File No. 811f.812/320.
The British Chargé d’Affaires to the Secretary of State.
Washington, August 27, 1912.
Sir: On the 8th July I had the honour to present to the Government of the United States the views of His Majesty’s Government on certain proposals which had been formulated with the object of relieving United States ships using the Panama Canal from the payment of tolls, while levying such tolls on foreign ships.
In view of the bill which has now been passed, and of the memorandum issued by the President on signing it, I am instructed to inform you that His Majesty’s Government adhere to the views expressed in that note, and that when His Majesty’s Government have had time to consider fully the act and the memorandum a further communication will be made to you on the subject.
I am instructed to add at the same time that should there eventually be a difference between the two countries as to the correct interpretation of the Hay-Pauncefote Treaty which cannot be settled by other means, His Majesty’s Government would then ask that it should be referred to arbitration in accordance with the provisions of the existing arbitration treaty concluded in 1908.
I have [etc.]