produced under the stipulations of this Treaity, within two
months from the date of his provisional arrest or detention. :.

AwnCio V .
Neither of the contracting parties shall be bound to deliver up its own citizens
ar subjects under the stipulations of tWs Treaty.








41

ARTICLE VI
A fugitive criminal shall not be surrendered if the offense in respect of which
his surrender is demanded be of a political character, or if hlie proves that the
requisition for his surrender has, in fact, been made with a view to try or
punish him for an offense of a political character. No person surrendered by
either of the high contracting parties to the other shall be triable or tried, or
be punished, for any political crime or offense, or for any act connected there-
with, committed previously to his extradition. If any question shall arise as to
whether a case comes within the provisions of this article, the decision of the
authorities of the government on which the demand for surrender is made, or
which may have granted the extradition, shall be final.

ARTICLE VII
Extradition shall not be granted, in pursuance of the provisions of this Treaty
if legal proceedings or the enforcement of the penalty for the act committed by
the person claimed has become barred by limitation, according to the laws of
the country to which the requisition is addressed.

ARTICLE VIII
No person surrendered by either of the high contracting parties to the other
shall, without his consent, freely granted and publicly declared by him, be
triable or tried or be punished for any crime or offense committed prior to his
extradition, other than that for which he was delivered up, until he shall have
had an opportunity of returning to the country from which he was surrendered.

ARTICLE IX
All the articles seized which are in the possession of the person to be sur-
rendered at the time of his apprehension, whether being the proceeds of the
crime or offense charged, or being material as evidence in making proof of the
crime or offense, shall, so far as practicable and in conformity with the laws
of the respective countries, be given up when the extradition takes place. Never-
theless. the rights of third parties with regard to such articles shall be duly
respected.
ARTICLE X
If the individual claimed by one of the high contracting parties, in pursuance
of the present Treaty, shall also be claimed by one or several other powers
on account of crimes or offenses committed within their respective jurisdictions,
his extradition shall be granted to the State whose demand is first received:
Provided, that the government from which extradition is sought is not bound
by treaty to give preference otherwise.

ARTICLE XI
The expenses incurred in the arrest, detention, examination, and delivery of
fugitives under this Treaty shall be borne by the State in whose name the ex-
tradition is sought: Provided, that the demanding government shall not be
compelled to bear any expense for the services of such public officers of the
government from which extradition is sought as receive a fixed salary; and,
provided, that the charge for the services of such public officers as receive only
fees or perquisites shall not exceed their customary fees for the acts or services
performed by them had such acts or services been performed in ordinary
criminal proceedings under the laws of the country of which they are officers.

ARTICLE XII
The present Treaty shall take effect on the thirtieth day after the date of the
exchange of ratifications, and shall not operate retroactively. The ratifications
of the present Treaty shall be exchanged at Washington or at Panama as soon
.as possible, and it shall remain in force for a period of six months after either







42


of the contracting Governments shall have given notice of a purpose to terminate
it.
In witness whereof, the respective Plenipotentiaries have Signed .the above
articles, both in the English and Spanish languages, and have hereunto aflxe&
their seals.
Done in duplicate at the city of Panama on the twenty fifth day of May in
the year of our Lord nineteen hundred and four.
[SEAL] WW.W. ASSe-L.
[sAL] TooxAs AIAs.
And whereas the said Treaty has been duly ratified on both parts and the
ratifications of the two governments were exchanged in the City of Panama
on the eighth day of April, one thousand nine hundred and five;
Now, therefore, be it known that I, Theodore Roosevelt, President of the
United States of America, have caused the said Treaty to be made public, to
the end that the same and every article and clause thereof may be observed
and fulfilled with good faith by the the United States States and the citizens
thereof.
In testimony whereof, I have hereunto set my hand and caused the Seal of the
United States of America to be affixed.
Done at the City of Washington, this twelfth day of May in the year of our
Lord one thousand nine hundred and five, and of the Independence of the
United States of America the one hundred and twenty-ninth.
[SEAL] THEODOs ROOSEELT.
By the President:
FRANCIS B. LOOMIS,
Acting Secretary of State.















NEUTRALITY


Protocol of an agreement signed at Washington October 10, 1914.
Eittered into force October 10, 1914.
Co ifirmed by agrecme)nt of August 25, 1939.1.

38 Stat. 2042; Treaty Series 597

PROTOCOL OF AN AGREEMENT CONCLUDED BETWEEN HONORABLE ROBERT LANSING,
ACTI-NG SECRETARY OF STATE OF THE UNITED STATES, AND DON EUSEBIO A.
MORALES, ENVOY EXTRAORDINARY AND MINISTER PLENIPOTENTIARY OF THE RE-
PI'UBLIC OF PANAMA, SIGNED THE TENTH DAY OF OCTOBER, 1914
The undersigned, the Acting Secretary of State of the United States of America
nnd the Envoy Extraordinary and Minister Plenipotentiary of the Republic of
Pan)ama, in view of the close association of the interests of their respective
Governmiients on the Isthmus of Panama, and to the end that these interests
may be conserved and that, when a state of war exists, the neutral obligations
of both Governments as neutrals may be maintained, after having conferred on
the subject and being duly empowered by their respective Governments, have
agreed:
That hospitality extended in the waters of the Republic of Panama to a
beliiierent vessel of war or a vessel belligerent or neutral, whether armed or
not, which is employed by a belligerent power as a transport or fleet auxiliary
or in any other way for the direct purpose of prosecuting or aiding hostilities,
whether by land or sea, shall serve to deprive such vessel of like hospitality in
the Panamna Canal Zone for a period of three months, and vice versa.
In testimony whereof, the undersigned have signed and sealed the present
Protocol in the city of Washington this tenth day of October, 1914.
[SEA&L] ROBERT LANSING.
[SEAL] EUSEBIO A. MORALES.

EAS 160, post, p. 786.
(43)




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Convcntionu between the Unilcd Statrs amd Nicaragua ceding rights for constrric-
tion of ship canal by Nicaraguan route, etc.' Sig)i d at Washington, August 5,
1914; rat ifict ironm adised by the Senate, with anicindmints, February 18, 1916;
ratified by Nicartragua, April 13, 1916; ratified by the Prc'sident, June 19, 1916;
ratifications exchanged at Washington, June 22, 1916; proclaimed, June 24,
1916

BY THE PRESIDENT OF THE UNITED STATES OF AMERICA

A PROCLAMATION
Whereas a Convention between the United States of America and the Republic
of Nicaragua granting to tlhe United States the exclusive proprietary rights for
the construction and operation of an inte'oceanic canal by a Nicaraguan route,
the lease of certain islands, and the right to establish a naval base on the Gulf
of Fouseca. was concluded and signed by their respective Plenipotentiaries at
Washington, on the fifth day of August, one thousand nine hundred and fourteen,
the original of which Convention, being in the English and Spanish languages
is, as amended by the Senate of the United States, word for word as follows:
The Government of the United States of America and the Government of
Nicaragua being animated by the d, sire to strengthen their ancient and cordial
friendship by the most sincere cooperation for all purposes of their mutual
advantage and interest and to provide for the possible future construction of an
interoceanic ship canal by way of the Sain Juan River and the great Lake of
Nicaragua, or by any route over Nicaraguman territory, whenever the construction
of such canal shall be deemed by the Government of the United States conducive
to the interest. of both countries, and the Government of Nicaragua wishing to
facilitate in every way possible the successful maintenance and operation of
the Panama Canal, the two Governments have resolved to conclude a Conven-
tion to these ends, and have accordingly appointed as their plenipotentiaries:
The President of the United States, the Honorable William Jennings Bryan,
Secretary of State; and
The President of Nicaragua, Senfior General Don Emiliano Chamorro, Envoy
Extraordinary and Minister Plenipotentiary of Nicaragua to the United States;
Who, having exhibited to each other their respective full powers, found to be
in good and due form, have agreed upon and concluded the following articles:

ARTICLE I
The Government of Nicaragua grants in perpetuity to the Government of the
United States, forever free from all taxation or other public charge, the exclusive
proprietary rights necessary and convenient for the construction, operation and
maintenance of an interoceanic canal by way of the San Juan River and the great
Lake of Nicaragua or by way of any route over Nicaraguan territory, the details
of the terms upon which such canal shall be constructed, operated and maintained
to be agreed to by the two governments whenever the Government of the United
States shall notify the Government of Nicaragua of its desire or intention to
construct such canal.
ARTICLE II
To enable the Government of the United States to protect the Panama Canal
and the proprietary rights granted to the Government of the United States by
the foregoing article, and also to enable the Government of the United States to
take any measure necessary to the ends contemplated herein, the Government
of Nicaragua hereby leases for a term of ninety-nine years to the Government
of the United States the islands in the Caribbean Sea known as Great Corn
Island and Little Corn Island: and the Government of Nicaragua further grants
to the Government of the United States for a like period of ninety-nine years
the right to establish, operate and maintain a naval base at such place on the
'See page 479.
XOT`r.-The amenrlments of the Senate were accepted by Nicaragua and are incorporatedT
In the text of the Convention.
(45)







46

territory of Nicaragua bordering upon the Gulf of Fonseca as the Government
of the United States may select. The Government of the United States shall have
the option of renewing for a further term of ninety-nine years the above leases
and grants upon the expiration of their respective terms, it being expressly agreed
that the territory hereby leased and the naval base which may be maintained
under the grant aforesaid shall be subject exclusively to the laws qnd4 overeigp
authority of the United States during the terms of such lease and grant and of
any renewal or renewals thereof. I

ARTICLE III
In consideration of the foregoing stipulations and for the purposes contem-
plated by this Convention and for the purpose of reducing the present indebted-
ness of Nicaragua, the Government of the United States shall upon the date of
the exchange of ratification of this Contention, pay for the benefit of the Republic
of Nicaragua the sum of three million dollars United States gold coin, of the
present weight and fineness, to be deposited to the order of the Government of
Nicaragua in such bank or banks or with such banking corporation as the
-Government of the United States may determine, to be applied by Nicaragua
upon its indebtedness or other public purposes for the advancement of the wel-
fare of Nicaragua in a manner to be determined by the two High Contracting
Parties, all such disbursements to be made by orders drawn by the Minister
of Finance of the Republic of Nicaragua and approved by the Secretary of State
of the United States or by suchperson as he may designate.

ARTICLE IV
This Convention shgll be ratified by the High Contracting Parties in accord-
ance with their respective laws, and the ratifications thereof shall be exchanged
at Washington as soon as possible.
In witness whereof the respective plenipotentiaries have signed the present
treaty and have affixed thereunto their seals.
Done at Washington, in duplicate, in the English and Spanish languages, on
the 5th day of August, in the year nineteen hundred and fourteen.
[SEAL] WILLIAM JENNINGS BRYAN.
[SEAL] EMILIANO CHAMORRO.
And whereas, the advice and consent of the Senate of the United Stats to .the
ratification 'of the said Convention was given with the following proviso:
."Provided, That, whereas, Costa Rica, Salvador and Honduras have protested,
against the ratification of the said Convention in the fear or belief that said
Convention might in some respect impair existing rights of said States; tliere-
fore, it is declared by the Senate that in advising and consenting to the ratifica-
tion of the said Convention as amended such advice and consent are given with
the understanding, to be expressed as a part of the instrument of ratification,
that nothing in said Convention is intended to affect any existing right of any
-of the said named States ;"
And whereas, the said understanding has been accepted by the Government
of Nicaragua;
And whereas, the said Convention, as amended by the Senate of the Uuitefi
States, has been duly ratified on both parts, and the ratifications of the two
governments were exchanged In the City of Washington, on the twenty-second
day of June, one thousand nine hundred and sixteen;
Now, therefore, be it known that I, Woodrow Wilson, President of the United
States of America, have caused the said Convention, as amended, and the said
understanding to be made public, to the end that the same. and every article
and clause thereof may be observed and fulfilled with good faith by the United
States and the citizens thereof.
In testimony whereof, I have hereunto set my hand and caused the seal of
the United States to be affixed. ;
Done at the City of Washington this twenty-fourth of June in the year of
our Lord one thousand nine hundred and sixteen, and of the Independence of
the United States of America the one hundred and fortieth.
[sBL] WOODROW Wiiso w
By the President:
ROBERT LANSING,
Secretary of State.
















FRIENDSHIP AND COOPERATION


Treaty signed at Washington March 2, 1936, with exchanges of notes at
Washington March 2,1936, and February 1 and July 25,1939.
Ratified by Panama July 17, 1939.
Senate advice and consent to ratification July 25, 1939.
Ratified by the President of the United States July 26, 1939.
Ratifications exchanged at Washington July 27, 1939.
Entered into force July 27, 1939.
Proclaimed by the President of the United States July 27, 1939.
Amended by conventlion of May 24, 1950,1 and treaty of January 25, 1955.'

53 Stat. 1807; Treaty Series 945
TREATY
The United States of America and the Republic of Panama, animated by
the desire to strengthen further the bonds of friendship and cooperation between
the two countries and to regulate on a stable and mutually satisfactory 1,asi.s
certain questions which have arisen as a result of the construction of the inter-
oceanic canal across the Isthmus of Panama. have decided to conclude a treaty,
and have designated for this purpose as their Plenipotentiaries:
The President of the United States of America:
Mr. Cordell Hull, Secretary of State of the United States of America, and
Mr. Sumner Welles, Assistant Secretary of State of the United States of
America; and
The President of the Republic of Pa na ma:
The Honorable Doctor Ricardo J. Alfaro, Envoy Extraordinary and Min-
ister Plenipotentiary of Panama to the United States of America, and The
Honorable Doctor Narciso Garay, Envoy Extraordinary and Minister Plen-
ipotentiary of Panama on special mission;
Who, having communicated their respective full powers to each other, which
have been found to be in good and due form, have agreed upon the following:

ARTICLE I
Article I of the Convention of November 18, 1903,' is hereby superseded.
There shall be a perfect, firm and inviolable peace and sincere friendship
between the United States of America and the Republic of Panama and between
their citizens.
In view of the official and formal opening of the Panama Canal on July 12.
1920, the United States of America and the Republic of Panama declare that
the provisions of the Convention of November 18, 1903, contemplate the ui,.
occupation and control by the United States of America of the Canal Zone
and of the additional lands and waters under the jurisdiction of the United
States of America for the purposes of the efficient maintenance, operation,
sanitation and protection of the Canal and of its auxiliary works.
The United States of America will continue the maintenance of the Pnnama
Canal for the encouragement and use of interoceanic commerce, and the two
Governments declare their willingness to cooperate, as far as it is feasible for
them to do so, for the purpose of insuring the full and perpetual enjoyment of
the benefits of all kinds which the Canal should afford the two nations that made
possible its construction as well as all nations interested in world trade.

