Requête introductive d'instance

COUR INTERNATIONALE DE 1USTICB I
--

MÉMOIRES, PLAIDOIRIES ET DOCUMENTS I

AFFAIRE DE L'INTERHANDEL SECTION A. - REQUÊTE INTRODUCTIVE

D'INSTANCE

REQUETE INTRODUCTAVED'INSTANCE AI.I~~ESS~E l'AR
LA CONFIDERATIO NUISSE CONTRE LES I~TA'TS-
UNIS D'AM&RIQUEAL'INTENTION DU GIIEl71;IEtll

DE LA COUR INTERNATIONALE DE JUSl'ICE,
PALAIS DE LA PAIX, LA HAYE, PAYS-BAS

(REMISE AU GI<EITI:IER DE LA GOUR CE 2 OCTOIJIZE 1957 I'AK
L'ABIBASSAI>EUH DE LR ÇONF~I~~KATION SUISSE AUX I'AYS-Hi\S lil'
PAR LE CO-t'iGEN'rDl?LA CONF~DÉI~~~T~ON SUISSE EN CisT'i'E~1:1;~tl<l~)

Lc soussign6, agissarit en qualit6 d'agcnt di1 CriiiscilIl:tlci-;il
suissc, a I'honricur d'iiitroduirc clcvaii1;~Coiir intcrriiitio~i:!tlc
Justice une instance dans lc différend qui a surgi cntrc Ics 13t;ts-
Unis d'AmErique ct la Suissc et qui sc rayiportc i la rcstitiitioti
par lcs États-unis des avoirs dc la ÇociCt6 internationale poiir
participations industriclleç ct con-imcrcirilS. A., ii~c;crilc26 jliitl
rgzS au Registre du cornmcrce de Bile-Ville. Cette rcrluCtc est
portée 2 votre connaissailce confori-iîémctit ;il'nrticlc 40, 1,nr;s-
'
craphc I, du Statut et de l'artide 32 ilu litglcizicnt dc1;iCour
iilternatioi~alc dc Justice.

Lcç faits qui sont à la basc de ILprbeiitc rccliictc sorit lcs
suivants :
L. I'ar clécisiniisport:irzt les clntcs dcs 16 idvi-icrt:t 24 ;ivril
1942 et al~trcs, pri~cs cn application dcs lois ;iiii6ric;iiiics sIcs
biens cnnernis - (('Trading witli the Ericmy Act iclu 6 octolirc
1917 avec lcc; amci~dements apportes nu c2urs dc lit clcusiktizc

guerre mondiale -, lc Gouvernement cles I~tats-Uilis;LordonnC
lc séquestre ((veçtirigild'environ go X, des actions dc 1;~(Gcricral
Aniline and Film Corporation il,entreprise sise aux ktats-unis
d'Amérique (appclPe ci-après {tC;.A. F. B),appartcilai~t i la SociEtb
intcrnationnlc pour pnrticipritionç ii~dustriellcç ct coti~mcrci;ilcs
S. A. (INTERHANDBL). Les autoritEs nrnéricaincs ji~stili6rcntccs
mesures eil allégurtntque lçsditcs actions étaient cri fait la lircipribtl':

de In rt1. G. Farbcn Industrie iii Francfort, ou qu'cllcç Stniciît
dktenues pour le compte de cctte société ((cownccl bg~cir Iiclrl for
1.C. Farben Industr~c II).
2. Interhandel est une sociétCnnoiiyrne, inscritc lc 20 juin 1028
-lT Rotristrc rliicoiiirilcrcc clljrilc-\'i fnnc,Ec ;i13Alccotrfcir- REQUAT IETRODUCTIVE IJ'IXSTANCE (Zx 57j
9
mément au droit suisse, sur I'initiativc de la {1. G. Farlricn Indii-
strie iià Francfort. Sa première raison socialc &tait iiSociCtCin ter-
nationale pour ei~trepriscs chimiques ii(en abrégC (1. G. I:Iicttiiil).
Quant aux buts de l'entreprise, ils sont dCfinis à l'article 2 dcs

statuts (version de 1940) (annexe 1):
(Das Untcrnchmen isteine Wolclinggesellsch~~ftI.lir Zwcck
içt die Bcteiligung an Industrie- und Handclsunternehrnungcn
aller Art, insbesondere der Chemischen Branche im In- uncl
Auslande unter Ausschluss von Bankgcschiiftcn uiid unter

Ainsschluss des gcwerbsmassigeii An- und Verkaufs voii
Wertpapiercn. 11*
Lors de la fondation, Ic capital social d'Intcrhande1 ;tEtc fis6
5 20 millions de francs. il a 6th 6levCjusqu':~zgo inillions cn 1929,
luis subit diverscs rkductions. ide postc Ic plus irnpsrtiint de lJ;ictif

d'lnterhanclel cçt coilstitd par sa p;irticipntioii ;ila G. A. 1;. 1Sri
effet, Intcrhandcl poçskdc aujourd'liui 455.624des 592.74 a2ctici~is11
de 1sG. A. F. et Ictotal des 2.050.000 actioiis l3en circul t'on.
Interhandel contrOle aiilsi go à 95% des actions en circul;ition cle
l'entreprise américaine.Dès juin 1940 cependant,Ics lieris qiii
avaient uni Interhandcl à la {1. G. Farben 1)furent dbnouks. -
Déslors, le contrhle Jlemsnd qui s'était excrcb sur Intcrliandcl
cessa definitivement d'exister.

3. C'est à partir de 1348 que lisGouvernement suisse a dcniand6
la libération des avoirs d'lnterharidcl se trouvant aux Etiits-Unis.
11 se fondait en l'occurrence sur les resultats dc plusieurs cnr1ul.t~~
trk approfondies clni avaient dkii~ontri. A satisfnctiotl dc droit
clu'Interhnnde1, sociétb suissc, n'&tait ni 1iropri6tE :i!!ciir;iiitlc,iii
contrûlée par des ressortissailts n2lcrii:incls. Lc Goiivcriiciiiciit
suissr: invoquait notamment à l'appui de sri.clcii~aiirlcl'accord
financier conclu à WaGlington le 25 n~ni 1946entre lcs rcpri.sentants

suisses et ceux des Etats-Unis d'hniériquc, de la l'rance ct du
Royaume-Uni agissarit au nont cle Icurs alliés, :ippell: ci-nprk
rtAccord de Washington e (annexe 2).
a) L'Accord de Washington a eu pour objet d'apporter une
solution à quatre problèmes essentiels. D'uiic part, il faisait droit
à deux demandes alliéestendant à la rcchcrclie ct à la licluiclation
des avoirs ~illcrnandsen Suisse ainsi qu'au rCglcincilt (le cc qu'oti
appelait alors le problcme de l'or spolie 11.En cor]trep;irtic, ILL

Suisse obtenait satisfaction sur deiix points :les ,411iécsai~sentaicn t
à supprimer les Clistcsnoires 9 dans Irimesure vil clles coï1cern:iiciit
la Suisse; d'autre part, le Gouverncr~~cn t des Etats-Unis ncccptnit
de libérer les avoirs suisses aux Etats-Unis qui durant In guerre
avaient été soumis à diverses mesures de restriction. Ccttc clcrnière
--A--
* L'undzictjo-a.L'ciii~c~rrisçç~.~isuticcsocii,téIicilrliric:I)nurI>ti1;i
participatiuii aux entrelirisçs rndustctcuniilzcrciadestiiiiii;rliiic,pr-i
b,incüires ainsi qude;l'açliaetdcr1i~veritc ~irtifessrun~icllcdçs ~i;i~iicrs-~~i2ciirs. disposition a fait l'objet de l'article IV, $ z, dc l'Accord dc
Washington dont le texte est le suivant:
rLe Gouvernement des fitats-Unis dCbluc1ucra Ics :twirs
suisses aux Etats-unis. La proc6cIure néccssnirc scrn fisbc
sans délai. B

6) Sur le plan interrie suissc, Ics autorités fédéralci;n'avaicrit
d'ailleurs pas attendu l'Accord de Washington pour cs;imiiicr Ic
cas d'lntcrhandel sous l'angle de 1:~législation suissc relativc ;liis
biens allemands. On sait en effet que lc Coilscil f6dCr;iI çlCcidii,
aux termes de son arreté du 16 fdvricr 1945' cl"pl;tccr Ics ;ivciirs
alleniands en Suisse soiis Ic contrOle dc 1'Oficc suiçsc dc compcti-
sation, qui est l'organc suisse rcspoiisablc pour I'csCciiticiii dc
l'arreté précité. Étant donnh qu'lilterlianclcl :iwiit étCioiidCc,

cominc on l'a rclcvCplus haut, sur I'initiativc dc In 1. C;. l~nrhen,
l'office suisscde cumpcnsation fit proc4clcs, du II juiti;ii7 jilillct
1945 ,une expertise surlasituation dc ladite socibth.Ccttc csir)ufitc
demontra que, dès juin 1940, Interhandel s'ctait coiiilili3tcii-icnt
1ibcrC.cde ses attaches avcc In 1. G. P;irhcri, qiic d';iillciir1;i
participation allcrnatide au capital social &tait nctteniciit iiii~iri-
ritaire ct que le coïiseil cl'adiî~inistration 6ttYcomliosf prcscliir:
cxclusii.~emcn tde ressortissants suit;scs. L'Qfhcc siiissc dc conlpcn-
sation tira dc cet exnrncn 1:~ conclusion Iogiquc ï~u'Intcrli;iiitlc1
était une société suissc,doiit Ics avoirs nc dcvnicnt par coiisécliiciit
pas Ctre soumis aux dislmsitions de I'rirr2tCrlu Conscil fi:rliirnl dl1
16 fCvricr 1945.
L1Cféranttoutefois & ~ilusictirsi~itcrvci~tions ;iIliCus,iiotiiiiiiiicrit
clu Gouvernement an~bricain, qui affirmiiil iivoir troiiv4 cri rlllc-
magne des documents faisant ayparriitrc des lieris étroits ciiirc I. Ci.
Farbcn ct Interhandel, l'Office suissc dc coinpensation tlécid:i 1c
30 octobre 1945 de blcqucr à titrc prcivisoirc les bieris dc ccttc

derrtikre sociétk,aux fiildc fairc ~irocCder&une nouvcllc cxlicrtisc
plus approfondie. Ceilc-ci clura du 5 novembre 1945 ati25 fbvricr
1gq6. Elle ne porta pas seulement sur Intcrh;it~dcl, iii;iis'Ctciirlil
aux sociktés et perçonrics lîrivEesqui furent trz rapport tlircct oii
indirect avec Ii~terhancicl. Commc la prcmiCrc, ceitc sccui~clccslicr-
tise établit qu'~nterlia11dc1nc sc trouvait nullciizciit sous iiilliie~icc
;illerniindc. En cltpitdc cc r6sultat ltourtaiit c;ttcigoriclirc,I'Ollicc
suissc de coinpcnsati»ii maintint Ic hlucagc d'I iltcrliiiiicll)rCiz;lti
cil consideration Ic fait que Ics meinbrcs allibs tlc In Loliiriii.;sici~i
mixte, instituée entre tcmps par 1'Accord clcWiisliiiigtun, ii';~~riiici-it
pas acceptédc SC ranger tiux conclusions de la dcusiFmc csllcrtisc.
L'Ofhce suissede con~pcnsatioii nc put, clails ces cuiiclitioiis, cluc
d6fércr ii l'instance suisse dc recours, dont lc 111;ind;ltavait Et6
confirmé par l'Accord ilc Washington, un rccoiirs forrnrl:p:ir Intcr-

handel contre la mesure de blocage clont cette sociCtCétait l'ol~jct.
Le 26 novcntbre 1947, le présiderit cle IJautoritE suissc dc rccours,
M. Gccirg l.eiich, ~irésideritdu Tribunt11ICdCrrzs liiisscitivitiisclorilkrticle III de l'Annexe à l'Accord de Washington, 13 Corninission
mixte A participer;3la procédure de recours etrlluifaire tcnir dans
le délai d'un mois ses conclusioris dûtz~cnt motivées. Par lettre di1
19 décembre 1947, lamajorité de la Conimission mixtc di.clina
cette invitation en alléguant que la Commission instruisait elle-
méme lecas d'TG.. Clicrnic (aujourd'hui li-itcrliandcl). Elle ajoutait
que si I'autoritesuisse dc recours devait prendre unc d6cisiot-iavant
qu'elle-merni: eùt neilé A chef ses travaux, une telle d6cisio11

ri'auraitaucun effet sur l'examen en cours.
L'autorité suissc de rccouts ne vit cependant pas la possibilité
de surseoir 3 l'examen de l'affaire,attendu qu'on ric~iouvnit guEre
maintenir plus longtemps une mesure de blocage dCcidCe A titre
provisionnel, alors que les gouvernements alliés avaicnt disposé
de plus de deux ans pour administrer la preuve clelcurs allégations.
L'autorité de recours décida cn corisEquence, le 5 jaiivier 1948,
dc lever le blocagc d'lnterhandel avec eEet retruactif (ai-incse 3).
Conforméinent aux dispositions de l'Accord cle kVasliiiigtori,
l'autorité suisse dc rccours notifiasa iiCcision i la C:onitnission
mixte. hlaiç les gouvernements alliés iic firent poiiit usage clc 1;i
faculté que leur accordait l'article III de l'Annexe ri 1'Accorrlde
Washington de sriumettre le diflbrend au tribunal arbitral prkvu
par ledit Accord. Dans ces conditions, la dkcision dc 1':iuturité
de recours confirmant le cûractCrc non-allemalid d'lntcrliandcl
acquit force de chose jugSe et devint doilc opposiible ri tous Ics
États parties k l'Accord.

4. En dépit de ce qui préciide, les autoritEs arnkricaincs rciii-
shrent catigoriquement de fairedroit aux requCtcs suisscs clq~natl-
dant la libération desactions G. A. F. qui se trouvriicnt aux Etats-
Unis. L'&change de notes qui intervint b cc sujct etitre les cleux
Gouvernements fit apparaître dc part et d'autre des points clevuc
diamétralement opposés. (Voir les communications des 4 niai 1948,
26 juillet1948, 7 septembre 1948 et 12 octobre 1948, anilexcs 4.
5, 6, 7-1
Du cBtésuisse, on continuait fermcrneiit a. affirmer Ic caractcre
suisse d'lntcrhandel. On demandait en ccins&queilce que, confor-
mement au droit intcrnationül général et plus sl~éçinlcmcnt cn
application de l'articleIV de l'Accord de Washirigtoii, lcs avoirs
de la société se trouvant aux Etats-Unis fussent libcrhs ciltant
que biens appartenant à des rcssortissantç d'un pays neutre. On
ajoutait que le Gouvernement antériçain ne pouvait ~ncttrc en
doute le caractère suissed'Interhande1 à la suite des constata t'ns
et expertises f~itc tsnt par l'Oflicesuissedc coinpcnsatiui~
par l'autoritéde recours et çontrc lesrluclles le Gouvcriicniciit
ambricain n'avait poirit recouru, comme il en avait pourtant la
faculté. De son coté, l'adininistratioiîaméric;iinc coiîtestait que

l'Accord de Wasliingtuil fût riplilicablcaux avoirs cl'Intcrliantlcl
sis hors de Suisse. 12 REQU~TE INTRODUCTIVE D'INSTANCE (2X 57)

5. Quand il eut acquis la conviction que les autorités aniéricai~~es
ne se départiraient pas de leur refus de libérerlesactions G. A. F.,
le Gouvernertien t suisse proposa au Gouvcrnemen t clcs gtats-~iiis
d'engager avec lui des negociations pour rechercher une sulutio~r
amiable au différencl. 11renouvela cettc dcrnande à plusieurs repri-
ses (voir les notes des g avril 1953, L''déccrnbrc 1954 ct iilnrs
1955 ,nnexes 8, g, IO}.
Aux termes des notes qu'il adressacn réponsc en dates dcs 27mai

1953et 7 juin 1955 (annexes II, rz), le Gouverneincnt arncricain
rejeta purernciit et simplement la proposition suisse, rlkclar;ii~t
qu'à son avis l'affaire Interhandel ressortissait exclusivcnzcri;ila
juridiction administrative et judiciaire dcs btüts-Unis ct (lu'eii
conséquence elle nc se prêtaitpas h des nt5goci;ltiorlipfo~nritirlucs.
11ajoutait que le dCpartcit~ent am6ricnin cle laJ usticc 6t;iit çt'licii-
dant dispos6 entrer en contact sur lc plan privC avec lcs ni:lii-
dataires des intkressés suisses. On tenait cepciidarit d'orcs ct cléji
à prkciscr du c0t6 amkricaiii qu'uric solution tninsrictiotinelle (lui
n'acçordcrait pas 9 l'Adminiçtrütioii :unéricninc clcs tjicnl;ciilic~nii.;
la plus grande partie (I(the larger slirir11)desavoir5 en jcir sci-;uii
jugée anon rbaliste iiII est clair qu'une tellc conclitioii Etaiiitic-
ceptable pour le Gouvernement suisse,
Le Conseil fédkrslsuisse dut tirer dccettc iittitu~lc cles ;iut6ïi
amhicaines la conclusion que lcdifférend n'&tait pas susccptil>lc
de solution sur le plail diplomatique.
C'est pour ccs raisons que le Gouvcrncit~ctit suisse sc ri.solilt :i
proposer au Gouvcrilernent américain, par sa ilote dii E)atiii1956
{annexe 131, de recourir à la proccdurc d'arbitrage ou dc coiiçi-
liation.
Le Gouvcri~emcnt suissc se forzdiiit cn prcinicr lieu sur le 'I'raitC
d'arbitrageet dc conciliation du 16 fhvricrr93r (;iniicsc14))dont

l'article premier dispose :
a Tout différend, de quclque nature qu'il soit, qui vicridrait
à s'élevercritre les Partics contrnctrtntes scrn,cir cas d'bchec
des pourparlers di~-rlomatiquesordiiinircs, sout-tiisI';lrliitrrigc
ou à laconciliation, suiva~icc que cliiciclcront alors Ics 13:irticl;
contractantes. u

L'engagement de recourir à l'arbitrage est gétibral pour tout
différend concernant une prktention de nature juridéyuc; I'articlc V
dispose en effet :
((Les Parties contractantes s'engagent à sounicttrc I'rirbi-
trage tout différendqui se serait &levéou s'élkvcniitcntrc cllcs
sur une prgterition dc naturc juridique, la conclitioil clu'il
n'aitpu etre résolupar la voie diplornaticlue ou qu'il n'ait 1x1s
kt6rkglé,en fait,i la suite d'un rcnvoi à la Loinrnission I-ieriiin-
ncntc de conciliation constituCe conforménic~ti aus :irticlcç II
et III du préscrrttraitk. 13 Le Traite d'arbitrage et de conciliation de 1931 prévoit encore
une procdduce de concilintiriii qui, dans la rtglc, 11cdoit pas ribccs-
sairerncrit prdc6der un arbitralc, mais qui peut avoir 1111cnracli.rt:
obligatoire lorsquc les parties n ont pus en fait recours (11';irbitr;igc.
L'artide II disposc cn cifet :

trTout différcnclqui n'aurait pu ctrc ri:gEé par EE voie dil~lo-
matique et IJOUT la solutiori duquel Ics parties contr;tct;intcs
n'auraient pas, en fait, recours un tribuniil d':~rl-iitragc,cya
souniis, aux fins d'cnquctc ct rapport, à unc Cciiiimissioii
pcrrnni~ente dc colzcilintion constitubc coriformErnciit IZcc tliii
est prescrit plus loin. ))

Lc Gouverilcinciit suiçsc ii~vocluriitcii outre Al'nppiii çlc s:iIirolio-
sitiuri l'article V1 tlc 1'1iccorclclc Wrislii~lgtciri,doiitI:itciii:iirvst
la suivniite:
IIS'il dcvnit ç'elevcr dcs divcrgcrîccs cl'oliitiinri riiisujet clc
l'application clu prdscnt Accord ct si ccs divcigcnccs iic

pouvaieilt etrc résoluesautrcnient, il serait fniLappel u I'rtrbi-
.t~agE 11
Cette disposition, piacke Ala lin dc l'Accord de Washliigtun, cst
une disposition dc portbc génbralc qui couvre tous lcr; rliffi.rciirls

pouvant surgir propos de i~'i~nportequclle disl-iositioii dc cct
Accord. Elle lie concerne pas seuleriient les obligations ;~ssun~fcs
par le Gouvernerî~cnt çuissc, mais aussi lcs engagciliciits pris ciivcrs
lui par les Gouverrîcinents allies ct en particulier I1:irticlc IV,
cIiiffreI, qui intéresse lcs sciilcs relations entre 1:iSuisse ct Ics
Stnts-~iiis.
Le Gouvcrnci~iei~tsuissc sc disiiit cil outi-c çtiiiv;iiiiluc s'iil5l)i-
raiit cn cela dcs priilcipcs du droit dcs gci~s lc C;oiivcrt~~:lirciit
aniéricain s'abstieiidrait de prendre toute nlcsurc uni1atEr;iic
concerilant les biens litigieux tant qu'une instancc intcrn;ition:ilc
serait cn cours, c'est-A-dire cn init surseoirait parprovisiori 1;~
vente annoncée des actions G. A. ri.
Dans 53.réponse datée du 11 janvier :rg57.(ün1iexe15) ,e Gouvcr-
nemerit americain rejeta la deniande suisse dc sounie ttrc Ic litige

ü.une procédure d'arbitrage. La note du Gourrcriicn~cr~tambricniii
repoussa pareillement l'ouvcrtnrc cl'uile procéclurc cri concili- t'U11,
lay uclle selon lui ne saurait aboutir àaucun résultat positif, d'nutarit
moins qu'il avait déjà frtit savoir n'étrpcas en 11icçiit.rlc sti~ii-~iettrc
le litigc à Ia proccdure d'arbitrage subsCqiicizte. I<n oiltrc, Ic
Gouvernement américain refusa de s'cngngcr à reçpectcr Ic strrlii
qztojusqu'au r&gIemcnt di1probltme,
Ainsi, lc Gouvcsncment suisse n épuisé tous lcs lnoyeizs qii'ii
avait r*sa disposition pour iilcttre fin, par la voie clil-iloiii;i)ir[iic,
au différendqui s'est élevCcntrc lui et Ic Goili~ernenicnt rfcs Etats-

Unis d'Amerique au sujet clcla libCration des nvciirs d'1iitcrli;indel
sc trouvant aux Gtatç-Unis.f 4 REQPJ~~TEINTRODUCTIVE D'INSTANCE (2 X 57)

I. Le Gouver~iemcr~ t suissc lie pouvant doiiç liris rccotin:iitrc lc
bien-fondé clel'nrgurnei~tntion 1im6ricninc, n inforri16Ic Go~ivcrric-
ment dcs États-unis, par ilote du I~'octobrc 1957, clu'ilsc voyait
obligk de porter 1c différend cleviint la Coiir intcrn:lticin;iIc dc
Justicc (anncxc 16).

2. Les Parties au litige concci-nant Iritcrli:indcl, 1;iSiiisso ct Ics
États-unis, ont adli6ri: 2 l'article 36, alinca 2, du Stiitut dc I;i
Cour intcrnationalc clc Justicc, ct rccurinnisserit çom~zicobli~ntciirt:
la juridiction de ccEEc-ciilc plciil druil ctsans coiivciiliciii s~jdci;ilc,
pour tous clifftrcnds rl'orclre j uridirluc ayant, ciiirc ;iitrcs, Iiriur
objet l'interyrktation d'un traité et tout point clcclr~iitiiitcriintion;iI.
Le litige concernant Interhandel remplit ces cleus clcriiii.rcs cotidi-
tioiiç;sa solution implique l'intcrpr6tation dc I'Accord dc \V;isliii~g-
ton et I'cxanien de points de droit international.
La Suissc a dCpos6sa dbc1aratioi-iacceptant la juridict iuli ol>lig:i-
toire dc la Cour, dans les termes de l'article 36, chiffre2,tlirStiitiit,

le 28 juillet1948, saris limite dc teinl3s cri la seulc coriditio~~clc1;i
rkciprocit&.
Les Ctats-~iiis d>AmFriclueont dépostlcur cléc1;iriition cl'acllidsiuii
le 26août 1946, pour cinq ;inn&es nvcc uiic clausc cletacitc rccoiiduc-
tion qui sort toujours ses cffets.
Dans ces conditions, It:Goin-crnei~icntICd&nilsiiisse constntc cliic
les dkclnratioris dc recon11aiss:tiice rlc jiiridiction cililignluire clcs
deux Etats sont concorclniltes pour ln crii~iptteiicdc la Cnizr aux
fins de résoudreles difierends relatifs à i'iriterpr4t;itioii de I't\ccorcl
de Washington et cleç points de droit intcrnation;il qui conceriiciit
le litigc. Tlerzrésulte que laCour est coinpétei~tcpour SC proiiunccr
sur les coiiclusionç priscs par lc Gouverncmcnt Iédi.rr~s 1ilisse rlnns
la.prbsente sequcte.

