(1). That the High Contracting Parties have found in the public act of the Government of Great Britain, expressing the regret of that Government for certain occurrences in the past, and in the joint public act of the two Governments, by which they agree to observe, "as between themselves in future," the "Rules" established as the law of this arbitration, "and to bring them to the knowledge of other maritime Powers, and to invite them to accede to them," the means of reducing the measure of the complaint and demand for indemnity, insisted upon by the United States, and contested by Great Britain, before this Tribunal, to all the claims of the United States "growing out of acts committed by" the described “vessels and generically known as the Alabama Claims;''

(2). That these claims are all preferred by the United States as a Nation against Great Britain as a Nation, and are to be so computed and paid, whether awarded as a sum in gross" under the VIIth Article of the Treaty, or awarded for assessment of amounts under the Xth Article;

(3). That the authority of the Tribunal is absolute and final between the two Nations, and comprehensive of all the claims falling within the terms of the submission, "whether the same may or may not have been presented to the notice of, made, preferred or laid before the Tribunal or Board of Assessors;

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(4). That by force of this Treaty, and the execution of the jurisdiction it confers upon this Tribunal of Arbitration, the controversy between the two Nations, arising upon the conduct of Great Britain during the late re

bellion in the United States, will find its final solution in the award of the Arbitrators, and will be for ever removed as an occasion of estrangement or disturbance of their peace.

preventing, the construction, equipment, manning or arming of Confederate men-of-war or cruisers, in the ports of Great Britain or of the British Colonies; that such acts of commission or omission, on the part of the British Government, constituted violation of the international obligations of Great Britain toward the United States, whether she be regarded in the light of the treaty friend of the United States, while the latter were engaged in the suppression of domestic rebellion, or whether in the light of a Neutral in relation to two Belligerents; that such absence of due diligence on the part of the British Government led to acts of commission or omission, injurious to the United States, on the part of subordinates, as well as of the Ministers themselves; and that thus and therefore Great Britain became responsible to the United States for injuries done to them by the operation of such cruisers of the Confederates.

That is to say, to adopt in substance the language of the Treaty of Washington, the United States maintain as fact, first, that the British Government did not use due. diligence to prevent the fitting out, arming or equipping within its jurisdiction of every vessel which if it had reasonable ground to believe was intended to cruise or carry on war against the United States, and also did not use like diligence to prevent the departure from its jurisdiction of every vessel intended to cruise or carry on war as above, such vessel having been specially adapted, in whole or in part, within such jurisdiction, to warlike use.

Secondly, that the British Government did permit or suffer the Confederates to make use of its ports or waters as the base of naval operations against the United States, or for the renewal or augmentation of military supplies or

arms, or the recruitment of men, for the purpose of war against the United States.

Thirdly, that the British Government did not exercise due diligence in its own ports and waters, and as to all persons withinits urisdiction, to prevent any violation of its aforesaid obligations and duties as respects the United States.

II. The United States further maintain that, it appearing as fact that Great Britain did fail to fulfil all her duties as aforesaid toward the United States [Art. VII], thereupon and thereby, in virtue of the Treaty of Washington, and of the express compacts therein contained, Great Britain is bound by reason of her liability arising from such failure [Art. X], to pay to the United States a sum, in gross or on assessment, for all the reclamations referred to this Tribunal, or such amount or amounts on account of said liability according to the extent thereof as decided by the Tribunal.

III. The United States find, on inspection of the Treaty of Washington, that Great Britain has submitted to this Tribunal" all the said claims" of the United States "growing out of the acts "of the Confederate cruisers aforesaid [Art. I], without limitation, qualification or restriction ; and that, in pursuance of such general submission, this Tribunal is to examine and decide, by the express compact of the Treaty, "all questions "which shall be laid before it on the part of the Government of the United States, as well as that of Great Britain [Art. II]

IV. The United States further find as fact on inspection of the negotiations which preceded the Treaty of Washington, that the Secretary of State of the United States declared that the American Government, in re ecting a

previous convention, "abandons neither its own claims, nor those of its citizens;" that the claims thus referred to were specifically set forth in a subsequent dispatch of the same Minister, as follows:

"The President is not yet prepared to pronounce on the question of the indemnities which he thinks due by Great Britain to individual citizens of the United States for the destruction of their property by rebel cruisers fitted out in the ports of Great Britain.

"Nor is he now prepared to speak of the reparation which he thinks due by the British Government for the larger account of the vast national injuries it has inflicted on the United States.

"Nor does he attempt now to measure the relative effect of the various causes of injury, whether by untimely recognition of belligerency, by suffering the fitting out of rebel cruisers, or by the supply of ships, arms and munitions of war to the Confederates, or otherwise, in whatever manner.'

The United States farther find as fact that the Président, in his annual message to Congress immediately preceding the conclusion of the Treaty of Washington, and which indeed constituted the inducement thereto, spoke as follows:

"I regret to say that no conclusion has been reached for the adjustment of the claims against Great Britain, growing out of the course adopted by that Government during the rebellion. The cabinet of London, so far as its views have been expressed, does not appear to be willing to concede that Her Majesty's Government was guilty of any negligence,

1 Mr. Fish to Mr. Motley, May 15, 1869, Documents annexed to Case of the United States, vol. VI, p. 1.

2 Mr. Fish to Mr. Motley, Sept. 25, 1869, Documents as above, vol. VI, p. 13. See the commentary on these national or (so called) indirect damages by Mr. Abbott, in Lord Clarendon's despatch, in Appendix to the British Case, N. A., no. 1, 1870, p. 19.