ARTICLE II
The United States of America declares that the Republic of Panama has loyally
and satisfactorily complied with the obligations which it entered into under

6 UST 461: TIAS 3180.
2 6 UST 2273; TIAS 3297.
s TS 431. ante, p. 663.
(47)







48


Article II of the Convention of November 18, 1908, by -which it granted in per-
petuity to the United States the use, occupation and control of the zone of land
and land under water as described in the said Article, of the islands within the
limits of said zone, of the group of small islands in the Bay of Panama, named
Perico, Naos, Culebra and Flamenco, and of any other lands and waters outside
*of said zone necessary and convenient for the construction, maintenance, opera-
tion, sanitation and protection of the Panama Canal or of any auxiliary 'canals
or other works, and in recognition theiof th6 4Utid S tites of America hereby
renounces the grant made to it. in perpetuity by the Republic of Panama of the
use, occupation ana control of lands and waters in ad n tion.t thl0e 'wAdMr
the jurisdiction of the United States0 of'America rbtfide of tmhe zo~4 -a hescttfed
in Article II of the aforesid. Convention, whirh- mfylbe6'W.plbn-
venient for the construcbton','maintenanc, perati sanitatmd1 ii4 t6t teAi of
the Panama Canal ut of any 'a[xillary" tC"aLJr ate6% workned
-convenient for the construction, maintenance, oprat.t1n, sanitation anid pMrtetlon
of the said enterprise. '
While both Governments agree that the requirmntt of faith' .lahd.' iand
waters for the enlargement of the existing facilities of te Cafihail appedrN 5d-be
improbable they nevertheless, recognize subject to the provisions of Articles
I and X oi this Treaty, their joint obligation to insure the effective and con-
tinuous operation of the Canal and: the preservation of its neutrality, and
consequently, if,,.in the even of some now ufores nmeotingncy, the utizaton
of lands or waters additional to thdse alrady emplo&yd should be in fact e
sary for the maintenance, sanitation or efficient operation of thZ .Canalo, or or its
effective protection, the Governments.,of the United ,Stptes of Ame.ia and tle
Republic of Panama will agree upon such1 measures as. it may be necessary to
take in order to insure the maintenance, sanitation, efficient operation, 'n4d
effective protection of the Canal, in. which the two, puntfes are :P1tolf4ad
vitally interested . .... ',' : ;
Aim!cyxiIII "
'. j r c j I ; T' .*; ' /, '( i
In order to enable the Republic of Panama to take advantage of the cbter-
geo rap kat sltuition".' $ '' : :.. : of"'
cial opportunities inherent in its gegrapfa station, the United ta ,of
America agrees as follows: *
(1) The sale to individuals of goods importd into the Cknal Zone o purchard,
produced or manufactured therein by the'Oovernmeht of the Uniited State bf
America shall be limited by it tQ the persons included in classes! (a). dnd blV of
Section 2 of.this. Article; and with regard to Ithe persons included i!'lasse$ (c).
(d) and (e)' of the said Section anid members of their families, the tre: atBve
mentioned shall be made only when such persons actually reside in the Canal
'one.
(2) No person who is not-comprised within the following .lgsse shall 1b en-
titled to reside within the Caxal Zone: *.. ,, .
(a) Officers, employees, workmen 9r laborers in the service or remPloy I otte
United States of America, the Panama Canal or the Panama Railroad 0ompa,
and members of their families actually residing wih them ,
(b) Members of the aimed forces of the United States. oe Ae rica dfl membe
-of their families actually residing,with them; ;: .. .., ..
(c) Contractors operating in the Canal Zone and their employ ees, women and
laborers during the performance of contracts; m .
(d) Officers, employees or workmen of companies entitled under Iecion ..$
this Article to conduct operations in the Canal Zone,; -
(e) Persons engaged in religious, 'welfare, haritable, educational, : rreea-
tional and scientific work exclusively ,3n the Canal Zone;. .
(f) Domestic servants of all the befoxementioned persons and nembeiro .tle
families of the persons in classes (a), (d) and (e) actu1ly residing with tben,
(3) No dwellings belong to the Gqvernment of .the United States .of Amrir
or to the Panama Railroad Compa4y and situated within the Canal eoe sol
be rented, leased or sublet except to persons within classed (a) to (c), inclusive
of Section 2 hereinabove.
(4) The Government of the Uniteh Sthtes of America will continue to cooperate
in all proper ways with the oOvernment of (be Republic of Panama th prevent
violations of the immigration rand customs laws of the RIepublc of Panaai,
including the smuggling into territory under the jurisdiction of the Republic
of goods imported into the Canal Zone or purchased, produced:erimanuftured
therein by the Government of the United States of America.' :
* .' . !r.








49


(5) With the exception of concerns having a direct relation to the operation,
maintenance, sanitation or protection of the Canal, such as those engaged in
the operation of cables, shipping, or dealing in oil or fuel, the Government of
the United States of America will not permit the establishment in the Canal
Zone of private business enterprises other than those existing therein at the
time of the signature of this Treaty.
(6) In view of the proximity of the port of Balboa to the city of Panama and of
the port of Cristobal to the city of Col6n, the United States of America will
continue to permit, under suitable regulations and upon the payment of proper
charges., vessels entering at or clearing from the ports of the Canal Zone to use
and enjoy the dockage and other facilities of the said ports for the purpose of
loading and unloading cargoes and receiving or disembarking passengers to or
from the territory under the jurisdiction of the Republic of Panama.
The Republic of Panama will permit vessels entering at or clearing from the
ports of Panam5i or Col6n, in case of emergency and also under suitable regula-
tions and upon the payment of proper charges, to use and enjoy the dockage and
other facilities of said ports for the purpose of receiving or disembarking pas-
sengers to or from the territory of the Republic of Panama under the jurisdiction
of the United States of America, and of loading and unloading cargoes either in
transit or destined for the service of the Canal or of works pertaining to the
Canal.
(7) The Government of the United States of America will extend to private
merchants residing in the Republic of Panama full opportunity for making sales
to vessels arriving at terminal ports of the Canal or transiting the Canal, subject
always to appropriate administrative regulations of the Canal Zone.

ARTICLE IV
The Government of the Republic of Panama shall not impose import duties or
taxes of any kind on goods destined for or consigned to the a.ncies of the
Government of the United States of America in the Republic of Panama when
the goods are intended for the official use of such agencies, or upon good( des-
tined for or consigned to persons included in classes (a) and (b) in Section 2
of Article III of this Treaty, who reside or sojourn in territory under the juris-
diction of the Republic of Panama during the performance of their service with
the United States of America, the Panama Canal or the Panama Railroad Com-
pany, when the goods are intended for their own use and benefit.
The United States of America shall not impose import duties or taxes of any
kind on goods, wares and merchandise passin- from territory under the jurisdic-
tion of the Republic of Panama into the Ca n 1al Zone.
No char-_e., of any kind shall be imposed by the authorities of the United States
of America upon persons residing in territory under the jurisdiction of the
Republic of Panama pa.-sing from the said territory into the Canal Zone, and no
charges of any kind shall be imposed by the authorities of the Republic of
Panaina upon persons in the service of the United States of America or residing
in the Ca0n.al Zone passing from the Canal Zone into territory under the jurisdic-
tion of the Reprblic of Panama, all other persons 1)a-i-li from the Canal Zone
into territory under the jurisdiction of the Republic of Panama being subject to
the full effects of the immigration laws of the Republic.
In view of the fact that the Canal Zone divides the territory under the jurisdic-
tion of the Republic of Panama, the United States of America a.'rees that, subject
to such police regulations as circumstances may requc ire, Panamanian citizens
who may occasionally be deported from the Canal Zone shall be assured transit
through the said Zone, in order to pass from one part to another of the territory
under the jurisdiction of the Republic of Panama.

ARTICLE V
Arti,-e IX of the C',nvention of November 18, 1903, is hereby superseded.
The Republic of Panama has the rihlit to impose np,,u merchandise d-tinied to
be introduced for use or consumption in territory under the jurisdiction of the
Repulilic of Panama, and upon vessels touching at Panamanian ports and upon
the officers, crew or passengers of such vessels, the taxes or charges provided by
the laws of the Republic of Panama; it ,,ing understood that the Republic of
Panama will continue directly and exclusively to exercise its jurisdiction over
the ports of Panama and Col6n and to operate exclusively with Panamanian per-







50

sonnel such facilities as are or may be established themWi*by.the Repubtk or by
its authority. However, the Republic of Panama shaH not impose or coet a
charges or taxes upon any vessel Using or passing through the Canal whichedoes
not touch at a port under Panamaniax jurisdiction or upoa the offices, crew or
passengers of such vessels, unless they enter the Republic; it being also under-
stood that taxes and charges imposed by the Republic of Panama upon vessels
using or passing through the Canal which touch at ports under Panamanian juris-
diction, or upon their cargo, officers, crew Or passengers, shall not be higherthafr
those imposed upon vessels which touch only at ports under Panamanian jurislibc
tion and do not transit the Canal, or upon their cargo, officers, crew or passengers.
The Republic of Panama also has the right to determine what persons or classes
of persons arriving at ports of the Canal Zone shall be admitted to the .Republic
of Panama and to determine likewise what persons or classes of persons arriving
at such ports shall be excluded from admission to the Republic of Panama.
The United States of America will furnish to the Republic of Panama free of
charge the necessary sites for the establishment of customhouses in the ports of
the Canal Zone for the collection of duties on importations destined to the Re-
public and for the examination of merchandise, baggage and passengers consigned
to or bound for the Republic of Panama, and for the prevention of contraband
trade, it being understood that the collection of duties and the examination of
merchandise and passengers by the agents of the Government of the Republic of
Panama, in accordance with this provision, shall take place only in the custom-
houses to be established by the Government of the Republic of Panama as herein
provided, and that the Republic of Panama will exercise exclusive jurisdiction
within the sites on which the customhouses are located so far as concerns the
enforcement of immigration or customs laws of the Republic of Panama, and over
all property therein contained and the personnel therein employed.
To further the effective enforcement of the rights hereinbefore recognized, the
Government of the United States of America agrees that, for the purpose of ob-
taining information useful in determining whether persons arriving at ports of
the Canal Zone and destined to points within the jurisdiction of the Republic of
Panama should be admitted or excluded from admission into the Republic, the
immigration officers of the Republic of Panama shall have the right of free access
to vessels upon their arrival at the Balboa or Cristobal piers or wharves with
passengers destined for the Republic; and that the appropriate authorities of the
Panama Canal will adopt such administrative regulations regarding persons
entering ports of the Canal Zone and destined to points within the jurisdiction of
the Republic of Panama as will facilitate the exercise by the authorities of
Panama of their jurisdiction in the manner provided in Paragraph 4 of this
Article for the purposes stated in Paragraph 3 thereof.

ARTICLE VI
The first sentence of Article VII of the Convention of November 18, 1903, is
hereby amended so as to omit the following phrase: "or by the exercise of the
right of eminent domain".
The third paragraph of article VII of the Convention of November 18, 1903,
is hereby abrogated.
ARTICLE VII
Beginning with the annuity payable in 1934 the payments under Article XIV
of the Convention of November 18, 1903, between the United States of America
and the Republic of Panama, shall be four hundred and thirty thousand Balboas
(B/430,000.00) as defined by the agreement embodied in an exchange of notes
of this date. The United States of America may discharge its obligation with
respect to any such payment, upon payment in any coin or currency, provided
the amount so paid is the equivalent of four hundred and thirty thousand Balboas
(B/430,000.00) as so defined.
ARTICLE VIII
In order that the city of Col6n may enjoy direct means of land communica-
tion under Panamanian jurisdiction with other territory under jurisdiction of
the Republic of Panama, the United States of America hereby transfers to the
Republic of Panama jurisdiction over a corridor, the exact limits of which shall
be agreed upon and demarcated by the two Governments pursuant to the fol-
lowing description:










(a) The end at Col6n connects with the southern end of the east half of the
P.suo del Centenario at Sixteenth Street, Col6n; thence the corridor proceeds
in a general southerly direction, parallel to and east of Bolivar Highway to the
vicinity of the northern edge of Silver City; thence eastward near the shore
line of Folks River, around the northeast corner of Silver City; thence in a
general southeasterly direction and generally parallel to the Randolph Road
to a crossing of said Randoph Road, about 1200 feet east of the East Diversion;
thence in a general northeasterly direction to the eastern boundary line of the
Canal Zone near the southeastern corner of the Fort Randolph Reservation,
southwest of Cativd. The approximate route of the corridor is shown on the map
which accompanies this Treaty, signed by the Plenipotentiaries of the two coun-
tries and marked "Exhibit A." 4
(b) The width of the corridor shall be as follows: 25 feet in width from the
Col6n end to a point east of the southern line of Silver City; thence 100 feet
in width to Randolph Road, except that, at any elevated crossing which may
be built over Randolph Road and the railroad, the corridor will be no wider
than is necessary to include the viaduct and will not include any part of Ran-
dolph Road proper, or of the railroad right of way, and except that, in case of
a irade crossing over Randolph Road and the railroad, the corridor will be
interrupted by that highway and railroad; thence 200 feet in width to the bound-
ary line of the Canal Zone.
The Government of the United States of America will extinguish any private
titles. existing or which may exist in and to the land included in the above-
described corridor.
The stream and drainage crossings of any highway built in the corridor shall
not restrict the water passage to less than the capacity of the existing streams
and drainage.
No other construction will take place within the corridor than that relating to
the construction of a highway and to the installation of electric power, telephone
and telegraph lines; and the only activities which will be conducted within the
said corridor will be those pertaining to the construction, maintenance and com-
mon uses of a highway and of power and communication lines.
The United States of America shall enjoy at all ti.es. the right of unimpeded
transit across the said corridor at any point, and of travel along the corridor.
subject to such traffic regulations as may be established by the Government of the
Republic of Panama; and the Government of the United States of America shall
have the right to such use of the corridor as would be involved in the construc-
tion of connecting or intersecting highways or railroads, overhead and under-
ground power, telephone, telegraph and pipe lines, and additional drainage
channels, on condition that these structures and their use shall not interfere
with the purpose of the corridor as provided hereinabove.

ARTICLE IX
In order that direct means of land communication, together with accommoda-
tion for the high tension power transmission lines, may be provided under juris-
diction of the United States of America from the Madden Dam to the Canal
Zone. the Republic of Panama hereby transfers to the United States of America
jurisdiction over a corridor, the limits of which shall be demarcated by the
two Governments pursuant to the following descriptions:
A strip of land 200 ft. in width, extending 62.5 ft. from the center line of the
Madden Road on its eastern boundary and 137.5 ft. from the center line of the
Madden Road on its western boundary; containing an area of 105.8 acres or
42.81 hectares, as shown on the map which accompanies this Treaty, signed by
the Plenipotentiaries of the two countries and marked "Exhibit B".5
Beginning at the intersection of the located center line of the Madden Road
and the Canal Zone-Republic of Panama 5-mile boundary line, said point being
located N. 29'20' W. a distance of 168.04 ft. along said boundary line from
boundary monument No. 65, the geodetic position of boundary monument No. 65
being latitude N. 9007' plus 3,948.8 ft. and longitude 79037' plus 1,174.6 ft.;
thence N. 4310' E. a distance of 541.1 ft. to station 324 plus 06.65 ft.;
thence on a 3 curve to the left, a distance of 347.2 ft. to station 32.7 plus 53.9 ft.;
thence N. 3245' E. a distance of 656.8 ft. to station 334 plus 10.7 ft.;
thence on a 3 curve to the left a distance of 455.55 ft. to station 338 plus
66.25 ft.;
4 Not printed here.
5 Not printed here.