Vu les considEraiions q~iipr6cèdeilt:
Attendu que IcclifErend (qui s2cr;tklevi. entrc In Cosifdddr;~tioii
suisse et les fitats-unis c1'Am&ricyun eu sujet dc In.rcsti tutirin clcs
avoirs d'lntcrhandcl, sociCtésuissc, soulCve dcs liuiiits clc cln)it
ii~tcrnational dont la question de l'ii~terprétationde l'j\ccorcl clr,

Washingtun du 25 mai 1946 ;
Attendu quc laConfCclErationsuisse ctles fitatç-linis: d'r111il:riiluc
ont adhéré A l'article36, alinéa z, clu Statut de la Cour ititcr-
nationale dc Justice et rccoiinaisscnt la juridiction coniiiic rililig;i-toire, dc plein droit ct salis convention spéciale, pour totis différcnds
d'ordre juridique ayant pour objet l'interprétatioil d'un trait6 c t
tout point de droit jnteri~ational ;
Attendu que le Gouvcrncincnt dcs Etats-unis dJAii-ii.riquc ;I
déclinéla propositioil du Gouverncnîeiit fkdbal suissc rlcso~imcttrc

le prkçent différend A la prockliirc arbitrale ou de concilintio~~,
confomèmcnt au Traité d'arbitrage ct de conciliatioii tlu 16 iCvi-icr
1931 entre la Suisse ct les fitatç-Unis dJAnt&riqucdilnt Ics articlcs 1,
II ct V prévoient le recours à l'arbitrage oii i In cciticilintioi-ipriiir
tout difiérend qui n'aurait pas pu Ctre rEglCpar la voic cli1iloiii;i-
tique, ainsi qu'à l'Accord de Wasliington, dont 1';trtictc VI 1irGvnit
également l'appel à l'arbitrage s'il cicvait s'dcvcr des divergciiccs
d'opinion au sujct dc son application ou dc soli intcrpriitatitiii;

Attendu cluc le diffbrcncl ri';pi1 Ctrc rhsolii par ln yoic rli1iloiii;i-
tique;

En consCquci-icc, ct suus rCscrve clc tous iiidii~<iircsctiriti-1:-
nzérnoireset en gériéraldc tous Iiioycnç dc rlroit ri ~iri:.wrltcilti:-
rieurement à la Cour, coi~iormCilierztt'i l'rirticlc 43 dc sori Slitt~il;

Communiquer la ,yrQcnte rcqutte introcluctivc c1'inst;inçc ;iu
Gouvernement des Etats-Unis dJAin&rique, coriforri~kincizt l'ur-
ticle 40, cliiffrc 2, du Statut dc Ia Cour;
Dire et juger, tant en presciice qu'cn l'absencecluclit Gouvcr-
nement, après avoir exami~iéles tl~èscscles Yartics,

r. que le Gouvcrnci~zent des fitats-Uriis d'Anibrirluc t:>t tct~ti
de restituer les avoirs de ln SociCtE.iiltern;itinnnlc Ii.c>irr

participations industriclles et comrncrcinlcs S. A. (liilcr-
handcl) 2 cettc société;
2. subsidiaircinent cluc le clifffircildcst 'dna turc ttrc stiu~iiis
à In juridiction, 5 l'nrbitra~c ou ;i la coricilintiriii tl:iiiç Ich
conditioilç qu'il ~pparticnclra i la Cour tlc cl~tct~iiiiic.i-.
Le Conseil iédhral çuisçc sc rbscrvc cil ouirc lc rlrriit iic cuiii-
pléter et de rnodifier scs conclusirii~s*
Le soussigné cst désignépar JeCoiiscil fbdhral siiissc co~iiincsriii
agent aux fins de In préseizte instance et RI. le 13roIeçscur Paiil
Guggenheim comme soi1 co-agcnt. Il est nutorisili A porter :L In

connaissance de Iü Cour que, pour toutcs Ics notilic-it'ons ct
communications qui aurotit i Etrc f;~itcsclniis ccttc instnricc, Ic
Conseil fédhral suisse élitdomicile cn 1'amb;içsaclc rlc la LunfCdk-
ration suisse à La Haye.

Genkve, Ie I~~ octobre 1957.
{.SigtzEJG. SAusiiil-1-1AI.L.
(~'rofcs.icurGcnrgcs S;iiiçcr-I-l;~1I.) .jesoilssigné, ambassadeurde la Confkderation suisse aux
Pays-Bas, certifie l'nutheilticitt dc la signature ci-clcssus du
professeur Georges Sauser-Hall, agent du Conscil ibdcral.

La Haye, le z octobre 1957.

(.Sign&,E, IIE 1-1~1,1-~1<.

[L. S.]
I6 atznexes. S'TATUTLN
dcr
1ntcrna tionalc GcsclIscha it ür

CliciziisclicUntcrnclii1iiingcn
A.&.
in

13!1SliI~

1. l;irrii;i, Sitz, Xwcçk und Ilnuer tIcr GcscllschaSt.

3 1.

1)ic C;cc;clIscIiaftist cinc ~Iktiengcsclls~liaft iiii Siiides Çcli~~ci-
zcsiçclien Obligntioilci~rccliteç.Sie fiilirt die Firina
Iiitcriintioi-i;ilc GcscllschnftfiirChc1-1iisc1lUentcrilcl-~il-iuiigcnA.&.

(1.G. Cf~emie)
SociCtC 1titcrrintioii;ilc pour Entrcpriscs Lhimiclucs S. A,
(1.G. Clicmie)

ui~rlIiit ilirciSitz iti 13ascl.

Ilas Ciiitcri~cliiiiciiist ciric Holditigsgcçcllsct~;~ft. llir Z~vcck ist
clic Bctciligiing an Incliistric- tiizd Hnndelsiintcrnchi~~~~nge~~ nlicr
Art, iiisl~csoridcrcder Chcmischcn Urnnche ;IIIIn- und Auslaride
~riltcr Aiissclil~issvon U;ii11;gcschiiftcn und uiltcr Ausçchluss dcs
gcwerhsin;içsigcn An- und Vcrlïaufs vorî \Irertpnpiercn.

[TY(IOIICI~OII]

STI\TUTS
cle1:i
Soçibti Iiitcrnatioiialc 130iirI':ntrcprises

Lliiti~iclucS. A.
cl
I3ALE La sociétéest une sociétéanonyme, au sens du Code suisse des
obligations. Elle porte la raiçon sociale suivante

lntcrnationale Gesellsch~ilt für Chcniischc Untcrnclit~zuiigcii A.-G.
(I.G. Chcmie)
SocibtéInternatiorîale pour Entrepriscs Chimicliics S. ;\.
(T.G. Chcmic)

et a son siège 9 Bâle.

L'entreprise constitue une socicté Iioldirig. Ellc ;tpoiir biit Eri
participation aux entreprises industrielles ct commerci;ileç clctoute
nature, en particulier dans le doniaine chimique, cn Suisse ci i
I'ktranger, à i'excluçion des affaires bancaires ainsi cliicde l'ac1i:it
et de la vcilte profesçioilnellc des papiers-valeurs.

Messieurs,
Au cours des négociations qui vierinerit de sc teri-ilincr, lCiriii-
verncments alli&ç,recoi~naissant lileiricmc~ztla souveraiilcté suisbc,
oiit fait valoir leurs droits aux biens al~ernnnclsen Suissescioncl:int
sur la capitulation de l'Allemagne ct E'escrçicepar eux rle 1'auturitC
suprerne dans ce pays; d'autrc part, ils ont dernnnclb la rcstitutioii
d'or qu'ils disent avoir étépris contre tout droit par l'hllcm:~gric

aux pays occup&s, pendant la gucrre, et transfbri: par clle cri Suissc.
Le Gouvernement suisse n dkclare nc pouvoir rccor~naitrc clc
fondement juridique A ccs prétcnticins, mais Ctrc di:sircus de
contribuer pour sa part à la pacification ct ;iIn rcconstructicii~ rlc
l'Europe, y compris lc ravitaillernent dcs co~itrtcs dbvastFes.
Dans ces circonstances, nous sornines prirveniis k 1'Accorrl ci-
après :
1

I.L'OfSlce suisse de compensation pouss~iivra et cuinplktesa les
recherches concernant les biens de toute nature en Suissc, appar-
tenant A ou contrûfés par des Allenlnnds en Allcinngne et Ics
Iiquidcra. Cette disposition scra également applicabIe CI~II 1ScC;IS
de personnes de nationalite nll(:iunlîde (lui seront rnp;itril.cs. 2. Les Allci~~andsattcirits par cette mesure seront indernnisks
cri moiinaie nllcinande, ii un cours lix~ nl-illilicablcdans tous les
cas, en contrepartic dc leurs bicns lirluidk en Suisse.

3. 1.3Suisse fournira, sur les fonclsi sa dislioçitioii cii AlIe~~ingi~e,
la iiioitiides soninics cii IIIT~IIIIZ~nlleil-ixiidenkccçsaires h cct cffct.
4. 1,'Oi'hcesuissc dc compctlsntion esi.cutcra les t9clics qui lui
sont confiCescn Etroit coiîlact avec une Commission niistc au sein

de lat-luelle clinciiri clcr;trcris Griuvcrrici~icnts alliés aura uii rcprf-
sciitniit ct dur~t fcrrt jinrtic Eg;~lciliciituii rcprésent;li~tciu Golivcr-
i~ciiicnt siiissc. EIlc porirrn, toiit ço111111Ie cs personnes p-iri.r.6~~
int&rcssCcç,rccourir coiitrc lcs d6cisiui-i~dc l'Officedc conipens;itio~i.
5. Lc (;oiivcriieii~crzt suissc prci~rlrriL ça chnrgc les frais d'ad-
iiiiliislrtirinct de licluiclntioii rlcs bicris ;illcii~nrids.

r. Si~r1c lir0~1~1i(tle 1;1lirj~~iclatimC~CS Ijiciis situCs en Suisse ct
;il~~;irtcii:i~At dcs ~\11~'111:1 i11st\lI~ill;lg~~~t,lnpart (le jo % scsn
bonilikc A la Silisse ct iiilc prtrt 6g;ilc sera ilii5cla disposition dcs
,:lllii.s ctvue dc 1;i rcco~istruction dcs priys alliEs dCvnstes ou

npp;iuvris 11;"la guerre et lcra~itaillcnient cicspopulations rtffai-ilécs.
2. Lc C;ouvcrnen~cnt st~issc s'ciigage i mettre ;ila dispositioii
rlcs ti-oisGuuvcriicincnts ;illiks liiinoiitrint dc250 millions de francs
suisses, payrible 5 vuc cil or New 170rl;. Lcs Gouvcrnen~ents
;~lliCs,de lcur cGtC, ïlCc1;irent qu'en ncccptnnt ce moi1t;int 11s
rcrtoilccrit, pour cus-iizCmcs et pour lcurs Banclues d'émission, i

tuutcs rc\-ciidicatioris contre le Gouvcrncincnt suisse ou laBnriq~ic
nntiriii;~lesuissc rclntive';i l'or acquis par la Suisse dc 1'Alleiiingne
pciid;i~~t12 guerrc. Toiitc cluestioi~ rclativc à cet or se trotivc
ainsi rCglbc.
111

],cc; iiioJ;ilit&s d';tl>plicatini~ clcs disl>ositic~r~s(lui précCtlcaiit
ligllr<~Iitiil'f\~~ll~;x~:,
TV

1. !.e G~~uvctiiciiicritrlcsCti~ts-unis d6lriloquera.Ics avoirs siiisses
;liis 13tiits-Uilis.La procklurc iiéccssaire sera fiske sans dhlai.
2. Les A1lii.sçuppriilicront sans d&l;iilcs (listcs ~ioires iipour

aiitan t clu'ellcs coriccrricrit 1;Suisse.

Lc rc]irCscrit;iiil soiissigiidi1 Gntivcrncriîent suisse déclarc ilsir
I
t Cg;ilcliir,iti au ii~inclc 1;iPritlcipniitE dc Licclitcrzstcin. Remarques: La Icttre envoyée par les dE1Cgatiomri1lit.c~ :t In rlC1C-
gation suisse cst d'une tcncur identique, sauf crz ce qui cuilccriic Ic
paragraphe V qui, dans la lettrd ecs Allies, est rLrljgS dc la f:iyoii
suivante:

Les reprtsei~tants soussigiiés dcs Guuvcrncmcnis tlcs ]it;~ts-~iiis
cl'Amériquc,de la F~nrlce et clu Royaumc-Uni rlc C;r;~iitlc-l~t.r:i:ct~ic
prkcedcne dils agisscnt Cgalcrnent poure (1le1cotniitcIclcs C;iiiivcri~ciiitii
des pays stiiviiritç: Athxllie, Austrnlic, I3clgirliie,C:iir;irl;i,D;iiir:~ii;iili,
l
CBas, TchCcoslovaqitic, U~~iorini-idcrgl'hfricltic di1 Stid,Yougcis1,~vii~;cf,- I
autant qiic dc bcsriiti,~ioiirlc cornptl: clcIcilrç Fi:iiilli~l'cri~issiiiii
I

VI 1;
1

S'il deni t s'éleverdes divcrgenccs cl'opiiiion au si~jct clcl'ali1)li-
cation ou dc l'iiiterprétntion du prCscnt ;iccorcl ct sices clivct~ciices
rie pouvaient Ctreri.soliics autrerneiit, 11scrnit fait npl>r:lii ll:lrbitr:i~i:.

Le préseiztAccord et son Arinexe ci~trcrtir~tcil vigiicur-clCsclu'ils
auront été approuvés par lc l'arleinent suissc.
Lc présent Accord et son Anncxe sont Etablis en tcstc niiçLiis

et français, les dcux testes faiçaiitég;ilcment foi.
Vcuillcz agréer, Messieurs, l'xssur:ii~ccdc in;lhnutc conçic1Cr;ilic~ii.

Aux Chefs des D6l&gatiorisnlli&es,
WASHINGTON I-3.C, (SignL) S.SUC 1<

A. - Les bienç situts en Suisse et apyiartcriailt à dcs AllciiirinJç eii
Allemagne, définis sous IV ci-dcçsozis et dbsignes ci-:ipr$s Ibiens 1
allemands )>,seront licluidks comme il suit:
n. Les débiteurs en Suisse d'hllcmands crz al lem;^ ^ic cjcrciti
tenus de verser lcmontant dt: leur dette ;iun comptc oi~vrrt
auprès de la Banque nationale suissc, au noin de l'Olliçc rlc

compensation. Ce vcrsemer~t aura cffct 1ibCtatoitc. I
b. Toutcs les personnes, physiques ct morales, en Suisbc, qui,
de quelque manière que ce soit, adn~inistrciit un bicri nllcinaiid
seront tenues de le remettre, avec cffct 1ibCrntoireh I'tlgtrd dc
l'ayant-droit, à l'Office de comliensatioi~. Cet Ollicc 1iqiiiclcr;i
ces biens ct en versera le produit au çoinptc mctitionnil: srius ci. 1
1 c. Toutes lcs particiliatioils ri.dcs ciitrel.iriseset autres organismes
suisscs, nlil>artcn;i~it >L dcs A1lcm:uids eri Allemagne, seront
~~risccsrzcharge ct 1iquidi.e~parI'Ofliccde con~pensation. Lc pro-
duit de cettc licluidntioii scrit vers6 au compte nientionné sous n.
ri.II scra 1irocE~Iit:l'uiic ~ilrtilihrenn;ilcigue en ce qui coticcriic
tc>us 3i1trcs hicils ;iil~tl~ilii~I~.

c. Ln Cornmissioii niistc esnrniilcr:~ avec bic~ivcillnncc tous Ics
cas, (lui lui sci-c~rltsotiiiiis par I'Officc clc crimpensatiriti, dc
Iiici-içd'origirlest~isbcsc lruiivniit ciiSuissect qui npp:irtic~iilcnt
i des fciiitilcsdc ri;tissriiiccsuissc inasiées3. des Al1eni:zndç ct
rcsidnn t cn Alleriiagi~c.
B. - L'Officc de cornpciisatioii ç'cfforccra, avec l'assistai~cedc

I;i Luiiinrissiriiin-iistc, de décclcret cl'nssurer l'annulation dc toutes
rzliintruvrcs, tcllcs cliic prises rlc gage, privilkgeç, IiypothCclucs ou
:ititics tlc rlntiirc cotivrir ir;iutEiilcusciiieritdcs bicns nllcinands.
C. - 1,'Office rlr:cciiiipctisiition fci-;i co11ii:iitrc5 ln Con~ri~isl;iori
niislc, pour Ir;i~isiiiissiriii;tiisïiiitni-itCscciri~liEtcriteseii Allcri~rigiic,
lt: 11101it:iiiic ILIli~luicl;~i11 cl<:Ijiciis ~ilie~~iil~~rliliscIi;i~liic
~xlrtici~licr.,avec iiir1ic;iticiii(lu iioticl dc l'üdrcssc du titulaire di1
(Iitiit. 1-cs;ii~toritéscunili&tcntcscilAllcn~ngncpreridront les rncsurcc;

iiCcess;iii-c.ticiut cnrcgistrc.~ lc titre des intl-ressks allcmancls niis
bicns 1icltrirlCs i rcccvuir 1;1contrepartic de ccun-ci, en mo1111:iic
;illciiiatidc, c;ilc~iIFe>Luri tnirs dc clinilgc uniforme. Un ~iioiitriiit
Cgnl ri 1;irzioitic clu total des inclcinnitks revenant aux intCrcssts
:~llciii;iridscra clbhitécru cri:rlit csistailt au coil-iptedu Goiivcrsic-
liiciit suissc ;L1;i IIVcrrt.chliurigskriçsc 1)ü. Bcrlin. Rieri clans cet
:irr;iiigcmcnt i~cpousrri ktre invoclu6, Al'avenir, par l'une ou I'autrc
luri ic ;ILI11rbsci i Accurd coriirilc iiii~ir&c~clei~ ptour Ie r&glcriictit
clvs cri.:iiiccsuisses sut- I':\llemiig~ie,ct iliicpourra ctrc alli.guCcliic
Ics (;uiiver~leriicritsnlliks urit rcçotliiii pas li aucun droit 5 la Sui2sc
i tlis[xjs(lrdu crcdit ci-clcsçusit~critionrié.

il.- L'Oliiccdc cotiilici~s;ilioiiscrn cli;irgCdc rcclicrclicr, prcnclrc
l)o.;scssitiiict lirliiidcr lcs bicils ;~llen~ands.

13.- I,c I;oii\-err~ciiient suissc ;isl;iirerri.l'application du prlf.scit
>lcccin 1cii coll;il~or:itio;ivcc les Gouvcrnci~ients dcs fitrits-unis, dc
13 l;r:kliccct tlu 1ioy;ttiiiic-Uni.:\ ccs fins,il scra constiiut uric Coili-
iiiiçsiori ~nistc, si<,gc:iiit5 L3crtle uii i Zurich, et corîil-iosi.~cl'iin
rclwbsi:~it;iiii dc clinciin clcs clwitrc Gouvcrncnieiits. Cette Cotli-
tnissiciii, rloiit lcs iulictioiis soi-it inclirluéeci-1~prC6 st3tucr3 A IA
rii:ijriritCclcs\*ois.

C. - 1,'Officcdc crii~il-ie~isntioc iitI:iCurnrnissioi~nîiste entreront
cil foiiciiiiiis iiiihsitîit cliic ~iiissiklc ;iprCs l'ctrbc cn vigiiciir de
l'Accortl. 13.- L'Office de comperisatioii cxerccra ses fonctions en col1;1-
boration avec la Commission mixte. Il tiendra celle-ci nu coiir:int

de son activite périodiquement; il repondrn aux qucstiotis clui Irii
seront posées par la Lomrnission, rclativcs au bu1 COIIIIIILII3 I,
savoir la recherche, le rccenscinent ct la liquiclatioi~ dcs hielis
allemands. L'Office ne prendra aucuric decision iiliport:intc siiiis
consulter pr&alablcnient 1sCommission rnistc. L'Ofticc dc conipcn-
sation et la Comniis';ion niix-te mcttroilt ;1lcur ~liçpositiu~irbci-
proquc toutes informations et tous docu~ilcnts prolires i i;~cililcr
l'accomylisserncnt dc leurs taches.
E. - L'Office dc corzîpcnsation continuera, cominc par lc 1p;ih&,

i procSdcr i toutes enqi~etcs utilcç cn ce qui coriccrnc ln situ;itiui~
et le statut de biclis que I'Ofsce niir;i rlcs ~iiçons clccorisitlCrci-
comn-iebieriç nllem;iiicls, ou qliilui scro~lt si~na1i.scoiiitiitcts liiii.'
la Coiilmissioii iilixtc, 011 clni-it 1;111rtipriCtksuisscrlc Iiiiiiiifoi
serait suspectbc ou contcstCc. Lcs coi~clusioiisausrliicllcs li;~rvit:iitli-:i
l'Officeseront diçciit&es üVCG la Commiççioi~rnistc.
F. - L'Officc de compensation, ayrk consultatiuli dc ln I:oiii-
niisçion mixte, fixcrs 1cs inoclalitCs ct conditions clc vci-itcs rles
bicns allcrnands, d'une tnaniEi-cgtnhralc ou dans dcs cas ?):il-ticu-
liers, cn tcnant raisoilnablcmcnt çornlitc ri la fois dcs iiitkrcts
nationaux des Gouvcrnerncnts signataircs ct dc cc~isclc I'i'con»inic

suisse, ainsi que de J'opportunitk d'obteiiir Ic riicilleur pris ct clc
favoriser la liberte du comr~îcrce.Sculcs 1cs13crsoilncsrlc ii~iticitialit(l
rion-alle~nandc prkscntant Ics garailtics voiilucç scr-uiit ;iditliscs i
participer à l'acquisitioli des bicilscn qucstion, ct tniltcs 1iicc;urt.s
utiles seroiit prises pour évitcr lc r;icllat ii1ti:ricdc ccs biciis liiir
des ressortissants alictiiarids.

Si la Commission rnixte, aprEç consultation avcc I'Officc de
cornpcnsation, ne peut se dkclarer d'xccorcl avec ln décisiotidc cct
Office, ou si la partie en cause le dbsire, l'affairepeut cti-c, rlnns
Ic délaid'un mois, soumise iiunc Autoritt suissc de recours Cette
Autorité sera coinposéede trois inembreç et prEsid6c par iirijiigc.
Elle statuera dans la forme administrativc, daris lcs tlklais lcs 111~1s
brefs et suivant la procedure la plus siinplc. Lü dCcisiri11de lbOllici:
de compensation nu, selon lc cas, cle I'Aiitoriti: suissc dc rccours,
sera définitive.
Toutefois, si la Commission mixte est cn clEsaccord :tvcc iine
décision de l'Autorité suisse dc recours, lcs trois Gouvci-ncriicnts
allies pourront, dans le délai d'un mois, soumettre le diffbrelirl, s'il
porte sur des points visCs à l'Accord ou son Arlncsc ou s'il est

rclatif à leur interpritatian, h un Tribunal arbitral coinliosil:cEJiirz
membre désignépar les trois Gouvernements allies, d'iitz iiicntbrc
clésigni:par le Gouvernement suissc et d'un tiers arbitrc 116sigiiii
d'accord entrc les quatre Gouvemcmcnts. POUFles affriircs qui iic :INSI:SI~S A I.:! iieyuL.r~: (Y" 2) 211
sont pas dc 1xc1niCrciliil)~rtancc, la Lumimission mistc ct l'Oltiçc

de coiîîpençation pourror~t se incttrc d"accosd pour soumcttre
l'affail-c au tiers arbitre statuntit scul cntant qiic Triburial ar11itr:iI.
Tous nîiiycris clepreiiïc pourront Ctrcprud~litsdcvaiit lc Triliunal
arbitral qui statuera sou\-craincnicnt sur to~is les points de fait ct
dc droit qui lui scront soii~nis.
T,cs dtcisiotic; rlu ?'ril-iirnalarbitral seroilt rlCtinitives.
T,cs irais tlu 'Tribiiri;ilar-l~itralscrorit ~irélcvks sur lc produit dc lri

liili~irlaLioiidcs bicns allcmancls, avai-it tout partagc.

IV

A. - Ide tcrinc irhicn )),tcl ilu'il cst employC dans l'Accord ct
sot1 nitiric.sc coiîîp~cnrlr:~toiis bictzs, droits ct int6rtts dc ~luclrllic
n:itur~ rliic CC sort, ;iciltii>:iv;~~it1c 1" j:irivicr 1948. Les scirtiri-rcs
cl"" rlcs !~:rs~~tln~'st~ Cii;ili3ont (lil011 doi~ciît p:iycr piir l'iiitciA-
l tiiEtli;iir(Iiidr:.iriI I gci-1ii:iiio-siiisçciic scront IWS ~011sidéri:1p :ou I.
l l':ii1ilic;ttiriiidc I'i\cccii-tlçiiInilichicns allemands.

13, - 1,'csprt:"icori a:\llem;lr~cls cti Alleriiagric ii vist: tuiltu,
~)CI-~H~IC~I'I~S~~ ct Iiur~rilcsrksiclant oiiconstituées cn Alle~i-ingnc.
rJu n!-n11tlc siCgc dc 1t:ut-saffnircs cn Allcinagnc, autres quc Icc;
or~;i~iisiiil~stlc lriiitcbii;itliiAcnplinrtennnt ;i ou contrûltis par tlc.5:
pcrsonrics qui iic soi-it Ilas dc riatioi~rilitCallcrilandc. Dcs trichiires
;~PIXO\IIibesscront prtscs polir licliiidcrlcs intfr2tç qiic dcs Xl1ciii;irids

cil :\llciii:igilc 1)iiçsCdcnt cil Siiisse par I'iritermkdiaire clc tibis
iii~g:iriisrricstiitisirliic piir snilr,cgarder- lcs intcrets substaiiticls
clc l,cir~istiIicdc t1:iticin:ilitciicni-a1Iemanilc scraient, S;IIISc1>1:i,
Ii~li~itIC~.
1,cs ;\lli.ii~;iricqiii riiii-ciiitCtCrnlu~ti-iCs;i\+ïiritlc xtmj;riri~.icr94S,
(iciitisiijct clcscliiclssci-;iiiit~s\~~i11ic ;l,v;ii~tccttc il~itc,~inc~1Ccihio11
clc rali;~tsiciiicnt Fma~zrtiitclcç riiitcititi.~suisses ço~itassiniilCa :iiis
I trt\llc~n:inrlç cn Allcnlagilc *.

V
1
I 1-r:(;uii\-crneiilctlt suisse siengag:, cu Cgard aux cirçorist;iiicc.s:
I çp6çinlcs clii cas, à auloriscr lcs truls Griiivcrnements alliésii tircr
irriiiî;:rli~itcrir iiiI,u'h cciilcurrclicc cie jo rnilioiis de friitics
siiissch, rlcs :~\.;~IIc~s siir IC I~I-OCIZ ~I~cI~a liq~iitlation clcs Iiiciic;
:iIlïiii:intls. ;i\.;inecs cliii si:rorit iiiiputahles siir lciit Fiart ~lc cl:
1 p~otliiit. I'c.5rtz,:iriccsscront iiffcctkcs A la r(rbhnbilitatiriri II :iii
i rCtnlilis~i~iiiciitclcsvictimcs noii nili;itririblcs de l';ictio~ialleinii~idc,

I 1~1rI'intcrrn~di;lirc.lir~liiCciiizitCintcrgouverricriicntnl dcs rCfzigic.5.
1
\I1

A. - ESii nkti:riil;ziitIn concliision cl',iccords tr~iiltip;irtitcb aus-
cliicls 1l.s trois I;oii\-erncincnts alliCs ont l'intention ci'in~.itcr le
C;oii~.r.r.iiciiii.ituisse ;'i:idhCrCr, ct ci1 attcnd;ii.it la 11articip;itirirl
i
<i de ce Gouvernement auxdits arrangements, aucun brevet de
propriktéallemande en Suisse ne sera vendu sans l'accord de la
Commission mixte et de I'Officcdc cornpcnsation ct il n'en scra
pas disposé autrement sans cet accord.
B. - 11en sera de mêmede ventes ou transferts de marques
de fabriques ou dc droits d'auteur allemands.

