Foreign Relations of the United States, 1951, European Security and the German Question, Volume III, Part 2

396.1–ISG/4–2951: Telegram

The United States Delegation at the Intergovernmental Study Group on Germany to the Secretary of State ¹

confidential

London, April 29, 1951—7 p. m.

Sigto 646. Ref: Sigto 628, rptd Frankfort 1158, Paris 2101.² Steering Comite Apr 27 agreed draft report to govts³ re possible Ger claims which we hope to clear May 3 after Br have cleared report with other Depts. It will not be submitted to govts until Benelux dels have been consulted May 8. Report follows gen lines reftel with some changes and additions as follows:

(a) Pre-1945 private claims, recommendation as reftel, but omitting “and which maintains relations with FedRep”. Steering comite saw no reason exclude nations Sov bloc from provision re claims arising during period wartime alliance. Recommended that HICOM consider establishment rule as soon as possible by either method suggested reftel. Question HICOM reserved power re such claims left to HICOM.

(b) Pre-1945 govtal claims, agreed fol prov should be expressed in agrmt with FedRep: “Without prejudice to the terms of the final peace settlement with Ger, the FedRep recognizes that no govtal claims on behalf of Ger arising out of actions taken or authorized by govts between Sept 1, 1939, and June 5, 1945, because of the existence of a state of war in Europe shall be asserted prior to the negot of such final settlement.” This seemed desirable as protection smaller nations against dipl pressure. Memo rec’d from Dutch re waiver of claims (will fwd Mon pouch), stresses this point.⁴ USDel believes it may also have some value in possible future development towards broader claims settlement.

(d)5 Post 1945 private claims, rep recommends that by HICOM legis or in connection contractual arrangements: (i) provision be made assure no challenge in Ger courts legal effect any action occup auths and their agents; (ii) enactment Arts 1 and 2 divesting law should bar all claims with respect ext assets prog and rep and rest removals; (iii) provision be made to assure FedRep satisfaction of those claims arising in Ger which shld be satisfied, analogous to existing prov for satisfaction certain claims through occup costs, steering comite notes possible commercial claims arising from activities occup auths in Ger trade, understands claims against JEIA will be provided for by HICOM in liquidation measures, suggests HICOM consider any possible claims arising commercial activities mil govs prior estab JEIA.

(e) Post-1945 govtal claims, report states, re actions in Ger under Sup Auth, no Ger govtal claims may be asserted and in any event FedRep not competent assert such claims. Legit intergovtal claims may have arisen since estab FedRep, but these shld not be mentioned here. Agreed that no provision shld be made for post-’45 intergovtal claims now or in connection contractual arrangements. This is subj on which Fr are most sensitive, and USDel feels conclusion satisfactory in light Fr agreement that it wld be appropriate for US make any bilateral provision it wished in connection scaling down postwar debt for econ assist.

2. Report does not mention Austria on assumption any special probs will be considered in connection gen prob Austria. In brief discussion, steering comite agreed some provisions may be necessary in contract to ensure Gers recognize US/UK/Fr power to fulfill our obligations with respect Aust without interference Gers.

1. Repeated to Frankfurt and Paris.
2. Supra.
3. IGG/P(51)91 (2d Revise), not printed. This report was a compromise between IGG/P(51)91, dated April 25, a British draft, and IGG/P(51)91 Revise, dated April 27, a U.S. draft, neither printed (CFM files, lot M–88, box 197).
4. IGG/P(51)92, dated April 25, not printed (CFM files, lot M–88, box 197).
5. There is no paragraph c to this telegram.