S2

thence N. 19005' E. a distance of 1,135.70 ft. to station 360plusl.S ftt &
thence on an 8? curve to the left a distance of 650.7 ft. to station 356 plus 52.T

thence N. 320 58' W. a distance of 636.0 ft. to station 862 plus 8&7 t;
thence on a 10" curve to the right a distance of 227.8 ft. to station 365 plus
16.0 ft.; .
thence N. 10014' W. a distance of 314.5 ft to station 868 plus 30S5 ift;
thence on a 50 curve to the left a distance of 178.7 ft. to station370 plus 092
ft.; .
thence N. 19010' W. a distance of 4,250.1 ft. to station 412 plusa59.3 ft.;
thence on a 5' curve to the right a distance of 720.7 ft. to station 419 plus 80.0
ft. ; ; -
thence N. 1652' E. a distance of 1,664.3 ft to station 486 'plus 44.8 ft.;
thence on a 5 curve to the left a distance of 597.7 ft. to station 442 plus 42.0 ft;
thence N. 1301' W. a distance of 543.8 ft. to station .447,plus ,85.8 ft.;
thence on a 5 curve to the right a distance of 770.7 ft. -* station 4540 plus 56.5
ft.;
thence N. 250 31' E. a distance of 1,492.2 ft. to station 470 plus 48.7 ft.; ,
thence on a 5 curve to the right a distance of 808.0 ft. 'to station 478 pius 56.7
ft.; 1 ;,
thence N. 6555' E. a distance of 281.8 ft. to station 481 plus 38.5 t;. ..
thence on an 8 curve to the, left a distance of 446.4 ft. to station 485 plus 84.9
ft.;
thence N. 30012' E. a distance of 479.6 ft to station 490 plus 64.5 ft.;
thence on a 5 curve to the left a distance of 239.4 ft. to station 498 plus 93.9
ft.;
thence N. 1344' E. a distance of 1,639.9 ft to station 510 plus 33.8 ft.;
thence on a 5 curve to the left a distance of 832.3 ft to station 518 plus 66.1 ft.;
thence N. 2753' W. a distance of 483.9 ft. to station 523 plus 50.0 ft.;
thence on an 8 curve to the right a distance of 469.6 ft. to station 528 plus
19.6 ft.;
thence N. 941' E. a distance of 1,697.6 ft. to station 545 plus 17.2 ft.:
thence on a 10 curve to the left a distance of 451.7 ft. to station 549 plus 68.9
ft., which is the point marked Point Z on the above-mentioned map known as
"Exhibit B".
(All bearings are true bearings.)
The Government of the Republic of Panama will extinguish any private titles
existing or which may exist in and to the land included in the above-described
corridor.
The stream and drainage crossings of any highway built in the corridor shall
not restrict the water passage to less than the capacity of the existing streams and
drainage.
No other construction will take place within the corridor than that relating to
the construction of a highway and to the installation of electric power, telephone
and telegraph lines; and the only activities which will be conducted within the
said corridor will be those pertaining to the construction, maintenance and com-
mon uses of a highway, and of power and communication lines, and auxiliary
works thereof.
The Republic of Panama shall enjoy at all times the right of unimpeded transit
across the said corridor at any point, and of travel along the corridor, subject to
such traffic regulations as may be established by the authorities of the Panama
Canal; and the Government of the Republic of Panama shall have the right to
such use of the corridor as would be involved in the construction of connecting
or intersecting highways or railroads, overhead and under ground power, tele-
phone, telegraph and pipe lines, and additional drainage channels, on condition
that these structures and their use shall not interfere with the purpose of the
corridor as provided hereinabove.
ARTnL X
In case of an international conflagration or the existence of any threat of
aggression which would endanger the security of the Republic of Panama or the
neutrality or security of the Panama Canal, the Governments of the United States
of America and the Republic of Panama will take such measures 'of prevention
and defense as they may consider necessary for the protection of their common
interests. Any measures, in safeguarding such Interests, which shall appear








53


essential to one Government to take, and which may affect the territory under
the jurisdiction of the other Government, will be the subject of consultation be-
tween the two Governments.
ARTICLE XI
The provisions of this Treaty shall not affect the rights and obligations of either
of the two High Contracting Parties under the treaties now in force between the
two countries, nor be considered as a limitation, definition, restriction or restric-
tive interpretation of such rights and obligations, but without prejudice to the
full force and effect of any provisions of this Treaty which constitute addition to,
modification or abrogation of, or substitution for the provisions of previous
treaties.
ARTICLE XII
The present Treaty shall be ratified in accordance with the constitutional
methods of the High Contracting Parties and shall take effect immediately on the-
exchange of ratifications which shall take place at Washington.
IN WITNESS WIIEREOF, the Plentipotentiaries have signed this Treaty in dupli-
cate, in the En-lishi and Spanish languages, both texts being authentic, and have-
hereunto affixed their seals.
DONE at the city of Washington the second day of March, 1936.
[SEAL] COIR DELL, HULL.
[SEALl SUMNER WELLES.
[SEAL] R. J. ALFARO.
[SEAL j NARCISO GARAY.























t..
















PANAIMA


Mutual Understanding and Cooperation
Treaty, iwith memorandum of understandings reached;
Signed at Panamd January 25, 1955;
Ratification advised by the Senate of the United States of America July 29,
1955 ;
Ratified by the President of the United States of America August 17, 1955;
Ptatified by Panama August 15, 1955;
Ratifica liions excha ngycd at Waish ington August 23, 1955;
Proclaimed by the President of the United States of America August 26, 1955;
Entered into force August 23, 1955.


BY THE PRESIDENT OF THE UNITED STATES OF AMERICA

A PROCLAMATION
WHEREAS a Treaty of Mutual Understanding and Cooperation between the
United States of America and the Republic of Panama, together with a related
Memoraiindum of Understandings Reached, was signed at Panaimi on January 25,
1955;
WHEREAS the texts of the said Treaty and related Memorandum of Understand-
ings Reached, in the English and Spanish languages, are word for word as follows:

TREATY OF MUTUAL UNDERSTANDING AND COOPERATION BETWEEN THE UNITED
STATES OF AMERICA AND THE REPUBLIC OF PANAMA
The President of the United States of America and the President of the Re-
public of Panama, desirous of concmluding a treaty further to demonstrate the
mutual understanding and cooperation of the two countries and to strengthen
the bonds of understanding and friendship between their respective peoples, have
appointed for that purpose as their respective Plenipotentiaries:
The President of the United States of America: Selden Chapin,
Ambassador Extraordina ry and Plenipotentiary of the United States
of America to the Republic of Panama,
The President of the Republic of Panama: Octavio Fabrega,
Minister of Foreign Relations of the Republic of Panama,
who, having communicated to one another their respective full powers, found in
good and due form, and recognizing that neither the provisions of the Convention
signed November 18, 1903, nor the General Treaty signed March 2, 1936, nor the
present Treaty, may be modified except by mutual consent, agree upon the fol-
lowing Articles:
ARTICLE I
Beginning with the first annuity payable after the exchange of ratifications of
the present Treaty, the payments under Article XIV of the Convention for the
Construction of a Ship Canal between the United States of America and the
Republic of Panama, signed November 18, 1903, as amended by Article VII of the
General Treaty of Friendship and Cooperation, signed March 2, 1936, shall be
One Million Nine Hundred Thirty Thousand and no/100 Balboas (B/1,930,000)
as defined by the agreement embodied in the exchange of notes of March 2, 1936,
between the Secretary of State of the United States of America and the Members
of the Panamanian Treaty Commission. The United States of America may dis-
charge its obligation with respect to any such payment in any coin or currency,
provided the amount so paid is the equivalent of One Million Nine Hundred
Thirty Thousand and no/100 Balboas (B/1,930,000) as so defined.
(55)
99-592-78- 5







56


On the date of the first payment under the present Treaty, the provisions of
this Article shall supersede the provisions of Article VII of the General Treaty
signed March 2,1936.
Notwithstanding the provisions of this Article, the High Contracting Parties
recognize the absence of any obligation on the part of either Party to alter the
amount of the annuity.
ARTICLES II
(1) Notwithstanding the provisions of Aiticle X of the Convention signed
November 18, 1903, between the United States of America and the Republic of
Panama, the United States of America agrees that the Republic of Panama may,
subject to the provisions of paragraphs (2) and (3) of this Article, impose taxes
upon the income (including income from sources within the Canal Zone) of all
persons who are employed in the service of the Canal, the railroad, or auxiliary
works, whether resident within or outside the Canal Zone, except:
(a) members of the Armed Forces of the United States of America,
(b) citizens of the United States of America, including those who have dual
nationality, and
(o) other individuals who are not citizens of the Republic of Panama and who
reside within the Canal Zone.
(2) It is understood that any tax levied pursuant to paragraph (1) of this
Article shall be imposed on a non-discriminatory basis and shall in no case be
imposed at a rate higher or more burdensome than that applicable to income of
citizens of the Republic of Panama generally.
(3) The Republic of Panama agrees not to impose taxes on pensions, annuities,
relief payments, or other similar payments, or payments by way of compensation
for injuries or death occurring in connection with, or incident to, service on the
Canal, the railroad, or auxiliary works paid to or for the benefit of members of
the Armed Forces or citizens of the United States of America or the Ilawful bene-
ficiaries of such members or citizens Who reside in territory under the-jurisdiction
of the Republic of Panama.
The provisions of this Article shall be operative for the taxable years beginning
on or after the first day of January following the year in which the present
Treaty enters into force.
ARTICLE III
Subject to the provisions of the succeeding paragraphs of this Article, the
United States of America agrees that the monopoly granted in perpetuity by the
Republic of Panama to the United States for the construction, maintenance and
operation of any system of communication by means of canal or railroad across
its territory between the Caribbean Sea and the Pacific Ocean, by Article V of the
Convention signed November 18, 1903, shall be abrogated as of the effective date
of this Treaty in so far as it pertains to the construction, maintenance, and opera-
tion of any system of trans-Isthmian communication by railroad within the terri-
tory under the jurisdiction of the Republic of Panama.
Subject to the provisions of the succeeding paragraphs of this Article, the
United States further agrees that the exclusive right to establish road* across
the Isthmus of Panama acquired by the United States as a result of a conces-
sionary contract granted to the Panama Railroad Company shall be abrogated
as the date of the entry into force of this Treaty, in so far as the right pertains to
the establishment of roads within the territory under the jurisdiction of the
Republic of Panama.
In view of the vital interest of both countries in the effective protection of the
Canal, the High Contracting Parties further agree that such abrogation is sub-
ject to the understanding that no system of inter-oceanic communication within
the territory under the jurisdiction of the Republic of Panama by means of rail.
road or highway may be financed, constructed, maintained, or operated dlrecty
or indirectly by a third country or national thereof, unless in the opinion of both
High Contracting Parties such financing, construction, maintenance, or operation
would not affect the security of the Canal.
The High Contracting Parties also agree that such abrogation as is. contem-
plated by this Article shall in no wise affect the maintenance and operation of
the present Panama Railroad in the Canal Zone'and in territory subject to the
jurisdiction of the Republic of Panama.







57

ARTICLE IV
The second paragraph of Article VII of the Convention signed November 18,
1903, having to do with the issuance of, compliance with, and enforcement of,
sanitary ordinances in the Cities of Panama and Col6n, shall be abrogated in its
entirety as of the date of entry into force of this Treaty.

ARTICLE V
The United States of America agrees that, subject to the enactment of legisla-
tion by the Congress, there shall be conveyed to the Republic of Panama free of
cost all the right, title and interest held by the United States of America or its
agencies in and to certain lands and improvements in territory under the juris-
diction of the Republic of Panama when and as determined by the United States
to be no longer needed for the operation, maintenance, sanitation or protection
of the Panama Canal or of its auxiliary works, or for other authorized purposes
of the United States in the Republic of Panama. The lands and improvements re-
ferred to in the preceding sentence and the determination by the United States of
America respecting the same, subject to the enactment of legislation by the Con-
gress. are designated and set forth in Item 2 of the Memnoriandum of Understand-
ings Reached which bears the same date as this Treaty. The United States of
America also agrees that, subject to the enactment of legislation by the Congress,
there shall be conveyed to the Republic of Panamia free of cost all its right, title
and interest to the land and improvements in the area known as PAITILLA
POINT and that effective with such conveyance the United States of America
shall relinquish all the right, power and authority granted to it in such area under
the Convention signed November 18, 1903. The Republic of Panamina agrees to s.,;ve
the Government of the United States harmless from any and all claims which
may arise incident to the conveyance of the area known as PAITILLA POINT
to the Republic of Panama.
ARTICLE VI
Article V of the Boundary Convention, signed September 2, 1914, between the
United States of America and the Republic of Panama, shall be replaced by the
following provisions:
"It is agreed that the permanent boundary line between the City of Colon (in-
cluding the Harbor of Col6n, as defined in Article VI of the Boundary Convention
of 1914, and other waters adjacent to the shores of Col6n) and the Canal Zone
shall be as follows:
Beginning at an unmarked point called "E", located on the northeasterly bound-
ary of the Col6n Corridor (at its Col6n extremity), the geodetic position of which,
referred to the Panama-Col6n datum of the Canal Zone triangulation system, is
in latitude 9 21' N. plus 0.00 feet (0.000 meters) and longitude 79 54' W. plus
356.09 feet (108.536 meters).
Thence from said initial point by metes and bounds:
Due East, 2662.8 feet (811.632 meters), along North latitude 921' plus 0.00
feet (0.000 meters), to an unmarked point in Folks River, called "F", located at
longitude 79 53' W. plus 3700.00 feet (1127.762 meters) ;
N. 36 36' 30" E., 2616.00 feet (797.358 meters), to an unmarked point in Man-
zanillo Bay, called "0" ;
N. 22 41' 30" W., 1192.00 feet (363.322 meters), to an unmarked point in Man-
zanillo Bay, called "H";
N. 56 49' 00" W., 777.00 feet (236.830 meters), to an unmarked point in
Manzanillo Bay, called '"I";
N. 29 51' 00" W., 2793.00 feet (851.308 meters), to an unmarked point in
Manzanillo Bay, called "J" ;
N. 50 56' 00" W., 3292.00 feet (1003.404 meters), to an unmarked point in
Limon Bay, called "K";
S. 56 06' 11" W., 4258.85 feet (1298.100 meters), to an unmarked point in
Limon Bay, called "L", which is located on the northerly boundary of the Harbor
of Col6n.
Thence following the boundary of the Harbor of Col6n, as described in Article
VI of the Boundary Convention signed September 2, 1914, to monument "D"', as
follows:







58

N. 78 30' 30" W., 2104.73 feet (641.523 meters), on a line to the light house em
Toro Point, to an unmarked point in Limon Bay, called '''", qcated 3 xetn or
1082.67 feet easterly and at right angles from the centerline of the Pama Caal;
S. 000 14' 50" W., 3074.46 feet (987.097 meters), parallel to amnd 3 S et o
1082.67 feet easterly from the centerline of the Panama Canal, to an unmarked
point in Limon Bay, called "N';
S. 780 30' 30" E., 3952.97 feet (1204.868 meters), to monument "D' ", which is a
concrete monument, located on the easterly shore of Limon Bay.
Thence following the boundary between the City of Col6n and the Canal Zone,
as described in Article V of the Boundary Convention signed September 2, 1914,
to monument "B" as follows: ,
S. 78 30" 30" H., 258.65 feet (78.837 meters) through monuments Neg. 28 and
27 which are brass plugs in pavement, to monument "D" which is a concrete mnu-'
ment, the distance being 159.96 feet (48.756 meters), 28.26 feet (8.614 mineters),
and 70.43 feet (21.467 meters), successively, from beginning of the course;
N. 74 17' 35" E., 533.60 feet (162.642 meters), along the centerline of Eleveath.
Street, through monuments Nos. 26, 25, 24 and 23, which are brass plugs in the
pavement, to "C", which is an unmarked point beneath the clock pedestal on the
centerline of Bolivar Avenue, the distances being 95.16 feet (29.005 meters),
91.02 feet (27.743 meters), 166.71 feet (50.813 meters), 158.66 feet (48.30 meters)
and 22.05 feet (6.721 meters), successively, from beginning of the course;
S. 15 58' 00" E., 965.59 feet (294.312 meters), along the centerline of'Bolivari
Avenue, through monuments Nos. 22, 21, 20 and 19, which are brass plugs in the
pavement, to monument "B", which is a brass plug, the distances being 14.35 feet
(4.374 meters), 143.13 feet (43.626 meters), 238.77 feet (72.777 meters), 326.77
feet (99.600 meters) and 242.57 feet (73.935 meters), successively from beginning
of the course. (Monument "B" is the point of beginning referred to in Article I'
of the Convention between the United States of America and the Republic of
Panama regarding the Col6n Corridor and certain other Corridors through the
Canal Zone, signed at Panama on May 24,1950.)
Thence following the boundary between the City of Col6n and the Canal
Zone, to monument "A", as described in Article I of the Corridor Convention
referred to in the next-preceding paragraph:
S. 15 57' 40" E., 117.10 feet (35.692 meters) along the centerline of Bolivar
Avenue to Monument No. A-8, which is a brass plug located at the intersection
with the centerline of 14th Street projected westerly, in North latitude 9* 21'
plus 1356.1A feet (413.364 meters) and West longitude 79 54' plus 1862.57 feet
(567.712 meters) ;
N. 73 59' 35" E., 172.12 feet (52.462 meters) along the centerline of 14th Street
to Monument No. A-7, which is a brass plug located at the intersection with
the line of the west curb of Boundary Street projected northerly In North lati-
tude 9 21' plus 1403.64 feet (427.830 meters) and West longitude 79' 54' plus
1697.12 feet (517.283 meters) ;
Southerly along the westerly curb of Boundary Street and its prolongation
to Monument No. A-4, which is a brass plug located at the intersection of two
curves, in North latitude 9 21' plus 833.47 feet (254.042 meters) and West
longitude 79 54' plus 980.94 feet (298.991 meters) (this last mentioned course
passes through a curve to the left with a radius of 40.8 feet (12.436 meters)
and the intersection of its tangents at point A-6 in North latitude 9' 21' plub
1306.23 feet (398.140 meters) and West longitude 79 54' plus 1669.37 feet
(508.825 meters), and a curve to the right with a radius of 1522 feet (468.907
meters) with the point of intersection of its tangents at point A-5 in North
latitude 9 21' plus 958.14 feet (292.042 meters) and West longtitude 79* 54'
plus 1105.89 feet (337.076 meters) ) ;
Through a curve to the left with a darius of 262.2 feet (79.919 meters) and the
interesction of its tangents at point A-3 in North latitude 9 21' plus 769.07 feet.
(234.413 meters) and West longitude 79 54' plus 955.43 feet (291.216 meters) ;
a curve to the right with a radius of 320.0 feet (97.536 meters) and the inter-
section of its tangents at point A-2 in North latitude 9 21' plus 673.38 feet
(205.247 meters) and West longitude 79 54' plus 886.40 feet (254.935 meters) 8'
and a curve to the left with a radius of 2571.5 feet (788.795 meters )and the
intersection of its tangents at point A-1 in North latitude 9 21' plus 30215 feet
(92.096 meters) and West longitude 79 54' plus 680.96 feet (207.557 meters)
to Monument No. "A", which is a 1% inch brass plug located in the old sea wall,
in North latitude 9 21' plus 45.60 feet (13.889 meters) and West longitude 79*
54" plus 487.65 feet (148.636 meters);