Les clispositions qui prbcèdenricsont pas applicablesails bicriç
de l'État allemand ~IISuisse, y compris 1csZiiciitlcln Kcic1lsb:ink
et de la Rcichsbahn.
Washington, D. C., le 25 mai 1~146.

Annexe 3

L'AUTORIT SEUISSE DE RECOURS
fondée sur l'Accord de Wasllingtoil

a décidé
dans sa seance du 5 janvier 1948
dans lacause

Société Internationale pour Entreprises Chimiques S. A. (1.G.
Chernie), Pcter Rlerianstrasse19, A Baie, représcntee p;ir17;ivocnt
Dr E. Wehrli-Bleuler a Zurich,

ladécision du 30 octobre/rj novembre 1945 de l'Office suisse de
compensatioii à Zurich,
concernant le blocage des biens:
I. - Le recours est admis et la soumisçion clc la rccourar~tc
au blocage des biens allemands cn Suisse cst Icvee, ;iveccffct
rbtroactif au 30 octobre 1945.

2. - La présente décision sera coiiimuiiicluéà lit recournrîtc,
au Départenlent politique fédkral, ri ln Coniinissioii mistc et i
l'Officesuisse de compensation.

Uertie, le5 ja~ivier1948.
Au noni de l'Autorité dc recours

Le Secretaire:
LJB. L'expCrlition conip1i:tde ln dkcision de recours suivrü. Tlie kliniitcr of Sivitzcrlarid ~ircscilts Iiis complimeiits tri tlic
Hoiiorable tlic Secrctarg of Statc ;ind 1i;is thc lioilor to cal1 1ii.i

;ittci-ition to tlie follo~vingi-i~attcr.
r. Tlic nsçets of SociEtE iiitcrn;itioiialc polir Participations
Industricllcs ct Coniiiicrcirileç S. LI., al50 known ris 111tcrtinticin;ilc
1ndiistric- B H ;iiirlclslictciligu~~g~~A~.G.; forincrly kriciiïn ;is
Socicti. 111tcr11ation:ilcpour Entrcl-iriscs Cliimiqucs S. A. (I.C;.

Chcinic), ;ilço fornicrly kiio\vi~as In ternritionale Gcscl1scEi:~ft fzir
Cl~c~iiisclicUiitcrnclitiiiingcii :l .G. (xnrl Iicrcinnftci- c;ilIecE1iitcr-
linndcl), i-r:stcil iil tlic Ol'iice ui :Ilici.i Prupcrty, apprirci~tly ~icsc
scizccltinc1r.rthc ;issuriilitioi~tli,it thc conipnny, founded on thc initia-
tive nl ;i (;~~~i~iiicoriil~ii~~iri1925 ,eflcctcd ilitcrcsts iii the splicrc
»f scctioii j {b) of tjic T~ïiclirig1r.itltlie Eilcniy Act, as aniciidctl.

2. Altliriugli iieitlicr tlre Slviss autlioritics ilor tlic Anzcriçiiii
C;o\,t.rilnicnt h;is l~roiliicrd cvidence ~ipninst 1ntcrhnndel, thc Stviçs
blocking ~irtivisioriswcrc ;ippliccl ~irovisionally.
7. 1ittcrh;indel's appcal agninst this blocking \ras subrnittccl to
tlic çompctcnt Autli~irity of Rcvic\\+,providcd for by the IVashingtori
Xcçoril of April 23, 1946. Upon co~nplctio~lof estrcmcly thorougli

iii~~stigritionç m;idc by tlic S~ïiss Conipcnsatioil Oflicc, ;incl aftcr
tlic siibri~ission of the rcsult thercof hy thc Swiss Coinpcris;ition
Ul'licc to tlic Joiilt Comiiiission, aild after thcir joint CO-opcratiun
iii rcliitioii thercto, thc Autliority of Revicw, on .J;inuary 5, rgsS,
rctrnnctively Iifted the blocking of Interhatidel. The allegntiori of
;iricizciiiy control Iit~1lirrwçd tri licwitliout foiindatiorz.

4. :\ccor~liiig to -4ilncx III, ~irir:igrapli 2, of tlic \irashington
:Icçor~I, the tlircc Xllicd Govertinicnts iiiay, within or~c montli,
~i.rluirc ttic cliffcrcncc to be sub~nittcd to arbitration, if the Joirit
Coiii~iii,,iori isiiic1is:igrccmciitwitfi any clccision of the Authority
(if Kcviciv. Silice tlic tlircc Allicd Govcrnn~cnts lailcd to tnkc this
ntcp, tiic rlccisioli of the Authority of IZcvic\\rdcclarirlg Iiltcrlirtndel
a Swiss crinccrn 11;~h scconic firial nncl bindirig upon al1p;irtics to
t1111:\ccrinl.

3. ljiiclcr Ar-ticlc IV ciftlic \V;~hliiiigtoii:\ccrirtl, tlrc Governrnciit
iiE tlic Uriitctl Stntcs ngrccd tri tlic rcle~iscof Çwiss ;isscts 111thc
l.;liltctStiltV5.
'l'lic h1iiiistc:r wc~iltl thcrefrii-c :i~>l,rcci,itcit if thc I~cpartriiciit
LII 5l;~tc \~iiiilrcriiitact tlic coizilictcrit I;nveni~nent agencics with
CL vit\\- tu Iliiviiig the vcstcd prciiiierty returnecl to IntcrhiiildtI.
'llir: ;li~rîcscd rlociiineiits ;irc tr;ii~ç~iiittcd solely to describe tlic

\.cstcrl ~~rulicrtyiiild tcrrcilcct li~tcrli~iiidcl'stitlc tlicrcto.26 AKXEXIIS x 1~ KEQULT (xO 4)

Encloszrres

Form APC-IA - Notice of Claiiti for Propcrty - concernirig
455,448 $hiires of the A stock ;id 2,oj0,000
sllareç of the I3stock of Gencrnl AI-iiliiicand
Iii1il-iCnrp.

II ,, ,, Scl~edule gH - Ch;irnctcrization of Corporxte
Claiil-iat
Supplementç (ivith anncxes) Nos. r, 2, 3, 4, 5, 5A. Ci,6.4, 7, 7A.
7B, 7C, 7D, Y, YA, 313,9, gA, $3, gC, rcr, =or\,
roI3, MC, 1011, 11, XIA, IIU, IIC, rrll, 12,
x2A.

Form APC-rA - Cunccr~~ing176sharcs (iftlic:lstoclï of Gcticritl
,4niIiilecP F.ilm Corp.
,, ,, ,, ScEicdiile913

Suppleii-icnts (with ailneses) Nos. I, LA, rU
Form APC-IA - coi~ccriliiig c;isli iii tlingrcg:itc ;iiiioiiiiof
5975,244.70.

,, ,, ,, Sclicdule gi3
Form APC-T A - coizçeri~iiigcnçh reprcscnting dividcrzds p;iid blr
Gcner;il Ariilirie cY- 1;ilm Cory. osi Scpt. zS,
1940, DCC .z, 1940, Ott. IO, 1941 ii~0116j0,~ioii
shares of the I3stock of Gcncrnl Aiiiliiic. ii:
Film Cnrp. registereci in the ilailie of I,. Il.
Pickerii~g & Co. üild bclotigiiigtu tliccl;iiiii,t1it.

,, ,, ,, Schcdule 93
Form APC-IA - concci-nii~gc;isli rcpresciiting cliviclcii~xiitIi!.
Gencnil Aniliile k Fil11Çcjrp. duriiig ttEi\-c:ir.:
1940 aiid 19.41 ulion Cioo,cioo shrirch rlitlie
B stock of Gencral Anili~ic rcgisterccl in tliib
nalnc of Cher110Matitsehappij vvor Chciiii.;clic

Ondernemingcn, ;iild upori 300,000 sfi;ii-csrcgis-
tercrl in th^ IL~III~(if N.V. R!:i;itsclr;ipliviriir
Industrie cn Hn~iclclsbclnii~crial1 hclongiiig [ci
clriirnnnt.
PI ,, ,, Scliedulc gH

Forni APC-rA - conceri~iilg cash representiilg dividend paid by
Gcneral Aniline on Dec. 15, 194r upon Ujo,oo~
shares of the B stock of Gei~eralAniliric rcgis-
tered iii the natîle of L. 1.).Pickcriiig & hi.
and bclonging to the c1;iimnnt.

II ,, ,, Scliedulc gB
Form APC-rA- conccrning cash represeiitiiig diviclcnds pair1by
Generiil Aiiiliii~II Oct. 10, 1941 ;ii-i1)cc. zj,
1941 u11oi-500,000 shnrcs of U stock of Gr:iz~r:il :\iiiliiic rcgistcred iii tlie iianie of Baiirluc

1;Cdérale S.i\. ancl Iicloiigi~igto the clriilriant.
,, ,, ,, Sclieclule 913

.dli1JlC.iC .:
copy
Tlic 5cei-ctnr !. of 5t;iti: 1)rcsciits liis cciiiilili~iiciitstu t11c Cliar-g6

cl'.\l'f;iirus;irl ititci-iiii of 5\~iizr~rl:iiitl,:ilid I-cfcrsto thc IIinistcr's
~icitt:of 3Iriy 4, 1q4K. nrit11CI~C~US~IIç-c tbiisi,~crniilg the rct~irn of
iisscts iri thc L:iiitcclSt,itils cl:iii~icdII!; 1.Ç;. Clicrnic. III thc hlinister's
iiiitc :~ttciztioii iç ciillcrl tci ;i dr~cisioliof thc 511-issAuthorit!; tif
lii~\.ic\i."cli>cl;ir.iiig1titcrlin1icl~~Il .C;. Clicriîic a S\r.iss concerri".

'flii,1)illiai t111c~' if 5t;itc 11;isiiow cciiis~iltcdwitli thc 1)cpart~nciit
ci[ j iisticc ;iiirl tI i 'l'ri,;isiir?.I1i.li:ii-t ciit. :iritl dcsircs tu commiirîi-
ciit1, tIli# iollo\vi~~g tl~c;iiti;~l :ilitlco~~si(lt~~ vic~vof tl~isGtn-t:rr~-
tiir.iitriii t11thtiiiitrr-.

.\s ri.lii.c~c:rit:itivrs of tlic S\\isc; C;o\vc.riiiiic~it:l,i;~vc licrctofors
Iii.r.11irliii-~ricclI,liis (;ii\.criiinciit cviibiiti:rstlic ciccision of tllr:Sivist;
.\iitlirir.it!. (ii Hcvii:\v ;is Ii:i\.irig iio cffcct oii tlic qucstioii of tlic
;i-hi,ts iii tlic L'iiitctl 5t:~lrs \.c>stiltlliy tliis (;civcri~nicrit;ind clnirncrl
131- 1.(;. Cliciziii~.

'1'11c~ lccisiriii iiftlii: 5\\ iss .\iitlicii-ityof Iic\.ièw was ri-i;idi: oii ail
.~111~l;ilclf I.Ci.(:hr~~~iif:rorii ;i prrivisirin;il blocking orclcrcclby thc
5ii.i~~ ('oiii~~~~i~:it~O olliicib~~i~-su;i~tirti tlic 5it.i~~1;cdcrril Coiiiicil
I.kci-tbr O.[ I'cljriini-y IO, 1945,aiid tiot iii~an ;ilipcal cakcri u~ider the
tihiiiia O[ tlil:\\;nshirigtciir .-\ccotcl of RIay 25, II)@. Thc clucstioti of

\ili~-tli~~ tlcb ;isschtLIII C;\r.itzcsl:iiirlhcld 1i~-1.C;. Clicinic arc <;criilan
:iw?ih ~\,liicl~ctiiiiibi\,itl~lntlic ~~i-o~~isioo~ fi~lic~~\~:~sIii~~g !tci~orcl
1.: htlll Iicforc tlic .Joiiit Criiiiiii~ssioii.I'lri~iilyilic dccisiori of tlic
51vis.;:\iillic~rit~+ of i<c\-ii:ti, \\.litaiiiiarlc ;t rcsult of riil apl~c;~l
iin(It,r 5ii.i~~{lrcr~~:i-;itIit~r II~;LI~as ;L rchtilt of ;il1 appcal l~y tlic

,Irliiil (:o~iiiiii>sio~i cil- 1)) :in i11tc.sisictl p;irly iiiirlct thc Accoi-tl,
15 III~~ II~II(~II II>OII t11t. L-i~i~t~i Si;~ti*s~ tb\.tbii tc-)th(: $t:itkis of
I.!;. I:lii.iiiii. ;i.sst3III5\z itzci1:irirl.
III ;III?,t:\rciit tli~ \V;i~lii~igtiiii:\ccui-d gcnx!riiswiily pi-qwrt !. in
>\iitxcrlnri(l O\\-~icd or- cciiiti-ollctl Ii?; (jcr~ririi~sii-i Gerrnnn!;, tlic

~)ioc'iv.~r 1l1 \i.liiclini-c iri I)c rispclas spccifir:d in tlic hcccirci. Asscts
sii1)jïct tci \:csti~ig iii thc l-nitcd States, wlictlicr i3riiot thcy ha^^
hïi.ii \.i.>tchcl, nt.iTcloa~ly ivillioiit tI2~: SCO~IC 01 thc ;\cÇQ~c~. TIIL'
cii-cisic)iio~i 1 .(;. I:lic.iiiic,'sc1;iiriitri risscts iii tlic Unitcc1 Stntcs is

3~alid!- OIW loi.t11c-1t ~LII-IIVJ-(;t*iit~;~ lilit\vi-Sccti~)~3 ~2 of tlic T~icli~~g
\\.il11 t lit, 1:rit:rily :\ct, ah atîicnclcd (I'iil-ilic T,n\t+ No. 322, 7(]tll
('cirigi-c,.; i~iii I;c.;sicii-i. jc1i.5. C'. .\p~ S CC. 32): or for tlic 611itctl
>[;if ('5 t'cl11rt.if silit ~Iio111~1 I>cii~stitiitc>diiticlcr-hectioti I) (ri) ni thc:

'1.1L~clili:i\.iIlitilt*I<I~LYI :IYt. This text gives 1nterhandcl the riglit to apyiealundcr tlic provisiaiiç
of the Accord. This corporation was even obliged to do so hccaiise
thc decision of the Compensation Oficc was miide iri obscrv;inrc
of the articles of the Accord, as evidcnccd by the intcrvcritiun of
the Joint Coinrnissioii in collaboration with the Oflicc.
Furtherrnore, iiz declining the invitatioil of the Autliori ty rif
Rcview to participatc iri tlie ~îroccdurc:of nppenl, t'lx .joint Cor-ri-
n.iissiondid not state that the examination of tlic Intcrlian(lcI c:isc
by the Authority of Revicw wns iiot triking placc nccorcfitlg to
tlie procedurc fixed iii thc Accord. 'I'Iionly renson giycii 1%;isth:~t
thc Comi~~icjsion had not cornplctcd jts ii1vcstig;itions. Siiçh Iiciiig

the case, if the Joint Commissioil had t\:islicd to ccl~itiiluc its
investigations, tIie threc Allicci Covcrnl-~icn ts çoulrl 11;ivcrccliiirtatl
thc diffcrciicc to bc subriîittcd iciarbitr;itioii. 1riut doiiig 50,tlichc
Governn~ciîts h:ivc rccogtiizcrl implicitly tlic; ticcisioii rc..iclictl by
the Autliority of l<evicw.
Tlius thc decision, wlicreby it is cstnhlislied llint 111 ici-liaritlcl
is :iSwiss-controlled corporation, is binrliiig fcir tiicsign:itorics of
thc Accord. It is thereiorc expcctccl t1i;it thc Anieric;iii i;u\'cr~ii~ic~it
would act accordingly.
z. Vested yropcsty is not cxç2uded from tlie WiiJiiiigtu11:\cçorrl,

and the provisions of the Accord do not allow such an cscIrisiun
to be construed.
The Swiss Governrnent, thercfore, fails to sec how thc opinioi~
that such propcrty may escapc tlie clispositioi-iof tlic Accord C;III
be defcnded. Morcover, according to tlic note of tlic I)cli;irtii~cnt
of State of J uly 26, 1948, even property iiot yei vestccl birt suhjcct
to veçtirzgshould be cscl~idcclfrorn tlic Accorrl.
If such opiiiioii wcrc :iclr~litlccl,ilic clistiiiçtio~i Iictivvcstc,rl
and non-vcstcrl property would be without rnenriirig, as tlic Riiicri-
çan authoritics could at any tirne transforrn non-vcstctl prol-lcrty
inro vested property and thereby rcrider the provision', of tlic
Accord inapplicable to it.
Yroperty subject to vesting ordcr is propcrty in whicli an cneriiy
interest is asserted. Such assertion, howcver, ,does not cscludc tlic
possibility that this property is non-etiemy. AçtuaHy , vcstii~gducs

not findly determine whctlzer or not tlie propcrty is eiicnly, 'rtiiç
inuçt be decided only alter examination of tlie factç. The rcxl issiic
is not whcthet tlic property i11thc Urlitccl St;ites is vestetl I~ut
whether the propcrty is Swiss. Sincc thc Accord fiscs ;iprrjcctlurc
to dctcrmine whctlicr or not ELproperty is Gerni:in, the dcciqicin
reached nftcr tliiç procedurc il; cornplcted is apl-iliçablt: as wcll to
vcsted property as to nny othcr prûperty.
Ilence the decision made by the Authority of Xevicw, accordiiig
to the procedure set farth in the Accord-dccision whercby it wns
established thnt Interhandel is n Swiss corporation-carricç ivith
it the obligation to liberate thc assets of Interhaiidcl wIiich wcrc
veçted. 3. Ili tlic records of tlic liegotintions wliich resultcd in thc
\\fasliingtriri -4ccorcl«I May 25, 1956, 110 trace \ifas found of verbal
dcç1;irntions ri~ndc by ilie Ui~itcclStates represeritativcs, on tlie
strcngtli nf wliicl~ ;iJccisioi-iin ilie Irztcrhai-idel case could 11al.c 110

effcct ori the \-estirig of the stock of the General .41iilincriilcilcilnr
Lor1~or;'tioli.
At niiy r;ilc, :iny sriclidcc1:irntioiis woultl Iinvc no Iriinciirigctfcct
on tlic sigiiiitorics UT tlic Accorclby rciisoii of iiot bciilg inentioticcl
111 tllc :\ccord, ilor iil its Anncs, nor iri the lctters esctianged tllc
1 1 y. It is ;i\\r:lI-cst;ililislicclliriilciplcilIlin.that sucli clcc1;i-

iaticins arc iiic;ii~inglc~~ uiiIcss rcl-ircicl~icc ti a ~vrittcn clociiri~cntor
coiiiriiiinic;~icd to tlic i~~tcrcstcdgo\.crnineiit or to the autlicirity
zvliicli 1icgciti;itr:dthc trc:ity (WC for csnnil>lc the dccision ot tlit:
5ii])i-~111 Ccoiii-L of tlic C'tiitctl St~itcc;, rih ;\rizciii;i71s.(::tlifornin,
Jl;l)l 1g:$q).

-1. Tlic e)I~s~r\.;lti~)~ lc;tl~c ftlr~:goingpar;igr;t1>11 npply (!<lui~llj.
to tlic rlccl;ir,itioiis ci_iiit:iiiiiri tlic ;iitlc-iiiCriiuircof the 1Jcji;irt-
iiit:iit of5tntc of rlliril 21, r9-18, ;iccordir~g to which Geriniin iisscts
1ric;ltccloiitsiclc S~vitzerl;~iid;irc cscludcd frrilil tlie ciisposititiiis of
tlic :\cçorcl. TIicçc dcclnrnti~irisdo riot appclir iiithe rccorcls of thc
cj\vlc;$ilclcgntion.

'l'licSlvissauthoritics c;irii~otLidiriittlic opinion of thc Dcpartinctit
of Stritc \vitIl rcgnrd to Gci-ninnnssetç locatecl outside Ç\vitzcrlarici ;
Iiiit it iiiiist lurtlicrriiorc bc pointcd oirt that in nily cvcrit tliis
rrp~nioiicci~ilrl~iot itl~ply iil ilic prcwilt crisc. Interlianclel Iinving
I>ccii rr:ccignizcrI :is :i S\\.iss corliorntinil, tlirougll ihc l-iroccdiite
cst,ililislicd liy tlic ,\ccrirtl,jts ~issets 111tlic Iinitecl Stntcç ç,innot
pewsiljly IICc{)i~sitIt~cil t i~~nai~.

.j. i3y tlic \li;isliiii~to~i:\ccortl, tlic biiitccl St;itcs has uiidcrtalic~~
tu iii11;lock Su,iss niscts, ~Irticle l\i (1) of thc .Accord stipulntcs
iii vcry broiicl terins that thc Goveriimetit of ttic Cinitcd Stiitcs

"11il1uriblock Swiss ;isscts iii the Uriitcd States". Thcre is no rc;isoil
to givc to the wtircl "~inblocl;" n spcciiil ancl restrictive incaning
nor to coiisidcr it ;ippliciible only tn oiie category of Swiss ;isscts
in thc Lnitctl Stiites ;iiirl riut tu otirers.
"Uiîblock" mc:iiis libcratc. C~i~scquciltly, propcrty ~~Iliclilias
liccn 1)ruvc'l to bc Slviss utxler tlic proccdure set forth in tlic
.\cctirrl.:is istlic cilse for tlic propctty of Intcr~ianrlcl, triiist Iic

cffcctivcly libcr;iicid, ;iiicl no distir~çtioii betwcen " frozcn" ancl
"\rcstcd" asscts is justilied.
115 1,rougIit oiit under point z l~crciri, there is no juridiçnl or
niural grriiiiid nhic!i nlloirs tliat vestcd prol-ierty niay not bc
1iEicr;itcdivhilc non-vcs ted biit frcrzcn propcrty may bc un blockcd.
:\~;iiii,tlic only clucstion isn :hetlicr or not tlic propert!- is 51r.i~~.

r\ltlio~igli t lic ~-ir<icctli~r cfir ccrtitic:lticin ;i~rre~l i~y-iciiIi?; tlic
t~sçli:iiigc ol Icttcr.; cif X~i\.enibcr 22, 1946, iri conforinit>- 15itII
:Irticlc 1V (1) of the \\l;isliington Accord, tlocs apply only to ccrt;iiiiSwiss açsets in the United States, the obligation undertaken by
the Arnerican Governrneilt to unblock Swiss açsets should none the
less be fulfilled for al1 other Swiss asscts, be they veçted or not.
Nathing in fact alIows thc interpretation that by the exchangc of

letters of Noven~ber 22, 1946, Switzerland has acceptcd tllat
Article IV (1) of the Accord is ~io-applicable to veçtccl property or
to property çubject to veçting.
Inasmuch as it has been establishcd, under the proccdurc stip-
ulated iii the Washington Accord, that Interhandcl is ri.Swiss
corporation, it folloivs that the United States sllorilcl, nccording tri
the obligation assumcd under Section IV O€ the ilccord, libcratc
the assets of this corporation.
The foregoing considerations demonstratc that tlie ~iosition of
the United States in the Interhandel case cannot be considercrl bg
the Swiss Governn~ent as being in conformity with thc ~~rovisiciizs
of the Washington Accord. lt is the firm hope of ttic Gnvcrrîriicrit

of Switzerland that the American authoritieç wil zccoilsirler the
case in the liglit of the arguments presentcd in this note ni-id1iber:rte
the assets of Interlianclel. in tlie United Statcs. Slloulcl tliis cspcc-
tation iiot be fulfilled, thc Governrnent of Switzerla~id wciulclhave
no other rccourse but to r-equest that thc question be sul~niittcd tel
the arbitration procedute provided for iiz Article 1" of tlic Accord
of May25, 1946.

Washington, D.C.
September 7, xgqS.

A /ijewe 7
( 'Vp1,

The Secretary of Statc prcscnts his compliments ta thc Honur-
able the Minister of Switzcrland and has the honor to rcfcr to
the Legation's note of September 7, 1948 concerning ~içscts iiittic
United States claimed by I.G. Clteflzie.
Aftcr careful considcration of tl-icpoints mulc in Ihc I,cjintiiit~'s
note, this Govcrnmcrit 1-eaffirmsits vicws çtatcd lircvioiisi~.. 'l'lic
question of the returi~ of thc property formcrly c-i\rrriccllil l.<;.
Chemic and now vcsted under the Trading \vit11tlic Eticin~. Act
is ivholly beyond tlic scopc of thc bVashiilgton Accrirrl of M;i>. 25,
1946, and is governecl solcly by the statutcs of tlic Unitecl St. t d c'S.

