These facts and apprehensions seem to have wrought a great change in the disposition of the British Government, and led them to seek a re-opening of the negotiation. In an apparently unofficial way Sir John Rose, a London banker (associated in business with Honorable L. P. Morton, a well-known banker and distinguished citizen of New York), came to this country on a secret mission early in January, 1871. President Grant's message had made a profound impression in London, the Franco-Prussian war had not yet ended, and Her Majesty's Ministers had reason to fear trouble with the Russian Government. Sir John's duty was to ascertain in an informal way the feeling of the American Government in regard to pending controversies between the two countries. He showed himself as clever in diplomacy as he was in finance, and important results followed in an incredibly short space of time. An understanding was reached, which on the surface expressed itself in a seemingly casual letter from Sir Edward Thornton to Secretary Fish of the 26th of January, 1871, communicating certain instructions from Lord Granville in regard to a better adjustment of the fishery question and all other matters affecting the relations of the United States to the British North-American possessions. To settle this question Sir Edward was authorized by his Government to propose the creation of a Joint High Commission, the members to be named by each Government, which should meet in Washington and discuss the question of the fisheries and the relations of the United States to her Majesty's possessions in North America.

Mr. Fish replied in a tone which indicated that Sir Edward was really serious in his proposition to organize so imposing a tribunal to discuss the fishery question. He informed Sir Edward that "in the opinion of the President the removal of differences which arose during the rebellion in the United States, and which have existed since then, growing out of the acts committed by several vessels, which have given rise to the claims generally known as the Alabama Claims, will also be essential to the restoration of cordial and amicable relations between the two Governments." Sir Edward waited just long enough to hear from Lord Granville by cable, and on the day after the receipt of Mr. Fish's note assented in writing to his suggestions, adding a request that "all other claims of the citizens of either country, arising out of the acts committed during the recent civil war in the United States, might be taken into consideration by the Commission." To this Mr. Fish readily assented in turn.

The question which for six years had been treated with easy indifference if not with contempt by the British Foreign Office had in a day become exigent and urgent, and the diplomatic details which ordinarily would have required months to adjust were now settled by cable in an hour. The first proposal for a Joint High Commission was made by Sir Edward Thornton on the 26th of January, 1871; and the course of events was so rapid that in twenty-seven days thereafter the British Commissioners landed in New York en route to Washington. They sailed without their commissions, which were signed by the Queen at the castle of Windsor on the sixteenth day of February and forwarded to them by special messenger. This was extraordinary and almost undignified haste, altogether unusual with Plenipotentiaries of Great Britain. It was laughingly said at the time that the Commissioners were dispatched from London "so hurriedly that they came with portmanteaus, leaving their servants behind to back their trunks and follow." For this change of view in the British Cabinet and this courier-like speed among British diplomatists, there was a double cause,—the warning of the Franco-Prussian war, and President Grant's proposition to pay the Alabama Claims from the Treasury of the United States—and wait. Assuredly the President did not wait long!

The gentlemen constituting the Joint High Commission were well known in their respective countries, and enjoyed the fullest measure of public confidence, thus insuring in advance the acceptance of whatever settlement they might agree upon.(5) The result of their deliberations was the Treaty of Washington, concluded on the eighth day of May, 1871. It took cognizance of the four questions at issue between the two countries, and provided for the settlement of each. The Alabama claims were to be adjusted by a commission to meet at Geneva, in Switzerland; all other claims for loss or damage of any kind, between 1861 and 1865, by subjects of Great Britain or citizens of the United States, were to be adjusted by a commission to meet in Washington; the San Juan question was to be referred for settlement to the Emperor of Germany, as Umpire; and the dispute in regard to the fisheries was to be settled by a commission to meet at Halifax, Nova Scotia.

