Rejoinder of Nicaragua

Document Number
15090
Document Type
Date of the Document
Document File
Document

INTERNATIONAL COURTOF JUSTICE

DISPUTEREGARDING
NAVIGATIONAL AND RELATEDRTGIHTS

(COSTARICAVNICARAGUA)

REJOINDEROF
THEREPUBLICOFNICARAGUA

15JULY2008VOLUME ICHAPTERI: INTRODUCTION .................................................. .......................
.........................

SECTIOI N. POINTS OFAGREEMENT ...................................................2.......
...............
SECTIOI N1. REMAINING POINTS OF DISAGREEMENT ....................................6..........................

SECTION m . STRUCTUREOFTHEREJOLNDER ......................................18..........................

CHAPTER1I:THEAPPLICABLELAW .......................................... ...............................
.........

SECTION .I THECHARACTEROFTHE~~~~TREATYASATREA?I(OFBO .~..R....S..

A . Introduction.......................................................
........21..............................
B . TheLegalandHistoricalContext of The1858Treaty ............................23..................

C. Admissions by CostaRica .....................................................28 ...................

D. TheApplicablePrinciplesofInterpretation ....................................................
E. TheApplicationof theGeneralRule ofInterpretationto theTreatyof Limits ........1..

1. TheObjectandPurpose IndicatedintheTextof the Trea.........................37.................
(a) The TitleandthePreambl.................................................3.......
.......................
TheProvisionsoftheTreaty...............................................38....
....................
(b)
(c) TheGeneral Characterofthe Treatyof 1858asRevealedin theDiplomatic
CorrespondenceandNegotiations Subsequentto the Treatyof 1858.................4...........

(d) TheObjectandPurposeasRevealed inthe Cleveland Awardof 22March1888and the
Reporttothe Arbitratorby George.Rives, AssistantSecretaryofState,of2 March ..42
TheRole of Inter-TemporaL l aw inthePresentCase ............................43...................
F.
1. FirstElementof Confusion..................................................43......
............................
2. SecondElementofConfusion .................................................45........
.......................

3. ThirdElementof Confusion..................................................46...
..........................
G . ThePrimary ObjectandPurposeof The 1858 Treatyas a Treatyof Limits: TheLegal

Consequences .......................................................
............48.................................
1. TheThesesof CostaRicaConcerningTreatyInterpretati.........................48.................

2. TheResponseofCostaRicatotheAnalysis Presentedinthe Counter-Memorial.......50...
H . Conclusion: ThePrimaryObjectandPurpose ofthe 1858Treatywas theDeJinitive

Settlement of aLong-standingDispute ConcerningTitle to Territory................................ SECTIOI N1. THEROLE OF GENERAIL NTERNATION LALWAND OTHER PARTICULAR
RULES ............................................................
.........................

A . The TreatyPrevails: The Contingentand Secondary Relevance of General

InternationalLaw ......................................................
....................................
B . OtherApplicableRules .......................................................
.8....................

. Relevant CustomaryRule.....................................................68...............
2. The"Instnunents"Invokedby CostaRica.........................................1.............
....

(a) The 1956Fournier-SevillaAgreemen.........................................2...........
...
(b) The 1995Cuadra-CastroJoint ommuniquC ....................................4...................

(c) The 1998Cuadra-LizanoJointCommuniquC ...................................77..................
3 . The 1916Judgmentofthe CentralAmericanCourtofJustice........................79.............

SECTIO1 N11. THESCOPE OFTHE CLEVELAN ADWARD .................................1................
A . The ClevelandAward Limited Costa Rica'sRightstoNavigatetheSunJuan with

Public Vessels ......................................................
.............8.........................

B . TheMeaningof "ConObjetosde Comercio" WasNotDecided intheCleveland
Award .......................................................
...................-89...........................

C. Conclusion ......................................................
...........9........................
CONCLUSIO N.............................................................
.........3......................................

CHAPTER IH: THENATURE AND EXTENTOFCOSTARICA'SRIGHTTO
NAVIGATE"CONOBJETOSDE COMERCIO" ..................................... .9................................

INTRODUCT IO.N...........................................................
......-99......................................
SECTION . INTERPRETAT IF THE 1858TREATY OF LIMITS ACCORDIN T OTHX VIENNA

CONVENTION ONTHE LAW OF TREATIE ...............................................10..............
........
A . TheLanguageof the TreatywithRespect to CostaRica'sNavigation Rights ......102.

B . The Objectandpupose of CostaRica'sNavigation Rights Underthe Treaty .......07

. CostaRica'sNeed for a Trade Routo theAtlant...............................108..............
(a) The InadequacyofExisting Trade Rout.....................................10....................

(b) TheIdeaofthe SanJuan Route..............................................1.........
..............
(c) Negotiations with Nicaragua ovetrhe SanJuanRiverpriorto the 1858Treaty..116

2. ArticleVI ofthe 1858TreatyinIts Historical Co.............................1.8...............
3. Early PracticeoftheParties under the Treatyof.............................1.0..............
TheFateofthe SarapiquVSanJuanTradeRoute ................................30...............
(a)
(b) TheTwo Treatiesof 1868.................................................1.3...
......................
(c) CostaRica'sWritten SubmissiontoPresident Clevela........................3.......... TheAlexanderAwardof 1897 ...............................................6......
...............
(d)
4. "Comercio"asUnderstoodin 1858MeantTradein Goods .........................139....................
ContemporaneousDictionaryDefinitio.......................................0...................
(a)
(b) ContemporaneousUsages ..................................................4.....
......................

(c) The FullTextof ArticleI MakesClearThat"Comercio"MeansTradeinGoods ....44
(d) TheNineteenthCentury Treaties and Documens itedby CostaRicinthe Repl...147

SECTIO N1. THETREATY DOES NOTE~OWERCOSTA RICAToPERFORM PASSENGE ORR
OTHER SERVICEN S. RDOES ITHAVE AN EVOLUTIONAC RHYARACTER ................................

A . TheEvidence ConcerningPassengerTrafic ...................................151......................

B . ThePartiesDid NotGivethe 1858 TreatyanEvolutionalyCharacter ..............5.

CHAPTERW: THEREASONABLENESS OFNICARAGUA'S REGULATION OF
NAVIGATION ONTHE SANJUANRlTTER .........................................................................

SECTION . COSTA RICA'S NAVIGATIO ONTHE RIVER ISSUBJEC TTOREASONABLE

NAVIGATION "CONOBJETO DSECOMERCI "OAND NICARAGUA N'SN-INTERFERE N TEH

A. EnvironmentalProtection ....................................................179 .................

1. ProtectedAreas.......................................................
...80....................................
TheIndioMaizBiological Reserve and SJuanRiver Wildlife Refu............82....
(a)
(b) TheSanJuanRiver - NicaraguaBiosphere Reserve..........................186...........
2. Regional and International EnvironmentalCommitmn.........................18..............

3. Management andProtectionoftheReserves....................................18......................
4. Illegal Logging.......................................................
.191.........................................

5. Illegal HuntingandFishing................................................194..
.........................
6. Illegal OccupationofProtectedLand........................................196...........
...............

7. Nicaragua's Regulations AreNecessaryPorotecttheEnvironment...............197.............
(a) TheRequirement ToStopandRegister......................................197.............
.................

(b) TheRequirement ToObtainaDepartureClearance Certifica..................1............
(c) TheProhibitionofNavigation at Nig.....................................1.................
...

(d) TheProhibitionofCertain Fishing Activities............................200.............................
B . ControlandPrevention of Crime .............................................202..........
.............

1. The RequirementTo Stopand Registe........................................2.3.............
......
The RequirementToObtain a Departure Clearance Certificate................204..................
2. 3. The ProhibitionofNavigationatNig...........................................06...........
.......

C . NavigationalSafety .......................................................
...7....................
1. TheRequirementto StopandRegister......................................................
........

2. TheRequirementTo Obtain a Departure Clearance Certifte....................20..........
3. TheProhibitionofNavigation at Night.......................................209..........
................

D. Border Protection and Securit......................................................
........
1. ImmigrationControls.......................................................211..................................
2. The RequirementTo FlytheNicaraguan Flag...................................215..............................

CONCLUSIO ...........................................................
...............................................

CHAPTER V: COSTARICA'SALLEGED RIGHTSOFPROTECTION. CUSTODY AND

DEFENCEOFTJ3XSAN JUAN RIVER .......................................... 221.............................
........

INTRODUCTI .............................................................
.......-2..................................
SECTIOI N. THESCOPE OFCOSTA RICA'S ALLEGER DIGHTS .............................2...........