59

S. 21 34' 50" W., 29.19 feet (8.S97 meters), to an unmarked point called
No. 1;
.Southeasterly, 23.26 feet (7.090 meters), along a curve to the left with a
radius of 2596.48 feet (791.409 meters) the chord of which bears S. 37 28' E.,
23.26 feet (7.090 meters) to an unmark-ed point called No. 2, located on the
southwesterly boundary of the Col6n Corridor at North latitde 9 21' plus
0.00 feet (0.000 meters)).
The directions of the lines refer to the true meridian.
The above described boundary is as shown on Panama Canal Company drawing
No. 6117-22, entitled "Boundary Line Between the City of Col6n and the Canal
Zone", scale 1 inch to 600 feet, dated December 23, 1954, prepared for the
Canal Zone Government, attached as an annex hereto and forming a part
hereof."
Article VIII of the General Treaty signed March 2, 1936, as amended by
Article III of the Convention between the United States of America and the
Republic of Panama regarding the Col6n Corridor and certain other corridors
through the Canal Zone, signed May 24,1950, is hereby modified by removing from
the Col6n, or westerly, end of the Col6n Corridor the portion thereof lying
north of North latitude 9 21' and incorporating such portion within the bound-
ary of the City of Col6n as described above.
This Article shall become effective upon completion of the withdrawal by
the United States of America from the sections of the city of Colon known
as New Cristohal, Col6n Beach and the de Lesseps Area, with the exception
of the lots retained for consulate purposes, except that it shall in no case
become effective prior to the exchange of the instruments of ratification of this
Treaty and the exchange of instruments of ratification of the Convention signed
May 24, 1950, referred to in the preceding paragraph.
ARTICLE VII
The second paragraph of Article II of the Boundary Convention signed
September 2, 1914, between the United States of America and the Republic of
Panama, shall be abrogated in its entirety as of the date of entry into force of
the present Treaty.
The landing pier situated in the small cove on the southerly side of Man-
zanillo Island, constructed pursuant to provisions contained in the second
paragraph of Article VII of the Boundary Convention of 1914 between the two
countries, shall become the property of the Government of the Republic of
Panama as of the date of entry into force of the present Treaty.
ARTICLE VIII
(a) The Republic of Panama will reserve exclusively for the purpose of
maneuvers and military training the area described in the maps (Nos. SGN-7-54
and SGN-8-54, each dated November 17, 1954) and accompanying descriptions
prepared by the Comision Catastral of the Republic of Panama, attachlied as
the Annex hereto, and will permit the United States of America, without cost
and free of all encumbrances, exclusively to utilize said area for the indicated
purpose for a period of fifteen (15) years, subject to extension thereafter as
agreed by the two Governments. This authorization includes the free access to,
egress from, and movements within and over, said area. This utilization will not
affect the sovereignty of the Republic of Panama, or the operation of the Consti-
tution and the laws of the Republic over the mentioned area.
(b) The United States Armed Forces, the members thereof and their families
actually residing with them, and United States nationals who, in an official capac-
ity, are serving with or accompanying the Armed Forces of the United States and
members of their families actually residing with them will be exempted within
the said area from all taxation by the Republic of Panama or any of its political
subdivisions.
(c) Prior to the expiration of the period envisaged in this Article and within
a reasonable time thereafter the United States shall have the right to remove
from this training and maneuver area, or otherwise to dispose of, without limita-
tion or restriction all structures, installations, facilities, equipment and sup:iplies
brought into, or constructed or erected within this training and maneuver area
by or on behalf of the United States. The Republic of Panama will not be re-
quired to reimburse the United States for any structures, installations, facilities,
equipment and supplies not removed or otherwise disposed of as provided herein.






'60


(d) The United States shall be under no obligation to test6re this traininfagid
maneuver area or the faciUties and installations thereon to their ortgnal cof i-
tions upon the termination of this Article, except for'. the landing srip Wivich
will be returned in at least as good condition as that obtainibat14t~ e p f
coming into effect of this Article. '**" .
(e) The provisions of this Article shall in no manner terminate "or modify the
provisions concerning the holding of military maneuvers'n:thei. e tp flwe of
Panama established by the Notes ancillary to the General Treaty signed March 2,
1936 other than as provided herein for this training and maneuver area. .
"" . : "' "' . .. !. .',* ^
ARTICLE IX
The Republic of Panama hereby waives the right under Article XIX of the
Convention signed November 18, 1903, to transportation by railway within the
Zone, without paying charges of any kind, of persons in the service of the Republic
of Panama, or of the police force charged with the preservation of public order
outside of the Canal Zone, as well as of their baggage, munitions of war and
supplies.
ARTICLE X
The High Contracting Parties agree that, in the event of the discontinuance of
the Panama Railroad, and of the construction or completion by the United States
of a strategic highway across the Isthmus lying wholly within the Canal Zone in-
tended primarily for serving the operation, maintenance, civil government, sani-
tation and protection of the Panama Canal and Canal Zone, and notwithstad-
'ing anything to the contrary in Article VI of the Convention signed November I".1,
1903, the United States of America may in its discretion either prohibit or .-
strict the use, by buses or trucks not at the time engaged exclusively in the
servicing of, or the transportation of supplies to, installation, facilities or resi-
dents of the Canal Zone, of that portion of such highway which lies between
Mount Hope, Canal Zone and the intersection of such highway with the Canal
Zone section of the Trans-Isthmian Highway referred to in the Trans-Isthinian
Highway Convention between the United States of America and the Republic of
Panama, signed March 2,1936. .
ARTICLE XI
The Republic of Panama agrees, notwithstanding the provisions of Article Ii
of the General Treaty signed March 2, 1936, that the United States of Anericr
may extend the privilege of purchasing at post exchanges small items of personal
convenience and items necessary for professional use, to military personnel of
friendly third countries present in the Zone under auspices of the United
States.
ARTICLE XII '
The United States of America agrees that, effective December az,. 1956. thre
will be excluded from the privilege of making purchases in the commissaries and
other sales stores in the Canal Zone as well as the privilege of makih& impot-
tions into the Canal Zone all those persons who are hot citizens of the U.ited
States of America, except members of the Armed Forces of the United States,
and who do not actually reside in the Canal Zone but who are included i itie
categories of persons authorized to reside in said Zone; it being under.
nevertheless that all personnel of the agencies of the United States of Ameuia'
will be permitted under adequate controls to purchase small articles such as
meals, sweets, chewing gum, tobacco and similar articles near the sites of tlhfr
jobs. ..
The United States of America further agrees that, effective December.31, 105,
and notwithstanding the provisions of the first paragraph of Artice ITV of the
General Treaty signed March 2, 1936, the Government of tl4e Republic of Panawa
may impose import duties and other charges upon goods destined or con00.me
to persons, other than citizens of the United States of.America, included in class
(a) in Section 2 of Article III of said Treaty, who reside or sojourn In terrztov7
under the jurisdiction of the Republic of Panama during the performance G i
their service with the United States of America or its agencies, even though
such goods are intended for their own use and benefit. :

*>p. *








61

ARTICLE XIII
The present Treaty shall be subject to ratification and the instruments of ratifi-
cation shall be exchanged at Washington. It shall enter into force on the date of
the exclha uge of the instruments of ratification.
IN WrrITNESS WHEREOF, the Plenipotentiaries have signed this Treaty in dupli-
cate, in the English and Spanish languages, both texts being authentic, and have
hereuinto affixed their seals.
Done at the City of Panama the 25th day of January 1955.
Fur the United States of America :
[SEAL]

For the Republic of Panama :
[SEAL]

MEMORANDUM OF UNDERSTANDING REACHED
In connection with the 1953-1954 negotiations between representatives of the
United States of America and the Republic of Pananai, which have resulted in
the signature of a Treaty between the two countries, the following understand-
ings have been reached:
On the part of the United States of America:
1. Legislation will be sought which will authorize each at.ency of the United
States Government in the Canal Zone to conform its existing wage practices
in the Zone to the following principles:
(a) The basic wage for any given grade level will be the same for any em-
ployee eligible for appointment to the position without regard to whether he is a
citizen of the United States or of the Republic of Panama.
(b) In the case of an employee who is a citizen of the United States, there
may be added to the base pay an increment representing an overseas differential
plus an allowance for those elements, such as taxes, which operate to reduce the
disposable income of such an employee as compared with an employee who is a
resident of the area.
(c) The employee who is a citizen of the United States will also be eligible
for greater annual leave benefits and travel allowances because of the necessity
for periodic vacations in the United States for recuperation purposes and to
maintain contact with the employee's home environment.
Legislation will be sought to make the Civil Service Retirement Act uniformly
applicable to citizens of the United States and of the Republic of Panama
employed by the Government of the United States in the Canal Zone.
The United States will afford equality of opportunity to citizens of Panama
for employment in all United States Government positions in the Canal Zone
for which they are qualified and in which the employment of United States
citizens is not required, in the judgment of the United States, for security
reasons.
The agencies of the United States Government will evaluate, classify and title
all positions in the Canal Zone without regard to the nationality of the incumbent
or proposed incumbent.
Citizens of Panama will be afforded opportunity to participate in such training
programs as may be conducted for employees by United States agencies in the
Canal Zone.
2. With reference to that part of Article V of the Treaty signed today which
deals with the conveyance to the Republic of Panama free of cost of all the right,
title and interest held by the United States of America or its agencies in and to
certain lands and improvements situated in territory under the jurisdiction of the
Republic of Panama, steps will be taken as provided in this Item.
(a) Legislation will be sought to authorize and direct the transfer to the
Republic of Panama of all the right, title and interest held by the United States
or its agencies in or to the following real property:
1. The J. N. Vialette and Huerta de San Doval tracts in the city of Panama
and the Aspinwall tract on the Island of Taboga.
2. Las Isletas and Santa Catalina Military Reservations on the Island of
Taboga. This transfer will include the cable rights-of-way which have a width
of 20 feet (6.10 meters) and extend between the Ancon Cove Military Reservation




I,
:i

62

and the Santa Catalina Military Reservation, and between the El Vigia Military
Reservation and the Las Isletas Military Reservation.
3. The lot in Col6n now reseried-for consulate purpope,.. .:.. :.
4. Certain lands on the weterl' shores of th# ciy Colt C ies*14 =r-bet y
as extending from the southlrly boundary of the ie Lesseps ,area (4th street
extended) to the Colon-Canal Zone boundary and boihded bo the eat by the. east
wall of the old freight house and, below that structure/,b a 1i.e 35 f5et (7.622
meters) west of the center -line of the most westerly railroad back. This transfer
will include the certain improvements consisting fat the old fright house and
ColOn Pier Number 3. ..
(b) Legislation will be sought to authorize and direct the Panama anaMl Com-
pany to remove its railway terminal operations from the city of Panama and to
transfer to the Republic of Panama free of cost all of the: right, title and interest
of the Panama Canal Company in and to the lands known as the Panama Ba4i-
road Yard, including the improvements thereon and specifically including the
improvements thereon and specifically including the railway passenger station.
This action will also relieve the Government of the Republic of Panama of its
obligation under Point 10 of the General Relations Agreement between the United
States of America and the Republic of Panama signed May 18, 1942 to make
available without cost to the Government of the United States of America a suit-
able new site for such terminal facilities.
(c) With respect to those areas in the city of ColOn known as de Lesseps,
Colon Beach and New Cristobal (with the exception of two lots in the de Lesseps
area which the United States intends to use for consulate purposes), legislation
will be sought to authorize and direct the gradual withdrawal from these areas
and the conveyance or transfer to the Republic of Panama free of cOst of all the
right, title and interest of the United States and of its agency, the Panama Canal
Company, in and to the lands and improvements thereon. Under this process of
gradual withdrawal the United States Government, and/or its agencies, will
not be obligated to install any new structure in such areas and, as severable
parts of the areas cease to be needed, the lands and improvements would be
conveyed or transferred. The severability of parts of the areas depends upon a
number of practical considerations including those having to do with the present
obligations of the United States, with respect to the subject areas, concerning
water and sewerage facilities, street cleaning and paving, water supply, et cetera,
as stipulated in the Instrument of Transfer of Water and Sewerage Systems,
executed between the Governor of the Panama Canal and the Foreign Minister
of Panama.on December 28,1945.
(d) With respect to the railroad passenger station and site in the city of Coldn,
legislation will be sought to authorize and direct the withdrawal from such site
and structure at such time as the withdrawal from the areas known as de Lesseps,
ColOn Beach and New Cristobal, contemplated by the next preceding seb-
paragraph, shall have been fully completed, and the conveyance to the Republic
of Panama free of cost of all the right, title and interest of the United States
and of its agency, the Panama Canal Company, in and to such site and structure.
However, the railroad tracks and trackage area in ColOn, being, required for
switching purposes serving the Cristobal piers, will be retained for such purposes.
(e) All transfers or conveyances of lands and improvements contemOilated by
this Item, subject to legislative authorization and direction, will necessarily be
made subject to any leases which may be outstanding in the respective areas, a4d
will also contain provisions fully protecting the Government of the United States
of America against any claims by lessees for damages or losses Which may arise
as a result of such transfers or conveyances. '
(I) The transfers or conveyances contemplated by this Item, subject to legis-
lative authorization, are in addition to the conveyance 6f Paitilli Point as spe-
cfically covered by Article V of the Treaty signed today, and to the transferof
real property effected by Article VI .of said Treaty. "
3. Articles, materials, and supplies that are mitied, produced 6or manufctur:h
in the Republic of Panama, when purchased for use in the Cainal Zone, 111be
exempted from the provisions of the Buy American Act. "
4. Referring to the exchange of notes dated March 2, 1986, accessory to the
General Treaty' between the United States of America and t* Republic of
Panama signed on that date, relative to the sale of ships of goods Importe4 Into
the Canal Zone 1y the Government of the United States of America, the United
States of America agrees, effective December 31, 1956, and in benefit of Pana-
manian commerce, to withdraw wholly from, and thereafter to refrain from,
any such sales to ships, provided that nothing in this item shall apply:







63

(a) to sales to ships operated by or for the account of the Government of the
United States of America,
(b) to the sale of fuel of lubricants, or
(c) to any sale or furnishing of ships stores which is incidental to the per-
formance of ship repair operations by any agency of the Government of the
United States of America.
5. Legislative authorization and the necessary appropriations will be sought for
the construction of a bridge at Balboa referred to in Point 4 of the General Rela-
tions Agreement of 1942.
6. The United States of America agrees, effective December 31, 1956, to with-
draw from persons employed by agencies of the Government of the United States
of America in the Canal Zone who are not citizens of the United States of Amer-
ica and who do not actually reside in said Zone the privilege of availing them-
selves of services which are offered within said Zone except those which are
es.e&untial to health or necessary to permit these to perform their duties.
7. It is said and will continue to be the policy of the Panama Canal agencies
and of the Armed Forces in the Canal Zone, so far as permitted under United
States legislation, to afford the economy of the Republic of Panama full oppor-
tunity to compete for such business.
8. In general connection with the matter of the importation of items for resale
in the sales stores in the Canal Zone, it will be the practice of the agencies con-
cerned to acquire such items either from United States sources or Panamanian
sources unless, in certain instances, it is not feasible to do so.
9. With respect to the manufacture and pressuring of goods for sale to or con-
sumption by individuals, now carried on by the Panama Canal Company, it will
be the policy of the United States of America to terminate such activities when-
ever and for so long as such goods, or particular classes thereof, are determined
by the United States of America to be available in the Republic of Panama on a
continuing basis, in satisfactory qualities and quantities, and at reasonable
prices. The United States of America will give prompt consideration to a request
in writing on the part of the Government of Panama concerning the termination
of the manufacturers or processing of any goods covered in this Item as to which
the Government of Panama may consider the criteria specified in this Item
to have been met.
10. Prompt consideration will be given to withdrawing from the handling of
commercial cargo for transhipment on Canal Zone piers so soon as Panamanian
port facilities are in satisfactory operation in Colon.
11. The United States agrees that the term "auxiliary works" as used in the
Treaty includes the Armed Forces of the United States of America.
On the part of the Republic of Panama:
1. The Republic of Panama will lease to the United States of America, free of
all cost save for the recited consideration of one Balboa, for a period of 99 years,
two parcels of land contiguous to the present United States Embassy residence
site, as designated on the sketch (No. SON-9-54, dated November 19, 1954) and
accompanying descriptions prepared by the Comisi6n Catastral of the Republic
of Panama, attached hereto.
2. The Republic of Panama assures the United States of America that the prop-
erty, shown and described on the attached map (No. SON-6-54, dated October
1954) and accompanying description prepared by the Comisi6n Catastral of the
Republic of Panama, to front of the United States Embassy office building site
and between the Bay of Panama and Avenida Balboa as it may be extended be-
tween 37th and 39th Streets, will be preserved permanently as a park and not
developed for commercial or residential purposes.
3. So long as the United States of America maintains in effect those provi-
sions of Executive Order No. 6997 of March 25, 1935 governing the importation
of alcoholic beverages into the Canal Zone, the Republic of Panama will grant
a reduction of 75 percent in the import duty on alcoholic beverages which are
sold in Panama for importation into the Canal Zone pursuant to such Executive
Order.
4. In connection with the authorization granted to the United States of
America in Article VIII of the Treaty, the United States shall have free access
to the beach areas contiguous to the maneuver area described in said Article
VIII for purposes connected with training and maneuvers, subject to the
public use of said beach as provided under the Constitution of Panama.
The provisions of this Memorandum of Understandings Reached shall enter
into force upon the exchange of instruments of ratification of the Treaty signed
this day by the United States of America and the Republic of Panama.