The basis for adjusting the Alabama claims was promptly agreed upon. This question stood in the forefront of the treaty, taking its proper rank as the principal dispute between the two countries. Her Britannic Majesty had authorized her High Commissioners and plenipotentiaries "to express in a friendly spirit the regret felt by Her Majesty's Government for the escape, under whatever circumstances, of the Alabama and other vessels from British ports, and for the depredations committed by those vessels." And with the expression of this regret, Her Britannic Majesty agreed, through her Commissioners, that all the claims growing out of acts committed by the aforesaid vessels, and generally known as the Alabama claims, "shall be referred to a tribunal of arbitration, to be composed of five arbitrators,—one to be named by the President of the United States, one by the Queen of England, one by the King of Italy, one by the President of the Swiss Confederation, and one by the Emperor of Brazil." This was a great step beyond the Johnson-Clarendon treaty, which did not in any way concede the responsibility of England to the Government of the United States. It was a still greater step beyond the flat refusal, first of Earl Russell and then of Lord Stanley, to refer the claims to the ruler of a friendly state.

But England was willing to go still farther. She agreed that "in deciding the matters submitted to the arbitrators, they shall be governed by three rules, which are agreed upon by the high contracting parties as rules to be taken as applicable to the case; and by such principles of International Law, not inconsistent therewith, as the Arbitrators shall determine to have been applicable to the case.(6)" Her Brittanic Majesty had commanded her High Commissioners to declare that "Her Majesty's Government cannot assent to these rules as a statement of the principles of International Law which were in force at the time when the claims arose; but that Her Majesty's Government, in order to evince its desire of strengthening the friendly relations between the two countries, and of making satisfactory provision for the future, agrees that in deciding the questions between the two countries arising out of those claims, the Arbitrators shall assume that Her Majesty's Government had undertaken to act upon the principles set forth in these rules."

There is some question as to whether the British Government has discharged one of the obligations which it assumed under the treaty. After the three rules had been agreed upon, a clause of the treaty declared that "the high contracting parties agree to observe these rules as between themselves in the future, and to bring them to the knowledge of the other maritime powers and invite them to accede to them." Declaring that the three rules had not been recognized theretofore as International Law by her Majesty's Government, it was a fair agreement that they should be recognized thereafter, and that the combined influence of the British and American Governments should be used to incorporate them in the recognized code of the world.

But the Government of England has been unwilling to perform the duty which had thus been agreed upon, and this refusal gives rise to the impression that England does not desire to bind itself with other nations as she has bound herself with the United States. As the matter stands, if England should be involved in war with a European power, the United States is strictly bound by the letter and spirit of these three rules; but if two Continental powers become engaged in war, England is not bound by those rules in her conduct towards them. She certainly has gained much in securing the absolute neutrality of the United States when she is engaged in war, but it cannot be considered an honorable compliance with the obligations of the treaty if she fails to use her influence to extend the operation of the rules.

Following the provision for arbitration of the Alabama claims, the Treaty of Washington provided for a Commission to adjust "all claims on the part of corporations, companies or private individuals, citizens of the United States, upon the Government of her Britannic Majesty; and on the part of corporations, companies or private individuals, subject of her Britannic Majesty, upon the Government of the United States." These were claims arising out of acts committed against the persons or property of citizens of either country by the other, during the period between the 13th of April, 1861, and the 9th of April, 1865, inclusive, —being simply the damages inflicted during the war. The tribunal to which all such claims were referred was constituted of three Commissioners; one to be named by the President of the United States, one by her Britannic Majesty, and the third by the two conjointly.

The Commission was organized at Washington on the 26th of September, 1871, and made its final award at Newport, Rhode Island, on the 25th of September, 1873. The claims presented by American citizens before the Commission were only nineteen in number, amounting in the aggregate to a little less than a million of dollars. These claims were all rejected by the Commission—no responsibility of the British Government having been established. The subjects of her Majesty presented 478 claims which, with interest reckoned by the rule allowed by the Commission, amounted to $96,000,000. Of this number 181 awards were made in favor of the claimants, amounting in the aggregate to $1,929,819, or only two per cent of the amount claimed. The amount awarded was appropriated by Congress and paid by the United States to the British Government. All claims accruing between 1861 and 1865 for injuries resulting in any way from the war were thereafter barred.(7)