A . CostaRica'sAlleged Rights HaveNo Basis inWhatShe Characterizesas the

"ApplicableLaw" ......................................................
...........2.....................
1. ArticleIV ofthe TreatyofLimits............................................223........
................

2 . ArticleVI oftheTreatyofLimits.............................................226......
................
3 . OtherDocumentsInvokedby CostaRica .......................................229.............
...
B. CostaRica'sResponseto theAnalysis inthe Counter-Memorial Is NoAnswerto

Nicaragua'sArguments ........................................................
....0.....................

SECTIO 1N1 EVIDENC OFTHE PARTIES S'UBSEQUEN PTACTIC .E.....................24..........
A . TheSoto-CarazoTreatyof26July 1887 .......................................247.........................

B. CostaRican Public VesselsHave Never AttempteT doProtect Navigation"Con
Objetosde Comercio" orHadtheNeed To Do So.....................................5............

C. Supplying and Bringing Replacement Personnel P toolicePost...................61...
1. CostaRica'sEvidenceRegardingthe SupplyofBorderPosts............................................

2 . CostaRica'sChangeinPolicyinMay-July1998, andNicaragua's Response.........266..
3. DiplomaticEffortsTo Restorethe StatusQuo An................................75...............

4 . The Practice Priortothe 19................................................28......
..................
D. Conducting Law EnforcementActivities.........................................8..............

E. Providing Social ServicestoRearian Communities ..............................8.........
CONCLUSIO ............................................................
..........29...................................

CHAPTER VI: REMEDIES ................................................... ......................
............................ ......................
SECTIO 1. COSTA RIGA'FSURTHE CRONTENTIO RNEGARDIN RGEMEDIES 308
A. TheIssue ofDiplomatic Protection..................................309........
......................
. .................................................
......................
1 AbsenceofRelationwiththeApplication 309
2. Non-ExhaustiofDomestic Remedies.................................313...........
......................
B. Assurancesand GuaranteesofNon-Repetition...........................316.........................

C. Compensation................................................
....320............................

SECTIONI THESANJUANRIV ............................................3.1......
..............

SECTIO I1 THE MATTE RFNICOYA .........................................335.........
..................
TheCostaRican Constitutionsof 1825and 1.............................9..........
A.
B. Negotiationsfor theInter-oceanic Canal............................341..............................

SECTIO I11 COSTA RICAN NAVIGATIO ONrn SANJUAN RIVER ASOF 1888.......342.....
CONCLUSION ......................................................
......-345........................................

. LISTOFANNEXES ..........................................................47...........
.........................................

LISTOF MAPS AM) PHOTOGRAPHS .....................................................................
........ INTRODUCTION

1.1. Nicaragua submitsthis Rejoinder inresponse to CostaRica'sReplyof 15

January 2008, and in conformity with the Court'sOrder of 9 October 2007,
which set the dates for the submission of the Reply and the Rejoinder as 15

January 2008and 15July 2008, respectively.

1.2. In this Rejoinder, Nicaragua will respond to the legal and factual

arguments presentedin theReply, andto the evidence presented both in theReply
itselfand intheAnnexesthereto.InthisIntroduction, Nicaragua willfirstidentify

the legal and factual issues that now, at theconclusionof two roundsof written

pleading,no longer appearto be in dispute. The written pleadingshavenarrowed

the dispute in some significant respects,and these are pointed out in the first

sectionof the Introduction.

1.3. The secondsection of the Introduction identifiesthe remaining disputed

issues, and pointsout how they have been sharpenedby the written pleadings.

This section also provides an overview of the arguments and evidence that

Nicaraguawill add tothe debate in Chapters I1throughVI of this Rejoinder.

1.4. The third and final section of the Introduction describes the structureof

theRejoinder.

1.5. Beforeproceedingfurther,however, Nicaragua wishesto coment on the

tone of theReply,which shehopesthe Court will findnot to have beenreplicated

in this Rejoinder.In particular, Nicaragua wishesto express herdismayover the
language in theReply, which calls the Counter-Memorial"disingenuous" andaccuses Nicaragua of fabricating "distortions" ofthe law and the facts that are

"not accidental". Nicaragua, of course,rejects these accusations, and stands

behind her Counter-Memorialin all respects. Tobe sure,Nicaraguaregards it as
entirely appropriateto criticizethe argumentsof the otherparty, and topoint out,

forcefully at times, the flaws in the other party's logicor the lack of factual

support for itscontentions. Indeed, this Rejoinder does just that with respect to

what Nicaragua regards as Costa Rica's fallacious arguments in the Reply.

However, the Rejoinder nowhere accuses Costa Rica of deliberate or "not
accidental" distortions,or of "disingenuousness",or similar formsof dishonesty

or bad faith. Nicaragua believes that such accusations have no place in

proceedings before the Court, andespecially between two States that are good

neighbours andsisterrepublicsof CentralAmericawith a longhistoryofpeaceful

andpositive relations.

Section I. Pointsof Agreement

1.6. With the submissionof the Memorial, the Counter-Memorial,the Reply,

and now this Rejoinder, the parties have either agreed upon, or at least not
disputedthe following legaland factual issues, whichmay nowbe taken as fully

establishedby the Court:

e The rights claimed by Costa Rica in this case, if they exist, come

from the 1858Treaty of Limitsbetween Costa Rica andNicaragua

and/or the 1888 Cleveland Award,which interpreted that Treaty,

and from no other legal instruments. Thus, the Treaty of Limits
and the Cleveland Awardrepresent the governing law for this

case.The Treaty of Limits was a boundary treaty that had as its
principal object and purposethe settlement of the entire land

border between CostaRica and Nicaragua, and that, inter alia,

includedNicaragua's concessiot nhat herformer DistrictofNicoya
wouldbe part of Costa Rica.The annexationby Costa Ricaofthis

district four years after independenhad been hotly disputedby
Nicaragua.

The Treaty of Limits provided, and the Cleveland Award

recognized, that the waters of the San Juan River belong to
Nicaragua, who enjoys "exclusive dominionand supremecontrol

(sumo imperio)"over the river.

The Treaty of Limits provided, and the Cleveland Award
codied, that Costa Rica would enjoy the "right of free

navigation...conobjetosde comercio"onthe San Juan River.

The ClevelandAward providedthat Costa Rica would enjoythe

rightto navigateonthe San JuanRiver withvesselsof her revenue

service when necessary to protect her right to navigate "for
purposes of commerce"; President Cleveland rejected Costa

Rica'ssubmissionthat shehada right to navigateon theriver with

vesselsof war.

In securingfor herselfa "right ofeenavigation...conobjetosde

comercio" on the San Juan River, Costa Rica achieved her
longstanding objectiveof obtainingthe right to use the river as an

outletto the Caribbean SeaandAtlantic Ocean forherexporttrade

totheEuropeanmarket,principallyher exportof coffee.0 Although the importance of theSan Juan to Costa Rica's export

trade declined soonafter the Treatyof Limitswas executed,due to

the constructionof a railroad linkingher coffee-growingregion to

her Caribbeanports and otherfactors, CostaRica continued touse

the riverfor the next 150years principally forthe small-scaletrade

of goods betweenthe interiorof the countryand the smallhamlets

thatwereestablishedalongher (right)bankofthe river.

0
There was no regulartransport of tourists to the San Juan River
until the early 1990s, when Costa Rican vessels began bringing

tourists along what the Reply describes as the "tourism route"

down the Sarapiqui River (in Costa Rica) to the San Juan, then

east along the $an Juan for approximately24 km, then downthe

Colorado River(in CostaRica). Although Nicaraguaclaimed (and

claims) thatCosta Rican vessels haveno right to transport tourists
on the San Juan (since they are not "objetos de comercio"in

Nicaragua's view), she never sought to prohibit or restrict this

practice. Instead, she adopted and implemented regulationsthat

serve her sovereign interests of environmental protection, crime

prevention,navigationalsafetyandborder security.

0 These regulations require vessels of all nationalities (including

Nicaraguan vessels) carryingtourists to the San Juan to register

with the Nicaraguan authorities upon entering and exiting the
river, to undergo aninspection and obtain a clearance certificate

assuring seaworthinessand the absence of contraband,to process

passengerswho are not Nicaraguan nationalsor local Costa Rican

residents through Nicaraguan immigration,and to refrain from

navigatingon theriver afternightfall.a Given the nature of Costa Rica's use of the river during the 150
years thatthe TreatyofLimitshasbeenin effect,whichhasturned

out not to involve a significantexport or import trade, and the

absenceof anythreatto commercialnavigation on theriver, Costa
Rica has not had a need to deploy vesselsof her revenue service

ontheriverforthepurposeof protectingher right tonavigate "con

objetos de comercio", andhas not done so. Nicaraguahas never
prohibitedor interfered with navigationon the river by any Costa

Ricanrevenueservicevessel.

