CHAPTER XXVIII ARBITRATION

During the year 1904, there was a great general movement all over the world in the direction of arbitration treaties. Indeed, so general did it become, and so universal was the form used, that it became known as the Mondel or world treaty. The treaties were very brief, and merely provided that differences which may arise of a legal nature or relating to the interpretation of treaties existing between two contracting parties, and which it may not have been possible to settle by diplomacy, shall be referred to the permanent court of arbitration established at The Hague; provided, nevertheless, that they do not affect the vital interests, the independence, or the honor of the two contracting States, and do not concern or involve the interests of third States. There was a second article in the treaty, which provided that in each case a special agreement should be concluded defining clearly the matter in dispute, the scope of the powers of the arbitrator, the periods to be fixed for the formation of the arbitral tribunal, and the several stages of the procedure.

President Roosevelt and Secretary Hay were very much in favor of these treaties, and sent to the Senate, for its ratification, treaties in substantially the foregoing form, with France, Portugal, Great Britain, Switzerland, Germany, Italy, Spain, Austria, Sweden, Norway, and Mexico. The treaties were considered with great care by the Committee on Foreign Relations. We all favored arbitration in theory, and I do not think any one wanted to oppose the treaties; but a number of questions confronted us. I neither have the right nor do I expect to detail what has taken place in the Committee on Foreign Relations; but I can say that the subject was discussed in the press, whether such treaties would not compel us to consider as matters for arbitration claims against the States, growing out of the Civil War and Reconstruction.

In the judgment of some, such claims were proper subjects of arbitration under this Mondel form of treaty.

President Roosevelt, who was following closely the treaties in the Senate, and with whom I had talked concerning these objections, wrote me a letter, which he marked personal, but which appeared in the afternoon papers almost before the letter reached me, it having been given out at the White House, in which he said:

"January 10, 1905.

"My dear Senator Cullom:

"I notice in connection with the general arbitration treaties now before the Senate, that suggestions have been made to the effect that under them it might be possible to consider as matters for arbitration claims against certain States of the Union in reference to certain State debts. I write to say, what of course you personally know, that under no conceivable circumstances could any such construction of the treaty be for a moment entertained by any President. The holders of State debts take them with full knowledge of the Constitutional limitations upon their recovery through any action of the National Government, and must rely solely on State credit. Such a claim against a State could under no condition be submitted by the general Government as a matter for arbitration, any more than such a claim against a county or municipality could thus be submitted for arbitration. The objection to the proposed amendment on the subject is that it is a mere matter of surplusage, and that it is very undesirable, when the form of these treaties has already been agreed to by the several Powers concerned, needlessly to add certain definitions which affect our own internal policy only; which deal with the matter of the relation of the Federal Government to the States which it is of course out of the question ever to submit to the arbitration of any outside tribunal; and which it is certainly absurd and probably mischievous to treat as possible to be raised by the President or by any foreign power. No one would even think of such a matter as being one for arbitration or for any diplomatic negotiation whatever. Moreover, these treaties run only for a term of five years; until the end of that period they will certainly be interpreted in accordance with the view above expressed.

"Very truly yours,
"(Signed) Theodore Roosevelt.

"Hon S. M. Cullom, U. S. Senate."