master of a private vessel of the adversary of the returned vessel, which adversary's vessel is then present within the waters of the Canal Zone. "RULE 13.-The repair facilities and docks belonging to the United States and administered by the canal authorities shall not be used by a vessel of war of a belligerent, or vessels falling under rule 2, except when necessary in case of actual distress, and then only upon the order of the canal authorities, and only to the degree necessary to render the vessel seaworthy. Any work authorized shall be done with the least possible delay.

"RULE 14.-The radio installation of any vessel of a belligerent power, public or private, or of any vessel falling under rule 2, shall be used only in connection with canal business to the exclusion of all other business while within the waters of the Canal Zone, including the waters of Colon and Panama Harbors.

"RULE 15.-Air craft of a belligerent power, public or private, are forbidden to descend or arise within the jurisdiction of the United States at the Canal Zone, or to pass through the air spaces above the lands and waters within said jurisdiction.

"RULE 16.—For the purpose of these rules the Canal Zone includes the cities of Panama and Colon and the harbors adjacent to the said cities."

In witness 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 13th day of November in the year of our Lord, 1914, and of the independence of the United States the one hundred and thirty-ninth.

a. PROTOCOL OF AN AGREEMENT BETWEEN THE UNITED STATES AND

ΡΑΝΑΜΑ.

Protocol of an agreement concluded between Hon. Robert Lansing, Acting Secretary of State of the United States, and Don Eusebio A. Morales, envoy extraordinary and minister plenipotentiary of the Republic of Panama, signed the 10th day of October, 1914.

The undersigned, the Acting Secretary of State of the United States of America and the envoy extraordinary and minister plenipotentiary of the Republic of Panama, in view of the close association of the interests of their respective Governments 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 belligerent vessel of war or a vessel belligerent or neutral, whether

AGREEMENT BETWEEN UNITED STATES AND PANAMA. 15

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 Panama 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 10th day of October, 1914.

II.

ENEMY VESSELS AT OUTBREAK OF WAR-DAYS OF GRACE.

Interference before war. The diplomatic correspondence between Great Britain and Germany seems to show that there was some interference with shipping even before war was declared, though the reason given was “that mines were being laid and other precautions being taken."

1 No. 130.-Sir Edward Grey to Sir E. Goschen.
(Telegraphic.)

LONDON, FOREIGN OFFICE, Aug. 1, 1914.

We are informed that authorities at Hamburg have forcibly detained steamers belonging to the Great Central Co. and other British merchant ships.

I can not ascertain on what grounds the detention of British ships has been ordered. You should request German Government to send immediate orders that they should be allowed to proceed without delay. The effect on public opinion here will be deplorable unless this is done. His Majesty's Government, on their side, are most anxious to avoid any incident of an aggressive nature, and the German Government will, I hope, be equally careful not to take any step which would make the situation between us impossible.

No. 143.-Sir E. Goschen to Sir Edward Grey.
(Telegraphic. Received Aug. 2.)

Detention of British merchant ship at Hamburg.

Your telegram of 1st August 1 acted on.

BERLIN, Aug. 1, 1914.

Secretary of State, who expressed the greatest surprise and annoyance, has promised to send orders at once to allow steamers to proceed without delay.

1 See No. 130.

No. 145.-Sir E. Goschen to Sir Edward Grey.
(Telegraphic. Received August 2.)

My telegram of Aug. 1.2

BERLIN, Aug. 2, 1914.

Secretary of State informs me that orders were sent last night to allow British ships in Hamburg to proceed on their way. He says that this must be regarded as a special favor to His Majesty's Government, as no other foreign ships have been allowed to leave. Reason of detention was that mines were being laid and other precautions being taken. 2 See No. 143.

No. 149.-Sir Edward Grey to Sir E. Goschen.

(Telegraphic.)

Your telegram of 1st August.3

LONDON, FOREIGN OFFICE, Aug. 2, 1914.

I regret to learn that 100 tons of sugar was compulsorily unloaded from the British steamship Sappho at Hamburg and detained. Similar action appears to have been taken with regard to other British vessels loaded with sugar.