8 As shownin theReplyandthe Annexes thereto, navigation on the

San Juan by Costa Rican public (as distinguished from
cornrnercial) vessels has neverbeen "con objetos de comercio",

but for one of three public purposes: bringing supplies or

replacement personnelto border postson Costa Rica'sbank ofthe
river; engaginginjoint law enforcementactivitieswith Nicaragua;

or deliveringsocial servicesto local hamlets on the Costa Rican

shore.Until themiddleof 1998,CostaRican authorities requested
and obtained permissionfromtheir Nicaraguan counterparts prior

to these voyages, and Nicaragua imposed conditionson the

navigation which Costa Rica accepted and complied with,
includingthe conditionthat the Costa Rican officials aboard these

vesselstravel unarmed.

@I In May 1998,the newly-elected governmentof Costa Rica took
office and changed Costa Rican policy regarding the San Juan

River. Under thenewpolicy,whichthe new PresidentandPublic

Security Ministerof Costa Ricasaidwas aimed at stoppingillegal
immigration from Nicaragua, CostaRican security forces (the Guardia Civil) were directed to ignore the Nicaraguan

requirements for navigating on the river, and to deploy their

vessels on the river with armed personnel, without seeking
permissionfromornotifying theirNicaraguan counterparts,for the

purpose of intercepting and detaining Nicaraguan citizens

navigating on the river who were suspectedof preparing to enter

Costa Rica illegally. After several such interceptions and
detentions ofNicaraguansnavigatingon the river, on 14July 1998

Nicaragua instructed Costa Ricato stop this practice.When Costa

Rica refused, Nicaragua prohibited all further navigationon the

riverby CostaRicansecurityforces.

0 Sincethen, Costa Rican security forceshave notnavigated on the

San Juan River. They have brought supplies and replacement
personnelto border posts along the SanJuan by land. Deliveryof

social services to riparian communities has continued, however,

subjectto the same conditionsthat existedbefore July 1998:prior

authorization by Nicaragua, registration of the vessel upon

entering and exiting the river, and inspection of the vessel to
assure seaworthinessandabsenceof contraband.

Section II. RemainingPointsofDisagreement

1.7. While there are a number of disputed legal and factual issues, they all

derivefromtwo fundamentalpointsof disagreement betweenthe parties.The two

disputesatthe heart ofthis case are:

First, whether Costa Rica has a right to navigate onthe San Juan
a)
River forpurposes otherthan navigationwith articlesof trade; and whether Costa Rica'sright of navigationis subjectto no controls

by Nicaragua; or whether Nicaraguahas a right to impose

reasonable regulations on navigation to serve her sovereign
interests in environmental protection, crime prevention,

navigational safety and border security; and whether the

regulations in fact imposedby Nicaragua for these purposes are
reasonable.

6) Second,whetherCosta Rica hasa right to navigateonthe SanJuan

River with her public vessels for all purposes, including law

enforcement activitiesand deliveryof social services unrelatedto
trade or commerce;and,if so, whether Nicaragua hasthe right to

regulate such navigation to protect her sovereign interests
describedabove, and whether shehas regulatedreasonablyin this

case.

1.8. With regard to the former issue, CostaRica claims a right under the

Treaty of Limits and the Cleveland Award to transport tourists as well as

commercial goods on the San Juan River. For Nicaragua, Costa Rica's
navigation right underthose controlling legal instrumenis limitedto navigation

con objetos de comercio, whichmeans "with articles of trade" not passengers.
However,Nicaraguahas not soughtto stop CostaRicanvesselsfkomtransporting

tourists alongthe San Juan; she has soughtonly toregulate thepractice. Costa

Rica claims that her right under the Treaty andthe Award is ''free"of all
regulation by Nicaragua. Nicaragua argues that,as the State endowed with

"exclusivedominion and supreme control(sumo imperio)"over the river, she

necessarilyhas the rightto regulate navigation,as long asshedoesso reasonably
andin defenceofher legitimatesovereigninterests, andthat in facther regulation

ofthis activityhasbeeneminentlyreasonable.1.9. Much of thedebatethus farhas centredon the meaning of thewords "con

objetosde comercio," and, specifically,whether theyare properly translated into
English as "with articles of trade" (Nicaragua's translation)or "for purposes of

commerce" (Costa Rica's translation). For example, Costa Rica devotes 37

paragraphs ofher Reply (consuming 13pages) to her argumentthat the Spanish

word "objetos" means "purposes" or "objectives," in addition to two lengthy
tables of "contemporaneoususages" that occupy another 53 pages on the same

general point. Presumably, Costa Rica's intention is to demonstrate that the

"purposes"or objectivesy' of commerceinclude performanceof services, suchas

tourism,as well astrade in goods, although,curiously, only threeparagraphs(and

less than two pages) of theReply address the issue of whether the quoted
languagegives CostaRica a rightto transporttouristson the San Juan.

1.10. Nicaragua's position, first articulated in the Counter-Memorial and

supported bynew evidence in this Rejoinder from the Spanish Royal Academy

(AcademiaReal), is not only that the correct translationof "objetosde comercio"
is "articles of trade," but that, evenif Costa Rica's translation were correct, the

phrase would mean thesamething, and limitCostaRicato a right to use the river

to trade in goods. Thatis because the most important word in the phrase is not

"objetos" but "comercio," a word that the Reply,for all its focus on "objetos,"

virtually ignores. As will be shown below, the word "comercio," which is
properly translated either as "trade" or "commerce," could only have meant

"tradein goods" to the mid-nineteenth centurydraftersof the Treaty of Limits. At

that time, the concept oftrade or commerce referred to the purchase, sale,

delivery, export or import oftangible goods. The idea that trade or commerce
could includeperformanceof services, aswell as trade in goods, did not emerge

until the following century. It is a twentieth, not a nineteenth, century

constructionof the term. Furthermore,all of the evidence showsthat the partiesclearly understood,bothatthetime theyexecutedthe TreatyofLimitsandforthe

next 120years or more,that the rightthat CostaRicawas accordedwas a rightto

navigate witharticlesof trade, not arightto transportpassengers,andthatno one
in 1858or for the next 120years envisioned thatthere would ultimatelybe an

ecotourism industrythat would transport touristsalong the San Juan River.

Indeed,this provisionin the Treatyof Limits was theculminationof at leasttwo
decades of effortsby Costa Rica, which had continuouslyand urgently sought

accesstothe SanJuanas a traderouteto theAtlantic,so that shecouldexporther
coffee and other products to Europe, not so that she couldconduct sightseeing

excursionsto the area. Thus, evenif "objetosde comercio"means"for purposes

of commerce,"an interpretationwithwhichNicaraguadisagrees,the"commerce"
in question canonlyreferto thetradeoftangible goods.

1.11. CostaRica is notunaware that"comercio" in1858couldonlyhavemeant
the trade of tangible goods.That is why the Replygoesto such lengthsto argue

for an "evolutionary"interpretationof the Treaty of Limits, and struggles to

characterizeit as something other thana boundary treatyand thereby avoid the
obvious legaldifficultiesof applying suchan interpretationto a Treaty of this

nature. Theseefforts areto no avail.As shownin the Counter-Memorial,and as

will be fwther shown within, the Treaty of Limits is not a misnomer.It is an
accurate reflection of what the Treaty is. It is a Treaty of Limits, that is, a

boundarytreaty, whoseprincipal object and purpose wasthe settlementof the

entireboundarybetweenNicaraguaand Costa Rica. Among its provisions is its
endowment ofNicaragua with "exclusive dominionand supreme control(sumo

imperio)"overthe San JuanRiver.As discussed below,great caremust betaken
to avoid the "evolution" ofa treaty in a manner that diminishes a State's

sovereignty.Yet,that isexactlywhat CostaRicaseekshere.1.12. While it should already beperfectly clear, Nicaragua wishesto leave no

doubtthat she fullyunderstands and acceptsthat Costa Rica enjoys a right under
the Treaty of Limits and the Cleveland Award to navigate on the river "con

objetosde comercio," and thatshe may not stop Costa Rica fiom navigating on

the river "con objetos de comercio." But she hasnever attempted todo so. This

case is not about Nicaraguapreventing Costa Rica from navigatingon the river
with articles of trade. Costa Rica has presented no evidence of a dispositionby

Nicaragua to engage in such behaviour,let alone evidenceof actual interference

byNicaraguawith theexerciseofthis right.