The question isFar bcjrorid any 1-iermissibleconstriicticiri of tlie
Accord and is thcrcfore not subjeçt to the arbitratioii cliirisc of
tlie Accord.
There follow certain detailed commct~tsor1tlic lioitits raisctl iii
the Legation's notc, which should not. hawcvcr, bc takcn
limiting the finalit- and gencrality of this Grivcrnrilcnt's iiriii
views oii tlic qucçtion, both as cxprcsscd at tliistiiric :i~-rtiti
prior occaçioiîs. l'lit first point raiscd by the Legation is to the effcct that the
tlcçision of the Swiss Authority of Ticview recognizing I.G. Chcniic
zis ;i Siviss corporatioii, is biilding ilyori the signatorics rrf tlic.
Mfasliitigtorî Accord. The puint is uf no sig~iiiicancc witli rcspcct
to tlic itlstarit çlairii by 1.G. Chernic. That claim relatcs to thc

rctiii-n of propcrty locntcd iri the Unitcd Statcç and subjeçt to
tliis C;ovcrilincnt's lioivcrs of sciziirc, arid, as Ilas bccn inade rle;it
11;tliis (;rivernrncnt, sirch propcrty is nolrise subjeçt to the rlçcord.
HCI~YCVC sinIc, tlic Lcg;itioii stems to stress that thc Authority
actcd iit1dt.i-thc Accorcl, il rilny bc pointcd out that flic Lcgatiu~i
is in crror.
'I'he ~)rocccdirigbeforc tlic ~Iutliorit?; of I<cvicir \vas ttot citic
ii~lrlcrtlic Accrird, but \vas ratlicr a11rilipcal 11yClicmie from thc

~irc~visio~iaIIilockiiig uiiclcr tlic Swiss 1;erlcrnl Council dccrec of
I 1;cIiriinry 16, 1945 .Thenppcal by Cheniic \vas, indccd, filed bcforc
i tlic :\ccijrd was sigiiccl. Thc Lcgatiot~ is ripyarcntly of tlic vit\\-
tli:ittlic prucccding lbccaiiic onc undcr the Acconl by rciisoii uf
ccrtriin "collnbcit.ntic~ii" l~et~rccn tlie Joint Commission niid tlic
5i~iss Loiiipciis:ition Officc. 'Tlirs"collabur;itiuii", hoit;c\.cr, iv:is ~iri
1iicir.ctli:iiriilcffart uf clic J(iilit Cuiniiiission tu sccurc infoririritii~ii
\VItli rcs!icct tu 1.G. Clicniic, pursuai~t to a scparatc procccdi~ig,

iiticli:r tt~c riccoi-d, iiiiti~ited bq' tlic Cointiiission on July 25, 1947.
'I'lic .Joint Commissioiz Iras not in\+olvecliri the proceediilgs bcfore
rlic riuilicirity. Lliiis, inrcsponsc to the offcl- of tbc Xuthority to
iiiti:rvciic:iti tlic np1ic;~lbcforc it, thc Joint Coriimlssion uroti.
tli:ittlic Clicmic c:lsc iin~lcrtlic \Vaçhingtun tlccord iras çtill bcforrh
thc Lo~~iinissionnncl thnt thcre \iras no basis for the Commissiori
tu CLI~IX:~~ tlcforc tlic Autliority purçuant to the Accord. III COI~C~U-
l sioii, it wns said, oti behalf of a i-ilüjority of the Commission, that
"Tlie :ilipcal prcscntcel (by 1.G. Chcmie) can, nnturally, have nci

I ci'fcctçin aiiy procccclings, undcstnkcri ~iursuant to the Washingtnii
ilccord, oii tl-ie r~iattcr by tlic Joint Coinmission." This disposes
of ;iiiy ~xissiblccoritcntion th;it tl-ic decision of the Aiithority of
I.li:vir:utl:iç :iny cHl.ct ilriun tlic sigiiatories of tiie Wasliingion
;\CCOI.C!.
'l'lici-c:iii:iiiii!iuiiitsr;irsctlhy tlic 1,cgritiorirclatc tu thc qi~cstiiiri
~vlictlicr ;iii>.dt:cisicin iiiirlcr thc riccortl cati affect tl~c diçlilositiii~i
cillii-011~:rtyt\.liicli iir;is ~ilitliiiitlie pou-cr of tlic Unitcd 5tatcï ti)
si>izi:ns viiciiiy ~)r(~l)cti, i.c.. \.cstc~lor vcstiblc ~iropert!. iiiicl~> lii:
I
'ft:icliiig ii-ittlic Etic~nj. :let.
î Tlic test tifrlii: i\çcarcl clispoçes of tliis rlucçtion. If tlicr'c \i.c.~'c
;III?duiibts as to tlic mcatiiiig of tlic nroi-tlsof thc Accorcl, tlic!.
~\.~iiilrIic ciitii-cly i.csol\'ccl fi!-its iiiljïlcmeritation siilce signnliit-tc,
tlic record01tlic i~cgriti:itions, ancl thc limitatioiis on Iiic :iiil!iririt!'
rifail tllc nr5gotiatrii-5for-tlic :\llics, and particul;~rly on Clicniitlinrit!.
of tlic ilcgcitiritor for tlie I.itiiicd Statcs. Shcsc arc al1con1ïriii:itory

i of tlic 1iinit;~tloriof tlic ;iliplic;ibility of tlie .4ccrircl tri <;CI-iri:iii
t lii-o~~~rty -+vithiii5i\,ir/vrI:i11(i. s~il~j~bc1t1) tlic controL of tl~v Sivis+
l Govcrnment, and to the cxclusion of German property uiitsidc
Switzerland, property subject to the seizure powcrs of tlic Allics.
Thc tcxt of the Accord lends no support tritl~c ;issertioii thxt
decisions of thc tribunals crcatccl or iticntioncrl itz tlic Accrirtl ;ire
to affect property in the Unitcd States, vcsted or riot. 011 its i:lct:
the Accorcl relatcs only to propei-ty "in Switxcrlnntl". Tiicrc ;iiAc
repeatcd rcfcrcnccs, in the Accord, to propcrty "in 5witzci-laiitl",

as zvellas references topersons in Stritzcr1;ind ridiniiiistcring (;ci-tiiri~i
propcrty, to pcrsnns in Switzerland indebtcd to Gcri~laiis, :liitlto
the liquidation of property in Switzerland.
The only (and tlicrcforc csclusivc) refcrcncc iti thc Accord t»
assets in the Unitecl Siatcs or to assets outsidc of Sn itzcrl;liitlic;
found in Articlc IV. This articlc pro~irlcs in part i1i:ii "'l'licCiovcrn-
incnt of tl-ic Uriitcd Statcs will u~îlilocl<Swiss:iisscis iiitlii: Uiiitcrl
Statcs". Thcrc lins bccii rio doiibt siiicc prior tritlic i~t:g(iti;iticiiia
for tlie Accord but tliat s~ichl;l~ig~~ngrccfcrs 0111- ti~ tl~tltiri:l~ii

funds subjccl to tlic ircczingcoiltrrils niid not nt rtlltcitIi(9rli\.ib%tiiig
of vcstccl psopcrty. Tlîis lin~ilctl 111c;iiiingof tlic \ilon! "iiiil-ilock"
w:is wcll rililircciritcd by tl~cCjwissiicgoti;ltors foi-tlii:i\ïçiittl,\i.lio
repeatedly expresscd their conccrii uvci- tEicfrcczirig of Siviss fiiiitlr,
in the Gnited States. Slic tcrm "~tiblocli'~l~acland Ilas1i;ltI;icli:;ir
anci nrecise rneanin~. V
Tlre Dcpartment lias ;ilrelidy poiri tccE out tliat coilliriii;~ticitiii
the meaning of "uilblock", as liinitcd only to frtizeii propci.t!-,
lies in the termç of the agrcernent llctwecn the 'l'rcr~suryIlclinstinciit

and thc Swiss nllinister of Financc of Novembcr 1g46 for tlic dcfrost-
iV^of frozcn asscts in the Unitcd Stateç.
Even aside from csplicit vie~vscorrirnunicaicrl rluriirg,tlic iicgii-
tiations, thcrc arc rnany stntcmctits rclcvnnt 10 ilic cliiibstici01
the applicability of the Accorcl in thc rccvrcl of tlie ~icgciti;itiriiis.
Among thesc are numcrous indicatioiis that ttic ~>nrtiçili:itiizg
Allied Govcrnmcntç, as successors tn the 1eg:il avtlioi-ity nF tlic
German Governmcnt, wcrc dirccting thcinsclvcs ciiily tri tlica
suhjcction to rcparations of Gerinan liroi-ierty wliicli, 1icc;iiisi:
of its location in Switzcrland, was bcyoi~rl,Allictl coiitrciI. 'fli(.-

were not coricerned with Gerrnarl prol~crty iriiitsidcof S\vitzct.l;ind,
such property beiilg fully within thc control nf thc Alliccl C~ovcrri-
nzents. As in the case of the Acçorçl itsclf, tlicrc arc iiuiiicrriiis
rcfcrences, in tlzc negotiations, to Gcrrnan ~^irolwrtyin Switxcrlnntl
and none ta Gcrinail propcrty outsidc of Switzcrlnncl. 'flic 11cgcili;i-
tors rnoreovcr r-11adeit clear that their coriccrii ovcr assc ts siil~jcct
to the control of thc Allies was limited to Siviss funds ~hicli lincl
been frozcrl in the Li~iitedStates.

The limitations on thc collccti\~c authority of thc i~cgnti;~tor-s ~
for the Unitcd Statcs, thc United Kitîgdorn and Fi-ançc arc fiirllicr
support for this intcrprctation of the Accord. -I'licr~cgotintors, who
signed on bchal F ofal1 tlic countrics ~v1-iical-riciio\i.iîic~iiilits F1111:
1ntc.r-Allicd lirparatioiis Agcncj~, jvcrc carryiiig riiiitlii:ti:riilc, oftlic Paris Agrecrncrit on Keyixratiori of January 24, 1946. Xrticlc Ci,
17aragrilpl1 C, of ilic .4greeil-ient statcs tliüt
,,
I;crriîari asscts ili tliosr: couritries wliich rernnincd iieiitriil
irz tl~c \var agaitiçt Gcrii13tîy shall be removeci froit~C;criii,~ii
or~~ncrslïipor coritrol nrzdlicluidatcd or clispcisedof in ncçorclrincc
\\.itlitlic aiitliurity of l:raricc, tlie United I<i~zgdrimand tlic
Ur~itcrl Statcs cif Arncrica, liiirsuant to artangcnicnts tu bc
ncgotiatcd uritli thc ncutrnls by thcsc countrics."

111 thc samc Articlc, iti paragrapli A, it is statcd

"Eacli Sigriiitory Government shall, under such procedurcs
as it nlay choosc, ilold or dispose of German cncm!; ~issets
\i.itIiiiits jiirisdictioii iii i1z:iriricrsdcsigried to 1,rccliidc tlii~it'
rcttii-11to GC:~-III:tL nII~~~>r1 sl~oir cc~~itrol ..

1t c;iii tliiis Iic sccil thrit tlie ~\jirccnierit csplicitlg 1in-iitr:ri tlii~
:ititIiot.iLyO[ tl~t,i~i,~oti;~Liir to ~;rri~~a~ asscts III S~vitxcrla~~d ;~tl(l
i~scliitli:(lEt.otiitlii~ii;iitfioi-ity ;iiiy ;itt(a~i~l)tto tlisposc of C;<-riii.iri
:ir;scls ;iIrciirly sii1,jcct tfi ttic sciziiri: po\vcrs of tlic coiiiiti-ics
sig~intury tu tlic ~Igrcciiicrit.

'Flici~iitlioritl~ tiftlic iicgcit1;itoi for this Governmcnt, ~iiorcovrt-,
{vassi1nl1;~rly Iin~itcd. :\s tllc I-~gatio~iis auparc, tll~ statutcs if tIIC
Linitccl States rcgulatitig tlic seizurc aricl dispcisition of cricIn?
11ro~:rf i' provi~lc tli:it claims for n voliintary rcturn of vcstccl
1)rolwrt.ymay bc iilccl by dcsignatcd groups of alicns not liostile
tri tlii: IJtiitecl Stnti:~,:~ntl,if siich c1;iimsçlioiild bc rcjcctcd, th;it thp
rri~irts rriay entcrtaiii s~iits by non-e~ierny owners fur tlie rctiirii
rif tlit.~)ro~jcrtjr.T11ci\cçorcl iras rlrit intcnclcd to, ;inJ çcnuld not,

iiiitlcr tlii: coiistitiiticilia1n1i.s of this Go\.crnrnent, overriclc tlirse
st;itiiti:s. *1'1itarctiirri cif ~cstccl prspcrty has bec11 spccitic;ilIy
i-i:giilatctl Ly tlic Loi-rgrcss and the Congrcçs lias only rccctitly ,
iiil'ul~lic 1-atv No. SgG of Jiily 3, rr~dS,rc-cnacted the rnanrlritc that
C;c,t.i~zapriropcrty sliall iiot bc rct~1rni.dtu its forrncr OIYIICI-s.
OI~ tljr ~itllrt.II~EIIC tliIc,r-c lias I~ccn iioncccl, ancl ilu rriiiiii, Iiir
;III;igrcciiic:iit t1i;itSariss pi-opcrtjr ititl~c Uiritcd Statcs slin~ilrl Iic
i-c~lcnscrliroiii vcstii-ig. Tliis Govcrritlicnt hiis riot ïest crl 51i.ihs

~~ropcrtybiit unly ostcnsibly S~viss1>rq~erty,actually cnciiiy pro-
l~crty.l'lie forum in trliich ttic questiot~ of Sivissor cncmy o~vricrçlii[i
oi siicli ~~fil~erty is tti lx dcterrninecl is gu\;erncd bj- statiitcs ctiriçtcd
11ytlic Lcingrcss.
'TlieLcgiiticrn poiiits oiit that iinx~estcdpropcrty nia!; bc i-cstcrl
anrl tlicrcliy talccii froiri thc nplilicability of the -4ccord. The impor-
tarit clistii~ctiori, liuirc\-er, is not 1,ctwecil \;estcd propcrty a~itl

iiii\.cstcd 1)rolicrtyt but bctwecii ~)rolicrty subject tu the sciziirc
I)oi\'cr (if tlic Uilitcrl Stntcs ancl ~iroperty subject tci thr, Iwii'trr
cif tlic Swiss Govci-nnicnt. Thc formcr is riot subject to thc Accnid,
tlii- 1:tttihr il;.Stic oiily ~irolicrty siibjcct to tIiiç (yo~criitiirt~t's
I)LR~-\rtEiicliis rriv~iticirtcd iiitliu .;\ccrird is S\Iis3 hlockt~i ~'i-cil~t'rty. and the arrangemeizt witli respect to such propcrty, coiiçistciî 1y I
with the above principles, lenvcs the dctcrrriination of its cnctmp
character exclusivcly to this Goverilmcnt. Whilc tlie Accord i
provides that Swiss property is to be unblocked, it has bcci~agrccd I
i that should this Governlnent decm aiiy of itto hc cncnîy-taititcd,
the Swiss Governmcnt may not ccrtify it for i~riblockirîg. arirl tljis
Govcrnment nced iiot urlblock it.
In surnmary, the decision of thc Swiss Autliority of licvicw lias
no status unclerthe Accord. If it had suc11 çtütus, it ivoulclstill be
lirnited by the applicability of the Accord itsclf, ~vhiçl~ 113s no
1 effecton property which is within the power of this C;ovcriiincnt to
seize asenerny property. The suggestions of the lnst paragrûph of
the Swiss note under refcrcnce are in conscqucncc cornl~lctcly
zinfoulided and cannot bc xdopted. I
It is trusted tltat thc Legütion will ;~ppreciütc tlrat tlicsc arc
thc final vicws of this Govctnrricnt, arrivccl at lifter ctir-i~plctc
re-examination of the position cxprcssccl in thc Swiss i~citc nf
Cjeptcinber 7, 1948. 1

l Dcyartment of State, Ii
Washington. Octobcr 12, rg@.
-

Thc Minister of Switzcrland 1iiresents his çornplirnciits to thc
Honorable the Secretary of Stnte and hns the lionor to inforrn
the Secretary tlzat hc has been instructcd by the Swiss Govcrnment
to bring to the attention of the Department of State the follo~oing 1
points with respect to the American assetç of the SociCtéInter- I
nationale pour Participations Industrielles et Commerciales (Inter-
Ilandel), a Swiss corporation :
(1)The suit brought by Interhandel in tlic United States
Ilistrict Court to recovcr tlie asçcts vested by tlie Alieii Property
Custodian will be dismissed \vit11prejudice on or about Jiine 15,
1953 unless Interhandel iritlie meantirne produces for inspectioii
by the United Stntcs -4ttorney General ccrtain paperb in S~vitzcr-
land.
Tlius Interliandel's claiin for tlie returri of its açsets is alriout
to bc denied in tlze United Statcs courts, soIely on proceclucal
grounds, without any opportunity for a hearing on the n~crits.

(2)The denial of a henring on the merits affects not oiîly a
Swiss corporate en tity, Interhandel, but the hundreds of Swiss
citizen5 who have tnvested thcir savings in çharcs of Intcrhnnclcl stock. It is truc tiiat tlic clcciçion of the United States Supretile
Cnurt 111 ICar~/~~rn v.i..S'oczéldI~ricriinlioir~ilcporrv Pnrticipnlioiis

lrtdzrstviclle,ci! Co~~zirtcrcinlesS , .A., 343 U.S. 156 jr952) :illo\r.s
suc11çharcholelers to iiitcrvenc aiicl asscrt tlieir proportional riglzt
to thc asscts of Tiltcrlianclel. But tlic Departilient wi11 surely agrec
th:it thc ditliciilties and costs of çuch interirention nrnkc it of
1uestionnl-ilc value tn sliürcholders living in Çn'itzerland.

(3) Tlie Swiss Governrncnt considcrs tliis state of afi~irs as
thseatening a gravé injustice tu n Sitriss corporrttion and itç Srviçs
slinrcliolclers. It bclieves tliat the perpetratioil of such injustice
c;ln bc :ivcrtccl only by action to be tnkeii betwecn the Governmerlt
(if tIie Urritcd Stiitcs and thc Gover~i~i~cnt of S~vitzcrland.

I.1) Il is ~~ro~~usc~ tlli,crcforctli:ittlic t\vo I;avcrntilents under-
t;il<c to ciitcr into iicgotintiails lool;it?g torrarc1 n scttlemcrit of
tlic Ltitcr1i:ilidcclnitn iiprin :i~iiutu;illq?sntisfnctory bnsis.
(5) Tlic S~viss Govcriiriiciit 1s prcliiired to co-operate with the
IJiiitcd Statcs Covernri~ent in warkirig out ~vl~atcver method
appears iiloçt suitable for resolving their differences \vit11 respect

to tlie Interl~andel case. IVlirit the Çwiss Govcrnment cannot agree
to jç the ~irinciple that tlie case rnay rightfully be disposecl of by
tlic ~inilateral action of the United States Governrnent. It is
hopcful that tlic United States Governmcnt, in view of its pro-
cl;rirricdavcrsion to unilateral action bjr states and itscharnpioning
of tliepacifie setthen tof international controversies, mjll recognize
the jtisticc ofthc Swiss ~~ositio~i.

Ccrtaiti nicnsiiri:s takcri liy tIie Ci~iitcd States during IVorld

\\:;ii11ii~tIic licld of Ecoriornic \Varfnrc affcctctl tlic interests of
;i iii:iiti-al St;~tc likc S1vjtxcrIii11~n1 ;I nianrici-, ~vhich, in norniai
tiriic?;,\i'oiilchave bccii iricompatiblc 1~1th thc prrnciplc of the
jrixriolal)ility(if lirivatc propcsty. 5iiicc tlic ~ieccssity for sucli
cstr-;iurdiri;~r!; incasurcs has cc~scd to csist, it inay be espected
Iliiittlic :\incrican Go1,crninent is ansioiis to rcturn to 11orm~i1
cciiitlitiriiisanciiti finil,as cspcrlitiorisl!. as possible, n just and
:iiiiic;ilistiliitiurfor the ;isscts clnimccl bj*51~isscitizens nrzdstill
\.c.>ti,iti tlii. I;riitcStntcs. The Swiss Authorities, on their part, havc misseclno opporturzity
during the past years to rnake evcry possible effort for tlicsoliltion

of this problem, cspecially, as shorun by the cnclasurc, in thc mattcr
of the Sociétk Inter~intiorzaie $oztr Particz#atioics I~idifs/ricllecl
Comn?~erciaE SAs (also known as Inicrl~rdndeor I.G. Ciiciiric).
In the spirit of such constructive CO-operation it sliriiilclrrot IIC
tao difficultto rcach an arrangement sütisfactory tri Iiotcouriti-ic.5.
Amex (concerning the n-iatterof Zitlerl~nitdel).

S?rîiiiitaryoj dlreEflorts of the Swiss Go?)cvri,~zcit/
For a Sol~ttiu)~ tlzeI~~ilcuizaiod ela!lr,r

The matter of Pilte~kn)rdeL lias now becn pcndii-16.for n pcriritl
of ovcr iwelvc yeürs. The assets of this Siriss Corpoi-aticiiiiitlic
United States rvercapparently vcstcd by tlieOfiec ofillicn I'rtipcrl!-
under thc assumytion that tlirs Company, Soundcclin I~S, ri:ilcctc~l
intcrests in tlie sense of Section 5 (hl of the "Trading ivitIithc
Enemy Act".
As far back as the çummer uf 1945, tlie Swiçs Co~nlicnsatiun

Officc, on ifs own initiative, exanlined I?rterlrntidelu-itli rcgnscl
to a poçsiblc continuation of its formcr tics ~vitli tlicC;crrilaii
cnteï-prise, I.G. 17arben.Altliough no evidence whntsocvcr for nti!.
such relationship for the time after 1940 could be prodi~cccl, tht:
Sutiss Cornpeilsation Oficc, upon the insiçteircc ol thc i~\llicd
Governments, particularly thc Goversirnent of tlic Unitcd Statcs,
issued a provisional blocking ordcr on October 30, 1945. I~c)ii~n-i~ig
this order, Ixterlzandel was submitted again in 1946 to estrcrncly
thorough and lengthy investigations which only con~irti~cçl tlie
findingç of the first examirrations in 1945.Thc Authority of licvic\s,
establiçhed under the IVasliington Accord, ~irrivcd,thcrcfot-e, at tlic
conclusia~lthat I*lalerha?tdd was not Gcrman and ordcrccl tlic S~viss
assets of this firm to be unhlockcd.
In accordance with thc proccclurc of the Washin~tciii rlccrircl,
thiç decision was subrnitted to thc jriiiit Conzmissitiii.'Shc \Vnstiiiig-
ton Accord proviclcd that if the Comi~iissioriwcrc ititIisngrcc~ni~iit
with sny decisi011of thc Autkiurity of Rcvictr-, thc tlircc Alliccl
Governrnents could rcquire that the rliffcreticc bc sutsinittcd tail
arbitral tribunal within ü pcriad of one rnontli. Si~ice the AlliccI
Governmcnts failed to takc such a stcp! thc decision oftlic r\uthority
of Reviewbecamc finaland, in thc oliiniori of tlic SurissGcii.crilti~eiit
(note oi the Swiss 1,egntion to the U.S. Dcparti-iîcnt of Statc,
Septcmbcr 7, 1948), bincling nn al1partics to tlic hccorcl, AXSI..SISS .iI.:ZI<EC/UE (s O IO) 39

1 II
I 'Thc iii\*cstigations of Irrlerliaiiclel wcrc iiridcrtakcn ~ilainl~.
I~ecriuscthc Xrricrican ;Iltliorities had asscrtcd on scvcral occnsiciiic;

tliat tliej, hacl clcfiiiitr:proof of tlic çoritinuation of tlic former tics
of tliat liriii ivithI.G. FarLcn. Desliite nurnerous recluests, no such
proriflias yct liccricoiiitriiinic:itccltu tlic cori~petciltS~rissauthoritics.
Ncvcrtliclcss, the incaçurcs takcn iri the Unitecl States against
tlie Aniericaii assets of Iiilrvl~niidelw! ere ~i~niritained,ancl this firtii
n-as thus co~r~pelIcd to scck rclicf tIirougiz litigation, the tcrriiin, tion
of \vI~iclic~innot ;is yct bc foreseen. In order to facilitate thc t;isk
ol the Aincrici~n courts, thc Swiss Covernnient has inacle tlic
.ivirlcstpossible usc of its discretioil in tlie application of the 13ririk
Scçrccy ;iiitl Econoinic Esl,iu~iage Laws in ordcr to ciiable I~ilev-

Ilnidel to producc 7ci.ooomicrofilms of its oivn, and 63,000 of the
rccords of t1ie Sri-issUaiik Sturzciicgger. The Aineriean Authoritics
tiave çni~si~tentlyreitiscd tlic es;in~irî;itioriof the latter.

III

'Flic hu.iss ;iiitl~orities lia\,(: oii rlutncrous occasions oftcred thcir
çci-opc.r;ition iiioi-cler to ti-srk out zvlinttvtr method ivoiild alilicar
Io l~t,most siiitablc iii tvsolving tlic Ititcrrliniiiicrc lase-bc it a
srttlr*inciit of tliiscnsc ;iloi~c--or oric ini~olving al1 Sn-iss açse ts
~.cc;tctititlic Lriitecl Stntc~s.Siiç1ipropasals Iia~e as yct bec11r~ithri-
clthiiictlor n~i-~vcrccliticciticliisi\-cly

'l'lit hIiiii.;tcrrif h\vitzct.l;~iirlprcscnts his cornliliiiietits to tiirh
1-ol iior:iljlr tlic Actiiig Sccrctar?. uf Statc aricl has thc lionuiir tu
cal1 tiisaitcntiori to tlic ~irol~lcniof tlic üssets vestcd in thc Uiiitcd
St~tcs :ist:~it.iiil\i.oljc:rt?rbiit clain~cclby Suiss citizcns or %iris5
ctrrlmr;~tiutiz;.1tiis ~iriiblciillins l>ccri ;icliusc tifscrinus ctitiçcrii 111
S\vitz(:~lnriclfur tri~i~iyyc;irs.
CV Iain rz1enstiscstnkcn 1,- tlic tjnitccl 5 tatcç during aiid ~iftcr

Il:orlil \\:,ir Iin the iicIcl of Lcorzoniic\\;arfare affccted the iiitcrcst5
<if a nci~trnl Stittc Iike 5\vitzcrlatitI in n inanncr \\?hich, irznorri~al
titzics, wtiilIc1he ir~crir~iliatiblwitli tlic principle of tlieiriviolability
r~f])ri\-atc*1"-nl~crty. Of ctiiirsc,in orclcr to pz-ent a ~ior;sibIc ~i~c
of forcigii i)r-ollct.i!-in Ilic L;tlitccl Statcs for crr~n-i!~ [var niri~s,a
tiglit :iritl{tir-i-i:;icliingcont1-cnia!- 11ai.ebc~cncoi~sidercclritXccss:lr!.
;is lotil:as tlic 5t:it~'of \\.;II:istcc1.Iiiclecr$,if only a slight sris~iiciuiiof an enemy influence were entertsincd, assets lociited iil tlie United
States and owiied by neutrals were treated in the same niailiicr as
enerny assets.
After the termination of World War II, ancl in acldition to tlic

above, çonfiscatory rneasures wcrc adapted iii 1946 witli rcgasd to
enerny assets. As fas as the Swiss Governmcnt is jnfornied, tIlc
purpose of such ineasures wns to nîake thc prciperty of forrricr
enemics availabIe for the compençatioii of dnrnilgcs c:zuscd rluritig
the war to the persons and prupcrty of Arriericail citizcns. TIiis
new policy of confiscatian is esscntia1ly differcnt from thc rriliof
preventive control, the neceçsity for which hnd ce;içccl tciesist nt
the end of the war. Nevertheless, applying thc sarne far-rcacliitig
principle as crnployecl for the preventive control, thc cuntisc;ition
in practicc was Fikewise not lirnitcd to ;~sscts bclongirig to iorriicr
enernies, but also was cxtendccl to ncutral nssets. As ;iconserlucnce,

assets of Swiss citizens or corporations :ire csliosccl tii-tl:iy tcitlic
risk of bcing used for the reparation of damages caiiscd iii;L w;Lr
iiiwhich Switzcrlniid uphdd its traditional ncutrality.
Vieuriilg the situation almost tcn ycnrs silice thc ciicl rif\\'cirltI
War 11, nothing slio~ilclbe overlookcd whicli wuuld liclp tu ;ivciitl
such a consecluence scriously affccting substantjril Ç\viss iiitcrcsts.
It is bclieved that this view will surcly be slïared by tlic LT.5.
Government, al1the more as thc qucstion of ;L rcturn of tlic vcstcd
property even to former enemy nationals was m;~dc tlie subject of
lcgislativc proposais in thc U.Ç. Congrcss, and is beirig gireii
jncreascd attcntioil by thc compctent Arncriciin autlioriiies.
The Swiss Governinent hns recer~tly revicwecl the problcrii i11a11
its aspects, and more especially itzthc ligh t of the prescil tcircuin-

stances, which are so fundamentally diff erent tlian thosc ]lrcv:!iliiig
cluring and shortIy after the war. Thc Swiss ntitliorities :irrivctl ;~t
the corlclusion that a juçt and amicable solution shoulcl bc souglit
or1a new bssis, in order to'rclieve botl-igovernrnents fruni ;Lcon-
tinuation of the controversies of the piist, with al1 tlicir ~~{iliticnl
and IegaI impliciitioi~s. Tliey are, of coursc, ;iw;irc of thc rn:iiiy
questions of a inore iechrzic:il nnturc rcsulting Irtiizi tlic comlilcs
cliarcictcr of the wllole ~iroblern. Nevcrtliclcss, tlie 51viss C;rivi:riz-
nielit is confident that, in a spirit of tincEcrst;inrlirigniiclcuiistrticti\.c
co-al?esatioil, it should ilot be too clihcult to fiiitl n solsrtiorr s;itis-
factory to both çoutitties.
1he Swiss Goverilnient, thereforc, proposes tlint sijoint cf'fort
be made by Swiss and A~ncrican :iuthorities to iind siiclï ;iiicw

liasis on ~vhicka prnctical sol~ition could be ncgoti,ttcd regnrtliiig
tlzc assets vesteclin tlic Iji~itcStates ;ind clnirncclI-iyS~visscitizc~~ï
ur corporations.