16

Review of regulations.-The British Orders in Council. of August 4, 1914, referring to VI Hague Convention, 1907,1 showed a disposition to establish with Germany

You should inform Secretary of State that, for reasons stated in my telegram of 1st August, I most earnestly trust that the orders already sent to Hamburg to allow the clearance of British ships cover also the release of their cargoes, the detention of which can not be justified.

3 See No. 143.

4 See No. 130.

No. 150.-Sir E. Goschen to Sir Edward Grey.

(Telegraphic. Received August 3.)

BERLIN, Aug. 3, 1914.

Your telegram of 2d August.5

Detention of British ships at Hamburg.

No information available.

5 See No. 149.

No. 156.-Sir Edward Grey to Sir E. Goschen.

(Telegraphic.)

LONDON, FOREIGN OFFICE, Aug. 4, 1914.

I continue to receive numerous complaints from British firms as to the detention of their ships at Hamburg, Cuxhaven, and other German ports. This action on the part of the German authorities is totally unjustifiable. It is in direct contravention of international law and of the assurances given to your Excellency by the Imperial Chancellor. You should demand the immediate release of all British ships if such release has not yet been given.

1 Convention relative to the status of enemy merchant ships at the outbreak of hostilities. (The United States has not ratified this convention. The provisions are contained in articles 1, 2, 3, 4.)

ARTICLE 1.

When a merchant ship belonging to one of the belligerent powers is at the commencement of hostilities in an enemy port, it is desirable that it should be allowed to depart freely, either immediately, or after a reasonable number of days of grace, and to proceed, after being furnished with a pass, direct to its port of destination or any other port indicated.

The same rule should apply in the case of a ship which has left its last port of departure before the commencement of the war and entered a port belonging to the enemy while still ignorant that hostilities had broken out.

ARTICLE 2.

A merchant ship unable, owing to circumstances of force majeure, to leave the enemy port within the period contemplated in the above article, or which was not allowed to leave, can not be confiscated.

The belligerent may only detain it, without payment of compensation, but subject to the obligation of restoring it after the war, or requisition it on payment of compensation.

ARTICLE 3.

Enemy merchant ships which left their last port of departure before the commencement of the war, and are encountered on the high seas while still ignorant of the outbreak of hostilities can not be confiscated. They are only liable to detention on the understanding that they shall be restored after the war without compensation, or to be requisitioned, or even destroyed, on payment of compensation, but in such case provision 23057-16-2

by reciprocal agreement ten "days of grace" (p. 19). The correspondence seems to indicate a willingness on the part of both belligerents to adopt this period but through a misunderstanding this was not adopted (p. 22).

With Austria-Hungary, however, a satisfactory agreement was made by Great Britain and ten days were allowed from the declaration of hostilities (p. 23).

Great Britain, considering that Turkey was not a party to the Hague Convention relative to the Status of Enemy Merchant Vessels at the Outbreak of War did not extend to Turkish vessels the advantages of the order in council of August 4, 1914 (p. 24 note).

The same position was assumed by Great Britain in regard to Bulgaria (p. 25).

The declaration of war between Germany and France, August 3, 1914, contained a proposal for a reciprocal agreement in regard to days of grace (p. 26). These two States allowed a seven-days period of grace (p. 26).

France and Austria reached a similar reciprocal agreement (p. 27).

Italy decreed the sequestration of enemy merchant vessels unless apparently intended for conversion into vessels of war. Vessels of the latter class were to be captured and placed in the prize court (p. 27). The proceeds of sale or use of vessels which had been sequestrated might be used to pay indemnity in case the enemy acted contrary to "the principles of the rights of war generally recognized and admitted" (p. 31).

Naval War College proposal, 1906.-In general the principle of reciprocity has received approval since July, 1914, and the practice in many instances has been similar to that proposed by the United States Naval War College in 1906 in the following words:

1. Each State entering upon a war shall announce a date before which enemy vessels bound for or within its ports at the outbreak of must be made for the safety of the persons on board as well as the security of the ship's papers.

After touching at a port in their own country or at a neutral port, these ships are subject to the laws and customs of maritime war.

ARTICLE 4.

Enemy cargo on board the vessels referred to in articles 1 and 2 is likewise liable to be detained and restored after the termination of the war without payment of compensation, or to be requisitioned on payment of compensation, with or without the ship. The same rule applies in the case of cargo on board the vessels referred to in article 3.