1.13. To the contrary,this caseis not abouttrade,but about CostaRica's claim

that her right of fiee navigation with "objetos de comercio" includes fiee
navigationfor all private commercialpurposesincludingtourism. And evenhere,

althoughNicaragua stands by herinterpretationof the Treatyof Limitsthat Costa

Ricahasno rightto conducttourismexcursionsalongthe SanJuan, she hasnever

sought to stop Costa Rica from engaging in this activity. Rather, Nicaragua's
conduct has beenlimitedto adoptingand implementingreasonable regulationsto

ensureboth that (i)the activitywill continue, and(ii)that itwillbe conductedin a

manner that does not harmNicaragua's legitimate sovereign interests.As shown

in the Counter-Memorial, andas will be further shown below, because she isthe

sovereign power over theriver Nicaragua has a right to impose reasonable
regulations on navigation, including navigation by Costa Rica; and the

regulations imposedby Nicaragua are in fact reasonable.As indicatedabove, the

parties are in agreement on what the regulations do: they require all tourism

vessels (including those fiornNicaragua) to register withl~icaraguan authorities
on entering and exiting the San Juan, to undergo an inspection and obtain a

clearance certificate as to seaworthiness and absence of contraband, to have

foreign passengers processed by Nicaraguan immigration authorities, and tonavigate only during daylighthours. In this Rejoinder, Nicaragua willshow that

all of these requirements are justified by Nicaragua's legitimatesovereign

interests, includingher interests in environmental protection,crime prevention,
navigational safety and border security. She will also show that these

requirements imposeno more than minor inconvenienceson tourism operators

and their passengers.In fact, contraryto the unsupported assertions inthe Reply,

it will be demonstratedbelow that the recently initiated Costa Ricantourism on
the SanJuan actuallyincreasedafterNicaragua's regulations went into effect.

1.14. In consideringthe reasons supporting Nicaragua's regulations, particular

attention is due to her need to protect the delicate ecosystemof the San Juan

River and the smounding area. The river forms part of one of the most

ecologically diverse, valuableand .fragileareas in the Western Hemisphere. In
1990,Nicaragua designatedmore than 435 km2 of the southeasternportionof her

territory, includingthe San Juan River, as the environmentally-protectedIndio

Maiz GrandBiologicalReserve,hometo morethan 500 speciesofwildlife,many

of them endangered, and many rare plant species. The area covered by this
Reservewas laterexpandedto morethan 3,150la?. In 2001,the San Juan River

was designated as a wetland of internatiolnal importance under the Ramsar

Convention,obligating Nicaraguato afford greater protectionto her dwindling

andendangeredspeciesof fish, crustaceansand other aquaticlife.Topreserve the
San JuanRiver WildlifeRefuge,which was carved out of the IndioMaiz Grand

Biological Reserve, and to protect both of them against illegal poaching of

animals, fish, trees and other plants, Nicaragua (unlikeCosta Rica) prohibits

humanhabitationonher sideof the river. As a result,there areno settlements on
the leftank of the river between the Bartola River (at the western end of the

portion ofthe river where Costa Rica enjoys navigation rights)and the townof

SanJuandelNorte, where the riveremptiesinto the CaribbeanSea. Protectionofthe San JuanRiver WildlifeRefuge andthe adjoining BiologicalReserve against

the illegal clearingand settlementof land, andthe poaching of animals,fish and

plant life, also requires constant vigilance by the Nicaraguan Army (which is

responsiblefor the securityof this remoteregion, there beingno police presence)
and officials of the Ministry of the Environmentand Natural Resources. It

requires, inter alia, registrationand inspectionof all vessels travellingon the San

Juan to assure that neither the vessels themselves nor their passengers pose

pollution, predation or other seriousrislts to the ecosystem. Given Costa Rica's

internationalimage as a staunch defender andprotector of the environment,it is

disappointingthat she seems sounsympatheticto Nicaragua's effortsto prevent
the sametype of human destructionof naturalbeauty on the left bank of theriver

that CostaRicahas,unfortunately, allowed totake place on her ownright bank1.

1.15. With regard to the secondfundamental dispute between theparties, itis

Nicaragua's contention,based on the express language of the Treaty ofLimits

and the Cleveland Award, as well as the consistent practice of both parties

subsequentthereto, thatCostaRicahasno right to navigateonthe San Juan River
with herpublic vessels, savefor the limited rightto navigate with vessels of her

revenue service,and even thenonlywhen there is a necessityto protecther right

to navigate "con objetos de comercio". Costa Rica purports to find in these

controllinglegal instnunents a generalright of navigationfor her public vessels.

As Nicaragua has demonstratedin the Counter-Memorial, andas will be further

shownbelow,no suchright can be foundin the text of the Treatyof Limits or the

'Nicaraguais fiutherdismayedby Costa Rica's recent announcementi,n June2008,that she has
authorizedthe operationof an openpit goldmine at Las Crucitasnear the border withNicaragua,
which is expected by CostaRican andNicaraguan environmental groups to pothe SanJuan
River with cyanideandother toxicchemicalsusedin the mining process.See "CostaRican Mine
Has UnleashedConcern in Nicaragua,"MiamiHerald (Miami,FL), 21 June 2008.NR, Vol. 11,
Annex27.Cleveland Award.In fact, as explainedbelow, CostaRica'sargumentsin support
ofher allegedright tocustody,protectionand defenceofthe riverwithherpublic

vessels is not only non-existent, but was specifically rejected by President

Clevelandin 1888. There is nothingnew aboutCosta Rica's arguments inthe
present case. They are the same ones she made unsuccess~lly to President

Cleveland 120 years ago. He rejected them and so should the Court. Aftera

thorough review of the issue, all he conceded to Costa Rica was a right to
navigatewith her revenuevessels,and onlythenwhen it is necessaryto do so in

order to protect the right to navigate "for purposes of commerce."There isno

other right to navigate with public vessels, letalone to navigate with public
vessels forpurposes unrelatedto commerce.

1.16. This is confirmed by the consistent practiceof the two parties between
1858and 1998.Costa Ricapresentssomeevidence inher Reply andAnnexes on

the use of the SanJuanRiverby her public vessels duringthe centuryand a half

followingthe executionofthe TreatyofLimits. Nicaraguahas carefullyreviewed
all of Costa Rica's evidence. As will be shown below, it actually supports

Nicaragua's position, not Costa Rica's. Indeed,Costa Rica has produced no

evidence that she has ever navigatedon the river with vesselsof her revenue
service, orhad a need to do so. Nor is there anyevidencethat Nicaraguaever

interferedwith her right to navigaten suchmanner.Instead,what the evidence

produced by Costa Rica shows is that, duringthe past 150 years her public
vessels havenavigatedon the river foronly threepurposes,none relatingto her

right to navigateconobjetos de cornercio." In all cases, save fora brief period

between Mayand July 1998,the CostaRican vessels engaged in the navigation
sought and obtained Nicaragua's express prior authorizationto conduct the

voyage,andagreedtoand compliedwiththe conditionsimposed by Nicaragua on

the navigation.Thus, theevidenceof subsequentpracticeby theparties submittedby Costa Rica is entirely consistentwith Nicaragua's position thatCosta Rican

public vessels enjoyno right ofnavigation on the San Juan River,and may only

do soupon Nicaragua's authorizationand subjecttoNicaragua's conditions.

1.17. CostaRica's evidence showsthat by far the most fiequentuse of theriver

by her public vesselshas been tobring suppliesand'reliefpersonnelto theborder

posts she has maintainedon the right bank of the river. She has presented one

example of this practice in 1892, and then many other examples between 1994

and 1998, and more thereafter. TheReply (includingthe documents and witness
statements annexed toit) - as well as the statementsfiom Nicaragua's witnesses

annexed to this Rejoinder - make clear that Costa Rican authorities regularly

sought and obtained authorization fiom their Nicaraguan counterparts before

embarking on these supply and relief missions, that they stopped to report at
Nicaraguan Army postsupon entering and leavingthe river, that they submitted

to inspection of their vessels, and that their personnel were unarmed while

travelling on the river (with arms stored on the floor of the vessel) and

accompanied by NicaraguanArmy personnel. The evidence submitted by both
parties shows that this was the consistent practice between 1994 andthe middle

of 1998 when,tellingly, Costa Rica asserts that Nicaragua first began to violate

her rights in a systematicway. In other words,CostaRica admitsthat the system

in place between 1994and the middle of 1998,as described in the documentary
evidence andas summarizedabove,didnot violateher rights.