Washington, D.C. 1 Lopy
'l'lic Actiiig 5ccrcl;iry tif 5tntc ~ircsenls liiscriii~pli~~~ci~ tts tlic

Honor;ihtc tlic Rilinistcrof S~vitzcriand, and lins thc hoiler to refcr
tu liis ntitc of iiliril y. 1953 siiggcstiiig ncgotiatioiis bct~vccri tlie
I.;ovcr~~rncrlt of C;n.it~crlriiiclniicl thc Govcrnmcrit of tiir: Uiiitccl
States, lookiiig tciiv;irds n sr:ttlcincnt of tlic case of I.G. Cht:tiiir: v.
L3voîuirrll(thc Court rcfcrs to thc firtziciftntcrliaridel as 1.C;.Llicriîic),
i~ri\v~~c~idiiig iil tlic 17jstrict Court for tlie District of Culur~il>i;i.
,1lic riote pni~itsout ttiat tlic suit \vil1 be tlisinisscd with prcjiiclicc
on or about ,Iiinc rg, iqj3uriIcss I.G. Lhcrnie in the tncantimu
~rodiiccs for iiispcctiun ccrtai~i inpers now locnted in S\iritzcrlanrl.

1.t;. Clicinic non. lias, aiirl nt al1 tiriles has had, ttic fiillest
ril~portiiiiity foi- a heiiririg oii t11cnicrits of its case, iti accordancc
\vit11tlic ~iriiicililcXI-liiclilirc~raàIsiri tlie Uiiitcd Statcs tliat cvcry
cnrii~i1;iiri~iiiiitgniiis:Isr~iziirctif 1)rol)crty 17~7thc Govcrilnicnt s1i;ilI
Ii:i\~ corii~ilcti:ncccss tri tlic coiirts iiiaccorc2anccivitli 1üw. In thc
ib~i.ciitioii of tl~is ptiiicililc, 1.Ci.Clicriiic 11;~s maintainccl its suit
;iiitl rcccirccl llie hcticfits ;~llo~scdto litigarits, aniong thciii tlic riglit,
\~Iiicli it hns cscrciscrl, tci inspcct anci çopy al1 the doc~imcnts in
thc ~x~sscssion tifthc C;ut.crrimcrit of ttic Unitcd Stûtcç. \-et it has

iint ribcyerl tlic ordci- of tiïc Coirrt puttii-ig upon it the rcciprncnl
1ili1ig;~lioii tri l~rodiicc thc dociiincnts Iocatecl iri 5witzcrlniitl
knriivii:is tlic,5turzcrzcggcr ~npcts. Cl~icf +Tiiclg c aws, of tlzcDistrict
Court for tlie District of Loliirnbia, in his opinion of Febriinry rg,
Igj.1, 113s cnmrncritcd that 1.C;. LIiemie Ilas bccn iiilcgal dcfaiilt
tif thc nrdcr for two :ind n hnlf ycrtrs.
~l'hcsclilipcrs, ivliiçh art: .requircd in the iiii-estigiition uf thc
t-ilvt~iy cliarnctcr of 1.G. Cliciiiic by tlic iltiicrican Courts utidcr

.\riictiç:in Icgal st;~ndarcls,1i;iïc ~iot13ceiifortliconiing, though tl~csc
vcrs p;ipcrs ircrc scizccl and csnmincrl by tlïc &\-iss Govcrriniciit
:is 111-ccss;irilyrc1cv:int iii its inï~sti~ttitiii of thc Gcsiiian ci\\-ilci-.;lii~~
oI 1.C;. (:li~,iiii(ziir(lcrS\i.iss lai\--;.If, dcs~)itc the opiriiotz tif tlic
I>istr'içl I:oiii-tfritIlii: E)istrici of (:riliirirFii;i,tllc papcrs cniiritrt lic
~)i-~tlucctl,1114;cnc;iiitigtlisiiiiseiI will hc: (lui,, ris Chicf .]iidgc I.a!sfs
li(~i~~ti:(o~ii, 1.t;. (;I~txnic'siii;tl~ility to cotiiply (vit11Ari~csic~~ii
ju(lici:iI pnicc~rl~irci ~OI-"tlic iii\-cstigatioil ;inclcliscovery if fncts i~i
cnse, t:striblislicd ris coti~luci\~eto thc proliicrand ordcrly adriii~iis-

tr;itiriiof jiisticc iri;L Coiirt of tlic Uiiitcd Statcs". Such a dismissal,
II\. a lan.E~iIrirdcl- of tlic Court \vil1 bc sirbject ta rilipeal to Eiiglicr
rriiirts,a11 iii nccoi-diincc\ritIl tlic Iririsof thc Plnitcd Çtntcs.
Tiic Goi.i:rnmciit of tlic Uriited St;itcs docs ]lot qiicstinn the
5\riss C;o\.c~riin~ciit's sti~crcigii riglit to acfliiitlister and ~nforcc its
ciwiil:i\rs. 13~thc ç:t~iictoliciz, thc ndrnii~istrntion and erifvrcemcn t
tif flic lari.5 of tlic Unitcd Statcç nrc irithili the compctrncc nrid

iiii-ic;tlictionof tlic 17iiitcd Çtatcs Go~crnmcr-it. Thc Dr:p;irtmcrit c~f
5l;iti: Ii;ls,iii its iititc to tlic Lcp~tion of Sn.itzcrlanc1 of .jiily Zj, 1948, an-iung otlicrs, stated that thc "dccisiun uil 1.C;. Chciizic*~
clairn to assets in thc United Stiites is sol cl ^n.e ...for tlic L-tiitcd
States courts if suit should bc irîstitutcd iirider Scctiori g (rr) of
tlie Trading with tlie Enemy ~\ct". l'liis ~iositioii uf ttie I'riitetl
States Governrnerit isunchangcd.
In tliese circurnstanccs the Cuvernnieiit ïiftlic GiiitccE5tntch
cannot agree that if thc Court disniisscs 1.G.Chcrriic's claim, tlit*
dismissal ivill be without any oliliostuiiity for ri Iicariiig oii tlie
merits or that a "gravc irijiistice" is threatened. To allcgc t1i;it

such a dismissal wouId Iic "whoIIy on proccdural gru~ii~ds" 1s tu
overlook iii Chef J uclgc Laws' worcls, thüt " Proccdural la~is,
provicled as a mcans of attaining just dccisioiis, are ftilly as imliur-
tant to hc obscrvecl as siibstai-itivc lans, 1iroviJccl, of cnursr, tlii-
procedural laws iriveilvcsulistailtinl liuints". 'I'licsulistnntialit y ri!'
thc point is sliowii by tlic Chicf Judgc's coi~clusieinttiiit inslii~ctiuii
of the Stiirzencggcr pal'crs "iscsscriti;il iftlic piil-lies :irc toulitnili
kiiowlcdgc of tlic f:icts ;iiiclissiii,~Iiiafor-t:ililil", iiiitulsei sliciivli
bj~his decisior1on tlic conwcliiibncvs of liui-suirig :in}.otlirr ctulrsï.
as cluotcd below :

"To adopt aily othcr course would lcacl uiily to II-ustnititiii
and nullification of cstablishcd ~irocedurcs. It ~voulcllierinit
a forejgn govcrnrncrit tu relcasc only tlic: dociiincnts iavur;iblc
to one prty and to rctaiil rirdcstroy thc rcst. It uoirld ljcrniit
a foreigiigovernri-icrtt tu stipulaté the condi tioris unrlcr a.11ictl

doçumcnts rcguired iri a coiirt of thc ï?iiited Statcs riiight bc
relcased ancl thus imposc forei6.n proccdures in trials if siits
in United Statcs Courts. It \vould permit a forcig~ipart!. tri
be placcci in a favorccl positioii by the la\ss ur ricticlii of lii:.
goverrimci~t. It ri~iglildefeat thc purposes of tlic Ti-adiiig ititli
the Enemy Act by pcrnzitting a foreigii natioriril tci britig i;iiît
in this country to rccover property scizcd uridcr thr::Ici ~iiirl
then seek sheltcr undcr the yroteclivc cloak cifits gr>\-r~riiiiiibiit
when disçovcry is sought.
The Court cuncluded thüt

.. duc ~rocess \ioulcl be denicd if a foreigii ~O\-~i~IIIli~l icrlx
to be allowed to frustrate the proceclurcr; cstablishrrl iii tliv
Courts of tlie Ur~iteclStatcs."

The Legation's ~iotccutnments tlulit an injusticc will bc (10111.to
thci non-cncmy diarcholders in 1.G.Lhenîie. Cbicf Juclge ].a\\ s ilris;,
to thc çontrary, explicitly rulcd that if the cunililiiint of 1.C;.Cliciiiic.
is diçmissed, the stockhuIders rnay ncvcrthclcss maintain tIicir suitc;

for their proliortionaI sharc of tlie assets. No irijuslicc c;iii nlsiilt
to the non-cncmy stockliolders.
Little cost arid no dithcultics attach tu the niniiitciiaiici, of siicli
suits and sevcral hunrlrrd stc~ckliolclcrsliavc nicircovui- ;ilir,irl?,
indicatctl tlicii- intcrcst iti piirsuitig tlicii- Iiagal rïriii~(lii~c;. ~LT rx ?*r.:ses .iI..\ ~iigi!i< ri- (y0 12) 43

;ittoriicys ;ilrc;icly rcl~rvsciit-iiiçsiich strrcklirilclcrs, as \z;cll as citlicr
..irilpctcnt atturncys, no dciuht st:i~id rend!. tcî~rsnscciitcsiiclzclairns.
1Iicfniriicss of thc:fccs to hc cli;irgcclir-il1Iic rccltiirctltc~bc :ililirçi\-crl
liy tlir:ciiurtr;, niid thc ~irtjscçiltion of thcw clainis, liy cirdcr-of tlic
5lx:ci:il !il;ic;ti,r,ivill br: \\.itliaiit cspcriditiirc. of uiircasaiiablc siiriir;

Cil-costs.
'I'liis (;(.ix~i.r~ii~ii.iist ;ililri'cciiitivc of tlic 5\viss C;ovcrtirncnt's
ritipr tn CO-opcrntcin scttlcnicnt ncgotiritions, 'lhc case is, liriwcvcr,
iiiicafor (tisyiosit ici11h\- I.:iiitt,rl St;itrs Criiirtç, nr for the, parh to
clic;lx)wofIiy iniitiial 'ah.sct.ri~r,~iitf, ~)ossihlc, rind i-iot rJnc wirhich cnIi

Iii. clislirisctlof oii tlzc lxisis of grixvcrliriiiTi ot go\'criiiiicizt ncgotia-
tiriiis. 'l'lir.c-ascx \vil1 I>c clilfciilt to scltlc until thc. ~iumbcr niitl
;iiilcri~lltof iioil-riici11~~ -hiirclinlilings hrcriiiîc kiiowii. If niicl whcn
+ibttlrii~~brlixt~ç(i~iiti~ siossil,Ic,it is tlic t*ic\\-(oftliis Govcrnnicrit tIi:~t
~t ~IIoIII~ lI, tloi~r,, i5 CIIS~~III;I~>- iri 51icl1 i;;w:s, i)!, dirr(:t ~icgoti;t-

lioiis ht~t\vt>i#n tlit, p;istii.5 :i~i<lt Atttir1ir)y C,~>nc~ilof tlii, L!nitc>ïl
5t;1t<>>.
Iii (.{ilir.Iii~iolit lit.(;o\.(~siiiiir*ni tif tliv Iltiitcrl Stritcs is OF tlit:
nlïi~iitiiitli;it iii;~llo\\.iiigtlir' caxc tr) ~~roccccil~i:icçoniancc with tEic
1;iii.cof tlic.Liiitcrl Stntcs. c1it1ic9iri ctiiirt nr-;isscttlcd by rigrccilicnt

irf tlii: p;irti~<stu tlic siiit, it is nctitig iiith corny-ilrtc~iroliricty iii
;iccoi-cl:iiics z\itli tlic ~irincililcs cif1;trv ancI jiisticc.

.I ihircxc r z
cflp},

'I'lii5i.rrctrii-J-of >talc prcsciits liis ct~iii~dinici~ttsu tlic Honorcible
tlii- 1Iriiisti:r ot Slvitzci-lancl ;~iicl hns thc honot ta rcfcr tci Iiiç iiiitc
tif .\I;itcli r, ryjj, ~ritli r~garrl Ici nsst.1~ vi:sicd in thc lii-iitcclStatcs
;IS cric.rii!t~wopcrty 111lt cI;III-L~ ~y~c5~\viss citixcns or Suriss cnrpo-
r;itici~is. 'flir.R1ii1istr.r'~ iintc 1irol)rîscs thnt ri joint cffort bc iiinclc

1):. s\\.is :ilid A~ntr.ic;in;iutIioritics to fiiid n rictr hnsis 013 wliicli ;i
~ir;~ctic;il h~iliitiriiicaIî bi: 11cgcrti;itcd.
\\'liiIi~tliri-c ;i~r ;Iiiiinil,cr of cascs iiitliis licld, it is uridcrstoorl
tlii, Jliiiistcr's iicitc lias 1i;irtiïiilnr rr:fercncc to tiic Lntcrlinndcl
c,isc, ;i~cttlctnci~t tif ii-liich is fiinclaiiicntnl to thc \t-licilc~irobIi:rii,

.\. tlit. I.c,g:itinri is n\inrc, this cnsc iç iiow p~ildiilg irl thc courts
;IS ;L t'csiilt tiftlic suit liroiiglit III. Interh;liidcl 8.G. for tlic rctii~n
iif tlic. slini-i.+of (;ciii.i-,il ;\irilinc and I;iltir,wstcd 1,~ tl~c Oflicr:
hlf .\lii.ii I'rolicr-tyii1idt.r tlzc ?'r-;irlirig \vit11 ilic ETI~~ \ct,I~nntl is

~~iii. fiiitliyio~i~ic~iI~ iy tlic coiri-ts iii1tlr.rflic ~~;I~PI~CS of the L:l~it~tI
clt.iti.~. Ni.\.i.i.tlicxlcsstlil- .\t tnrricxy(;cnct;it, n 110 is thc rcç~ian~ilili. authority rcgarding theçc matters, can, with the agrecrnent of tlic
plaintiffs, rreach such private and out-of-court scttlernent of tl icsc

questions as is fair and equitablc. Accordingly, thc Dcpartmciit tif
Justice is willing, aç always, to discuss any proposalç, taking ir.it»
account thc relativc mcrits of thc positions of tlie advcrsc partics.
which may lead to settlcmcnt. It is the position of tlic Ueliartrnciit
of Justice tliat, cven oi~tl~cbaçis of tlie facts so far adduccd, an\.
proposa1 ior a division of the üsscts or of tlicir procecds ~rwuld ~icit
be realiçtic unless the larger sharc revcrtcd to tlic Office of 1\lic111
lJroperty. Thc Dcpartmcrlt uf Justice also points out that ii c;iii
only undertakc such discussions witli persons niithoriscd t~y tIic

private intcrests concerncd to reacli a scttlcrncrit.
Wlrilc tiiese problcriis tlius du iiot lend tlicmsel\-cs trisrttli~iiicii~
by i~~tcrgoverriniental ricgotiatioris, tlic Ileliartrnclit oi ,liistic~.
zvouI1, of coursc, Iic wilIiiig to cxplain tlie for-cgoiiig :~iidoIIii-i-
rclated procediirnl ~nattcrs tu oficirils ciftlic C;u\rc~i-~iiiiciif S\i.i- t
zcrland, as it lias tc) tlic Li:g;ititm, if the 5wic;sGti\.iai.rii~ici;liriiiltZ
so desire.

Wasliington, J~ine 7, 19-55.

Légation de Stiissc.
'Wasliingtan 8. D.C.

Thc Charge cl'hffaircs acl iiitcriiiiof S\i-itzcriaiid prcsvirts Iiis
compliments to thc Hoi~orablc the Sccretary of State atid, iii
acçordarzce witll instructicins of his Governn-icnt, lias tlie Iici~ioi
to bring to his attention the following inatter:

The fact that the considerable assets of the SocietéInternationrilc.
pour Participations Industrielles et CommercialesS.A., hcrcaftci
called "Interhandel", ruhicli wcre vested 1111942 at~d 1943, lia'.'
to tlljç date not been retzrrncd to thcir riglitful owners, is a caiibcb
of greal concern to the Governniei~t of Switzerland. Iildcctl, rill
attempts of the Swiss olvners to obtai~i the rrturn of thcir propcrti-
have so far remaincd urzsuccessfiil.ils uf tlie ~~rcscrzti,n vicw of111~'
latcst Aineriçüri court dccisions in this mattcr, whicli have heïri
rcstriçtcd to mere proccdural grourids, tl-ic pros~ccts for :r sritis-
factory overall: solutiori scern tu be remote.

Thc Federal Council is of the opinion tIi~it thc rcfusal of tlic
Unitcd States Governnient to return these asse ts is contrnry tri
Article IV, paragral-ih r, of tlze S~t-içs-Allied Accord of May 25,
1944. The Fedcral CounciI, in principlc, as ive11as on accciunt riE
the irnportnnt intcrests inr.oli7cd, fincls it iiiipoçsiblc to acrl~ii~kscc M. Hciiry L., Stiinson, Secré- Henry L. Stimsori, Secretary of
taire cl'État desEtatç-LTriisd'Amé- State of the United States of
ricuc ; Anierica ;
Ec-;qucls,iiprks s'Etre commurii- Wlio, having corninunicated to

rlu4 Icuss ~Alriiispouvoirs, recon- orle asiotlier their full powcrç
nus en bonnc et clue forille, sont founclin good and duc form, Iiavc
conveiliis dcs diupositioris suivan- rigrecciupon the following articles :
t1:s:
.\rticle1 Article 1

1out djffbrend, de quclrluc na- 132;erydisputc arising betwccn
turc qu'il soit, qui viciiclrait 5 thc Contrncting Parties, of wlint-
s'élevercil trc les parties con trac- ever naturc it may Lie,shall, wlicn
tantcs scra, cil cas d'kchec des ordinary dij-ilomatic procecdirigs
pr~cCrlCs diplo~i~atiqucs orditlai- lial-e failcd be subniitted tu arbi-

rcs, soui~iis a Ii;isbitr;ige vri ri1;i tration or to coiiciliation, as tlie
coricl11;ltionsuivant cc rlilcrléciclc- Loiltractirig Piirties rnay ;it tlie
roiit ;ilorslesp;irtics contractantes. tinie decidc.

'l'oiit diffircricl (lui n'aurait pu Aily dispute wtlich has not bccn
ietrci-6glEp;ir la voic diploiiiaticlue settled by diploniacy and in
ct pniit la solution cluqucl Ics par- regard to tvhicli the Cotitracting
tics coiitr:ict:intcs n'auraiciit IXLÇ, Pariics do not in fact Iiavc
cn filit, rccuurs 3 un tribunal cl'ar- recoursc to adj udicatio11 by iiri
l-iitr:igscra sovi~ziç,hiusfilis d'cil- arbitral tribunal sliall he sub-

cluCtc et rapport, :l urlc Commis- mittecl for investigation aiid
sion pcriiiailcntc de conciliation report to n Permanent Corn-
coiistituée conioriziSincnt rlcc qiii ~iilçsion of Coilciiiation coiisti-
cst prescrit plus loin. tuted iti the rnanner hcreinnftcr
prescri bed.

Article II1 Article 111

1,;iLo~iiinissioi~pcriilancntc dc 'I'lict'crmancnt Cotninissiuri tif
ccir~cilintiot~ coniprcndrn citiq Conciliation sliall bc comlir_iseciof
iiii.iiibrcs et scra constitufc nussi- ti\.c n-icinherçaiicl çhall bc cuiisti-
tiit que 1)ossihlenprGs1'Ccl1;it1g decs tiitcd as ~ciorias 1>0~s1i>n iti~rtlii:
cschangc of i-atiliçatiotic; of tliis
1.3tilic;itirirrIu~>r&scrtirtiiitt!. Lcs
piirtics coi~trnctaiitcs izornmeront Treiity. Eacli of tlic Çcintrnctrrig
chacunc dcux merribrcs, l'unchoisi l'articç shnll nppoirit t\\-O inciil-
parmi lcurs propres i~;itioi~at~sl,c bci-s, one frorii nmong its riwn
scconcj pariiii lcs rec;sortissants ~i;itinrials, the otlicr froiii nizio~ig
rl'iinEtat tiers. 1.31~dsésigricroilt tlic natiot~:~ls of n tliirclÇtrtte.
d'un corninun accord lc cinc~uiérne ,llie C:ontr;icting Partics xi-ill,in
ii~rrillirequi ne sera lias undclcurs cuinrnoil nccorcl, appciirit tlic fiftli
nntioiiiius ct rliii scrx dc plein ~~i~~iil)er\~v11(~sI1;ill 11nt 111% ont droit prhident de la Commission. of tlieir nationais, and who shall
En cas de désaccord sur le choix be ex ofictu tlie Prcsident of the L
du président dc la Commission, Coinmission. if no agreement iç
il sera procédé à sa nomin, ction, reached as to tlie choice of tlic
conformément au modc presçri t Prcsident of the Con-zmissiorihis
aux alin6as 4, 5 ct 6 de l'article 45 clcction shall be c~iltluctctliti
de laconvention pour le rkglement accordaricc wi tll tlimet hod prc-
pacifique des conflits internatio- scribed in thc foiirth, fifth r~rid
naux, conclue, 1,a Haye, le sixth p;iragraphs of tlrticlc 45
18 octobre rgo7. of the Convention for tlic Pnciiic
Settlemcrit of International 13s-

putes, concludcçl nt Tlie Hague
on Octuber 18, 1907.
En tout tcn~lis, lorsqu'iln'y At any time wlicii tlicrc is 110
aura aucuii cas liendant dcvnn t cnsc bcforc tlieCrii~~tnis~iotic,itlicr
Za Commission, chacune des par- of tlic Coiztr;ictiiig 1';irtic111;1>7
tiescontrnctalitcs aura Ia faculté rccrilla nicmbcr of tlic Cotiiiiiis-
I de rbvoqucr tout membre dc la sion xp~-iointcrE!>y ~t ;mrl iii;iy
Ilorrimissio~i nomtilC par cllc ct desigiiatc Iiis succcssor'l'lit-cc;ill
de luidesigner un successeur. Le of tlic Prcsidcilt of tllcCciil-itriis-
président dela Comrnissioi~pourra sion tvil be cffcctcd ;itxny s~zeli
étre r&voqué en tout temps à la timc on tlic rccluest of eitlicr
requete de l'une des parties con- Contracting Party, ~irovirledtliat
tractantes lorsclu'il n'y aura au- ifthe 13seside1itshnll h;ivc bccn
cun cas pendant devant la Com- elected in accorrlai~cc {rith tlic
mission, A la condition que, si rnethod ~-ircscribcdiil tllc fourth.
le président a étédesignéconfor- fifth and sixth ~-iarngraplzç of
mérnclit à la proctdure prescrite Article 45 of thc Coii\-ciztiori for
par les alinkas 4,5 et 6 de l'arti- tlic Pncific Settlcrnerit of Iiitcr-

cle 45 de la convention pour le national Uisputes, coi~cluded at
rhglcmcnt pacifique des conflits The Hague on Octobcr 18, 1907,
internationaux, coilclue, à La no rcquest for his rcc:~ll rii~iybc
Haye, lc 18 octobre 1907, aucunc made within a lîcriod of two yc;irs
demande de rhocation ne pourra froni thc clatc of his clectiori.
&tre faitc avant l'expiratioii d'un Vnciincies, irani wliatcvcr c;liihe,
délai de deux annees A çoinptcr sl~allbe fillcdiissoon as liossible
de sa nomination. En cas de in the rnlinner liereinabu\~c pro-
vacance de sikge et quelle qu'en vided for the niaking O[ original
soit la cause, iI sera pourvu appointmcnts.
aussit6 tque possible au rernplace-
ment des membres de la Cominis-
sion selon le mode fixé pour leur
nomination.
Les membres de la Comn~ission Members of tlic Loinrnissioi~
de conciliation recevront une in- çhall receive an adcclunte honora-
dernnitk sufisaiite pour le tenips zium during tlie timc when ttiey

quyls consacrero~~t à I'exanien are cngaged in thc pcrforii~ancc of
d'un difigrend soumis à la Corn- dvties relatiiig to n crise bclote iiiissioil. Cli;icune dcç parties con- them. Each uf thc Contracting
trnctni~tcs supportera ses propres Parties will bear its olrii espcnscs
irriiçct iiirc pxrt Cgnlc rlcç frais :ind uiie-hnlf of thc cspenscs of

(lc 1:~t'oii~r~~issio~i. tlic Coilitriissioil.