* / *' ':) ** Sn N..t& 4 G I o ... i '. ,i ; 1 s .
NICARAGUAN CANAL ROUTE: TERMINATION aOf tir.tiAnl(
Convention signed. tkakwaoasdvs* MV.tW 7T0 z" nJ:21? 11 1R h 1.A ii U
Ratification acwisefJ bgthe Senlte Vf te V bd WS 44 A efl'tt f
1971; .,. .T,., *rT....Tl :
Ratified by thd PrevAiOdt bfrtke United Stfles of AmnerixfbM4 0 A7;
Ratified byyicargu A f:'t 141, 1970;'- 4 x...i 4 j. p.4
Ratifications exchanged at Managua April 25, 1971; 2 . i
Proolaiomed bj the Presideit of the VUnited SWtes"6f A 7 97 "9
Entered into force April 2 5 1971.' 1 7 1 .: :
'* . / I i.. t J II , .. .. .: 1 : .; ..*' .
... .. ..
16,
4 A A s i **- ** .t **'
BY THE PREKESINT OF TEE UNITEDr STATES OF AMEmICA l:
OOSTnG THAT: ~?RA ^EOCLAMATIQNr .; i. nl :
SCON. DE.. IN, THAT: /. ;.
The convention between the United States of Amnerida, and the ,epubli' of
Nicaragua for the termination of the convention respecting a Nicaraguan eanall
route signed at Washington 6n August 5,,1914, was- signed at .Managua on
July: 14, 1970, the original of which convention is annexed hereto;
The Senate of the United States: of America by its rebolution'ofrFebruary 2T;
1971, two-thirds of the Senators present concurring therein, gave its advice attd
consent to the ratification of the convention; .' ... / "
The, convention was duly ratified by the President, of the United States t
America on February 26, 1971, and was .duly ,atifad;on the paWt of the 'Republle'
of Nicaragua; .. .
It is provided in Article -III of the convention that the jeonventio shallft enter
into force on., the day on which, the instimnsnts of ratification are exchanged;.'
The instruments of ratificatioL of the. convention were duly .xcalngeQ *M
April25, 1971; f A.. .. .. .
SNow,. THEEFOBE, I, Richard Nixon, President 41 the United States of AmericctV
proclaim and. make public the convention of July 14, 1970 betweentthe Tunited
States of America and the Republic of Nicaragua to the end that it shaltd bej
observed and funlfiledtwith/good faith 'on iand after April 25; 1071;tby the-'United
Statesof America and .by. the citizens of the United States of America And AlT
other persons subject to the jurisdiction thereof. ,. '
IN TESICONY WHEREOV, I have signed this proelamatios and caiused'the Seal
of the United States ofAmerieato be affi ed. :'
Done at the city of Washington this seventh day of J'uA in the year of oUr
teL I*Loir one tbousazkt nbin hundred seventy-one and ode th WdeeGece
[sL "of the United States of America the oAl -hun'dled tdinety-fifH.
S ." "" .. .;' i ,' ," "?: ". ,' ".' ,, J', "" '"'x ..
..9
By tht President: s
JOHN N. Iwini *I '' . ." 1. 1 <
SActing Becretary of State rt ; .
J~ '.r' I, :
.' 1i . '* "" ,*"- : ""f' !'' "*

CoNVi'tniow BIIWWEmX THB GOVERNMENT OP fN UNntEb StnTu or AMEiW&A
AND TEU GOVER2iMENT or THE ItEP ort OF .dBAG
,;, ; -* !, : f -: ,. ;" : i
The Government of the United States of: America, and the. Government of'
Nicaragua, desirous of further strengthening the traditltmal bonds.ot friendship
and cooperation long existing between their two ountriest, have reexamined th
Convention respecting .a Nicaragua canal toute, signed it, WashtftAon en Ad-
gust 5, 1914, [] in the light f present cireumstances and meeds and :have co4 M
eluded that the intereteft-; both\fations will best be served by terminating tie
Convention in all its provisions. To this end, the two Governments have agreed'
to the following articles :*, "* ." .
. : ARTICLE I a : ,
Upon the entry into force of the present Oi..vention,, the Oonvenion between
the United States of Ameriqp and the Republip of ilcaragva rspeeti.g & Nicr-
raguan canal route, ,whiqhb ,was signed at, Washington ( on AuguA 5, 1914, shall
terminate. 1 ,7 . .. ;' 4V.;
TS 624; 39 Bt'1691; .







65


ARTICLE II
As a consequence of the termination of the Washington Convention of August 5,
1914, all the rights and options that the 1914 Convention accorded to the Gov-
ernment of the United States of America shall cease to have effect as of the
date of this convention enters into forcs.

ARTICLE III
The present Convention shall be ratified in accordance with the constitutional
requirements of the contracting parties, and instruments of ratification shall
be exchanged at the city of Managua as soon as possible. The present Convention
shall enter into force on the day on which the instruments of ratification are
exchanged. In witness whereof the respective plenipotentiaries have signed the
present convention. Done in duplicate, in the English and Spanish languages,
both equally authentic, at the city of Managua this fourteenth day of July, one
thousand nine hundred and seventy.
Pour le Gouvernement des Etats-Unis D'Amerique:
ROBERT A. STEIN,
Charged d' Affaires a.i.
Pour le Gouvernement de la RI6public Islamique de Mauritanie:
HAMDI WOULD MOUKNASS,
Ministre des Affaires Etrangeres.

















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COSTS



























































C''
















[Provided for the record, Subcommittee on Separation of Powers, Senate Com-
mittee on the Judiciary, hearing held July 22, 1977.]
Total payments as a result of the 1903 Treaty1
1. Reflected on company books as title and treaty rights:
a. Payment to Republic of Panama-------------------- $10, 000,000


b. Payment to individual property owners (depopulation of
Canal Zone) --- ------------------
c. Payment to French (land rights) --------- -
d. Madden Dam Area land rights, 1924-1932 ----- ---

Total b through d-------------------

2. Further payments to French:
a. Inventories, salvage credits, other ----------
b. Panama Railroad Capital Stock-----------
c. Channel costs --------------------

Total----------------------------------------

(Combined with lc., payments to French total $40,000,000).
3. Payment to Colombia (not reflected on company books) : Indem-
nity to Colombia for loss of Panama -----------
4. Payment to Panama for annuity:
a. 1913 to 1920 (capitalized as construction costs) -----
b. 1921 to 1951 (dollar value in gold changed, 1933)----
c. 1952 to 1976 (dollar value in gold changed, 1973 and 1974;
includes payment by State Department, 1956 to 1976)_

Total----------------------------------------


3,965,254
326,016
437,619

4, 728,889


1, 282, 664
7,000, 000
31, 391, 320

39,673,984



25, 000, 000

2,000,000
10, 990, 000

43, 610,992

56,600,992


Total payments to Panama, French, and Colombia------ $136,003, 865
1 The figures reported in are actual dollars paid at the time of payment and have not
been adjusted to reflect the value of payments in terms of 1977 dollars.
NOTE.-Does not include unrecovered United States' investment in the Canal and Canal
facilities except to the extent of $2 million in annuity payments which were capitalized
as construction cost during the period of 1913 through 1920. As of October 1, 1977 unre-
covered capital investment of the United States in the Panama Canal Company totals
$319 million on which interest payments accrue in the approximate amount of $17
million per annum.
(69)















































j;1s; 3


''4


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I .















DEPARTMENT OF THE ARMY,
OFFICE OF THE SECRETARY OF THE ARMY,
Washington, D.C., September 2,1977.

INFORMATION FOR MEMBERS OF CONGRESS: APPOINTMENTS TO BOARD OF DIRECTORS
OF THE PANAMA CANAL COMPANY
Secretary of the Army Clifford L. Alexander, Jr., today announced the appoint-
ment of members for vacant seats on the Board of Directors of the Panama
Canal Company. Under the Chairmanship of the Army Secretary, the Board
will oversee the operation of the Panama Canal.
As Stockholder of the Panama Canal Company, and the President's direct
representative to supervise the administration of the Canal Zone Government,
the Secretary of the Army appoints members of the Canal Company's Board of
Directors. The Board reviews and sets guidelines affecting the operation and
management of the Canal and business operations incidental to the Canal's
operation and maintenance. Meetings of the Board are held quarterly, normally
in Washington.
Under the currently proposed Canal treaty dealing with the operation and
administration of the Canal, the Panama Canal Company and the Canal Zone
Government would be replaced by a new United States Government agency,
the Panama Canal Commission. Six months after the exchange of ratification
instruments, a new Board of Directors for the Commission would be appointed
by the United States. That Board would consist of five United States citizens and
four Panamanians and would replace the current Panama Canal Company Board.
The Board will be comprised of individuals from various U.S. Government
Executive Agencies plus Canal Zone Governor Harold R. Parfitt who, as Presi-
dent of the Panama Canal Company, is an ex-officio member. The new Board
members replace previous Board members whose terms of office ended April 1,
1977.
The new Panama Canal Company Board members appointed under provision
of the Canal Code are:
Hon. Clifford L. Alexander, Jr., Secretary of the Army.
Mr. Charles R. Ford, Deputy Assistant Secretary of the Army (Civil Works).
Hon. Ersa H. Poston, Commissioner, U.S. Civil Service Commission.
Adm. Owen W. Siler, Commandant, U.S. Coast Guard.
Hon. Anthony M. Solomon, Under Secretary of Treasury for Monetary Affairs.
Hon. Terence Todman, Assistant Secretary of State for Inter-American Affairs.
Hon. Richard N. Cooper, Under Secretary of State for Economic Affairs.
Hon. David E. McGiffert, Assistant Secretary of Defense for International Se-
curity Affairs.
Furnished by: Office, Chief of Legislative Liaison.


[Sent by United States Embassy in Panama to the State Department on Oct. 26th, 1976]
Tags: ECON, EFIN.
Subject: Panama's recession is structural-a result of low productivity.
1. This message is part of a continuing series of mission economic studies of
the State of the Panamanian economy and projections for its future.
2. Summary: Panama's recession, which deepened during the first half of
1976, is either cyclical nor primarily a product of economic conditions outside
Panama. In our view the economy is floundering mainly because its high cost
output is not competitive in the world market and few opportunities exist for
available private investment. To establish a basis for renewed subtainable
growth will require actions that lead to lower costs and improved productivity.
These could include easing the labor code, reducing subsidies, boosting domestic
savings, and directing resource flows more toward the international service
sector where Panama has natural advantages, however, most such actions
would cut back social benefits granted to the working classes under the "revolu-


99-592-78--6


(71)







72

tion," and might not be politically acceptable under the present government,
inflows of foreign capital have not been getting at the core problem of high costs
(low productivity). Lack of access to relevant Canal Zone sites is delaying GOP
development of infrastructure which is prerequisite to the growth of various
commercial services industries by the Panamanian private sector. End summary.
3. Economic conditions in Panama worsened steadily during the 1976 first
half. There were decreases from a year ago in key indicators-manufacturing,
construction, external trade, unemployment (increase), and sales to the Canal
Zone (see reftel), overall growth is likely to be near zero for 1976.
4. Failure of the economy to respond to a variety of stimulants indicates that
the recession is more than a cyclical maladjustment.YCredit has remadiledjrell-
tively plentiful, with preferential rates available from the government for both
agricultural and industrial projects. There are tax sVbsidies for new exports,
and tax benefits for reinvested profits. No basic changes iAve been made In the
"rules of the game" under which business operates, such as bte labori code or'
laws, since before the onset ot recession, in act, the GOP in recent months Ja
actively sought by various direct means to impove tale b us iess climate. '4lair6
boost in 1975 public sector spending had little effect on either private'investient
or aggregate demand. '
5. Also, Panamanian economic problems do not seem to be caused prliiiarly
by worldwide economic trends or world trade. In contrast'-to Panama's co-
tinuing decline, other developing countries (LDC's) have' been expe-riencfig
a quickening economic tempo so far this year in- response td Trapid reoveir,'by
the industrialized countries, plus some correction of structural maladjustjinbts,
LDC exports have been generally increasing as a part of 'the marked 4mprove-
ment in 1976 first half world trade (plus 10 percent,)' while the value of Pana-
manian exports remained at its 1975 level (excluding an abnormal decline in
petroleum products exports), changes in Panama's economy also differed from
the worldwide pattern both during the 1974-75 world recession and :th years
immediately preceding it. Despite sharp 1974-75 recession among the industrial-
ized countries (zero growth), LDC's, gross domestic product (GDPJ)i*creased
5.5 percent in 1974 and 1.7 percent in 1975. Growth had begun tapering off in
1971 whereas during 1971-73 the rest of the world including Latiz America
experienced unprecedented boom. '
6. Private investment in Panama reached a peak'in 1971. Growth in manufae-
turing began to fall off in 1971 with a decline in the number of attractive import
substitutiQn possibilities, little increase has subsequently taken place in the'vol-
ume of manufactured exports, output of both construction materials and inter-
mediate goods stopped expending in 1973. Expansion 6f construction activity
began slowing in 1972 and has actually been declining since 1974. Imposition of
rent controls in 1973 brought private investment in low cost housing to a %stnd-
still. On the other hand, growth of the important services sector'remained near
8 percent annually through 1974 (plus 3 percent In 1975) due In part to the'major
expansion of the foreign banking sector since 1971, growth in agricultural output
has remained sluggish since 1970 at about 3 percent annually, much sl6w& than
during the 1960's. -.
7. Panama's basic economic weakness in our view and the reason behind cur-
rent stagnation is its non-competitiveness in the world market-a s::truetural
problem involving primarily high cost production (coupled with a lack of
resources) in both agriculture and industry. -The export potential for Panamanian
agriculture is extremely limited at present, the main exports,, bananas, is in the
bands of foreign plantation operators,' and has probably reached its peak in an
increasingly competitive world market. In general, land is ,,pobr quality- and
farm labor costs are high-the $3 per day minimum wage .is estimated to besat
least double the rate anywhere else in Central America. The go-vernment. encour-
ages high cost production, including rice, the principals crop, by subsi. ding.pro-
ducers through support prices typically set above the world .market., Thus,
Panama cannot profitably export major crops such as rice and Pprn ani i s further
precluded from developing any profitable export potential for vartios lesser pro
by the small domestic market base in Panama. Accessible forests have been cRtA
over and there is little potential for meat exports while access to the U.S. market
is restricted. Panama's sugar industry, is likewi e no"-competitive dbe to high
costs of both cane production and refining operations. ..1::
8. As with agriculture, Panama's manufacturing industry currently has l!ttAe
export or-overall growth potential because of high producUoa costs coupled with
a dearth of natural resources (copper deposits have not yet been determined tQ
be economically exploitable). Minimum wages and the general wage and benefit
structure in Panama are estimated to be the highest in central America and