1.18. Nicaragua disputesthat she everviolated CostaRica'srights,muchless in

a systematicway. However, Nicaragua agrees that a major changein relations

betweenthe parties, and in theirpractices onthe river,tookplace inthe middle of

1998. The evidence shows that after newly-elected President Miguel Angel
Rodrigueztook office in May 1998,he and his new Ministerof Public Security,JuanRafaelLizano,made an abruptandaggressive changein CostaRica'spolicy

regardingnavigation on the San Juan River. Theypublicly announced that they

would no longer accept Nicaragua'sconditions fornavigating on the river with
public vessels belonging to the Guardia Civil (which, although Costa Rica

proclaims to the world that she has no army, constitutes nothing less thanan

army, withits more than 12,000 military personnel trainedand armed byforeign

powers, andits heavy weapons far in excessof anythingpossessedby Nicaragua).
Instead, they announced, theGuardia Civil thenceforth wouldsend its vessels

onto the river with armed personnel, and without requesting authorization from

Nicaragua,for the purpose of combatingillegal immigrationfromNicaragua.In

implementation ofthis new policy, theGuardia Civil,by force of arms, beganto

intercept and detain Nicaraguans, who were navigating on the San Juan River
(that is, in Nicaragua's sovereign territory) withan intention (as intuitedby the

Guardia Civil)to enter Costa Rica illegally.As reflected in the annexesto the

Reply,the Guardia Civil carried out severalof these missions in Juneand early

July of1998.

1.19. Nicaragua, through herArmy, instructed the Guardia Civil to stop this

practice immediately, explaining that it was a violation of Nicaragua's

sovereigntyforthe Guardia Civilto navigateonthe San Juan withoutNicaraguan

authorization,and an offenceagainstNicaragua'ssovereigntyfor foreign military
forces to detain and capture Nicaraguancitizens in Nicaraguan territory.Men

the Guardia Civil defied Nicaragua's instruction and claimed thatthe need to

protect Costa Rica against illegal immigrationjustified her unilateral and

unprecedented actions, Nicaragua, though her Army, prohibited all further
navigationon the San Juan by vessels of the Guardia Civil.The documentsand

witness statements submittedby both parties,in the Replyand in this Rejoinder,

concur thatthe NicaraguanArmy gavethis orderto the Guardia Civilon 14 July1998, and that thereafter the Guardia Civil's interception and detention of

Nicaraguans navigatingon the river ceased,as did the GuardiaCivil'spractice of

using the river to bring suppliesand relief personnel to its posts along the river.
Accordingto the GuardiaCivil'sownrecords, annexedto theReply, after 14July

1998 the Guardia Civilregularly brought supplies and relief personnelto these

postsby land insteadof byboat.

1.20. Nicaragua maintains that her prohibition on the Guardia Civil's

navigationon the SanJuan after 14July 1998violatedno right of Costa Rica. In

the firstplace, Costa Rica enjoysno navigationrights forher public vessels, other
than for vessels of her revenue service engaged in the protection of her right to

navigate"con objetosde comercio". Beyondthis, the practice of the parties prior

to CostaRica'ssuddenanddramaticpolicy changein May 1998confirmsthatthe

Guardia Civil only navigated on the San Juan when authorized to do so by

Nicaragua, and subject to conditions imposed by Nicaragua. Finally, the
conditions imposed by Nicaragua, including the requirement that soldiersof a

foreign military force transit Nicaraguanterritory without bearing their arms,

were reasonable exercisesof Nicaragua's sovereign authority over theriver, and

warranted by Nicaragua's objectiveof protecting her own legitimate sovereign

interests.

1.21. Costa Rica's evidenceshowsthat the two other uses ofthe river made by

her public vessels were also subject to the express prior authorization of

Nicaragua. In the Reply and its Annexes, Costa Rica presents one instance of

bilateral collaboration in law enforcement activities 'from 1892, and several

examples ofjoint law enforcement exercisesfkom the period 1994-1998. The
documents submitted by Costa Rica show that the express authorization of

Nicaragua'sgovernment wasobtainedbeforethe 1892incident,andthat all oftheother law enforcement activitieswere planned and carried out jointly with
Nicaraguan Army personnel, obviously withNicaragua's authorization.

Significantly,the logs of Guardia Civilactivitiescoveringthe period 1994-1998,

which Costa Rica annexed to the Reply, identify not a single case of law
enforcementactivitiesconductedon the river by Costa Ricanpersonnel priorto

June 1998other than thoseconducted jointly with Nicaragua.As indicated, in

June andearlyJuly 1998,the Guardia Civilunilaterallyand without authorization
sent its vessels on the river to intercept and detain Nicaraguans thoughtto be

potential illegal immigrants, but Nicaraguaimediately protested these actions

and,becauseof them,prohibited furtheruse ofthe riverby the Guardia Civil. As
a consequenceof this prohibition,no fwther law enforcement activitiesby Costa

Rica have been carried out on the river, either unilaterally or jointly with

Nicaragua. Nicaragua's refusal to authorize fwther joint law enforcement
exercises doesnotviolateanyrightsofCostaRica.

1.22. TheReplyshowsthat theonly other useof theriver madeby CostaRican
public vessels has been for the deliveryof certain public services - including

medical,educationaland social welfare services- by Costa Rican public officials

to the small hamlets on Costa Rica's side of the river. Although Nicaragua
maintainsthat Costa Ricahas no rightto usethe riverwith her public vessels for

these purposes, she has not objectedto the practice. Nicaraguamerely requires

that Costa Rican vessels engaged in this form of navigation obtain prior
authorization,register at Nicaraguan postsupon entering and leaving the river,

and undergo an inspectionfor seaworthiness andpresenceof contraband. Inthe

caseofvesselstransporting CostaRican officials engagei dn the deliveryofsocial
services,no fees are chargedfor the inspection andclearancecertificate,or for

any other purpose. CostaRica'sownwitness statementsby governmentofficials

whonavigatedon the riverfor these purposes, annexed to theReply,confirmthatNicaragua has regularly permitted the navigation to take place subject to these

very conditions. While Costa Rica has presented evidence that some of her
officials had difficulties in 2006 obtaining visas to enter Nicaragua, it appears

fiom the Reply itself that the visas were almost always issued, and that the

problems were resolvedby 2007, when Nicaraguan visas began to be issued

more expeditiouslyto CostaRicans.

1.23. Here again, CostaRica has failed to make out a case that Nicaraguahas

violated her rights under the Treaty of Limits orthe ClevelandAward. Neither

providesa right forCostaRican public vesselsto navigate on theriver in orderto

deliver social services. Moreover, Nicaraguadoes not prevent this practice; she
merely regulates it, and her regulations are both reasonableand inherent to her

"exclusive dominion andsupremecontrol(sumoimperio)"overthe river.

Section111. Structureof theRejoinder

1.24. Following this Introduction, ChapterI1 describes the ApplicableLaw in

responseto Chapter11oftheReply.

1.25. Chapter 111addresses The Nature and Extent of CostaRica's Right To
Navigate "con Objetos de Comercio," and responds to Chapter 111,SectionsB

andC of theReply.

1.26. Chapter lV describes the Reasonableness ofNicaragua's Regulationof

Navigation on theSan Juan River, and respondsto Chapter 111,Section E, and
ChapterFour, SectionsB and E of theReply.1.27. ChapterV addresses CostaRica's AllegedRights of Protection, Custody

and Defence of the San Juan River, and respondsto ChaIIISectionsD and

F, andChapter Four,SectionsC,D andF, of theReply.

1.28. Chapter VI discussestheRemedies requestedby the parties,andresponds

to ChapterV of theeply.

1.29. Following ChapterVINicaragua concludesVolume Iof thisRejoinder
with her Submissionsanda historical Appendix,which respto theAppendix

intheReply. Volume11of theRejoindercontainsthe Annexes TREAPPLICABLELAW

SectionI. TheCharacterofthe 1858 Treatyas a TreatyofBoundaries

2.1. The general characterof the Treatyof 1858remainsa centralelementof

the disputebefore theCourt. In herMemorialCostaRicaprovidesan Appendix
in which it is asserted thatthe San Juan River"is governedby aninternational

regimem2.This propositionisthen elaboratedon the basis thatthe San Juanis an

"international riverw3. This concept isased upontwo considerations:first, that
the San Juan is "a waterway regulated by international instruments"; and,

secondly,that "the San Juanis a navigational waterway whose banlcsbelong to

twodifferentStates."