! :lsticlc IV Article IV

Lui-sr~iic Ics 1i:irtics contrac- .4ftcr the Coiitrnctirig Parties
tniitcs hc scrn~it I~IÇCS d';~ccord slinll Iravc rigrceci to s~il)mit rz
I-LUU~ ~UU~IC~ tl-c UII ~lilTi:rcriil la dispiite to coilciliation, the Coiii-

procCtlurc clccrincili;itiori,la Corn- rilission sIia11yrocccd to thc con-
iiliççi~~i cicr.:is;iisic sur rctliicte sicleration of siich dispute upon a
;~rIrcssCc ;Isc)i~~~r~:si~lci1ïil:irl't111crccluest çeiit to itç Prcçident by
clcs p;~rtics coiitr:ict:~iitc-;. citlicr of tliei~i.
5:111 [iccord cg)iitr:ii~-t:l,:~Cotn- 'TlicCoiii~~~issius nlinll meet, iti
~i~i~sio iC i-t;iinir:LII1ic11rlksigt~C tlic:iliscnceoi an rigrcciiicnt otlicr-
1J;Ir50lt il05i~ICllt. liisc, ;~ttlic p1acc tlcsigtintcd Ily
its l'rt:sidciit.

1,ii 'tiiiiiiii~~ioi iciit:ii-rihl-cs 'l'lic(3oiiiriiissiotiiiiay fr;iii~its
pro~)r~'wt.i:glcsde I)~OC~L~L~I.L'.\ ciw~irules of proccrlurc. Ili tlie
c1Cf;i~i(lIVtclic5rCglcc;,cllc siiivrn, ;ibsciicc of sucli rulcs it shall (01-
c~~~k:~ (~it~ 1)0ssil)lc,1;pri~céd~ir~: Io\v iii so Far as prricticriblc tlie
II~~I'UC 1~1rlcs ;irticlcs IS à jq iil- proceclurc sct fort11 in Articles 1S
c1uïivi:tilr:ritclcla convcntio~i Isour to 34, iriclusive, of the Coriveii-
Ic ri,glcrncnt ~r;icificlilclcçcoiiflits tiriii ior the Pncific Scttlcriie~~t of

iiztcrii;itioii:~i~~.cniicliic, a L;i 1tternntion:il Disputes corzcliiclcd
1-I;iyc,lc 18 oictcibre 1'307. :tt 'ClieH:igue, October rS, 1907.
I,;i ('iiiiiiiiission prCsciitc,rrisot1 Llie Lor~iniission shnll sulimit
r~pl)c)rLtl;~iisltlr1CI;iid'iitic a111iCc its report \rithiri oric yc:ir ;iftcs
:L cciiii1)tc.rtlu jour oii cllc .iii~i flic clntc oti which tlic case ~1i;iIl
CtCs~iihicdu cliffkrcnd, :1 iiioir~s have becil sulimitted to it, u~zlcz;s
I I Ics partics c~intrrictrintes tlic Cnntraçting Parties shoiilrl, iii
ii';il>rigcjit oii ne lirorogcilt ce ciililiiioriaccord, sl-iortciiar extend
~1l'~I~(i'iiill co1ll~illL~il!ccorrl. 1-c ilic tiriic lii~iit.Thc report sIi;~lIbc

r;~lq~)i'lscr-;iCliililiciltrois csciii- 1~cp;rcd il! tril~lic;~t~, OI~C CVI)~
pl:iirt:s;lit1CSCII~~~~;LI~C ~CKL rcrnis sliall bc jirescilteclio ericli Guïcrn-
à ch;itliic goui~crne~nci~ tt Ie ti-oi- nient nricl the third rctairiccl 1iy
sii:nic, rctciiii par 1;i Loirîiiiissioil tlic Coiiiniissiori for its files.
pour scs Joçsicrs.
Lcs 11;irtiesçoiitractai~tes s'cn- The Coritracting Parties agrce
gagc11tA fouri~irILla C'omiliiçsioi~ to furilir;h tlie Cori~n~issioriwith

tous lcs inciycns et flicilit6s iléces- al1 tlie incans ailcl facilitics rc-
%tires liouF soi1 enrlilïtc et soii cjuired for itç investigatioiz iirid
l";ipj>ort, rcport.
:\pri:c; iluc IC r;lp~?ort clc 1;1 Thc Corltracting Parties ruseri-c
('oniiiiisçiun Ic3iir;iiir;i Ct; soiinlis, tlic riglit to act iizdcl-ier~rlcritl011
Ics ~):irlir:sçnrit';tct;ii~tlhc rilscr- the siibject riiiitter of tlic disl~iitc
vcront lc (11u i {l';igir libreii~c~it iiftcr tlic reportof tlie Coriimisçioil 50 ANNEXES .lL.4KI'QUC'T (NE 14)

dans la question ayant fait l'objet shall have been submitted.
du différend. I

Article V .Article V ,

Les parties contractantes s'en- The Contracting Partics bii~cl
gagent i soumettre à l'arbitrage tliemselves to çubrnit to arhitra-
tout differend clui se serait &levé tion every differcncc which riîay
ou s'élèveraitentre elles sur une have arisen or nlay arise bctwcen
prétention de nature juridique, à thcm by virtuc of a clair11oi rigt,
la condition qu'il n'ait pu ètre which is juridical in its iinturc,
résolupar la voie dip1om;itiquc ou provicled thnt it lirisnot bccn
qu'il n'aitpas éti rSgl6, en fait,L possible tu adjust such diSi'fcrc~icc
In suite d'un rerivoi ;ila Commis- by diplomacy aricl it liiis~iotin
sion peniiailentc de conciliation fr~t bccn :icljustctl a.s;i rcsrilt
constituée conforin&inci~t aux uf rcfcrciicc tci tlir I'cr~ii;itlciit
nrticlcs Il et III du prbeizt traite. Cori~rizissitiof Cotici1i:itiricon-
stituterl pursuant to :lrticlcs i1
and II1 of this Trcrity.

I Article VI Article 1'1 I
Les dispositioiis de l'artidc V Thc provisiorzs of Article V
shnll not bc invukcd in rcslicct of
ne pourront etre invoquées dans
tout diffirend dont l'objet any clifferencc the subject ninttcr
of which
a. relève de 1ü cor-i~pétcnce a. is within thc clo~nestic jiiris-
exclusive de l'une ou l'autre des diction of either O€ tlic Coritract-
parties contractantes; irig Partics;
b. affecte les intérets d'ktats 1i.ilivolves the irltcrcsts of third
tier; Parties ;
c. dépend du maintien ou c. depcnds uyoi-ior invnlvcs tlic

touche au maintien de l'attitude maintenance of tlze traditiunlil
traditionnelle des États-unis attitude of the Unitcd States of
d'Amérique dans les affaires amé- America concerning Aiiicricnii
ricaines, communFrnent connue questions, corniiionly describcd iis
sous le nom de doctrine de thc Monroe Doctrine; .
Monroe;
d. dépend de I'obçervatioi~ ou d. dcpci~ds uporî or invri11.c~
touche à.lJobserv;ttion des engage- thc observance of tlic oblig<t1011s
ments assilrnks par la Suissc en of Switzcrland in nçcorclancc wi tli
conformité du Pacte cle laSociétk the Covenant of thc Lcagiic of
des Nations. Nations.

Article VI1 Article VI1

Le tribunal auquel seront sou- Tlic tribuiinl to wllicli juridic,iI
mis lesdiffkrends d'ordre juridique differci~ces shnll bc sul~ii-iitcrlscr;i constitue, dails cl-iatluc cas s1iaIl bc detcrrnined in cnclr case
p;irticiilicr, par les partics contrac- by tlie Contracting Parties but
taiitcs. 'I+oiiIcfoisct s:iirf :tccorcl slinll, in tlic abscrice of other
coirtr;iire, cc tribunal scra 1;iCorir :igrcemciit, be tlie Pcrr~îanct~t
Court of Asliitrntion cstablished
j~ermailcntc d'arbitrage dtnblic 5
Lu Hriyc par In çoilventioi-i pour at Tlic Hague by thc Convention
Ic rcglcmeiit p:icilicluc dcz;cni-iflits for the J'ricific Scttlcnlent of In-
iiitcrnntionnzis, coi~cluc le 14;oc- terriational Disputes conclhicicd
tubrc 1gri7. 1-cs dkcisio~is relatives Octobcr rS, rr)o7. 1)eciçion as to
~tii tribunal ft.sont l'objet, dniis: the tribunal shall bc made in crich
ch;irliic cils pnrtictilier, cl'iin :ic- case by a special agreement, u+\iich
cor~ls~)~ci;il,cltii pciurvoirii, s'il!. special agreement shal provide
r~licii, 5I'orgnnisation clutrihun;il, for tllc organizntion of the tribu-
n:tl if iicccssnry, sl-iall definc its
tlCliriii ;i 51:scirvoirs,CX~IO~C~;L 1;i
clti12qiciioii I(.cln~:stioiis cii litigc poivcrs. r;li;ill stntc tlic clu~,qtiori
ct rlCti:rriiiiic~r;iIV.iliit,sti»ri.il or rlucstiriris :~t isçtie an<I s1i:ill
l-~~(lll(!~c, s~:ttlc tlic tcriiis of refcrciicc.
('ibt ;icct>i.rl.;pCciitl5cr;r rlilns S~iclispecinl agrcenicnt shlill, in
cli;icluccas cr)iiclii,pour la Suisse, eiicli case, Iricmridc oii thc pi-t of
cotifortiikii~ctit A lit Ctiiîstitiitiori Sir~itzerlandin accordance \ritli i ts
fcd;rnlc, ct, pour Ics Etats-Unis constitutional law, and on thc part
ci'iln-i6rirliic,p;irle I'rLçidcnt nvcc of the United States of Amcrica
1':~~i.c;tIc coiisciltcmciit du Sbnat by the Preçident thereof, by ntid
)vit11tlie advice and conscrit of the

Scnatc.

1.c. jwCscnt trnitC scra r;itiiib Tlie lvesetit trcnty shall lierati-
p:~r lii SUISSC confurinCrnerit 5 la lied by Srvitzerlarid in accord:incc
C;oiistitilticili iCdiralc et par le r~itliitsconstitutional la~cancl bp
l'rcsiclcnt dcs Etnts-Unis rl'AriiE- tl~cPresideiit of the United States
ricl~icnvcc l'avis et le conscrite- of Arnerica by and with tlie
incilt clu Séiiat. ;idvice and coriçenl of the Sennte
tliereof.
The ratifications sh;ill Ili: cs-
L'Ccli;ingc dt:ç ratiiicatioiisiiiir;i
lieu :i W:isIiirigtoi~ cliins le plus chnnged at Washington as;çoun :is
brcf delai possiblc ct Ic traité possible, and the treatj~ sh;ill co-
entrixi ct? vigueur le jour de ine into force on the day of thc
I'i:clinrigc dcs rnti1ic;~tions. 11 escliange of tlic ratifications. It
clciiicuri:r;i en viguciir aussi long- stinll there;if ter rcmnii, in foi-cc
teriips (/n'ilri';iiiraprisFtl:dénond continiiously unless ririclutitii ter-
siii-avis d'iinc ;~nliCcdotln6 par minntcrl on noticc of one ?car 11-
I'uiic tlcs partics criritrrict:i~ztcsà either Co~iti-acting Party tu tlic

l'illltri:. other.

i?n foi (Ic clriciiIrs plbrzipotcn- Trifait11wliereof thc resyccts\~t.
tiiiil-vtiritsigni: Ic prC.serzttr:titC, 1~le1iiputcilti;iriesIi;ivc sigi~cdtliis en deux exemplaires, chacun en treaty in duplicate inthe Frcnch
langues française et anglaise, les and English languages, both texts
deux textes faisant également foi, having equal force, and have Iierc-
et y ont apposé leur cachet. unto affixedtlieir scals.

Fait à Washington le 16février Donc at \Yasliingtoii thc six-

mil neuf cent trente et un. teenth day of February in the
year one tliousand nine hundred
and thirty-one.

L. S.(Sig. M)arc PETEH.
L. S.(Sig. H)enry L. STIBISON.

A'ole des US.4-Slnnlsdcpl~rll:ri1l:11l~'b
voiizIr.Jnmiar 1957

The Secretary of State presents liis coniplinients to thc Honorable
the Rlinister of Switzerland and has thc lionor to rcfcr to thc
Lcgation's notc datcd August g, 1956, conccrning ccrtaiii sharcs in
Gencral Anilinc and Film Corporation, an Americari corpor t'a ion,

held and owned by thc United Statcs uncler tlic Trading with the
Enemy Act, and claimcd by a corporation incorporatecl iindcr thc
' laws of Switzerland, SociétéInternationale pour Participatioils
Industrielles et Commerciales S.A., licrcinaftcr callccl Iritcrliandcl
and the Swiss claim to the right to a releasc of tliis propcrty hccausc
of thc provisions of thc Swiss-Allied Accord of Rlay 25, 1946.l'hc
Swiss Government has requcsted arbitration or conciliation of tlic
claim witli respect to the propcrty in question.
In the note under refercnce, tlie Governmciit of S\\~itzcrlantl
further rcquested that the stntciquo bc maintairicd in rcspcct of
those shares pending arbitration or conciliation procccclings.
The Unitcd Statcs Governmcnt deeply rcgrcts that tlic Iiitcr-
handel casc and tlic interpretation of the provisions of tlic Stviss-
Allied Accord have so long rcl~rcscnted sourccs of clisagr,cccmnt
bctwccii thc Unitcd Statcs and Switzcrland. Ovcr a pci-iotl of
many ycars tlic two Govcrnments Iiavc on rcpcatccl occasiuiis
cxpresscd thcir \;ie\vs on these subjccts.
Mindful of the traditionally fruitful and fricndly rcl t'ioiis

betwccn the Unitcd Statcs and Switzcrland, thc Unitcd Statcs
Goverilment has given most serious considcration to tlic vic\vs
cxprcssed in the aforeincntioned note. Tliis has involvcd a thoroiigli
and lengthy reexamination by this Govcrnmcnt of the yaricd and
complicated issues connectcd with tlic proposais of the Swiss
Governmcnt. Tliis reesamination has rcsiiltcd in conliriniiig tlic views oil this mattcr herctofore comrnunicatcd to the Swiss Govern-
tncnk on relicatcd occasions since 1947.
I l3ic Linitcd Statcs Governmcnt regrcts thercfore to iriforni tlic
C;ovcrrimcnt of S\vitzcrlaiid tliat for reasons set forth in dctail in
thc ericio~~~ilncrilorandun~, it cannot agree to the suggestion of tlic
Gover~ît~icntof Switzcrla~id that tlic said matter Ise rcfcrsed tu
;irbitr;itio~t, otithe ground that the rnrttter docs not in\.ot\-e a
diçputc ialliilg \rithiri6 tlic scope of the obligation to have recoiirsc

to arhitrrition. Likewisc as to the suggestion of conciliation, tlic
Uiiitcd States Govcrnmcnt rcgrcts tliat it cannot acccdc to rliic;
sliggcstion for tlic rcasons set forth in said memarandum. In viciv
of Iliis çuriclusioii, tlic United States Govcrnmcnt also regrcts to
stritc tl-l;it it ç~innot ;igrcc to tlic rccfiicst of tlie Govcrnn-icnt of
I Ç\rit.zr:rlaild thrit tlicslrr/il> qitubc iiîainiai~iccl in rcspcct to the
;issctsof 1sitct.liandcl locatccl iii tlic United 5talcç.
'The Unitcil States Governincnt rccalls jtsnotes of hlay 27, 195.3
;iricl juric7, 1955 to the Gc:jvcrriii-ientof Switzcrlancl, in which the
Attui-nqr Cic~icral (ilthc Unitccl Statcç csprrssed tlic ~r~illingiicsç to
~it:gotiatc \vit11tlic parties a scttlcincnt of the case in the Ijnitcd
5t;~tcs courts. Thc Attoriicy Gencrril remains ivilling to entcr into
clircct ~icgutintioriçwitli tlic parties to the suit or their duly autl-iur-
izcd rc~irescntativcs, in tlic liglit of thc status of tlic suit, fur ri
sc:ttlcmc~itof tlic case \ilhicIr \vil1protect tlic legitimate iritcrcsts of

;il1lmrtics coiicerncd.
ISticlusiirç:
l
;\lc~ncii-aiir!uin.
I Ilcprirtmcnt of State,

IfC I cles U.S.4 -SllinfsrlePorfc-
t~ie~~fcvoirarr. Jnirr~nr 19 37
'I'lic Gorcr-iinicirt of 5\r.itzcrl:irzclh:is rcclucsled ai-hitrntioii or
conciIi;~ti(>t~,1~irsi1;~ri c7 t11cTl'rt;;lt!uf l~cl~ri~:iry16, ~yjl or tllc

5n.iss-:\lliccl :lccrird(.iMay Pj, ~946, of tlie clucstion of its riglit,
ii1irlithc tIçcrirtf of~046, to the rclcrisc[ifccrt;iitz shrires in Gentat:il
;\tiiliiii~und t'ilii(/rir~-ior;itiri,ri tliî-icricriticurporntion, Iicld iiiid
ci\vnetlti~. tllc Ijtiitcrl Strites iinrlcr rlrc Traditl;: \vit11tlic Eneni!*
.\ci ;itid ç1;iiiiîcclby ci.Slvisç corpor:ition, 5riciétk Iritci-nationale
11011rI'nrtici1i;itions Tiiclustr-icllcset Cumincrcinles S,:l., I~ercinriftcr-
c:illcrl rtcr1i;itidel.

I 1. Ï'lrc'i'rcrrf~irritttlic Cnsc iriilic Ciriilcr.5!nlcsCoiruts
i ,1IicirinthZr riEtlw IJ\I.IICTS~I~offlic sl~aresin qucsticin has bccri thc
siihjcct çif ~irocccclings,tion: çc5nclucled;iftcr a fi111 and fair iiearitlg,
ititlic cciinl~ctcr~tcniirtc; of tl~cLnitrrl States.
1 The shares were vested by this Govcrnmerit in 1942, undcr tlir
Trading with the Enemy Act, as thc propert): of 1.G. 1;arbcii of
Germany. In 1948, Interhandel, a Swiss holding compaiiy, liroiiglit
a suit for the return of the shares rigaiiist the Attorney Gencral
as successor to the Alien Property Custodian. The issucs \\-crc
whether Interhandel was an encmy or was encmy-taintccl iiiitlcr
United States law, whethcr Interhandel owncd the propcrty, ancl

whether Interhandel had participatcd in a conspiracy ivitli tli~
Sturzenegger banking firm in Basle and 1.G. 17arbcn to clo:ik
properties around tlie world, in the iiitcrest of l.G. I;rirbcii.;L
German concern, and to allow Farben to control s~ichpropertics.
In the coursc of proceedings in intcrvei-ition, bcgun by miriorit!.
stockholders of Intcrhandel and carricd to the Supremc Court of
the United Statcs, it has been held that any disinissal of the coiil-
plaint of Interhandel would leavc unaffecteci the rights of initioritv,
non-enemy stockholders.
In 1949 ,he District Court of the Uriitctl Statcs for tlic Ilistriçt
of Columbia, in which the silit was pendiiig, orclcrcd tliat tl~c:
Department of Justice esliibit to Iiitcrhandel al1 itç rccorcls, aiicl
that Interharidel reciprocally exhibit to the Departmc~it of .liisticc
the Interhandel records and the Sturzenegger records coritrollccl II!-
Interhandel. These Intcrhandcl and Sturzcncggcr rccords hacl bccn
examined by the Swiss Compensation Office in an investigation
of the German character of Interhandel. Interhandel thcreupoii

esamined and photostatecl al1 the recorcls of the Dcpartincrit of
Justice, consisting of over 20,000 docuinents. When, howcvcr, tlic.
time came for exhibition of the Interliandcl and Sturzcneggcr
'records, the Sturzenegger rccords were scizcd, by order of the Swiss
Govcrnment, under the Stviss bank secrecy and econoniic eçpioiiagc
laws.
Thereafter, nlany individual papers were ordercd to bc relcased,
but others of an unknown number, as well as thc books of account
ordered produced, nrere continued unclcr orclcr. of scizurc. This
order, now withdrawn bccausc tlic litigatiori in tlic United Statcs
has ended, was many tiincs rcallirmcd b); the rninistrics iii\wlvctl
and by the Swiss 1;cdcral Couiicil, tlic last i1isti~1iaviiig (.)CCII~I.C~CI
on September 5, 1956.
The papers of Interliandcl itself werc purportcd to bc csliil>itctl
to the Department of Justice, but it cleveloped thcreaftcr that
several thousand had bccn withheld and that tlie books of accouiit
exhibited to the United States Departmerit of Justicc wcrc a
different set from tlie original books esaminedby the Swiss Conipcn-

sation Office. The Basler Nachricliten of March 29, 1956, reports aii
admission by the management of Interhandel tliat the books of tlic
Company wcre kept in a preliminary vcrsion aiid t.hat, \vliilc tliis
version was available to the Sirriss Governmciit, thc :\n-icricnn
De~~artrnent of Justice \vas showii only a final vcrsion of tlic books.
whicli ornitted certain itenis, though the Iinitctl Statcs Coiirt Iinclcstdcrcrl Intcrlinnclcl to prrrducc thc dociin-icnts and books ivliicli
liad bcc~icxriininctl by tlic 5n.i~~Goi,crninctit.

-The c\-cr~tli;lldisniissal ol liitcrliarîdcl's cornplaint \vas l-iriscd
on the iailiirc to prtrdiicc tlie C;tiirzcricggcr pnpcrs. Thc Co~irt
origin;tll!- set thc tiii-icfor 1~rucluçtioliuf thc 1-i:ipcrs as Jiily 1949.
Wlicr~;iftcr lcngtl~~lproccc(liiigs il finally appc;ircci that thc liapcss
\voi~E( Icjt bc pnrdiiccrl, tlic Coiirt rulccl, III IgjJ3 that tlie suit 1))-

Intcrli;iiirl~~lriiiist I>crlis~~ii.iscc\lvit11~>i-cjiidicc- for the fniliirr of
tllc cl;ii~i~;~iitto prtirlzicc tlic i-cclziirctlliapcrs, IIr ITccl. ciiili.4.3j.
'I'IicCc~iii-Iticld tliat 1ntcrli:ititIcIIiad slioiir~iitsclf iinable to cornpl!-
\vit11tlic fiiri(l:imcntnl riilcs of tlic Aii~cricnnj~idicial systcin iziic1c1-
11.tiici1tliv f;icts rniist bc fiilly clevclopcd and reuealcd in cirrlcr
tliat jiisti c-i:rlrrnc. Ii n-as lzrld irrclcrnnt tlirrt Iiiterliündcl \\-as

prc\,~:ntc~.. lI!, ~IIC01-dcrs of its Govcriiiz~ent frorzi ~iroc~ucirzg tlic
I):LI>C"S. 1111:Court 11~it~dtJi:lt it nf;ls not sitting in judgniclrit oii
1licbstTcsc~c \IL\ s of Sii-itzciItinrl; l1i:it iiciitr:rls;is 1vcI1 ab citizciis.
govt-i-iiriii~~it is, \i.cll:13 ii~~li\.iclii:ilxci-c rcrliiist:tltn çornyil!. \vil11
tlic.rrilr~sof prticccliirt~ tif I'~iitcrl<tates cnurts, ti-liich arc cleçi;;ri~~tl
to gi\.t, fiill rlisco\.cr). of tlic fncts tri thc arlversc Iriarty in tliib
i~itcrcst rii fair nncl jiist st.ttlc.ri~ci~t nf dispiites.

'1'(1itclol~t ;III)*t~tlivi-coiir~c, ilic Coiirt 11~1~" 1i,i-OUICI 11cr11iit :I
forrhijitigovc51-iiiiicr-tiu t rclr1nc;corily tlic rlocurncrits fa~orablc tu
oiic 1);ntj- :~i~tlto rct;ii~i or dcstrtq- tllc rcçt" and "might dcfcrit
tlic 1'2rl~j~~5 of thc -l'r:irliiig~vitli tlic ISnc111y-Act hy pcrr-tiit[in:;

;I forc~i~iiii;iliciiialto liriiig siiit in thii; coiintrjv t~i recovcr prol,crt>-
sri~ctl iitidcr thc Act niitl thc~i scck slicltcr utidcr thc protcctivc
çiri;lk of its:gci~~criiriictitii-hcn cliscovcrjr is solight". TIic Court
ciiiicliiclrd tli;it "rliic ~itoçi:sc;~voiilclbc clcnicclif ;Lforci gr^govcrti-
niriit ivcrc to Iic allowccl tri friistrnte thc procedurcs cstalilislircl
~II tlic Currrts of thc ljrzirecl States".