among the highest in all Latin America. Higher wages and benefits in the Canal
Zone exert upward pressure on wages in the republic as employers compete for
the generally better qualified workers attracted by Zone wages. The dominance
of the service sector in Panama's central urban areas with its higher skill levels
also creates upward pressure on the entire wage and benefit structure. Employee
benefits under Panama's labor code add to direct employment costs. The code
exerts indirect pressures on costs through subsidies such as firing restrictions
imposed on employer and, by strengthening the trade union movement, bolsters
the trend toward costlier contract settlements. High labor costs encourage the
substitution of capital for labor, thus boosting structural unemployment through-
out the economy. Also, relative capital costs-mostly foreign sourced-are likely
to rise as Panama's already high debt service burden worsens and the economic
outlook for other LDCs improves relative to Panama.
9. Establishing the basis for renewed growth and improved economic well
being that can be sustained will require actions that lead to a lower cost struc-
ture. One widely discussed possibility is an easing of the labor code, although its
real impact on costs remains uncertain (it did not bring on recession although
it may have stood in the way of needed private sector adjustments). Changes
probably would not induce an immediate surge of private investment, however,
the business community has made clear its conviction that changes are essential,
giving them an additional psychological importance that bears importantly on
the general investment climate. Changes might be a convincing sign of GOP con-
cern over the private sector's economic plight.
10. Appropriate belt tightening also could include lowering subsidies as well
as the wage/benefit structure to reduce relative production costs, and in.rea;ing
personal taxes to curb consumption (particularly imports) and expand domestic
savings. The;e effects are usually achieved indirectly by currency devaluation.
Since Panama's currency is the U.S. dollar, such actions must lbo taken directly,
in addition. resources may need to be more heavily concentrated in the interna-
tionally-based services sector where Panama has more natural advantages, with
proportionately less in agriculture and the non-productive social sectors.
11. Conmnents:
(A) Panama's high wages. subsidies, and consumer imports-together with a
moderate tax burden and little public saving-permit a standard of living which
no longer appears to be supportable by Panama's inefficient domestic prodieti.in.
(B) Increased external financial flows per se, regardless of conee-ionality,
permit Panama to defer grappling with the core problem of low prloduc.ivity
until a later date when the problem will probably have worsened, unless such
financing bears specifically on some aspect of costs. Indeed, much of the capital
inflow of the past three years has aggravated Panama's economic malaise by
exacerbatng its debt service burden without enhancing overall productivity.
Moreover, total inflows greatly exceeded the current account deficit of Panama's
balance of payments, resulting in large negative "errors and omissions" (around
$100 million annually) most of which probably represented outflows of domesti-
cally-ow ned capital.
(C) The types of actions mentioned above for addressing Panama's high cost
structure run headlong into the "revolution"-the social and economic benefits
granted to the urban and rural working classes over the past eight years which
would need to be reversed in party in short, the "evolution" has collided with
growth and one or the other must yield, whether or not actions of sufficient scope
to be economically meaningful along the above lines are politically po-s4ible for
the present government is questionable.
(D) Panama's best economic prospects lie in the development of its potential
as a sub for servicing international commerce, various aspects of cargo handling
are an essential part of the picture. Thus, the GOP has a valid case in urging
early access to relevant canal zone sites needed to develop the infrastructure on
which growth of various transport, storage and other commercial services.


Memorandum to: Eng. Demetrio B. Lakas, President of the Republic, Presidency
of the Republic.
Frem: Nicolas Ardito Barletta, Planification Minister.
Matter: Financial perspectives for 1977.
The purpose of this Memorandum is to call attention to the financial 1,ais
upon which will be defined the budget policy of 1977 thus permitting to show
the pertinent limitations that are being detected in this year's budget.
(a) The current revenues should increase between B/ 43.6 million and B/ 44.2
million with respect to this year's revised income figures thus reaching totals of







:7*4

B/ 339.7 million or B/ 33&3 million; aepeent on wl$.btr ,or o ee,.
recuperation i. the ecopnmai a.vti4 li e last 4 iuioti 0f. ye,
(b) The increase i current revenues AV anpeqojp tvnt
and an inflation rate of 4perceJf4Uqyoioutf1i7O ,. ., I I %
(c) It also assuiues a BA 21.0 miibot V agea ncreae gotaxes wh& shopid
not interfere siga.flcantjy u the det'red economic reeupenltpn proaes.
(d) The technical group involved in -thia evaluation has c'. eluded that the fto-
lowing are the tributary measures that would fill the above quiremnts; ,.:*
A consumer tax designed in,such a paxnner as to minimizeits effpt on prices
and on lqwer income groups. Thi. type of taxation tends to divert private ex-
penditure towards investments, thusim. stimulating economic development.
Reform import duties in order to replace specific value taxes by value added
duties. This measure will adjust the increase of tax income to the increased cost
of imported goods, and will thus help to stimulate internal production..
Limit the tax deduction permitted on interest paid for mortgage loans used to
buy homes for one's personal use.
Consolidate the progressive tax structure for qorporationq into one tax rate
in order to avoid the use of numerous companies to.lower the effective tax rate.
(e) At the same time, operational expenses are estimated to increase from
between B/ 50.3 million and B/ 507 million and will reach totals of B/ 3404t
million or B/ 341.0 million depending on how the economy is reactivated during
the second semester of this year., ,
(f) The fact that the increase in revenues will be inferior to the increase in
expenses suggests that there will virtually be no new recourses to- augment the
coverage of public services.
(g) The significance of the rigidity to which the new budget elaboration will
be subjected will be understood when one observes that only B/ 3.1 million will
correspond to net reincorporations of previous frozen expenditures, while the
remaining B/ 47.2 million correspond to commitments of an obligatory nature.
(h) These commitments of an obligatory nature can be broken down in the
following manner:
(1) From between B/ 42.3 million to B/ 42.7 million for servicing the foreign
debt which [servicing] will increase from between B/ 87.5 million to B/ 129.8
million or B/ 130.2 million in 1977, depending on whether or not the economy
recuperates during the last semester. Interest will increase from between B/
24.8 million or B/ 25.2 million, depending on the above observation, while the
amortizations will be increased by B/ 17.5 mllionb Due to the tendency required
to service the foreign debt, its ratio in respect to current revenue increases from
29.6 percent to between 38.2 percent and 39.0 percent which significantly deterio-
rates our capacity for further indebtedness.
(2) B/2.3 million of the amortization of salaries are for:
Education-B/1.4 million.
Health--0.4 million.
Housing-0.1 million.
Other institutions-0.4 million.
(3) B/1.3 million of current transferences which reflex the increase in subsidy
to the National University, the payment of Balboa notes subscribed to BID
and the increased consumption of water.
(4) E/0.4 million in salary increases to:
flealth-0.3 million.
Government and Justice, Labor-.
Presidency-0.1 million.
(5) B/ 0.3 million for the XIII the month of public functionaries.
(6) B/ 0.2 million for inclusion in the MIDA budget for personnel frozen in
its investment portion of said budget and for the'hiring of new auditors for the
Finance Ministry.
(7) B/0.4 million in order to bolster the supply budget of the Health Ministry
and other compulsory expenditures.
(i) Since, for the above reasons, all other expenses must be maintained at the
budgeted fiscal 1976 level, it is convenient to eliminate from the budgeting proc-
ess all programed budgeting meetings in order that the respective Institdtlons
and our analyst can dedicate the most amount of their time possible to formulate,
evaluate and turn in punctually their budget by program.
(j) As to the Central Government contribution towards the public investment
program, we calculate that It will be B/ 78.0 million which represents an In-
Irk








75

crease of B/ 18.0 million over B/ 60.0 million that is estimated will have been
contributed this year.
(k) As a result, the global deficit will be between B/ 131.9 million and B/
138.7 million, depending on how well the economy recuperates during the second
semester.
(1) To finance this deficit we will require B/ 15.6 million from the Venezuelan
investment Fund B/ 5.0 million in Internal Bonds, and from B/ 111.3 million to
B/ 118.7 million from the private banks.
(mi) Thus, the amounts that must be financed as well as the amounts that
must be obtained, create very concrete problems which in turn reiterate the need
to increase expenses and investments only in those areas of an obligatory nature
and to dedicate the most of time possible to the conscivntitus elaboration of a
budget by programs in order to execute the largest possible amount of services
required by our society with the scarce resources that are available.
(n) On the one side, the required new financing of between B/ 131.9 million
and B/ 138.7 million implies that there will be pressure on the liquidity and sol-
vency of the National Bank which must provide the Central Government the
miiietary resources while the 3 previously mentioned financial operations can be
formalized, all of which should take at least four months. During this period,
the National Bank will have to recur to its lines of credit as well as to its internal
reserves which have been practically saturated during the present year by having
to finance the global deficit of B/ 99.3 million which in turn is between B/ 32.6
million and B/ 39.4 million less than what has been estimated for 1977.
(n) On the other hand, we feel it will be extremely difficult to syndicate
loans with the commercial banks in the amounts previously mentioned, taking
into account that during the present fiscal period we must contract for a total of
B/ 323.6 million with those sources, who in turn have become more demanding
each time than an accord has to be finalized. Besides, the relation between
servicing the debt and current revenues of between 38.9% and 39% suggest a
deteriorated capacity to service this debt and thus will increase the risk as
realized by the lending institutions.
(o) In short, 1977 lines up as extremely delicate due as much to current ex-
penses increasing more than current revenues, as well as to the amount and struc-
ture of the new financing that must be contracted which reaches the limits avail-
able to the Nation as such.
(p) As a result of the above, I respectfully request your backing in eliminating
the budgeting meetings and in demanding from the institutions that they pay
the most attention to formulating and elaborating a budget by program. Also, I
ratify the need for you to back the approval and execution of the taxing measures
that we have presented for your consideration, once that we have finalized the
pertinent studies.
With by highest consideration and appreciation.


THE LIBRARY OF CONGRESS,
CONGRESSIONAL RESEARCH SERVICE.
Washington, D.C., July 21, 1977.
To: Subcommittee on Separation of Powers.
Attention: Quentin Crommelin.
From: Economics Division.
Subject: U.S. Commercial Bank Loans to the Government of Panama.
As we have discussed on the telephone, we are enclosing photocopies of different
materials pertinent to the above-mentioned subject. There is a statement by
Henry C. Wallich, Member, Board of Governors of the Federal Reserve System.
dated March 23, 1977, to the House Subcommittee on Financial Institutions of
the Committee on Banking, Finance and Urban Affairs, which includes a table
on claims of U.S. banks on various foreign countries, including Panama.
We have also included a June 3, 1977 Federal Reserve press release which has
tables on U.S. bank claims on selected foreign countries in 1976. Panama is in-
cluded in the section on offshore banking centers on page 5 of the tables.
Another source in the Federal Reserve indicated that foreign branches of U.S.
hanks had claims of $1.886 billion on Panama at the end of 1976, while the March
1977 Treasury Bulletin indicated that domestic offices of U.S. banks had $S86
million in short and long-term claims against Panama as of that date. Of this








76
T LE


amount, ,13% wet longtpr mi,. Addionlny, Sra,srWAsin
$2.772 billion in claims on Panama by U.S.anks and t.h.ir .tforin i|e|i .& i
appears to be the number us d by. .PWe:n eWilsi in the attachment tq, his
i f ^T'in "^T 1... :. *.:. ,i,
We are also including aphotcopy of the World et TablesoVlumesIIi%. ,
which shows the: external public rebt. pQt'on of. Panama. TUfortunaqly, the
table includes data only .1P through L074. Conversation with :a Wol Ban)f*o-
cial revealed that 1978 and 1A76 figures are in the process o7 competition iwd sp
results are expected by the end of next wee k.
If you would like further assistance on this master, please do ot hesitate to
contact us on 426-5750. I ,

Aelyat imcnlNfg and Ca pitS Marbets.


S" "THE LiRAyrn OF CONGRESS,
CONGRESSIONAL RESEARCEt SnVICE.
SWa8sngtton, D.C., Jul p8, 1977.
To: Senate Judiciary Committee, Subcommittee on Separition of Powers.
From: Economics Division.
Subject: Further information on loans to Panama.
As we have discussed on the telephone, we have been able, to gain some further
information on the availability of data on U.S. bank loans to the GoQvernment
of Panama. :
In conversation with a Federal Reserve official, it. ewags learned that they do
not have information available which gives a distinction by, type of borrower for
foreign loans; from U.S. banks. They. d have a figure for borrowing by banks
and official institutions in Panama from the head ofMqe of a .S. bank. This figure,
however, is not available over the telephone and is. obtainable only, "through nor-
mal channels". Information on loans made from idLvidualtU.S. banks is, in some
instances, known by the Federal Reserve, but is regarded as confidential informa-
tion and was not released to us. ;
The World Bank provided us with some preliminary data on -the external debt
of the entire Panamanian public sector. At the end of 1975, loans :outstandinganp4
actually disbursed by foreigners to Panama totaled $767.9 million, with $58.7
million accounted for by Panamanian braches of offices of private, foreign-owned
banks. The"corresponding figures for 19,76 were $1.0909,billion ad $129.4 million.
The 1976 figure for Panamanian public sector borrowing, disbursed or undisbursed
was $1.4085 billion. .,
DAVID HOTT,
Analyst in Banking and Oap4t Markets.








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STATEMENTS















































* ...- .















OPINION OF ATTORNEY GENERAL GRIFFIN B. BELL

OFFICE OF THE ATTORNEY GENERAL,
Washington, D.C., August 11, 1977.
The Honorable the SECRETARY OF STATE.
My DEA MR3. SECRETARY: Your letter of July 23, 1977, requests my opinion, in
connection with the negotiation of a new Panama Canal treaty, on a question in-
volving the treaty-making power of the President and its relation to the power
of Congress to dispose of territory or property belonging to the United States.
The question is whether a treaty may dispose of territory or property belong-
ing to the United States absent statutory authorization.

I

The Constitution provides that the President shall have power to make trea-
ties with the advice and consent of the Senate, if two-thirds of the Senators
present concur (Article II, section 2, clause 2) ; and it provides further that
treaties made under the authority of the United States shall be the "supreme
law of the land." Article VI, clause 2.
At the same time, the Constitution gives Congress a number of specific powers
that bear upon matters commonly subjected to the treaty power. I need men-
tion but a few: pursuant to Article I, section 8, Congress has power to regulate
foreign trade, to provide for the protection of rights in useful inventions, to
make rules governing captures on land and water, to establish a uniform rule
for naturalization, and to punish offenses against the law of nations; and, of
course, pursuant to Article IV, section 3, Congress has power to dispose of
territory or property belonging to the United States. Moreover, there is authority
for the proposition that Congress has general power, quite apart from these spe-
cific powers, to enact legislation relating to foreign affairs. United States v.
Curtiss-Wright Export Corp., 299 U.S. 304 (1936) ; Pcrez v. Browinell, 356 U.S.
44 (1958).
A question that arose very early in our constitutional history was whether
the existence of these congressional powers limits the powers of the President
and the Senate to make law by treaty.' If a treaty touches a matter that Con-
gress has power to regulate, can the treaty be given the force and effect of law,
in and of itself, if Congress has not enacted legislation putting it into effect? The
question you raise is one aspect of that general question.