2.2. In the same sectionofthe AppendixtheMemorialconcludes:

"To sum up, the San Juan possesses an internationalstatus,
since its banks belong to two different States,it provides
accessto the seato bothof them andits regimeis regulatedby
internationallaw,particularly treatylaw.''4

2.3. In principle, thepositionof Costa Ricaas presented in theReplyremains

the same, asinthesepassages:

CRM,para. A2.
Ibid., parA7.

Ibid., para.A3. "2.35. According to Costa Rica, three elements are

traditionally associated with the existence of international
watercourses: (i) the presence of different riparians; (ii) the
fact that the watercourse, if navigable, offers access to and
fkomthe sea to morethan one State; and(iii) the existenceof a
treaty regime.

2.36. To qualify as an international watercourse, a river does
not invariablyhave to fulfil all three conditions. But the San
Juan fulfils them all. It is therefore, unquestionably, an

internationalaswell as aboundaryriver."

2.4. However,there areelementsof confusionand contradiction. Inparticular,

there is a new emphasis upon therole of the San Juan as a boundary river (see

Reply paragraph 2.36, quoted above) and the allegation that this involves a
"disadvantaged

2.5. The text of the Reply makes a very limited and fkagmentedeffort to

contradict the argument of Nicaragua in her Counter-Memorialrelating to the

character, objectandpurpose of the 1858~reaty~. Thepurpose of this sectionof

Chapter I1is to counter the distortions in the Reply and to reinforce the central
place of theevidence ofthe objectandpurposeofthe Treatyof Limits.

2.6. It is clear that the applicablelaw takes the form of the provisionsof the

1858 Treaty, the Cleveland Award and the principles of general international

CRR,para. 2.36.
Ibid.,para. 2.33.

SeeNCM,paras.2.1.1-2.1.66law8. The ClevelandAward is discussedin Section111,and the role of general

internationallawis revisited in SectionI1ofthe present chapter.

2.7. It is the general positionof the Applicant State that thecase is related

exclusivelyto navigation rightsby virtue of ArticleVI of the 1858 Treaty. This

position is intended to avoid a number ofsubstantialflaws in the claim ofCosta

Rica. And a major difficulty facedby the Applicantis the true characterof the

legal andhistorical context.

2.8. The primary objectand purpose of the 1858 Treatywas to settle a long-

standingdispute concerningtitleto territory. In herpleadings CostaRicaappears

to deny the reality of this, but fails to controvert the factual record. In her

Counter-Memorial Nicaraguahas set forth the negotiating history asrecordedin
the Rives Report dated 2 March 1888'. Costa Ricamakesno effective challenge

to this record. What she saysis this:

'Wicaragua's attempt to present itself as the loser in the

bargaining leading to the Treaty of Limits of 1858 has no
historical basis. Its presentationof theidpro quo leadingto
the 1858 Treaty unjustifiably minimizes the importance of
CostaRica'sperpetual rightof fkeenavigation,as explainedin
the Appendix to this Reply. Despite thefact that Nicaragua
attached importanceto Rives'Report, it ignoresthefact that

Rives himself declaredinthatReport:
'thatCostaRicahad for nearlythe sameperiodof twentyyears
laid claimto more territorythan she obtainedunderthe Treaty

of Limits, fully appears fkom her decree of 'Basis and
Guaranties' of the 8th March, 1841 - which asserts as the

SeeNCM, para3.3.1.
SeeNCM,para. 2.1.22. boundaries of Costa Rica the line of the River La Flor, the

shoreof LakeNicaragua,andtheRiver San Juan."l0

2.9. But in her Counter-MemorialNicaragua doesnot ignore this part of the

RivesReport, andtherelevantpassageisnow quoted in full as follows:

"But with the establishmentof the Federal Republic, and still
more, with thedissolution,the questions ofboundarybegan to
assumeimportance.

The Federal Constitution seems tohave providedby its Article

VII for the demarcation of eachState;but neverthelessnothing
was done towardsthe establishment ofthe line between Costa
Rica andNicaragua.

In 1838 Costa Rica seemsto have urged upon Nicaragua -

then assuming the rank of an independent State upon her
withdrawalfi.omthe Federation - a desirefor a recognition of
the annexation of Nicoya. In 1846, 1848 and 1852 other
Jiwitlessnegotiationswere undertakenwith a view to settling
the boundary; and in 1858, when the Treaty of Limits was

signed, the question,in oneform or another, had been before
the two Governmentsfor at least twentyyears.

That the documentaryevidencewas slight and unsatisfactory,
has been alreadyshown;andthat CostaRica had for nearlythe

same period of twentyyears laid claim to more territory than
she obtainedunder theTreatyof Limits,fully appears fiom her
decree of 'Basis and Guaranties' of the 8th March, 1841 -
which asserts as the boundariesof Costa Rica the line of the
River La Flor, the shoreof LakeNicaragua, and the River San

Juan.""

2.10. This passage, as originally quotedin the Counter-Memorialwith the key
paragraph emphasised, providesa very clear indication of the historical context.

loCRR,para.2.67 (emphasis added).

l1NCM,para.2.1.24(emphasisadded).The primary element in the context was the initiatives taken by Costa Rica

relatingtothe recognitionof the annexationofNicoya.

2.11. In addition, Nicaragua refers to several bilateral treaties concellling
dispute settlement which prefigure the 1858 Treaty and which, though not

ratified, form part ofthe historicalcontext, asCosta Rica acceptsin her ~e~ly'~.

The first of these treaties was the Marcoleta-Molina Treatyof 185413. In her

Reply Costa Rica asserts that Nicaragua states that the 1854 Treaty "clearly

recognises that the River San Juan is entirely within~icaragua"'~and disputes

whetherthis refers to apre-existing sovereignty overthe river. This observation

in fact appears in paragraph 2.1.27 of the Counter-Memorialand refers to the

Juarez-CaiiasTreaty of 1857.

2.12. Whether or not the Marcoleta-Molina Treaty refers to a pre-existing

sovereignty overthe river, the text of Articles 1 and 2, quoted in the Counter-

Memorial, makesa series of referencesto differences"regarding sovereigntyof

certain territories" (Article 1) and issues "with respect to borders, inland

navigation, andsovereignty of whichever disputedterritories, rivers, and lakes
..."(Article2)15.

2.13. The second treaty invokedby Nicaragua in her Counter-Memorialis the
Juarez-CafiasTreaty of 185716. The Reply makes no attempt to justify the

l2See CRR,para.2.68.

l3SeeMarcoleta-MolinaPreliminaryTreat,8 January1854.NCM,Vol.11,Annex 4.
l4CRR,para.2.68.

l5NCM,para.2.1.25.
16See Treaty of Limits (Cafias-JuStr, July 1857 (unratified) (hereinafter"Cafias-JuStrez
UnratifiedTreaty"). CRM,VolIIA,nnex5;quotedinNCM,para.2.1.26.allegation of Costa Rica that Nicaragua's presentation of this treaty is

"misleading". In her Counter-Memorial Nicaragua observes that the Caiias-

Juirez Treaty "would have constituted a definitive boundary, had it been

ratified"17.What is certain isthe fact that the first article of the treaty spellsout,
with great clarity, the predominance of the District of Nicoya, otherwise

described as Guanacaste, in the agenda of disputes between Costa Rica and

Nicaragua. Thefirst Articleis asfollows:

"First:The Governmentof Nicaragua,as a signof gratitudefor
the Government of Costa Rica,for its good officeson behalf of
the Republic, for the solid determinationand great sacrifices

made for the causeofnationalindependence,waives,takes and
puts away every right on the District of Guanacaste,which is
now called the Province of Moracia ofthe Republic of Costa
Rica,to be understood,held, and acknowledged,fromnow and
forever, as an integral part of said Re ublic, under the
P
sovereignjurisdiction ofsaidGovernment." *

2.14. These treaty texts referto differencesconcerning titleto territory, andthe
central feature of these differences was the unresolved issue created by the

annexationofthe largeDistrictof Nicoya byCostaRicain 1824. Thequestionof

Nicoya has beencarefullyanalysedin the ~ounter-~emorial'~: The Memorialof

Costa Rica presents an account ofthe historical facts whichis based upona series

of omissions and distortions which have been chronicled in the Counter-

~emorial~'.

l7NCM,para. 2.1.27.

l8Cafias-JerezUnratified Treaty, CRM,Vol. 11,Annex5.
l9SeeNCM,paras. 1.2.2-1.2.4and 1.2.13-1.2.23.