'TlicI'ilitcd Statcs Court of Xlipcals for tlic District of Co1unibi;i
iiti;ir~iiniiiislynllir~iicd tliir; clccisioti alici tlic Iji~prci~icCourt of tlic
Ijtiitilrl St~ilcs 11;~s i'cfiiscrltci rcviclr. tiic case fiirtlicr-. ZZj 1;. il
s:$z, .$30 (:.S. t).<7.
In -1iiiiibIrj55, \vIi(.~itlic l:o~irt (il !\~ilicals ;itfirniccl tlic rlccisioii
iif tliï IIi3l1ict Cuiirt, it KI-ait1crl IIItcr1i;iiiclclslill ;inotlicr estcnsicxi

of titiit: of sis iiiuiitlis tri ~irotluci:tlic rrcorris, ;incl tliis cstciisiori
$va% ]il-~Iiiii~ctlclilring the Stilirctr~c Court's criiisidcratioii of tlic
iri;ittct-. 'I'licInst csicnsion of tii~~ccspircd in ;iugust 1gj6, ancl tlit.
case iioi!.5t,111dscli+~iîissectlvilliout Girl?;qualification.

l-tiitccl Stritcs çotirfs arr I;nolvn for tlieir iiidcperidcncc :itiçt
rcntliricbs.i tu rlrijiisticc ;it thc siiit of rill, rrg;~rdlcss of ivliethcr tht:
siiitor is ;in nlicn or wlzcther thc Lnitcd Statcs Govcrnment is tlic
1);irty agaitist urlioni ceirn1il;iintis hrouglit. Tl-iese courts 1-in1.ca
ço~itit~riirig~ircocciip;itioil to riiairit;iiii thc princi~ilcs botli cifrie-
riciin ~o~istitiltioi~;iiliii11aiid of irltvsn:~tioi~;~ ;IIY tl-iat proptert!.

iii;i~-tiot Iir,t;ikrliifrciriicilixi.11 or iilii~i\iriiliciiit diic Iirocpss of l;i\r and that for every taking claimed to be illegal therc niust bc n
full remedy.
The course of the proceedings in tliis c;ise lias slio\\:iitlic solicituclc
of the laws and ofthe courts of the United States for the riglits of

Interhandel. By Sections 9 (u) and 32 of tlie Trading \\ritIl tlic.
Enemy Act, Congress has given two rciiiecliestoany Ilerson clniriiiiig
that he is the owner of vested propcrty and that lie is not encniy-
tainted. One is the right to file a claiiii \vitIl the ~idiniriistrati\~c
authorities. The second reiiiedy, Iieard de ,~iovoby the courts
without any prejudicc by a failure in tlie first remccly, is tlic riglit
to litigate in court. Interhandel has had the bcncfits of botli rcriic-
dies. Both its claini and suit have been clisinissecl.
The remedy thus provicled by Congrcss in tlic Tracling \vit11tlic
Eneniy Act has becn liclcl by tlic Supiciiic Court of tlic L'iiitctl
States to be full and ndcqiiate ariclin coinpliancc witli tlic 1~riiicil)lt:s
of the Constitution mcntionecl abo\,c. .Sloeli.rv. 1,I7rrllricc 235 [;.S.
239. The rulcs of procctlurc in the Uiiitccl Çt;itcs courts rc.g;irtliiig

disclosure of inforiiiation ;irean integral 1);~-of tlic jiirlic.i;ili-ciiic~ly
afforded by tlic Unitctl Statcs, aiitl :ire in cornpliaiicc \vit11tlic staii-
clardsof international law for rifair lienriiig. 1ntcrli;inclcllias rccci\.ccl
due process of law. The claiin of Interhandel to tlic sli;ircs in
cluestioil has thus been defeated.

II. Th.e Claim of the Swiss Govertznce~zf
The Claim whicli is bcing niade by the Swiss Go\.criiiiiciit ib
stated to be based upoii the Alliecl-SwissAccord, signed nt \V;isliing-
ton on May 25, 1946, ancl Iztiown as the Washington Accorcl.
' Arbitration or conciliation is requestccl undcr thnt :\ccortl ui-
under the Treaty of Fcbruary 16, 1931.

A. ï'lzeClaiwt Under the Wrtslzi~rtgto.~ Jccord

In respect to the \Yashington Accord, it has bccii nsscrtctl by
tlie Swiss Govcrnmeiit that a decision by tlie Swiss Cotnl~ciis:itioti
Office in 1947, affiriiicd by the Swiss Autliority of lievieiv in rgqS,
to the effect that Interhandel is a Scvisscoiicern ancl not Gcrinaii
o~vnedor controlled, was a decision ~~ursunntto its authority uiitlcr
the Washington Accord of May 25, 1946, rind tliereforc biiitling on
the United States to release Interhandcl assets locatcd in tlic Uiiitctl
States, under Article IV of the Accord. Article IV ~)rovitlcs tliat
"tlic Governmctit of tlie United States ~villunblock S\viss :isscts
in the United States".
The United States Governnicnt crinilot accept this arguniciit.

The decisions advertecl to were not uncler tlie Accorcl biit \rcrc
rather decisions by Swiss tribuiials under n Stviss clccrcc of Pcbrii-
ary 16, 1945. Moreover, even liad tlic decisioiis bccii niaclc iinclcr
tlie Accord, they \\:oiilcliieccssnrily I.invelinclto bc liiiiitcrl;il)l>Ii-
cation to Interhandel's risscts in S\\:itLerl:iiitl;inil woultl Ii:~vc1i;itl riii~blfcçl.oii tlic (icl~ci.;ilAiiiliiic aiicl 1Til1rs ilinrcs siilcc tliosr hli;~rcc;
;irrb~~til~~rt!i:n tlic L:iiitihtl Stiites. ririt iiici\\.itze:rl;iiid.Tlic ;iiitliosit!;
tif tlic Siiis:, I:oiii~iciic;;iticiiO i l'lic~:irirl of tlic :\iitI-icrrity ot lici,~e\i
iiiiclcr tlit: .\ççiircl dit1~iott5iicnlnlr;issC;criii.in ,isscts 1ac;ited outsidc

5\viCzcrl;~ii(l,bciiig liiiiit to siiclr ;isscts Iocntccl 111 SI\-itzcrl:irid.
I,iistly, tlii: r)liligiitiriiito unlilocli iii:\rticlc IV rcfcrs tci tlic lifting
tif I-rlitc:d St:itcs Src,t.;iirg.ço~itrols oiî ndniittcrlly Sivis5 ;isscts antE
iic~t10 tlic rliichtiiig (ripinlicrt?. schtccl II):tllc ;\licii I'ropcrt-- C.ii.;tli-
diiii~ :15 f;~:I-I~I:IIclit!11iy]3rqlci.t~-,lv1iicl1 ]I;IS:ilis:i>-bbccli f~dl).iii~dcr-

stcirid tu bc ;i uIiully difl<:rciltni;itt\~.
I. 'Flic l)roc~ctilzrib"b ;clrlirc tlic Çi~ish Cv~iilieii~ntiuiiClthcc ;iiiii
tErtb .\iitliririLy cil Kc\:ie\v ivcrc iicit l>rocceclirrgsutldcs tlic -Accord
.iiirlt1ii1s criiililiirit 1)vIiiiitliiig oii tlic Jiiiiit Cciri~ii-iissioc ~ci;t;iblishctl
]~II~~II:III~ tO l!];LI.'ici.(~rc l)I-oii tli~ :'illics. Tlic ~~roccccliiigs \ver(*

luirt~lj~S\VI+, l~tbfort ii Sivis5tsihiit~;~ I811 ;I51vihs sii:tttcr-;~ I~lockii~~
I~f 1II~~~I-II,~III(I~ ?I~51vis~ ;III[l~(fsi tlh LIII{~~T :I S~viss(lccrt%c.
'l'lit'clr*c-isioii. ;f t lit. Si\ ~ic, l'ciiiilir>iis.rtiiiiiOffiçc. :iiitI of tlii.
.\lit11ority (~l l<c*\*i~w ~vvrk-I>;IMYo In ~11ti~rliii~i~I~c1n'i~ iipI;~ii~t.
'l'liist:iiiii~>l;~~i~ t.rllicli\\ irisiitiitcd cvcii bt:forc tlic \V;isIiitigtciii

:licc~trl \\.;I+sigiiccl, \i.,15 :ig;iiiir;t donicstic, Suiss blocki~igof tlil-
;is*i.t\ cil'Iiitcrfiiiiiilc.l, il1 Clctcibcr niiil Nove~ribcr 1945, uncici- ;i
i;\i-iss clccrcc of l;cbruni-y rb, 1945. It ti,ts bcen c1;iirncrltliat tlic
~lcci.;ioii uf ttic SI\-i-s Autliority of I<evie\s, \\-hm it nffirmccl tilt.
ilrcisiciii (IIthc lchscr body, u,ns onc uiiclcr tlic \'li;isIiiiigtonAccord,

;iirtl iiisulq)urt "f this it 1i:isbcen c1;iitiicdthat thc snle purposc of
t lit, .\~itliririty of I<i:\-ic~ris to Iicar diçl~iitcs nrisiiig iindcr tlic
:\ccriiil. Ho\vc~cr, 1,). tlic Sak rlccrcc oî 1)ecciiibcr 27, I946, tlic
.\~~tllt~ yi ~v,~sgivc~~ 1i~ri~tlictioii oie<:r l~tircly Sivihs iii:ittcr~,

iiir.liirliiig ;iyljicll;itc jiiristlictir~~i cizgci-tllc dccisioi~s uf tlic Çwiss
('oriil ic~is;tirriiiOi'hcl: 111 rcspcct cif blrsckings iiiirlcr tlic Swiss clccrcc~
iiI l;c\-irii;iry 16, 1945 Thiis, \\-hm tlic :Itithority of Hcvic~r. ci11
.l;iriii;iry 5. ~(jjN, ;iffiriiii:rlthe rlccision (if ilic Siviss Coii~pcnsatiuii
Oflii.tb, ii \v,ts titit ;~tiiig ~iii(lcr~III:~~cc~~rlc xlit ritthcr as ati c~~tircly
5\i 15s Iiiirly iisr~sci.;itigj~irisrlictioii gr;iiitcd b!- Cjiviss la\\ t~i,titiriii

;i tii:ci~iciiil)!. ;iiiotlicr S\vi.;s body iiiiclcr ;L S\vis.; ]ri\\-tlie rgd j
I,liir:kirigr1ccrc.c. -.
-L'licrlcci';ion iii;ilic~this c1c;ir. 1lïc titlc ul thc Jecisioii stat c-i
tl~it tlw ~~i;~ttcir~l~.{~lv~i~ s(l, ~~t~:rli~~~~:c \lc]l~:~l:~g:iiiisttlic ~gq5
t~lockitig. In t2ic ciIiinioii,thc :\iithority cci~iççsiisitsclf only 1r.tili

\\Iictlii~t ~Iii: f:icts 1v:irr;iiit thc blriçliing of Ii~tcrlinnrlcl titidcr tlic
1045 I>IricI;iiigdccrcc. liiirtliérninrc, tlic j uclgi~ie~itis oilly tliat tlii:
5n.ihi Iilocl;iiig is rt-,ciiidctl rt:trrincti\.e tri tlic rl;itc ~t u:is iml>oscrl,
0ctcihc:r *jo. 194 j. 'l'liisclritc \tv;lslorig bcIorc thc \\T;isl~iilgto~:i\ccrircI

I\.;IS iicp~ti~itiarl.'I'Iir: Lict tli:it tlic Joint Corn~nissiuii iititler thr
\\~;isliiiigtriii :\ccorrl iii\.tccl to j»in in tlie prncecrliiig ;\\id
r.i.Ciisr,ctl e!ii <ri (lit1liot cti~ii-crrtlii: ti.t:ci.;ioiiiiilri ;i r1ccil;ioiiiiiiclcr
tlir? -\cciir.tl.'l'liiJoiirt (:oiiiitiirçiriiini;iclcit clciir tlirit tlic Eritcr1i:ii-i-

(1t.l c;lct9 l~.fiir.i?it. ii~i(1i.i-tlit: :lccnrcl \Y;IS :i sc1i;irntc ~niittvi., st il1 on its agenda and that the decisiori of the Aiitliority coiilcl 1i;ivc
no effcct on tlic case uriclerthe Accord. In its lcttcr of I)cccrnhCr IO,
1947, declining the invitation as iriappropriatc iiiider the i\ccortl,
the Joint Cominission said:

"The case in qiicstion is still uiiclcr consiclcratioii I)y tlii.
Joint Commission iindcr tlic tcriiis of tlic \Yaçliingtori r\ccortl
and as yct the Commission lias not disagreccl ivitli aiiy dccisioii
of the Siviss Coiiipciisation Ofîicc and thiis tlicrc scciiis no
1)asisfor the Joint Lominissioii to appcar beforc tlrc Coiniiiissioii
de Recours at this tinie as providecl in Articlc II 1of tlicb:\iiiics
to the Washington Accord.

A majorit); of tlic Joint Conimissioii \voiiltl l)rc'f(-rtlicit
the casc of 1.G. Cliciiiic [:liitc!rli;iiiI>c ~)ostl)oiirclI)\ tli~
Coinmissioii ilc I<ccours iiiitil coiisiclcrntioiiof tliciii;~ltc~rI)!.
the Joint Corniiiissioii lias becn cctiicluclccl. 1f, Iic.t\vc:vc~til-i.is
\vis11carinot I~cgrantcd, a n1;ijority of tlic -oiiit(;oiiiiiiissioii
statcs that tlic alq>cal ~)rcsciitcclby tlic aforcinciitioiiccl liriii
can, naturall';, Iiave no effect on any procccdings, iiiidcrtakc.n
pursilant to the Washington Accorcl, on tlic innttcr 1)). tlic
Joint Comiuissioi~."

The Autliority of Rcvicw in its opinion rccited tlic coiitciits of
tliis letter from tlic Joint Commission. \.\Jliiletlic Autliority coultl
not agree to the postponemeiit of its clecision, it did iiot ?;iigx:.cbst
that its decision \vould affcct the issue uiider tlic Accord. It rritlicr
went on to write ricletaileclopinion ùevotccl only to tlic 194-ji3u.i~~

blocking and the clccrec of Febriinrj~ 16, ï94j. Tlic ~\utliority 1,).
tliis opinion rccogiiizccl tli;it it \v:is innking a tlccisioiioii ;I S\\.is.;
blocking casc aricl not one undcr tlic \Y:isliingtoii :\ccor-tl. .I'lic
decision, therelorc, caniiot be,considcrcd to bincl :inyoiic iintlc.r tlic
Washington Accord.
2. Moreovcr, a dccision of tlic Autliority of Rcviciil unclcr tlic
Accord could have no effect on aiiy property in tlic Unitccl Statrs

such as thcse shares, for the Accord (escept for,Articlc 1\r tlicrcuf)
relates only to Gcrnian property in S\vitzcrlaricl rind tlic ;iiitliority
of the Swiss Authority of lieview is as a consceluencc liiiiitccl to
German proyerty "in Siiitzcrlaiid". This is boriic out by tlic \vorcls
of the Accord, its puryosc, the record of thc iicgotiatioiis niitl its
construction by the parties.
In the eritire Iiistory of the negotiations of thc M1:isliiiigtoii
Accord there \vas ncvcr a suggestion by anybody tlint tlic Siriss
Compensation Oftice, whicli the Accord providcd ~roulclclc;il \vitIl

Gernian assets in Switzerland, or the Swiss Autliority of Rcvieii~
should have any jurisdiction regarding assets, Gcrnian or otlicrivisc,
not located in Switzerland. Neitlier wns thcre any siiggcstioii tlint
either of thcsc bodies should have any juriscliction in in;ittcrs;irising
under Article IV of the Accord. 'Tlic iicgotintioiîs \vcrc Sct\vccn rcpresciit;iti\~cs of tlic Uiiitcd
St;itcq, Unit cd Iiitigclom, aiid ITr;iilccoil tlic ont hancl, relircsctitiilg

.-\Ilici1cuiiiitrics cr-ititlctl to sctk rcpnratioi~s from Gcrmar~ ;isscts
iiî S1\4t~crlnnd, ancI rcprcscntntivcs of Switzcrlrind on tlic otlicr.
'1'Iiccciiiccrriof ;dl, ai, is ;ibout to bc dcnioilstrntcd, [var;unly C;crriiriii
4 ;içscts in S~r.itzcrlaiicl.li wns ii~tliis criiiticction thnt provisiciti isnr;
~n;lrlcin Articlc 1 oi thc r-\ccnrd for tlic ii~rictionç of the Slïiss

C'ciiiipc~tsition Ofticc with rcspcct to Gcriil~liinsscts iii Switxerlaiirl.
.II-ticlc 1 \1, tlioiigli iiiclurlcrl ii~ tlic i\ccord, clcnlt \vit11 n pirrcly
bilatcr;il mat tct bct\i~cii tlie Uiritcd Stntcç riiiclS~rit~crI:incl,naincly
tlic i~ril)lncliiiig oC Sii.isr;asscts ili tlic Iji-iitcclStates. It Iras iiot
g(ai.n~i~ti to LIIC SCIICIIIrC cprcsenteel bjr tlic rcst of the Accord, but
1 1-ibl;iii.rtII ;iiit~iitiiibly3iqi;ir;ilc iii.ittcbr,;ilid is eliscusr;ctlscxl~;~r;itcblp

1ii.!\Y
I.l1;1iillll~.( ;t:l2ilili155(bth lo~;l~l~(lil15~ritxcrl;ltl~l \!cri: tlit,c01ic,t-rti
rii tlit:~ii~i>uli;itrir i~i<I Ilicii- (;ovr:~-iiiilrrits is clcar. Tliv tirst t\vo
:It iclcs ilc1tiriiistr;itc:tliic; liiiit:itioil. 13y ;\rticEc 1, ~i;ir;igr;ipl~r,
tlri:S\\,iss C'ciiii~~cnl;;iiioO iillicc ~v;istci itivcstig;itc niirl 1iqiiirl;itc

"l~rul~-rl!,tli ci-cry dc,scri~itic~i ii 5witzcrl~irttlof\-ncd or coiitrollrd
1)i. it:r~ii;i~~ i~ C;crii~aiiy'", :IIIC~1)~lx~r;igrapl~ z tlic (;er111;ii1 c~~siicrs
\i'r.rt:tclit:itit1ciniiilit:tl"for tlic propcrty ivliicli Iins bccii lirliiid;itt.cl
III Si~itzcr1;iiicllirirsuaiit tn this ilçcord". The "procccds oE tlic
lirluitl;iticiii if 1)rcil)crty iii S~iitzcrlantl nf Gcrriians ir-iGcr1n;iiiy"

\vrhrr>tn tw cli\,itlc.tl ~~lii;ill!-bct~vcci~tlic :\llics and S\vitzcrlnnrE.
.\rt. Il (Y),
l'lii*:\cçortl rlitliiritclt1:il~villi Ilic titlc tu C;criii;iil~~rupcrt; i11tlic
I'iiiti.tlSt;itch, ;iltlioiigl~ iii:Ir-ticlc:1 \i it provicleïl for tlic unblocki~ig
01 Sti.1.;~;it.ai:th in tlic 1TiiilcctSi;itch. I tc;siibji:cl 111:ittci.-is lu titlc

\V;LS coiili~ic~ltci (;t:iAni;i~ 111o~wrty in ~~~~itzcrl:~i~~I.
l11 tliv :lcctirrl, in tlic ~\i~ncsclc;ili~~g with pruccdurcs riiid iii tlic
1r.ici-:,siiiiiilt;liicr~iisl c~cli;~iigcrl,tllerc ;ire rcpcatcd ;inil riuIricr!izis:
rtbfcrc~iccscoiifirii~iiigthiit tlie propcrty ~ifhicliis tlic s~ibjcct of tlic

.\ccnrtl 1s (;crtiinn ~irolicrty in Ç~vitzcr1;incl. I':.g.,pgcs 42, 57. j9,
(10 oI ~lic~~lt:~iiirsy chsio~isof tlic iicgotiuturs, 'l'lic cliicf S~viszn ;cgo-
ti;ilrjr c;tntccl, "l-oii ;isk tlic C;crm;iiî :isçcts in S111itzcrl;indfor
i-cl~;~;itions ;iiiel n.c ,isI; tlir: i;crril;irz ;~sscts jri Stvitzcrlnrid for
COI.VI iiig ;it 1c;ist li;~rti;illyuiii-c1;iiriisagairist GeriiiCinyw (pngcs (id-

Oj tif tlic 1i1c:ii;lryscs.;io~is).
'l'lic ~)rciiiiiljlc,illiiiiiirrnting Ilic entirc Iiiirliusc ancl sculic of tlic
:\ccortl, olieris \vit11 Ivcirtls coiiliriiiii~g thnt thc oiiter liinits ol'
flic :\ccrircl arc C;criri:in prolw-ty iii S~vilzcrl;ind. It is said t11;it

ilis :\llit:s~;LYC "cI:iiiil~d titlc to Gcr~ll~iip ir~~-crtyin S\~itzcrInnd liy
i-c;il;ui(II tlii:ç:il~itulutiori of Gcrin;iii!; :it~ïlthe cscrciçc of siipreinc
iiiitliority tvitlmiii Gcrtiiiiii!;", tli;it tlic Slriss Govcrtrliicnt nv;is
iiri;ilile fo r~*cog~iizc thi5 cl;litli but clcsirerl to conlrihutc tri tlic
rrctinstriictiriii of Eiirripr nnrl tii;it in thcsc circunrstni-iccs thc
1);irtics Ii;irl;irri~.cd :if tlic Accord. 60 ANNEXES A L:I BEQULT(E s0 15)
I
The Swiss Government lias itsclf açtcd on the basis tliat Geriii:i~z
property iiot within Switzerlaiicl is nat ivithitl the Accarcl, hy frceiiig

fron~ restrictions linder the Accord sucli Ccrri~an :isscts as iriTri.
adminiçtercd from Switzcrland but were not ;ictually Iocnted tliri-C-.
ori the ground tliiit "thc WnsIiiigtoii :lccvrd covers unly assetz 111
Switzerland". (Fe~iilleI;&clCr:~lc1 ,949, p. 774-j.)
It must be recognizecl, too, th:it thc Amrticni-i ncgotiatt~rc;of tlil*
Accord were not ;itithurized to make nn Accorcl~vliicli\i.ciuld att'i.çt
rigllts to property in the United St:itcs, cithei- i-cçted or suhjcct t<r

vcsting as eiieniy property. Vestcd propcrty is ilut ciiily';~ihjthci
to the power oi longress as sucli but is also siihjec; iirirlcr tfi~
Constitution tri Lorigressioilal corltrol bccniisc it is ~>rril>crt, if 1 1 1 t h
United States. TIic diqiositiun of siicii liropert?; \vas ;intl i.; c;rilcl!
for Congress, which had thcii by stntiitcs, sincc relicritetl ;ii~tciiii-
iirrned, exyîressed its will as io thc seleüsc of property dcciiicd cnciiii-
propcrty under the staticlards of Uiiited Statcs law. Tlicic li;l\.~.
been set out above n Part I, tlie tnethods perii~itt~tlby l'o1ig1-i~c:

for thc rclense of propcrty vcsted as enciny iinclcr tlic Tr;itlirig {vitli
the Enent y Act. Tlicse nietliods ivcrc cscliisive ni-idcoiild it I)r.
varied by negotintors in tlie Esec~itive Uriiircli, wlio :~s tii~.csii.tl
property, were bound by thc Coiistitiition;il psovisiciti tli;it oiil!.
Congress ;inci riot tlic Esccutive miiy clisliosc of ~~rupi:rty (iltlir>
United States. Thc riegotiators werc tliirs nut autliari~ccl tu iir:il\i..
and did not rnake, any agrcciiient iii tlic :\ccnrcl ;iffcctiiig 11sulic t!i

vcsted in the Uiiitecl Stlitcs.
Other inateri;ils, kvliicli nced not no~i;.bc slieciliccl in tlef:iil
' confirm tlint the Accord '1~3s iii tcrnis :~nd in its c~i~st~.~i~ticit~
liniited to Gcrrni~rl :issctsin Srvitzerliind. Iri its origiii iu-as iiitl~iirl~il
to be so limitecl. The gcizesis of thc .4ccot.d lics ;IItllc Iritcr-.i\lliitl
Declaration of Jaiiuary 5, 1943 ind in Rcsolutioii V1 ol tlii:13rcttciii
Woocls Coriferencc of July 1944. I3y tliesc rieci:initioiis tlic 2111ic.?
stated tfieir intelition to urido acts of lootiiig by tIip eiieili!. ;inil to

takc possession af encmy nssets in nc~rtr:ilcoutztric.;. Ili tlic Yotsd;~iii
Protocol of Augusl z, r945, it was agrei:d that tlic r-\lIic.;iitlirr tIi,iii
the U.S.S.R. werc iri liart tcisatisfy tlicir rcpar:itiotis clailil:,frcliii
Gerr~inn csteriial ;issets in ncutr:~l coiintrics. Tik Allictl ('cititrtil
Council for C;erm;iiiy w;is clircctccl tci takc çontrol at~d I>u\vtbr (il
clisposition of Gerinnii estertial a5set.s "iiot ;ilrr.arlyuiitlcr tlie cuiiriil
of thc ljnitcd ?U;itioiisH(I3:trt 1I (13) (1s)). Accordfiigl?7, the. ('cilir.II
Coliiicil enacted its I~iw No. 5, clniiiiing titlc tri C;crri1;11r1 :\t~~rii;il

üsscts. The etfcctu;ition of this law \:jl;itlie sl;itcrlliiirlinsc of tlit,
negotiatioiis, requestcd by the Allies, tvhich culiiiiil;itccl iii tliï
higning of the Accord. Tlic Allics alrc:icly 1i;d 2:~kcricoiitsril o\.rhi.
Gerinnn ~~rolrcrty\vitlili~tlieir uwti horrlcrs ariil tlicrc w;is 110 ~rïcrl
for any iiegotiations or for riny ,lccurcl witli Sr~itzcrliiiitl zi~tII
respect to sucli prolierty. Tliere {vas, linac\ler, nccd foi- ;iri;\ccrii-(1
which ~vouldrecognize tlit: :lllicd riglitc; tri the C;crrii;\ii lirtil)i5rt!-

in Switzcrlnnd. The Pariç Iieparation Agreement of Jaiiuary 14, 1946, was thc
final step in the chain of international events preceding the IYashing-
ton Accord. Uy Article GA of the Agreement the signatory yoi\+ers

agrecd to retain tlic Gerin;tt~;isscts within tlieir borders. ITurtIicr,
they ~iutliorizcdFrance, tlie United Kingdon1 and the United States
t to iiegotiate \\th Sufitzerlnrzd for tlie dispositiori of Gerrnan asscts
iri Çwit~erland, and with tlic othcr iieutrals for the disyiositiori of
German asçcts in thosc other countries. Article GC provideç :
Ii "r -
ICIn-i;in;issets in those countries nrhich rcmained neutrnl
iri tlic \v\r;~;rig;iinst Gcrm:lny çliall be rernoved from Gertnrin
on~iiershil-,or control :~iid lirluidated or disposcd of in accor-
dance witli tl-icrriithcirity of Francc, the United Kingdotn ancl
tlie U~iited Statcç of Arnerica, pursuant to arrangements
to tic ~lcgoliated with the ~icutrnls by those countries. The
iict prnceeds of lirluidation or dispositiori shall be niade

alvailable to thc Inter-Allicd 12cpnr:ition Agency.. ."
It was pursuarit to this authorization that thc thrce ~ianied
powcrs ricgotirited tIie \Vasliiiigton Accord with SwitzerIand ancl in