II
I shall make two observations with respect to the general issue. First, from
the earliest days of the Republic the decisions of the Supreme Court have pro-
vided convincing support for the proposition that a treaty, unaided by an act of
Congress, has the force and effect of law even if it touches a matter that is within
the legislative jurisdiction of Congress. Indeed, the Court has held that a treaty,
of its own force, may supplant prior acts of Congress to the extent that its
enforcement may require that result. Cook v. United States, 288 U.S. 102 (1933).
The seminal case, United States v. The Schooner Peggy, 1 Cranch 103 (1801),
was decided in an opinion by Chief Justice Marshall. During the undeclared
1 Indeed, the question arose in connection with the debate over the very first treaty
made under the Constitution, the Jay Treaty with Great Britain. The treaty provided
for the creation of certain commissions and therefore required an appropriation of funds.
President Washington, together with other Federalists. including Hamilton and Chilt"
Justice Ellsworth, took the view that the treaty, of its own force, created an indispen-
sable obligation as a matter of domestic law. and that Congress was required to appro-
priate the necessary funds. Jefferson, Madison, and other Republicans took the view that
neither the Jay Treaty nor any other treaty could regulate matters that were within
the legislative jurisdiction of Congress. See 1 C. Butler, The Treaty-Hlaking Power of the
United States 422 et seq. (1902) : S. Crandall, Treaties Their Making and Enforcement
165 et seq. (2d ed. 1916) ; 1 W. Willoughby, The Constitutional Law cf the United States
549 (2d ed. 1929). Jefferson reiterated the Republican view in his Manual of Parlia-
mentary Practice. See L. Henkin, Foreign Affairs and the Constitution 141 et seq. (1972)
[hereinafter cited as Henkin].
(79)







80


naval war with France, Congress enacted a statute that authorized the President
to grant commissions to public vessels, with instructions that they should seize
armed French vessels on the high seas, bring them to our ports, and subject them
to condemnation in the courts of the United States. Act of July 9, 1798, c.
LXVIII, 1 Stat. 578. In 1800 the American ship Trumbull, sailing under a com-
mission issued pursuant to the statute, seized :an armed French vqWssel,, tle
schooner Peggy, and' brought her to port. A proceeding was 'then ihMldtited
against the Peggy; and after a sentence of condemnation was entered in the
court below, an appeal was taken to the Supreme Court.
During the pendency of the appeal President Jefferson, with the advice and
consent of the Senate, concluded a treaty with France. The! treaty ipr0vidf,
among other things, that vessels that had been seized by either nqtiQn should be
"mutually restored" if they were not yet "definitively condemnned. r
Thus, when the case of the Peggy came before the Court, the question was
whether the treaty controlled the disposition of the prie. If it did, the sooner
was to be restored to France. If it did not, the schooner was tq be condemned,
under the statute; and the proceeds were to be distributed..equally between the
United States and the officers and men of the Trumbull.
The Court held that the treaty controlled. It was a law of the United States,
not by virtue of any act of Congress, but by virtue of the command of the Consti-
tution itself; and it had intervened during the Aippeal to':change the statutory
rule that had governed the decision below. Because the sentence of condemnation
was not yet final, the schooner was not yet "definitively condemned," and itwas
therefore subject to the treaty. The schooner was to be restored to Franee.
1 Cranch at 109-10. ..
Implicit in the decision was the elementary proposition that the President,,*ith
the advice 'and consent of the Senate, had power to make a self-@ebetting treaty
affecting the disposition of a vessel captured at' sea even though (5ongress'tad
power to make rules (and bhad' in fact made a conflicting rule) governing thbftnie
subject matter. The Court expressed no doubt whatever aboUt the constitmtion-
ality of the treaty. I. *
In the years that followed this decision the Supreme Court gave "self-e*beu-
ting" effect to numerous treaties that disposed of matters that Congrees had
power to regulate. See, e.g., Hijo v. United States, 194 U.S. '819, 323-240(1904)
(claims against the United States); Cook v. United States, 288 U.S. 102, 118-19
(1933) (customs inspections); Bacardi v. Domenech, 811 U.S. 150, 16i'.940)
(trademarks) ; see generally Henkin, supra, note 1, at 149. Today, asa tenltof
these and other decisions, it could not be successfully maintained, as a general
proposition, that the treaty power stops where the power of Congress nibeins.
On the contrary, the Court has said that the treaty pbwor, operating of itselfdaidl
without the aid of congressional legislation, extends to all proper subjects for
negotiation between our Nation and others. Asaksura v. City of Seattle, 265 FS..
332 (1924). The lesson of history is that these "proper subjects"? include inany that
are within the legislative jurisdiction of Congress.
My second observation is related to the first. I have suggested that the two
powers-the power of Congress to legislate and the power of the gresidet and
the Senate to make "self-executing" treaties-may overlap. I do not meai n to g
gest that they are coextensive. They are both created by the Consait.1Upn,,pad
they are both subject to the fundamental limitations that are iposed.rthee-
under; but the limitations that apply to the one do not necessary apply to..the
other. The treaty power may extend to subjects that .are beyond theleq& lati&ve
jurisdiction of Congress. Missouri v. Holland, 202 U.S. 4416 (1920). Shnilarl3rthb
President and the Senate may be powerless to accomplish by treaty what the
Congress can accomplish by statute, ,, .:
I shall elaborate briefly upon the latter point Some blower courts... and many
serious students of the law' have expressed the view that certain matters are

SIn Reid v. Covert, 854 U.S. 1 (1957), Mr. Justice Black stated the applicable rlie:
"The prohibitions of the Constitution were designed to apply to all branches of thd
National Government." including the Congress, the Executive, and the Executive andSen-
ate combined. Id. at 17-18.
See. e.g., Turner v. American Baptist Missionary Union, 24 F.' Ca 844 (No. M1251)
(CC. Mich. 1852).
John C. Calhoun was of opinion that a treaty could not authorize a withdrAwl of
funds from the Treasury.' 29 Annals of Congress 531-82 (1816). In 1949t1he' Seeretagr
of State. Dean Acheson, expressed the view a treaty could not put the, UnltedfStates into
war. Only Congress could declare war. Hearings on the North Atlantie Trty Before the
Senate C(Vmmittee on Foreign Relations, 81st Cong., 1st Seass., pt. ,1. at 11 (194). on
generally Henkin, supra, note 1, at 159.








81

subject to regulation by Congress only; and that a treaty, if it purports to deal
with such a matter, can be given effect only to the extent that it may be authorized
or implemented by statute. The two matters that are frequently mentioned in
this rea-:rd are the raising of revenue and the appropriation of funds. The Con-
stitultion provides that "all" bills for raising revenue "shall" originate in the
House (Article I, section 7, clause 1), and, further, that "no" money sh1:ll be
draw-v from the Treasury except in consequence of appropriationso" made by
law (Article I, section 9, clause 7). In the face of these provisions the opinion
expressed by some is that a treaty purporting to require the establishment or
alteration of a revenue measure, or a treaty purporting to require an appropria-
tion of funds, could not be effective, as a matter of domestic law, in the alihsiice
-of 't;itutory autlhoriz;tion or implementation. I find it unn.i'e-.sary to deal with
tim t issue in order to a i.-wer the question you have put to me.
I nw\ turn to the question at hand.
III
The point of departure is the broad principle that was laid down in Geofroy
v. Ril..{, 133 U.S. 258 (1R90), and wais repeated in Asakura v. City of Seattle,
265 U.S. 332 (1924), to \vhi hi I have alluded above: the treaty power extends to
all proi,-r subjects for negotiation between our Nation and others; and when
a tr(-;ity purports to do so, it acts ex propri vi!/'uor, without the aid of legislation,
and is effective for all purposes, provided it does nothing that is forbidden by
the Constitution.
Doo.s the Constitution forbid the President and the Senate to make self-execut-
ing treaties disposing of territory or property belonging to the United States?
I have taken note of the opinion, held by some, that the Constitution entrusts
certain matters to Congress alone. In my opinion, however, the disposition of
territory or property belonaiing to the United States is not such a matter. In my
view, territory or property belonging to the United States may be disposed of by
action of the President and the Senate under the treaty clause.
There are at least four considerations that support this conclusion, and I
shlill discuss them briefly below.
First, the fact that the Constitution gives Congress power to dlispl),s of
territory or property belonging to the United States does not suggest that the
President and the Senate have no power to do so under the treaty clause. This
was the implicit teaching of Marshall's decision in the Peggiy and of the cases
that followed. The existence of power in Congress does not imply an absence
of power under the treaty clause. On the contrary, the one proposition of which
we can be certain is that many of the powers that are given to Congress are
shared by the President and the Senate when they act, under the treaty clause,
to conclude and effectuate bona fide international agreements.
I think it follows that if one were to hold that the power to dispose of
territory or property belonging to the United States resides in Congress alone
and is distinguishable in that respect from the numerous powers that are
shared, one would be obliged to find some basis for the distinction either in
the text of the Constitution or in the history of the relevant proviiois". I find
none.
The laniiaze of Article IV, insofar as it confers upon Congress the power
of disposition, is identical to the language of Article I, which confers upon
Congress numerous powers that may be exercised by the President and the
Senate through self-executing treaties. Article IV says that Congress "shall
have power" to dispose of territory or property belonging to the United States.
just as Article I says that Congress "shall have power" to regulate foreign
commerce, to make rules governing captures on land and water, and so forth.
Article IV goes on to say that Congress shall have power to make "all" needful
rules and re--ulations respecting territory or property. As in the case of Article I,
however. Article IV does not say that the powers it confers-the power to
(lispose of territory or property, and the power to make rules and regulations
respecting it-shall reside in Congress alone.
The record of the proceedings during the Constitutional Conventinn supports
the interpretation that is suggested by the lang.uaze of the Constitution itself.
The territory and property clause of Article IV was adopted during a general
die.us-ion of the role that the central government should play in connection
with the territorial claims that had been asserted by the several States with
respect to the western lands. In the course of the discussion there was no
suggestion whatever that the purpose or effect of the clause was to give Congress
exclusive power to authorize or implement international agreements disposing







82


of territory or property. See 2 M. 1Wr'and, The Records of the FedereJ Gosvwn
tion of 1787 457-50, 461-66 (rev'd ed. 1937) [hereinafter cited as Frrad].
The history of the treaty clause, is even more conclusive. During the course
of the convention several proposals were put forth. One would have required
every treaty to be approved by both Houses of Congress. 2 Farrwnd supra tt
532, 538. That proposal was rejected. Another would have required the Senat
to concur in treaties, but would have exempted peace treaties from that require-
ment, except for peace treaties depriving the United States of territory or
territorial rights. 2 Farrand, supra, at 533-34, 543. That proposal was rejected
as well. In its place, the convention adopted a proposal that required the Senate
to concur in all treaties.
It may be possible to interpret these actions in a different way, but the simplest
and, for me, the most persuasive interpretation is this: the delegates to the con-
vention assumed (1) that the treaty power could and would extend to questions of
territory, and (2) that treaties, including treaties affecting rights in territory,
could be effective in the absence of action by both Houses.'
This brings me to the third consideration that supports my basic conclusion.
To the extent that the Supreme Court has spoken to the question, the Court has
said that the President, with the concurrence of the Senate, may conclude a treaty
disposing of territory or property belonging to the United States, and that such a
treaty may convey good title to the territory or property in, question.
No act of Congress is required. United States v. Brooks, 10 How. 442 (1850);
Doe v. Wilson, 23 How. 457 (1859); Holden v. Joy, 17 Wall. 211 (1872) ; Best v.
Polk, 18 Wall. 112 (1873) ; Francis v. Francis, 203 U.S. 233 (1906). The dictum in
Holden v. Joy is one of the clearest statements of this principle: "[I]t is insisted
that the President and Senate, in concluding such a treaty, could not lawfully
covenant that a patent should be issued to convey lands which belonged to the
United States without the consent of Congress, which cannot be admitted. On the
contrary, there are many authorities where it is held that a treaty may convey a
good title to such lands without an act of Congress conferring it * [17 Wall. at
247]."
I do not hold that these cases provide a sufficient answer to the question you
have raised. They all involved Indian treaties and questions of "title" to real
property. I do think, however, that the principle for which they stand is one of
general application; that it bears upon your question; and that it supports the
conclusion I have reached. These cases, when viewed in light of the textual and
historical considerations I have already mentioned, provide substantial support
for the proposition that a treaty disposing of territory or property belonging to the
United States may be self-executing. I find no cases to the contrary.
Finally, my conclusion is supported by historical practice. While I do not
suggest that the commands of the Constitution may be attenuated by persistent
practices not in conformity with them, I must observe that as a matter of histori-
cal fact the President and the Senate have made self-executing treaties disposing
of territory or property belonging to or claimed by the United States.
I shall mention one rather clear example of the practice. Under the Florida
Treaty with Spain (1819) the United States ceded all its territory beyond the
Sabine River in Texas to Spain in return for the cession of the Spanish territories
of East and West Florida. 8 Stat. 252, T.S. No. 327. While there had been some
dispute over some of the relevant boundaries, the congressional debates, as well
as President Monroe's annual message to Congress, make it clear that many
considered the action to be an outright cession of American territory in exchange
for Spanish territory. 36 Annals of Congress 1719-38, 1743---; 2 J. Richardson,
Messages and Papert of the Presidents 33 (1896). No statute authorizing the
American cession was ever enacted.*

I should note that this very point was considered In the Sthte conventions that Were
called to ratify the new Constitution. The objection was made that the treaty clause gave
the President and the Senate power to alienate territory. The Virginia and North Carolina
conventions proposed a remedial amendment that would have required every treaty ceding
or compromising rights or claims of the United States in territory to be approved by
three-fourths of the members of both Houses of Congress. 2 Documentary Histery of the
Constitution 271, 882 (in U.S. Cong. Doe. Ser., No. 4185) ; ee general ly 8. Crandall,
Treaties Their Making and Enforceent 220--21 42d ed. 1916). .
6 The self-executing effect of the Spanish cession was the subject of two decisions by
the Supreme Court. Foster v. eflhon, 2 Pet. 258 (1829) Uni4ted States v. Arredond* 6
Pet. 691 (1832). Congress did enact legislation authorizing the Presitent to take posses-
sion of the Ranish cessions and to provide rules for their government. Act of March 8.
1819, c. XCI-I, S Stat. 528, Act of March 8, 1821, c. XXXTX, 3 Stat. 637.


f t n .


f







83

There have been a number of other treaties that have been self-executing
insofar as they have disposed of territory or property belonging to the United
States or have compromised a claim of the United States to property or territory
claimed by a foreign power.7 I do not believe that the validity of these treaties
could be questioned today.
IV
In stating my opinion with respect to the question we have raised, I have taken
note of general principles that bear upon the relation between congressional
power and the power of the President and the Senate under the treaty clause;
but I have no occasion to express an opinion with respect to any other questions
that may arise in that context, and I express none.
Sincerely,
GRIFFIN B. BELL,
Attorney Gcncral.
7 See, e.g., United States-Great Britain Treaty of 1842 (Webster-Ashburton), 8 Stat.
572, T.S. No. 119; United States-Great Britain Treaty in Regard to Limits Westward of
the Rocky Mountains of 1846 (Oregon Treaty). 9 Stat. 869, T.S. No. 120.