20SeeNCM,paras. 1.2.48-1.2.49.2.15. In response to the detailed historical facts set forth in the Counter-
Memorial,Costa Rica has nothing of substanceto advance. What appears inthe

Replyis the followingparagraph:

"Nicaragua presents the several diplomatic attemptsto settle

the disputes between the two countries afier 1821 as being
travauxprkparatoires of the Treaty of Limits of 1858. Some
ofthese attempts endedup in the signatureof treaties,although
they were not ratified and consequently never enteredinto
force .. In any event, contraryto whatNicaraguanow claims,
the previous unratifiedtreatiesandother diplomatic exchanges

do not support an interpretationof the phrase 'con objetos de
comercio' as meaning exclusively transportof goods or as
excludingtransportofpassengers,aswillbe shownbelow."'

2.16. These perfunctory and arid observationsdo not meet the Nicaraguan

argumentrelating to Nicoya. Moreover, whetheror not the diplomatic materials

presented by Nicaragua are, formally speaking, travaux prkparatoires of the
Treaty of Limits of 1858, they constitute cogent evidenceof the issues the

resolutionof whichwas the objectandpurposeof the Treatyof Limits.

2.17. Whiletheprimary objectandpurposeof theTreatyof 1858wasto settlea

long-standingdispute concerningtitle to territory,there was a connected object
which involvedgiving Costa Rica the right to navigatethe San Juan River "con

objetosde comercio"and thusto provide CostaRica withanAtlantic (Caribbean)

outlet forher tradewith, and especially coffee exports to, Europe. This aspecotf

the Treaty, and the proper interpretationof the limiting phrase"con objetos de
comercio"willbe examinedin detail in Chapter III.

CRR, para.2.53 (footnoteomitted).2.18. At this stage in the argument it is opportune to point out the helpful

admissions to be foundin the Reply of Costa Rica. In the first place there is an

admission of the centrality in the Treaty of Limits of the dispute relating to
sovereignty over thefrontierareas. Therelevantpassageis as follows:

"The present case is not one in which one or more riparian
States decide to set up a particular fluvial regime, granting
rights to other riparians or even to non-riparians. On the
contrary, this case concerns a treaty which settled a dispute

with regard to sovereignty over the fiontier areas of both
countries, including over the Sun Juan River, recognising the
sovereignty over the waters and one bank to one of the
riparian States, and granting a perpetual right of free

navigation for purposes of commerce to the other. One
attribution (Nicaraguan sovereignty) isinseparable from the
other (Costa Rican navigation): the condition for the
acceptanceof thefirst was the acceptanceby the otherparty of

the second."22

2.19. The text which ishighlighted inthe quotationis broadly accurate,butthe

final sentenceinvolvesa false opposition. It was in fact Nicaraguawhich was to

suffer a large scale excision of territory, and the sovereignty of Nicaragua

acknowledgedin respect of theriver as suchconstitutedamodest recompensefor

the lossofthe Districtof Nicoya(~uanacaste)'~.

2.20. The next subject ofadmissionson the part of CostaRica is the pertinence
of the evidence of the object and purpose of the Treaty of Limits. The first

passageonthis topicreads as follows:

22CRR,para.2.69(emphasisadded).
23Title to the Nicoya (Guanacaste) District inthe territory of Costa Ricaby more than
25%of heroriginalterritory atthetime ofIndependencein 1821. "Formally, Nicaragua aclaaowledgesthat the provisions of
Article 31 of the Vienna Conventionof the Law of Treaties
reflect customary internationallaw andmustbe appliedin the
present case. However,some paragraphs later, Nicaragua tries
to focuson the needto 'discoverthe thoughtsof the author' in
order to interpret purported "obscure passages" of treaties.

Clearly, Nicaragua is inviting the Court to depart from the
main means ofinterpretationdepictedin the firstparagraphof
that Article: 'A treaty shall be interpreted in good faith in
accordancewith the ordinarymeaningto be givento the terms
of the trea? in their contextand in the light of its object and
purpose. 99,4

In this passage the Applicant Staterecognisesthe legal significanc oef the
context,togetherwiththe objectand purpose, oftheTreatyofLimits.

2.21. Thereis alsoa secondpassage intheReplywith the sameemphasis:

"Secondly,the interpretationmust correspondto the ordinary
meaningto be givento the termsof the treaty in their context
and in the light of the treaty'sobject andpurpose. As this
Court stated even before the adoptionof the 1969 Vienna

Convention,'thewords areto be interpretedaccordingto their
natural and ordinary meaning in the context in which they
occur' (Case Concerning the Temple of Preah Yihear, ICJ
Reports 1961, p.32)."25

2.22. Inthe lightof these passagesfkomtheReply,CostaRicaappears to accept
that the primary task is the interpretationof a bilateral treaty and that the

applicableprinciplesof interpretationof the Court arethose containedin Article

31of theVienna Conventionon the Lawof Treaties. Within thisbroadcontext,

24CRR,para.2.48(emphasisadded,footnotesomitted).

25CRR,para.2.51 (emphasisadded).Costa Rica contendsthat Nicaragua reliesupon "a restrictive interpretationof the

right of free The only referenceused in the ~e~l$~to support this

assertionis to paragraph2.1.51of the Counter-Memorial,which reads in material

part asfollows:

"There is a further important consideration arising fromthe
fact that Article VI does not provide for %ee navigation' tout

court, but only 'for the purposes of comerce either with
Nicaragua orwith the interior of Costa Rica, through the San
CarlosRiver,the Sarapiqui,or any other way,proceeding from
the bank of the San Juan River.' Thus the right of free

navigation is articulatedin the form of a careful statementof
purposes. Indeed,the contentof the Cleveland Award of 1888,
in its second finding, underlines the special purpose of the
right ofnavigationrecognised inArticleVI.'"*

2.23. The passagejust quoteddoes notuse the epithet"restrictive" anddoesnot

refer to a "principle ofrestrictive interpretation". In any case, the pleading of

Costa Rica accepts that "the issue is one of context"2g,and this is surely the

correct view of the law.

2.24. The Replyrefers in this context to the case-lawcited by ~icara~ua~': In

fact the only case discussed in the Reply is The Wimbledon. In the Counter-
Memorial,the argumentpresented was based on the provisions of the Treaty of

1858 establishing Nicaraguanterritorial sovereignty over the San Juan River,

with the exception of certain limited rights of navigation3'. Acomparison was

26CRR,paras.2.57-2.66.

27SeeCRR,para. 2.59,fn 154:"See,for example,NCM,para.2.1.5."
28NCM,para.2.1.51.

29CRR,para. 2.66.

30SeeCRR,para.2.59.
31SeeNCM, para.3.3.7.then drawnwith the similar legal scenario in theWimbledoncase32.In that case
the Permanent Courthad no hesitation inrecognisingthat the limitation placed

upon Germanyin respect of her sovereign rightsover the Gel Canal entailed a

restrictive interpretationof the clausewhich producedthe limitation. This, of

course,is not an exampleof the applicationof anintrusiveprincipleof restrictive
interpretation,but a referenceto the outcome ofthe specifictreatyarrangements.

E. THE APPLICATIO OFTHE GENERA LULE OF~TERPRETATIONTOTHE
TREATY OFLIMITS

2.25. The generally acceptedprinciples are set fin the ViennaConvention,

andthe dominant featureof these is the "generalrule of interpretation"in Article

3 1. In essentialpart, Art1cprovides:

"Generalruleof interpretation

1. A treaty shallbe interpretedingoodfaithin accordance
with the ordinarymeaningto be giventoeterms ofthetreaty
intheircontextand in thelightof itsobjectandpurpose.

2. The context for the purposeof the interpretationof a
treaty shall comprise, in addition to the text, including its
preambleandannexes.