Article \i of the ~Zccorcltlic ilegotilitirig powers rloted that thcy
signcd 011 bclialf of tlic govcrninentç signatory to the Paris Repa-
ratio11 Agree~ilcrit. The liniitntion on the authority of tlie thrce
powers bound tiiem to scek ozily to gain cuntrol of Gerrnan risscts
in tlic neiitral criuntries, on behalf of the United Nations who are
rricnlbcrs of the Iiitcr-Allied Reparntioii Ageiicy. The three PO\\-crs
liacl no nufliority to ricgotintc with rcspcct to assets outside
Switzcrland.
Accorclitigl!., thc powcrs rcpresen tctl in thc Iriter-Allicd Ilcpa-
riitiori Agcticy hnvc declincd to accclit thc Ç\riss Govctirrnctit's

posstiun 011 tllc Wasliii~gtcin Accorcl. 011 Januriry 21, ~qqg, tlre
Xsst:mbl?; of thc Iritcr-Allicd iiepriration Agericy, cornprising al1
tlie ~~(~wcr~igr~aatcirty u tlie l'aris IZcparation Agrecmen t, 1i;~ving
Iicci~infnrmccl of tlic CjwissGo\~ernrnerit'sarguniciits to thc cuiltrnry
clcnicd tliat tlic ~iigiitnent Ii;irany \;:ilidity. Thc rcsolritiori uf thc
f\sscll~~~l>l-~;~~lsi11[Kil.t;Lb ftlllo\\~s:

"Cc irc;~i11rrxc tli;ii ilit: \Vasliirigtriri ,~\grccnict is c1e;ii-ly
liiijitrrliriscript to :il?l~lstilrly to C;c.rnian nsscts 1oc:itt:cI in
51i.itzi.l;iric.l:~iitlili:it its lririgiingc dcmri1istr;~tcs tlirit ttic.
~ic>goti;tii~ig1~nvt'rb i'cc~giiizctl tli;~ttlicrc \ras ici ;iutliriri>.
\.csZctl III tliciiitu I~iiicC;ci\,crni~iciits9Ictiibers of tlic Inti91'-
:\Ilicrl l<cpnr:itio~iAgcncy, iiin \r.;l~ivl~icli~vo~~ld affcct tlic.
rcljliccti\.c i-igliisotlicistG(~~.rriiiilciitsot-cr asscts n-ithiri tlicii-

u-\ilijiii.isciictio;
CONSIIJERI-~ Clicscfi~re tlbat tlir: clccisioiis of tiic Jririt
Coinrnissivii c:irinot 11cbinclirig or lia\.c cst ratcrri torilil eficca
oi~:i.;scts n-itliiii tlic jririsrliction of Goïci-nments RIi~i-iihci- (i;
tIll>:igt*11cy;1.Switzcrlririd 1lo\i7 contci~rls \ras rriaclc hy thc Accord, mas thus
Iwynncl tlic r:seçuti\-c powcr :is ari c~icroachment upoii the legis-
1;ltix.c:prnr.ri-sof Congress. It criultl tlicrcfnrc ncit bc ninclc nncl it

lifL1Sliilt \)lllA\)ortei !u lx 111:i~lt:"
'l'hcoliligatioii \\-hich was iiiltlcriakcii by tlie LyilitcdStritcs iintlcr
.\riiclc IV cif tlie Accord xis ~nercly to lift or rcmovc thc conti-uls
oii a11r-c~çog~iizctC l ;\\.issIr1rilicrty tlicn 1n;iintained by tlic 1;11itt.d
St:ilcs 'frci~siirv 1:rircign 1;iiilrls Control under Esecutivc Orcler
-\;(I. SjSi). 'Thnt tlic \i-licill~rlilfci-ent:sct nf latrs rinçl proccrliircs

apliliç:iIil~. tci crtcii~j.~)r'opcrt!-iiiidcr tlic Trarling !vit11tlie Encm!l
:let n.ns rio lxirt uf tliis cibiig;itiuii was full! iiridcrstood II?;;il1
partics ;it thc tiinc (31 1hc ri~goti;ition.
Tli(. rc;ksoIi for tliis u-ns tlie grcnt dificrcncc bctit-cc11frcc~iiig
of hiitr~ign~irejlii lrty-blocking arirl iiill~locking-nncl vcstiiig cif
ibiitLiiiyl>rul)i: iy. llic friicig~ifiii~rlscoirtrols liacl as tlicir purlirisc

tlii.~ii-c~,t.~itir iiiicIir9iiiy;~clv:int;igc f1.rii11Eorci&li uwiicd ;isscts. 'f1it:ii-
i~it*;iri.iiV;is:III iiiiiiiolii1iz;itiori(if ~ii.rilwi-t>\.,\.itlioiit lin? takirig of
titlt: tir s~i~iii(:,L~~~ il(l11ejIiil)itio~~ 011 ~l~rtlii~gh,t.ritliout Trr;isi~ry
Eiçt.ti.;i~.'l'!i(*;~rliiiiriixtci:iig ;igriicl. tlic 1 rcrisury 1;nrcil;ri
l:iii~il+Loiitrril, ;iri(l tlic iiictlili<l of tlic 1-c1c;lsc of tlie cnntrols iias
tlii: jir,iiit of ;L Iiçrnsc, cillicr gcncrnl or slicci;il, iil tlic discrctiriri
of tlic 5ccrct;li-!' of tlic 'l'rc~isury.

l'lit s!.stciii for cnciirj- ~)rtil>crty~vris;inutlier thiiig ciltirel!;. 1 ts
~)I~I-~NJSC \v;isllii: scrzui-c of ciieii-i!.~~ropcrt!-in tlic Iicnelicial intcrcst
clf Ilit:I;riitc(l htatr:s, aiitl its mcails \ifrisa vcsting \~diichtrarisfcrreti
trtlt: tci tlic U tiitccl States. l'hc ndlniilistcritig agerrcy tiras thc hlieii
I'r(ijicrt\* Cijstodiai~ (latcr tlic rlttciiArzcv Cri:ncrai),and the trîctliuct
of r(.lc.,ist:{vas:~iri~iïltriii~istrali\i clnticii bcfurc tlzc i\ttorncy Gerlcrril

;iiitl,if tli;~t \lrcrc dVtlicd, :isnit liitlie courts unclcr 5cction g (ri)
tif tlic '1.r:irlirigwith tlic Er~ciiiyAct.
'l'lic rccci;.riizcrlvoc;iliiilary clcseriptive of the Trcnsriry forcign
fiiritls {vas " lilock" nrid " blrickirig", " fi-ccze" and "frcezitig", for
tlic iiiijiositiciii or cslstcncc of tlic controls, ;iiltl "unblock" or
"<li,fitist" irii- tlicii- liftin;: ol- i-rbiiio\,;il.7'liiis, :yrccrzwtit tri tlic
liftilih (il (lie çoiitt rils iri wli;it 1icc;iiiit:Ai-ticIc1\, \\.as rcr liii:stc.ciri

:i SI\-iss Ii.ttci- ot' hliril Ir, 1946, ;iskiiig fur iiii end tci "frccziiig".
'I'(Itliis rcclucst tliclcliicf i\iiicrican ncgtitiator rcsponded on Al-iril za
tlirit \rlir:ii thc ritlici- issiics ivcrc scttlctl, tlie Ui~itcdStatcs \\,oulrl
tlisciiss " lirciccdiirr:~foi- the lin Erci:zii~gof 1c:;itiin;ite Suliçs asstbts
iii tlic Gilitcd Statcs". l'lic ncti~alliftii~b \i*;icsl-ircssecliii .Zrticlc Il;
of tlic i\ccortl ;is atz ob1iç;~tirinto "unblock".

011 tlic rjtlicr liancl, tlrc rccrigni~ecl xP,,ribulnryapproprintc [nt-
tlic c~icrri).~irulicsty Iirosraiii \Iras \'cstitig" anrl "cli~~csting" of
c3zit5m\ o:s Gcrninii prol)crt!;. 'l'lic iisc of tlic tcrin "Su'içs rissecs"
I)rvcir~tlcclai,!; tli~iiiglit of di~~stirlg, for l-iropcrty \\.as vcstcrl otily
\\131ciiit n.;isrlcctiictl ici lie cncm!; pi-opcrt!;, :irirldivestiiig took pl;ice

ricit 1)).c:scciit i\-c ;ictiriii Zxiton finrlislgsrn;iclciri an ;itlrnitiistrati\.c
dniiii 111-cict:ctliroig r II!; tlic,coiii-t in rila\\-siiit. Thc tcrms "iirrlilnck" .Inthc Jetter frorn Dr. Hohl it is said:
"It was uiiclerstood throughout thc discussions thxt the
;irrangements providcd kir i11tlie forcgoiiig and in the lcttet
[of Sccrctary Snyclcr] werc designed only to rneet practicril
opcration problcniç and do ilot in any iiJay alter the strttus
iiiidcr tlic Trading ivitli tlrc Enemy Act, as an~endcd, or
I<sccutivc Ordcr No. S3Sg, as arnended, of eiierny nssctç
situatcd witliin thc Uniteil States and helcl tlirough Switzcr-

latid."
This wris a clcar rcfcrence to Iilterliandel, which is preciscly
siiclia case.
1Jy tlie agrcemcnts of No\rembcr 1946 the parties recognizcd

tli;it cnei~iy property, ~vliethcr vestcd or subject to vesting, \vas
oiit.;idc tlic oblig~tioti to uril~locl;. Ttius thcse was ngrceriictrt
i1i;lt ~~r~~l)cr'tlioiigh clniinctl to bc S~viss, was not cligiblc for
ct~rtilic:itiriiiIiy S\~ritzcrlaiid for iiriblciif thc ,r\rncrican ;iutlzu-
ritict;rlccnicd it tn bc cnc11iy.Scc also ITcuille lTEdérülc,1946, 131 ;
1;ciiillc l;Ctl6r;i1949, 777.
'Tlierc is ~~iucliiurtlier evicicricc to support the coriclusioil tliat
tltc vbligatior~ to "uiibluck Siviss açsets" has 110 bearing oii thc
vcsted cncrriy prolierty clairilecl by Interhandel. For instance, ir
:ipljcarc;tliat therc is no refercnce in the record of the negotintions
cithcr to the Intcrliandel cnse, the largcst case of vested cnemy
;isscts,or cvcn to vcstcd eilcrny assets gcnerally. Moreover, vcstccl
cnciiiy rissets were üd~~~iiiistered by tlieDepartrnent of Justice, ;i
clii'fcrcntagericy froni the Treasury. Iri the very week of thc sigtiiilg
ul thc Accord nrhilc somc of thc Swiçs negotiators rnet witli

Trc.;isury vfficcrsto riiscuçs ttic Irnplemeiitatiotl of Article IV, i.c.,
tlic ~~ovisioris lvliidi evcntually bccarizc the Snydcr-Pctitpicrrc
letter, n soniewliat differcilt group of Swiss represcntatives met
witli tlie Dcliartmcnt of Justice to cliscusç a joint Swiss-Amencan
investigation of Interhandd, for thc purpose of deterrllinirig procc-
diires to obtain evidcnce that could bc used by thc United States
iri thc defeiisc of tlie suit whieh it was cxpected Interhandel wo~ilrl
bring agairist tlic Anicricu~i;iuthoritics under the Aineriean Tracling
witli the Eile~iiy Act, in nri atternpt to recovcr property of Inter-
lirii~dclalready vestcd by tlic United Statcs as elierny propcrty. It
\!+as rccogriized liy al1 that riny unblockir~g in tlie Unitcd Statcs
pursuant fo rirticlc IV ~vrisan entircly separatc matter fro11-ittic
vesting of tlic assets iil thc CTnitcd Çtatcs clairnecl by Intcrhni~del.
The clistiilctiori bet~vcei~"b1ock" and "unblock" and "freezc"
;ind "ilnfreexe" Swiss assets on the one hand, and "vest" ;ind "di-

vest" encriiy assetç QII the otl-ier,was and is as great as cmi bc
acliievcd ùy thc tisc of tedinical words, dcliberatcly choscii :itîd
well u1idcrc;tourl. Co~iscrluently tlic contentioii ttiat tlze Uliitccl
Strttcs Ivns corizrnitted liy :\rticlc IIi to divest itself of Ccncr:il
/\~lilinc niicl Filin slinrcç \.cstcdnç C;crman is \vithout iiierit onI Tlic Govcrrirncnt of the Uiiitccl Staics thereforc canriot rigrcc to
1 tlie suggcstioil of the Swiss Governmcnt that tlre said iiiattcr bc
rcicrred to arbitrntion iinder thc ~lccord, on the ground tliat rlie
iiiattcr tfocs ilot iiivolvc a clisputc Inllirig withiri tlic obligritioii
iiiidcr tlic Accord to liavc rccourse to nrbitratiori.

1 Asa niatter wholly slpart from the .%cccird,the Swiss Governinerit
nlso rcquests rtrbitratioil of "the iriterests iri question", under the
'rrc;~ty of 1;eiiruary 16, 1931. 1his rerlucst ~vould put 1vithii-ithe
criiiil~clr~i~cocf ;irbitrntrirs ~I11un'~r to clisliiosof property uithiii
tlic Iiiiitt:rStiites, 3.; is licrc irivolvcd. A clispute involvitig title
to siiclz l)rc~l>crtyis nrit sulijcct tri rirliitrntioii, .:\rticlc VI of the

'L'rcmiis1icciiic:iIIyprci~.itlcstli;i:
rlIlic provisior.is of Articlc V (tlic arbitratioi~ pruvisioii]
altiil1iiolIic iii~:ol;cdin rcçl-icct oi ntiy diffcreiicc the subjcct
iii:ltcr c~f\vliicli
(IF) is \vitliii~ tlic doiiicstic juriz;clictiori of eithcr of tlic
Co1itr:icting Pni-tics, ..." (1Zmphnsis çuppliecl.)

Tlic dccisioii oii zvhat questionsarc \vitliiil tlie domestic jiiris-
rlictiori is, liiiclthc %'re:ity,i-iiadeunilatcrally, by cacli part)- for

itscif, isitl-ioiit :iny rcvicw or contest by others, who carinot bc ;~s
fiilly nlil~cciritive of the i~nturc of tlic clomcstic jurisdictioti clf;i
,.wtyr :IStli:it 1i:trty itsclf. hJcss;igc cnncerning the ratification of tlie
1ri::ity cil 1:cbrit;ir)r 16, 1931, 17cuilleFCclCrnle,1931,1, 13. gur;
I'rcii. k1. \VcIil>ci.gDie .S'çh~cd.\jieric/dslc~lcVergleicl~svcvfrr~cg ter
.~.i:liïc~c(11)42) 1 )lc l'rit1t2cris-\V,itre49, 63 ; coniprirc 2 1:urcigii
l<cl:iliotis of tlie Uiiited St;~tes,19-29, p. 4; J. \Y. Gariier, The r\:ew
rIriiiii.~.rliTrcaides O/ thc Ul~tledSlnles, 23 Atii. Journal of Inter-
ri;itioiznLn\ïr, jgj, 598 (1929) ; çcc also 2 Oppeiihciin, Itztcrnational
1,;in. (7th ccl.rgqS) 13.31 niicl notc 4.
Tlie (liçpoçition of titlc to property Iocatcd within a coiii-itry is:
iii;iiiifcstly \vitIlin tlic dori~esticjurisdiction of that country uriless

tlic country iiivolvctl lins by suvercigii ;ict rcmuved the 111:ittcr
fruiii iZs cscl~isivc doiiicstic juriçdictiori. The United States hns
iiclreniciveti tlic iii;tcr cifthc a\\~ncrsliip of these slinres in Gcricr;iI
I\~iiliiic Filtn Corlioriition Croni its cioii-icsticjurisdiction. I;cither
1iy tlic \\r;islii~igtritiAcccirIaor kitiyother act lins the Urzited Strite.;
coiisc~itccltlirit nily body citlïcr thnri its courts sEio~ilddcteriiiinc
tlic u\vncrsIiip of tficse sliarcs. It 11; g~iscn an ample reniedy iiiits
çciiirts, and the rerî~cdy lias been fully utilized bu Interliandel.
NQW to rtgree ilintnny body other than the Uriitcd States corirts

iictii~gvnclcr Ijilitcrl5tatc.s stritutcs lias jurisclictirii~to riilc on tIic
o\~ncrsIlili nf tlie prripcrty hcrc in question, r~oiilclbe to ovcrridc
;~iicligizcircthc strztutcs enacterl Sy congrc.;s. Tlicsc statutes prtiviclc
tliilr~scl~isi\-n.ictliorl, forum ;EIIC sIandards for tlic rctiirti of pro- perty vested in the United States undcr the Trüding witii the Encriiy
Act. Under the Coristitution of the United States as notcd abovc
the Executive Branch canriot disliosc of property of tlic Unitcrl
States. It crrn only be disposcd of by tlic Lorigrcçc;tl~rriiigh;ilipro-
priate statutes. It lias nlrcady bec11potilteci out I1i;tttlic ncgotiatot..,
for the Accord diclriot scek to bring alsui~t,and clidnot bring ;ibout,

such an unconstitutional result, This Gor.criinient cciulclticit noiv
do what the iiegotiators were uri;ible to do ;ind cIid i~otelo. Ai; ;L
conscquencc tkc Unitcd States clcenls the o~vnerslii~~of tlicst:
shares is a rnattcr "within thc dorrlcstic jurisdicticiri of tlic I:niterl
States" withirî the n1c;ining of thc Trcaty, witli tlie result tli;ittlic
arbitration provisions of the Treiity inay iiot bcjnvokctl.
The comments inarle übove regcirding thc request for ;irbitr;itioii
also conipel the conclusion tlirit the intcrcsts of our nizitir;ilrc1;itions
would not be furthered by rcsorting to concilintion uncler thc IO:~I
Treaty. The processes of investigation rilidrcporting by ;tcoriciliiitoi-y
group upon the naturc ofa cl;iim and its basis irrliere thcrc lins ticcii
obscurity or lack of clarity thereiii, ennbling thc partics I-icttcr to
compose clifferenceswliich have bccn based upon sucli ubhciirii y ut-

laçk of clarity, are of course thc esscticc of tlic yrovisio~is of tI~c
1931 Trcaty relating tu concilintioii. 111that situatiutl tlic 1i;it-tics
nevertheless retained "tlie rigbt tu açt indel)endeiltIy iipori tlic
subject matter" even after thc report is madc. The instant casc,
howevcr, docs not represcnt that kiiiil of situatioil. Ratlier, it is a
case where the positioi~ of the Govcrrimcnt of Switzerlailrl aiirl itc;
ùasis have long bcen fuIly understood alid tIie position of tlie
, Governrnent afthe Unitecl States of Plrnericakas bcci~conîmunicntcrl
fully to the Swiss Governigent. Conscquently, it is not thc type of
situation in which there çould be any advantage to be g:liticcl Iroiil
further investigation and reporting, Furthcrrnorc, sucli processes
could not, for the reasons set fort11 tibove, Icad to suhsecl~icrit
arbitration wliich, under thc 1931 Treaty, appeizrs to bc oiie of tlie

objectives of the process of conciliation,
The Swiss Governrnent has not sct foi-th a clriittif;dliiig witliiii
thc scopc of the 1946 Accord, and tlie cluestion o[ title tritlic shares
being a niatter witliiil tIie dornestic juriscliçtion ol tiic UiiitÇt;itcs,
lzas been 1in:illy settled by the compctent coiirts of tlic Gnitcd
States in proceedings the propriety of whicli is riot c~ut:stioncrl.
Uiider the circuriîstanccs, and iii tlic light ciftlit: coiîstituticiii:il
aiid statutory limitatioi~s regarding dispoçitioii of prupcrty of tlic
United States rcferrcd to nbove, coiiciliation proçccdings could ricit
achievc the objectives of the conciliatioi~ provision5 of the Irj.31
Treaty and \voulïl neccçsarily be unprocluetivc. Tlici-cforc, tlir:

requcst for conciliatiorl rnust be rcspectfully cleclincrl.
The position of this Governrnent on this clnim iç 1i;ihccliilioii
careful and repeatcrl rccsnmination of the claini ovcr a ])cricidof
eight ycxrs. On each occnsion tlie nlntter hns bccri r;tiçcclby the
Goveriîment of S~vitzerlniid, ;iciiref~ilrr:cs;iniinatioi~of Ilic1iirçtioiilins tnken 1-il;icc .1-1cnch inst;ii-icetlic cosiclusion ]vas the sanie. This
(;over~imen t agiii~ nrldrcsscd itscFf to thc problciii, follo\viiig
rrbçeil'ttif tlic i~ritc tif August rj, 1956, iliirl 1i;iscoiiclutlcd rli;it nii
cli;ingc iii ils lii-eviciuslyclccl~ircclpositioii is justifictl.

'I'licrc rcninins for discussion tlie rctlucst for inairite11;iiicc of
[lie si:iti~s (1110 of tlic assets involvecl, pending rirbitration or ctii~ci-
1i;tticiii.Tlic tiotr: 01 August g. 19.56,suggcsts tlixt priiici~ilcsof gocicl

lait Il, \\.liicli uriclcrlic tlic riiitliority oî tllc Intcninticinal Cci~irtof
,)~istict:to t;~ki::ililiroliri;itc ~ircc;tuticiiiat-ynlenszires, rcquirc tI1;it
ttiis (;ovcriiiucnt tt-i:iiiitaiii tlic st:~tus rluli. \Sc t;ikc tliis rct~uyçt
tri hc ciiic to rcîrnin fioiiî rn:ikirig ;in?; sale of the C;crier;iIXriilinc
;iiiiI1~11111s11;ir~stu \\~hicIic1:111iis i ~n:icie.
'flic rcrliicst for ni;iiiitcii;iricc of tlic st;itus (lue fnlls \vitIl tlic

i-cl111t~sftur ;irliitr-;itioii, lor ilic prii~ciplcs above rliscusc;écl :ire
t~r111;111-:ilililiç;~ùlcto tlic rctlucst for iii,iintcn;~nccof [lie stntus cliiu.
tiiIlic iiisL;ii~tciisc, iiiorcuvcr. tlic rcclircst for n~nif?tc~~;t~io cf~tllc
>t;itii.;(ILI(,is iiiIact .i reclucst fur a clinrige uf the stiitvç qiio. Tu
tclr;iin lrtlrii i~i;ikii~g ;i sillc of thc asscts ~ioulcl prevent tlic cflcc-
tu;itio~i ui tlic 1:i1vbof the I,'11itcd5t;itcs \vliich, once thc litig* ,1t1011

iii tlic courts rc;iclics n l>rcscribcclht;tgc, permit and rcquire ri sale
of tIic ;issçts. A sale isc1csir;iblc 111 trie national iiiterest ol tlic
L'iiited States, b:~scclin Iinrt rilinricoiisidcrations of ~iationalclcfe~~se.
0111ÿ tlie cniirts uf tlic Lrrited Statcs liai-c jusisdiction to stx>-
siicli ;i snic of ~it'ol~crtylocatccl iii tiic t'nited stntcç; suc11 JUTiS-
rli~ tjoli isSO\JC'TC~~I~;irlçl c.sclusi~-e.

I.'.\nil~;iss;idc dt: 5iiissc ~>r&scntc hCh coi~i~ilimciit~au I1Eli;irtc-
1ii~11ttlu1<ttiL cl ;I l'Ii~)~i~i~ ~lu~rc\.viiir \i~r si iiotc (111 II j;ii~~.icr
r(jj7, ~tcc»ii~li;i;;~~i. c'iiti riiE~r~orai~dii~c no,ticcrnrint I'nffnire dc 1;i

5ociCtCiiitctii;itio~i:ilc pour p;irtici~~ntiuiisiiidtistriellcs ct conirticr-
ci;ilcs S. :\., a 13;ilc(liitcrli;tndi:l). Cettc iiotc r61io1lclait:'i ii~iciiotc.
s~iisw tlii 5) :icifil 1q.56. T,':\iiiI),~ss;~tlccst clinrgtc par le Cotisrhil
fCc!c1-;ilclr: ~icirtcrcc (lui siiit i ln conil;iiss;incc dit 1.Skp:irtcrizciit
<l'l<t;tt,

1.c Ctiiiscil i6clcr;tl 1)ri:iicliictc nvcc r~~gi-er tliie Ic T~otl\:er~~~~iii,r\t
tli>:,I<t:tls-Cnir;, ripr;:.; s'ctrrc cfiisC ;'i116goci~r:ivec 1111 cn vric cl(>
1-1~~11i~-cïIiii- 1111 ;irr;inguiiieiit Ctnit posqilile, s'oppose ce que Ir litigesoit souinis au Tribunal arbitral institué par l'article Y1 de
l'Accord de Washington ou A une procédurc de concilia t1011 OU
d'arbitrage, tclle que la prévoit le Trait6 conclu le 16 fEvricr 1931
entre la Suisse et lesktnts-unis.
11constate donc que tous les nîoycns de résoudrcIc litige ont kt&
bpuiséssans succkspar la Suisse.
Dans ces conditions, il ne rcstc au Coriseil fEdEral d'autrc possi-
bilité,en se fondant non seulement sur l'Accord de LVashirigtcin lir
25mai 1946 mais aussi sur les rEgLesdu Droit international gkr-iCral,
que de saisir du différcild la Cour intcrnationalc clc Justicc riIda
Haye, dont les deux Gouvcrncments ont recorinu 1a juridictio~i
obligatoire conformC~ncntà l'article 36, chiffre z, dc son Statut.
En conçkquence, le Conseil fédéral a prisla décisiondc demander

b la Cour de se:prononcer sur le fond du litige ct, subçidi;iircniciit,
sur l'obiigation pour les États-unis de souniettrc cc litige snit AILL
juridiction internationale, soit A un arbitragc, soit cilciirciiiiric
procédurcde conciliation.
Lc Gouvcrncmcnt ami.ricain parait avoir d&jApris tlcs clislirisi-
tions pour la veritede 75'%,clcsactions dc la rrGcneral Aniliricaiirl
Film Corporation iiappartenant à nItcr1iandcl ct seniMc :i\.oir
l'intention de procéder à cette vente avant n~Cmcque lc litigc ait
été résolu. Aussi le Conseil fkdéral dcrnandera-t-il égalc~ileitl à 1;~
Cour internationale de Justice d'indiclucr toutes n-iesurcs ccirîscr-
vatoires cn vue de lasauvegarde des droits clui seraient kventuelle-
ment reconnus à la Suisse ou A ses rcssortissantç ct, cn liartictllicr,
il priera la Cour dc demander au Gouvernement ainéricain de ne
pas vendre tesactions dc la rGeneral Anilinc and Film Corpuratiori n
avant qu'une dkision nit étérendue sur le fond du litigc.
Le Conseil fédéralinforme le Gouverne~ncnt dcs Etats-Unis qu'il

a désignécomme agent auprès de la Cour internationr~lc dc Justict:
M. le Professeur Georges Sauçcr-Ha11 ct comme co-agent M. Ic
Professeur Paul Guggenheim, tous dcux A Genkve, ct qu'il les :L
chargés d'adrcsscr
une requêtc introductive cl'instaiicc ni11irCsrlcIri.Corir inter-
nationale de J iisticc.