File No. 437.00/43.

The Ambassador of Great Britain to the Secretary of State.1

No. 260.]

Sir: I have the honour, under instructions from His Majesty’s Principal Secretary of State for Foreign Affairs, to communicate to you herewith a copy of a joint note and agreement which the representatives of His Majesty’s Government and the French and German Government at Havana have addressed to the Cuban Government in regard to the arbitration of the British, French and German outstanding claims against Cuba.

I have [etc.]

James Bryce.
[Inclosure.—Joint note and draft agreement.—Translations from the French.]

The British, French and German Ministers to Cuba to the Cuban Secretary of State.

The Governments of Germany, France and Great Britain have carefully examined the reply of the Cuban Government under date of Feburary 28, 1912, to their note of November 7, 1911.

As the Cuban Government tentatively accepts arbitration for the settlement of the indemnities claimed by the citizens and subjects of the three countries, the claimant powers have the honor to renew their propositions of November 7, 1911.

Those propositions were to the effect that a court of arbitration should first determine the question whether the Cuban Government is liable for the injuries caused, and, if it is, then that the claims should subsequently be adjusted by a mixed commission sitting in Cuba.

A draft agreement to arbitrate, worked out on this basis, is therefore appended to the present note and submitted to the acceptance of the Cuban Government.

As the first part of the proposed procedure does not involve any examination of individual claims, there appears to be no object in discussing the classification of the claims as suggested by the Cuban Government. It will be permissible for the claimants whose demands appear acceptable to the Cuban Government to adjust them with the latter by all means possible until the court of arbitration provided for in the agreement to arbitrate has settled the question whether Cuba is or is not liable in law for the injuries caused.

After that date all unsettled claims for indemnity will be withdrawn by the interested Governments if the court should decide that the Cuban Government is not liable.

In the contrary event they will be submitted to the mixed commission provided for in article 11.

The Governments of Germany, France and Great Britain desire to remark again that their position is based upon a spirit of sincere conciliation and on the sole desire to terminate the controversy by the means which are the most acceptable to both parties. In signing the agreement to arbitrate proposed to it the Cuban Government does not recognize in advance either the validity or the wellfoundedness of the claims which have been submitted to it. It undertakes solely to have decided by arbitration, in concert with the claimant powers, the question as to whether it is liable or not.

Between the Governments of Germany, France, and Great Britain on the one hand, and the Government of Cuba on the other, a disagreement has arisen as to whether the Republic of Cuba is bound to repair the injuries caused by the [Page 292] Cubans to German, French and British subjects during the war of independence. The dispute has not been settled by diplomatic means.

According to article 38, paragraph 2, of The Hague Convention for the peaceful settlement of international controversies, of October 18, 1907, the said Governments have decided to resort to arbitration in this dispute and have concluded the following Agreement:

Article 1. The question in dispute is the following: Is the Cuban Republic bound to repair the injuries caused by its regular forces or by its irregular forces to German, French or British subjects during the war of independence and before the beginning of the war between Spain and the United States?

Article 2. The parties are the following: The Governments of Germany, France and Great Britain on the one hand, and the Government of Cuba on the other.

Article 3. A court of arbitration, organized as hereinafter described, shall be instructed to render a final decision on the question in dispute (article 1).

Article 4. The court of arbitration shall be composed of three arbitrators chosen from among the members of the permanent court of arbitration of The Hague.

Each party shall choose an arbitrator as soon as possible and within a period not to exceed two months from the date of signature of the present agreement. The two arbitrators thus chosen shall choose an umpire. If within a period of one month from the date upon which they have been notified of their designation they have been unable to agree upon the choice of an umpire, the designation of the latter shall be intrusted to His Majesty the King of Norway.

Article 5. On_ _ _ _ _ _ the German, French and British Governments shall deliver to the Bureau of the Permanent Court at The Hague sixteen copies of their common argument, and the Cuban Government shall deliver to it twenty-four copies of its argument. The Bureau shall without delay attend to transmitting to the arbitrators and the parties, three copies of both arguments to each arbitrator, four copies of the Cuban argument to each of the three European Governments, and four copies of the argument of the latter Governments to the Cuban Government. Besides, three copies of each argument shall be kept in the Bureau for the files.

On_ _ _ _ _ _ the parties shall deposit, in the same manner, their counterarguments and final conclusions.

Article 6. Each party shall deposit in the International Bureau by May 1, 1913, at the latest, the sum of 1000 Dutch florins as an advance for the costs of litigation.

Article 7. The court shall convene at The Hague on _ _ _ _ _ _ and it shall proceed at once to examine the controversy.

Article 8. The parties shall each be represented before the court by a special agent, whose mission it shall be to act as an intermediary between them and the court. These agents shall give such explanations as may be asked of them by the court, and they may offer such arguments as they may deem suitable for the defense of their cause.

Article 9. The arguments of the parties (article 5) and the written decisions of the court will be in French. The members of the court as well as the agents may use the German, French, English or Spanish language in their written or oral communications, at their choice.

Article 10. In all matters not provided for in the present agreement the stipulations of The Hague Convention of October 18, 1907, shall be applicable to the present arbitration.

Article 11. If the court answers the disputed question (article 1) in the affirmative, a mixed commission shall convene in Cuba in order to pass on each of the indemnity claims. It shall comprise a representative for each of the four Governments, and an umpire, who must be the citizen or subject of an uninterested country.

Each claim shall be examined and tried by a subcommission comprising only the representative of Cuba, the representative of the interested nation, and the umpire; so that the umpire and the representative of Cuba will have to pass upon all the claims, and the representative of each of the other powers only on the claims filed by the citizens or subjects of that power.

The sums allowed the claimants by the mixed commission shall be delivered by the Cuban Government to the diplomatic representatives of the interested Governments at Havana, within a period of one year from the date of the decision of the mixed commission, and they shall bear interest at the rate of [Page 293] six per cent per annum from the date of the decision of the court up to that of payment.

Article 12. The two parties shall share in equal moieties the fees and traveling expenses of the arbitrators and of the umpire as provided in article 4, as well as the incidental arbitration expenses contemplated in article 6. The parties shall likewise share by halves the fees and traveling expenses of the umpire as contemplated in article 11.

  1. A similar note was sent on the same date with the same inclosure by the French and the German Ambassadors, file nos. 437.00/44 and 437.00/45 respectively.