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STATEMENT BY PROFESSOR RAOUL BERGER BEFORE THE SENATE SUBCOMMITTEE ON
SEPARATION OF POWERS, HEARINGS ON THE PANAMA CANAL TREATIES, WASH-
INGTON, D.C., NOVEMBER 3, 1977

You have invited me to comment on the relation between the Article IV, Sec-
tion 3(2) power of Congress to dispose of property of the United States and the
treaty power, in light of the statements respecting the relation by Herbert J.
Hansell, Legal Advisor, Department of State,1 and Ralph E. Erickison, Deputy
Assistant Attorney General.2 Although I am in favor of the Panama Canal
Treaty, I share your solicitude for the preservation of constitutional boundaries
and your concern lest the function committed to Congress be diminished. I have
long held the conviction that all agents of the United States, be they Justices,
members of Congress, or the President, must respect these boundaries. No agent
of the people may overlap the bounds of delegated power. That is the essence of
constitutional government and of our democratic system.
Long experience has led me to be skeptical of arguments by representatives of
the Executive branch when they testify with respect to a dispute between Con-
gress and the President, for they are then merely attorneys for a client, the
President. It was for this reason that Justice Jackson dismissed his own prior
statements in the capacity of Attorney Geuerai as mere advocacy, saying, a
"judge cannot accept self-serving press statements for one of the interested parties
as authority in answering a constitutional question, even if the advocate was
himself."3 The Hansell-Erickson testimony did not serve to diminish my
skepticism.
The effect of these hearings ranges beyond the Panama treaty. The Panama
cession will constitute a landmark which, should the State Department prevail,
will be cited down the years for "concurrent jurisdiction" of the President in
the disposition of United States property. Acquiescence in such claims spells
progressive attrition of Congressional powers; it emboldens the Executive to
make ever more extravagant claims. I would remind you that Congressional
acquiescence encourages solo Presidential adventures such as plung-ed us into the
Korean and Vietnam wars. Congressional apathy fostered the expansion of execu-
tive secrecy. Then as now the State Department invoked flimsy "precedents," for
example, the pursuit of cattle rustlers across the Mexican border, to justify
presidential launching of a full scale war.4 If Congress slumbers in the face of
such claims it may awaken like Samson shorn of his locks.
Earlier judicial statements that this or the other executive practice has been
sealed by long-continued Congressional acquiescence need to be reexamined in
light of more recent judicial opinions, more conformable to the Constitution,
that Congress may not abdicate its powers,' and a fortiori, it cannot lose them
by disuse.' that usurpation cannot be legitimate by repetition.8 Senatorial in-

I Hearings on the Panama Canal Treaty before the Senate Subcommittee on Separation
of Powers (95th Cong. 1st Sess.) Part II, p. 3 (July 29, 1977). hereafter cited as Hansell,
2 Hearings before the House Subcommittee on the Panama Canal on "Treatie, Affecting
the Operations of the Panama Canal," (92 Cong. 2d Sess.) p. 95 (December 2, 1971), here-
after cited as Erickson.
3 Youngstown Sheet & Tube Co. v. Sawyer, 343 U.S. 579, 647 (1952), concurring opinion.
4R. Berger, "Executive Privilege: A Constitutional Myth," 75-88 (1974).
5 Congress "uniformly and repeatedly acquiesced in the practice." "It may be argued
that while the facts and rulings prove a usage they do not establish its validit"v. Wlit
government is a practical affair intended for practical men. Both o'tlicers, law-makers and
citizens naturally adjust themselves to any long continued action of the Executive
Department-on the presumption that unauthorized acts would not have been allowed
to be so often repeated as to crystallize into a regular practice." United States v. Midwest
Oil Co. 236 U.S. 459, 471 (1915). But as Justice Frankfuirter later deelaroprl. "Deeply
embedded traditional ways of conducting a government cannot supplant the Constitution
or legislation . ." Youngstown Shl et. supra, n. 3 at 610, concurring opinion.
6 Panamna Refining Co. v. Ryan, 293 U.S. 3qS. 421 (1935).
7 United States v. Morton Salt Co., 338 U.S. 632, 647 (1950).
8 "That an unconstitutional action has been taken before surely does not render that
same action less unconstitutional at a later date." Powell v. McCormack, 395 U.S. 486,
546-547 (1969). Zweibon v. Mitchell, 516 F.2d 594. 616 (D.C. Cir. 1975) : "there can be
no doubt that an unconstitutional practice, no matter how inveterate, cannot be condoned
by the judiciary." United States v. Morton Salt Co., 338. U.S. 632, 647 (1950): "non-
existent powers can [not] be prescribed by an unchallenged exercise . ."
(85)







86

sistence on respect for constitutional boundaries will warn the Executive against
encroachments on Congress' powers; it will alert foreign nations to the fact that
treaties for the cession of United States property must be subject to the consent
of the full Congress.
Mr. Erickson, addressing himself to the question whether Article IV, Section
2 (3), "pursuant to which Congress has the power to dispose q., p9perqt of th
United States is an exclusive grant of legislative power tb th$-'.o n E#.Ie
whether the Congress and the President and the SeOzte, lroitg..the..t...y
power, share that authority," handsomely states that'"the anbler to 4tti I es-
tion is not simple and altogether free from doubt"' That dopbth 4nsela agiait
encroachments on a power explicitly conferred on Congress;. a cla icue Me
establishment of "concurrent jurisdiction" is needed in the teeth ,f thit,qxpreqs
grant. T -.
In support of the claim that the President and Senat e njoyo "eq nnuntpoweg',
to dispose of United States property, Messrs. Hansell ;nd ,rickeon inv' e an
melange of dicta, without weighing even stronger statements that. Ctrgrenr
disposal power is "exclusive." Thus the Supreme Court 4eclare4 tha4 A Iy:V
"implies an exclusion of all other authority over the property which could ier,.
fere with this right or obstruct its exercise."10 Echoing sueh judiciaL statx ment;,
an opinion of the Attorney General stated in 1899 that "' he power to .dsposee.
permanently of the public lands and public property in Puerto Rico rests in
Congress, and in the absence of a statute conferring such power, c annt be
exercised by the Executive Department of the Government."
Such statements respond to two cardinal rules of construction. Fi f theiq iA'
the rule that express mention signifies implied exclusion, which the Supreme
Court has employed again and again: "When a statute limits a thing ,to be doen
in a particular mode, it includes the negative of any other mode." The muIk
was invoked by the Founders; for example, Egbert Benson said in the First
Congress, in which sat many Framers and Ratiflers, that "it cannot be rationally.
intended that all offices should be held during good, behaviour, because the Con-
stitution has declared (only) one office to be held by this tenure."1 The fact,.
emphasized by Hansell, that "The property clause contains no language exclud-.
ing concurrent jurisdiction of the treaty power" is therefore of nq momern.
Having given Congress the power to dispose of public property, it follows thit
the President and Senate were "inmpliedly excluded" therefrom. Second thera.
is the settled rule that the specific governs the general: where there is in ,au.n act
a specific provision relating to a particular subject, that provision must goveh
in respect to that subject as against general provisions in other parts of the a4cty
although the latter, standing alone, would be broad enough to include the subject
to which the more particular provision relates."" '
In terms of the present issue, the specific power of disposition governs tihe
general treaty provision.
Under these rules it is of no avail that, according to Hausell, "there Is no
restraint expressed in respect to dispositions" in the treaty power itself. For this'
Mr. Hansell relies on Geofroy v. Riggs: "The treaty power, as expressed, in the,
S Erickson 97.
10 Wisconsin Cent. R.R. Co. v. Price County, 133 U.S. 496, 504 (1890) ; see also t-SWtr
Nat. Ins. Co. v. Miles. 289 Fed. 571, 574 (Apo. D.C. 1923).
22 Op. Atty. Gen., 544. 545 (1899). 2 J. Story, "Commentaries on the Cnstructona,
of the United States," Section 1828. p. 200 (4th ed. 1873) : "The power of Congreseovrer
the public territory is clearly exclusive and universal * *" Cf. Osborne v. Ufuited
States, 145, F. 2d 892, 89B (9th Cir. 1944).
1 Botanv Worsted Mills v. United States. 278 U.S. 282. 289 (1929) T FJ.M.B. v. United
States, 359 U.S. '464, 471 (1959) : "we find it impossible to Impute to Congress am Intel-
tion to give such a right to shippers under the Motor Carrier Act when the very sections
which established that right In Part I [for railroads] were wholly omitted in the Mottor
Carrier Act."
2 1 Annals of Cong. 505 (2d ed. 1836) (print bearing running head "History ofOon-
gress") ; and see Alexander White, Id. 517. :
14 swis Nat. Ins. Co. v. Miller, 289'Fed. 570. 574, (App. D.C. 1928). G:tsberg d -on v.
Popkin, 285 U.S. 204. 208 (1932) : "General language of a statutory provisions; although-
broad enough to include it, will not be held to apply to a matter specifically dealt with:
in another part of the same enactment" Buffum v. Chase NYet. Bank, 192 P. 2d: 58, 61 'f7th(,
Cir. 1951). In this light, the fact. stressed by Hansell. that the Framers contemplated
that a treaty could affect "territorial" rights. Hansel 5. is not decisive, fot' the treaty
would yet be subject to the special Congress "power to dispose." There is nomevidenee in
the records of the Convention that the Framers Intended In any way to turtall that power.,
or to give the President a share In it. Were the matter less clear. We should yet "prefer a
construction which leaves to ench element Of the statute a functions In some way different
from the others" to one wlhch causes one section to overlap another. Unite Staters v.
Dinersetein, 362 F. 2d 852, 855-856 0(2d Cir. 1966). ,







87


Constitution, is in terms unlimited except by those restraints which are found in
that instrument against the action of the * departments * *.15
Only the treaty power is expressed"; Geofroy does not call for express
restraints-it suffices that they can be found in the Constitution. The "implied
exclusion" is "found" in the Constitution by virtue of the express grant of
disposal power to Congress under the rule of express mention, and of the fact
that the general treaty power is limited by the special Congressional power of
disposition. These principles are reflected in the Supreme Court's statement in
Sioux Tribe of Indian. v. United States: "Since the Constitution places the
authority to dispose of public lands exclusively in Congress, the Executive's
power to convey any interest in the lands must be traced to Congressional delega-
tion of its authority." 1
To this the State Department responds that Sioux Tribe "did not deal with the
relation between the treaty power and the Congressional power under Article
IV, Section 3, cl. 2;" Hansell labeled it "dicta." 7 By this test the Hansell-
Erickson collection of dicta falls to the ground, for almost all were not uttered
in the context of that relation.
The executive branch employs a double standard-what is dictum when the
language is unfavorable to it becomes Holy Writ when the dictum reads in its
favor. Erickson, for example, tells us that: "Jones against Meehan is cited as
an example by reason of the quote and the language there, which it seems to
me is of significance, irrespective of the particular facts involved." 18
Messrs. Erickson and Hansell can not have it both ways. In truth, dicta carry
little weight when a particular issue has not been decided. Chief Justice Marshall
dismissed his own dicta in Marbury v. Madison when they were pressed upon
him in Cohcns v. Virginia, 19 U.S. 264, 399 (1821), on the ground that dicta do
not receive the careful consideration accorded to the question "actually before
the court." The statements here quoted respecting "exclusivity" carry weight
because they reflect traditional canons of construction. The foregoing considera-
tions should suffice to dispose of a number of other Hansell-Erickson arguments
for "concurrent jurisdiction," but I shall consider them for the sake of complete-
ness.
To escape from the exclusivity of Congress' disposal power Mr. Erickson argues,
"To begin with, Article IV, Section 3, clause 2, uses the same terminology,
"Congress shall have power," as Article I, Section 8, which in our opinion,
permits treaty provisions relating to such matters to be self-executing [i.e., with-
out Congressional action], at least to the extent that the inherent character of
the power or other constitutional provisions do not make the power exclusive to
Congress." 19
Erickson's qualification is a concession that some Article I powers can not be
concurrently exercised by the President. The Department of State Concedes that
"treaties may [not] impose taxes."' 20 Why is that power more "inherently"
exclusive than such other Article I, Section 8 powers as the power to establish
post offices, to provide and maintain a navy, to declare war, to coin money, etc.,
all of which manifestly can not be exercised by treaty. Erickson proves too much.
Second. he urges, "Article IV, Section 3, clause 2, is included in a portion of the
Constitution which deals with the distribution of authority between the Federal
and State governments. It does not purport to allocate powers exercisable by
Congress or pursuant to treaty." '
But Section 3 (2) unmistakably does "allocate powers exercisable by Con-
gress": "The Congress shall have power to dispose of ... property belonging
to the United States." Hansell argues that the placement of the property article
in clause 4 . provides strong evidence that the property clause does not
restrict the treaty power." That the "placement of a power in one or another
Article is without significance for its scope is readily demonstrable: (a) "Con-
gress shall have power to declare the punishment of treason" is located in the
1Hnnsell 4,; 133 U.S. 258, 267 (1890), emphasis added. One might with equal force
argue that no limitation on Concress' "power to dispose" Is "expressed" In Article IV.
16 316 U.S. 317. 326 (1942). Turner v. American Baptist Missionary Union, 24 Fed. Cas.
(No. 14. 251) 344, 346 (C. Ct. Mich. 1852) : "Without a law the president is not authorized
to sell the public lands * The [Indian] treaty, in fact appropriated the above tract
of 160 acres for a particular purpose, but, to effectuate that purpose, an act of congress
was passed."
17 Hansell 27, 22.
1 Erickson 105.
39 Td. 97.
20 Hansell 25.
2 Erieksnn 97.
2 Hansell 4-5, emphasis added.
99-592-78- 7






88

Judiciary Article I. i (b) "Cong-ess' powers: to, make "eaneepos a rega
tions" respecting the Supreme Court's appellate.-ftts Q i4.jpo ,f
III, Section .; (c) The provieon thut "Congress may.4eteraipm thi t. f
choosing the electors" is placed in the Executive Article It 4.etio. 1A(4*)i@es
this authorize the President by treaty to. declare the punishment o4 troaso, t
regulate the Court's appellate jurisdiction, or to interpose in- t n, e hoiQ o
electors? Whether located i Article I. or Artie]&, IV, 'GCougreB. shal have
power" means one and the same thing-the power resides in Oigrssjaot
the Presldent. It needs constantly to- be borne An mind that the Prdn ha IA
circumvented Senate participation in treaty-making by affixing the la0ei rE! cu- .
tire Agreements".' to treaties, without constitutional warrant," e that olaimJ
made on behalf of the Senate and the President can be. turae to AW., qwn
advantage. ... 7,- .. . ,.. .j 1 '
Mr. Hansell also attaches significancee to the close linkage between fthe Attjcle
IV '"power to dispose" and "the power to make ,all needful rules andregulations'4j
respecting the Territory or other property belonging to the United States, gn4
cites Geofroy v. Riggs for the proposition thatt"the treaty power can ube umed tq
make riles and regulations governing the territory ,belonging to the Uaited
States, even in the District of Columbia."' Geofroy preseatt the question
whether a citizen of France could -takb land in tile .District of o ,Clombi biy
descent from a 'citizen of the United States. Local law withheld hiteight, baut
in keeping with national solicitude for protection of citizens abroad, a. treaty;
provided for reciprocal tights of inheritance in :Such &i&umstances: tor citizens
of both signatories. In consequence' the treaty overrode the local provision; but
this hardly stretches to the makingg of rules and regulations" by treaty for the
District of Columbia.' Were this true, the President could by treaty take- over
the governance of the District of Columbia, in spite of the Article I,. Section 8
(17) provision that 'The Conigress shall have power to exercise exelasive juris-
diction in all eases whatever over such district." Assume notwithstanding that
the treaty power does indeed comprehend the "making of rules and teglations
governing the . District of Columbia," does the "close" linkage witr' the
"power to dispose" comprehend a disposition of the White House by treaty?
Such arguments verge on absurdity. .
Messrs. Hansell and Erickson have cited a string of cases in support of "The
power to dispose of public land.. .by treaty." S Some, such: as Hffobdm V v Joy,
84 U.S. 211 (1872), and Jones v. Mee a 175 U.S. I (189), have frequently
been cited in your hearings. Let me begin 'with Hansell's citation of Miaasori v.
Holland, 252 U.S. 416 (1920), for it quickly illustrates how far-fetehelare the
State Department's interpretations. Missouri v. Holland arose out o'f a- State
challenge to the treaty with Great Britain for the protection 0,6migratouY bir-ds
which annually traversed parts ofthe United States and of Canaila. Justice
Holmes, addressing the argument that the treaty infringed powers meseved to
the States by the Tenth Amendment, stated, "Wild birds are not In the posses-
sion of any one, and possession is the beginning -of ownership. The whole fomun
dation of the State's rights is the presence within their jurisdiction of birdzfs
that yesterday had not arrived, tomorrow may be in another -State, and in a
week a thousand miles away." ..
Consequently the State could assert no "title" in migratory birds. By the same
token, the United States could lay no claims to ownershipp"' of the btds; and
Missouri v. Holland is therefore wholly -Irrelevatt t6 the po*er treaty to
dispose of property belonging to.the United States. '. - Y -...
Holden v. Joy and Jones v.-Meehan tWill repay close analysis beaiiseIhiey
involve Indian treaties which constitute one of thie pillars of 4the atgunimt, to
quote Erickson, that "the United' States cat i6onvey its tlte by way of'self'execut-
ing treaty and that no implementing legislation 1 snecessary To blfiihrhmth
Jones, both Hansell and Erickson quote: "It ts well settled that a g6o*:d titetto
parts of the lands of an Indian tribe may- be granted to individual y q, trety
between p the United States 4a1d the tribe, without any act of congress. or ny
patent from the Executiveg audtAtity ofi-the Uiteff' Stat.:" n The.'tttatj 'had '*et
apart from the tract hereby ceded [by thetribe] t a ervaation 6tsti hndred
and forty acres for an individual Indlani and thmiasue was what- Amd 'of
^^ A ldfl I;n .-' -> ,-
2 Berber, supra n. 4 at 140-162.. .' ,I :.:
2 Hanell 5. .- ,"
2 Td.. Erickson 97. i
3 252 U.S. at 434.. ,.- -,:
"2Erickson 97. .T '
2 Hansell 6 ; EriCklcDksDn 97. '. '