(a) any agreement relatingto the treaty whichwas made
betweenall the partiesin connexionwith the conclusionof the
treaty;

(b) any instrumentwhichwas madeby oneor moreparties
in connexionwiththe conclusionof the treatyandacceptedby
the other parties as an instrument related to the treaty."
(emphasisadded)

2.26. Inaddition,Article32provides:

"Supplementary means of interpretation

3Seeibidpa,a.3.3.8. Recourse may be had to supplementary means of
interpretation,including thepreparatory workof the treaty and
the circumstances of its conclusion, in order to confirm the
meaning resulting from the application of Article 31, or to
determine the meaning when the interpretation accordingto
Article31 :

(a) leaves themeaningambiguousor obscure; or

(b) leads to a result which is manifestly absurd or
unreasonable."(emphasisadded)

2.27. These provisions give prominenceto the context and to the object and

purpose of a treaty. At the same time, the starting pointis always "the terms of

the treaty". In the pages which follow, the terms of the 1858 Treaty will be
analysed with particular referenceto the contextand to the particular objectand

purposeof settlingamajorandlong-standingdispute about land boundaries.

2.28. The attitude of Costa Rica to the question of discovering the object and

purpose of the 1858Treaty is one of ambivalence. On the one hand, the textof
theReply recognisesthe principle involved, as inthe followingpassages:

"2.50 Thefirstprincipleof interpretationis that of goodfaith
(.-1

2.51 Secondly, the interpretation must correspond to the
ordinary meaningto be given to the terms of a treaty in the,933
contextandin the lightof the treaty's objectandpurpose ..

2.29. However, the Applicant State is remarkablyreluctant in giving effectto

the criteria clearly expressed in Article 31of the Vienna Convention. In any

event, the Court has found it helpfulto rely on the criterion of applying the
provisionsof a treaty inorderto give appropriateeffect to its object andpurpose,

33CRR,paras.2.50-2.51.and has done so in eleven Judgments since 1986~~. Two of these decisions

involved the delimitation of boundaries. In the Reply Costa Rica seeks to draw

assistancefromthe Judgment in the Kasikili/SeduduIsland casd5. In her view, in

that case navigation is treated as an important elementof delimitation whenthe
delimitationconcernsinternationalwaterways36.

2.30. This argument is misconceived. The historical background was, of
course, markedly differentin the Kasikili/SeduduIsland case. The bacltground

motivation was not the nature of rights of navigation within a river ascribed to

one riparian, but the question of accessto navigable rivers,and especiallyto the

Zambezi. To enable equalityof accessto the Chobe,as a navigable river,and to

the Zambezi, the delimitation was to be the centre of the main channel. The

present case is very different. In any casenavigation wasnot the soleobjectiveof

therelevantprovisions,as seen from thetext ofthe Judgment.

2.31. The true position is spelled out clearly in the relevant passages from the

Judgment (with emphasis addedto the passage quoted out of context in the

Reply):

34See Militaryand ParamilitaryActivities case (Nicaragua v United States)I,CJ Reports 1986,
paras271-76;Case Concerning Border and TransborderArmed ActionsI,CYReports1988, para.
46; Case Concerning Applicationof the Conventionon the Preventionand Punishmentof the
Crime of Genocide,ICJ Reports 1996,para. 34; Case ConcerningOil Platjiorms,ICJ Reports
1996, paras.23-28; Case Concerning the Gabcikovo-NagymarosProject, ICJ Reports1997,
paras.133-47; Case ConcerningKasikili/SeduduIsland, ICJ Reports 1999, paras.43-45;-La
Grand Case,ICJ Reports2001, paras.101-102, Case ConcerningSovereignty over Pulau Ligitan
andPulauSipadan,ICJ Reports2002, paras.49-52;Case ConcerningAvena and OtheM r exican
Nationals, ICJ Reports,2004, para. 85; Case Concerning Legality of the Use of Force
(Preliminary Objections)I,CYReports,2004paras100-114;Case ConcerningtheApplicationof
the GenocideConvention,2007,paras.160-167.

35SeeICYReports 1999,p.1045.

36SeeCRR,para. 2.71. "44. The Court notes that navigation appearsto have been a

factor in the choice of the contracting powers in delimiting
their spheres of influence. The great rivers of Africa
traditionallyofferedthe colonial powersa highway penetrating
deep into the African continent. It was to gain access to the
Zambezi that Germany sought'a stripof territory which shall
at no point be less than 20 English milesin width' - terms

which wereeventuallyincludedin the provisionsof Article 111,
paragraph 2, of the Treaty. Admittedly,this strip of territory
did provide access to the Zambezi,but its southern boundary
was formed by the Chobe River, which was apparently
assumed tobe navigable, as suggested bythe use of the word

'Thalweg'in the text ofthe Germanversionof the Treaty. The
difficultiesof the landroute owing toregular flooding,and the
obstaclesto navigation on the Chobe, were,in all probability,
little knownatthe time.

45. The fact that the words 'centre of the main channel'

were includedin the draftTreaty on theinitiativeof the British
Governmentsuggeststhat Great Britainno less than Germany
sought to have access to the Zambezi. In order to mark the
separationof their spheresof influencethe contracting parties
chose 'the centreof the main channel' of the Chobe, thus

ensuring that therewas a well-defined,recognisableboundary,
in a watercourse that was assumed tobe navigable. There are
grounds for thinking that one of the reasons underlying their
decision was navigation, but the Courtdoes not consider that
navigation was thesole objective of the provisions of Article

HI,paragraph 2, of theTreaty. In referringto the main channel
of the Chobe, theparties sought bothto secure for themselves
freedom ofnavigation on the river and to delimit as precisely
aspossibletheir respectivespheres of infl~ence."~~

2.32. These passages provide no support for the Costa Rican thesis. The

situationinvolved the de novopartitionof largeregionsof a continentanddidnot

relate to the settlement of pre-existing territorial disputeslike that concerning the

annexationofNicoya. Furthermore,theuse of thecentreof the main channelas a

37ICJReports,1999,pp.1073-1074.division of areas of sovereignty (as well as access to navigable waters) is in

completecontrastto the arrangementseffectedby the Treatyof Limits.

2.33. The decisionin the Case ConcerningSovereigntyover Pulau Ligitanand

Pulau ~ipadan~'is relevant in indicatingthe utility of the determinationof the

object and purpose of a boundary treaty in the process of interpretation.

However,the decisionhasno more specific application forpresentpurposes39.

2.34. In addition to the jurisprudence of the Court, an extensive array of

doctrinerecognises the role of the object and purposeof a treaty as revealed in

the text4'. It is necessary to bear in mind that the referenceto the object and

purpose formsa part of the textual approachto the task of interpretation. The

position is elucidatedby SirIan Sinclairasfollows:

"Reverting to the general rule expressed in paragraph1 of
Article 31,we nowhaveto consider the relevanceof the object

and purpose of the treaty, in the lightof which it falls to be
interpreted. We have already noted that the preambleto the
treaty may assist in elucidating that objectand purpose. It is
also worthstressingthat referenceto the objectandpurposeof

the treaty is, as it were, a secondary or ancillary processin the
application of the general rule on interpretation. The initial
search isfor the 'ordinarymeaning'to begiven to the termsof
the treaty in their 'context'; itis in the light of the object and

38SeeICJReports, 2002,p.625.

39See ibid., p.652,para. 51,for the viewofthe Courtonthe delimitation.

40 See the following sources:Mc Nair, TheLaw of Treaties, 1961, pp.380-381; Rouss, roit
InternationalPublic, Vol. I, 1970,para.241; OppenheimInternationalLaw, gh ed.by Jennings
and Watts, Vol. 1,Peace, 1992,pp. 1271-1274;Thirlway,British YearBookVol. 62(1991),pp.
37-44; and ibid., Vol. 77 (2006), pp. 45-52; Sinclair, The ViennaConventionon the Law of
Treaties,2nded., 1984,pp.113-135;PodestaCosta andRuda,DerechoIntemacionalPziblico,Vol.
11,1985, pp. 103-105;Pastor Ridruejo,Curso de Derecho Intemacional Pziblico,2nded., 1987,
pp. 120-121. purpose of the treaty that the initial and prelimina 2"
conclusionmust be testedand either confirmedor modzj?ed."

2.35. The modalities of theprovision which was to become Article 31 of the

Vienna Convention werelaid out very clearlyin the Report of the International

Law Commissionto the General Assembly in 1966. Thereit is stated:

"(12)Paragraph 1containsthree separateprinciples. The first

- interpretation in good faith- flows directly from the rule
pacta sunt sewanda. The secondprinciple is the very essence
of the textual approach:the parties are to be presumedto have
that intentionwhich appears fromthe ordinary meaning ofthe
terms used by them. The third principle is one both of

common sense andgoodfaith; the ordinary meaning of a term
is not to be determinedin the abstract butin the context of the
treaty and in the light of its object and purpose. These
principles have repeatedly been affirmed by the Court. The

present Court in its Advisory Opinionon the Competence of
the General Assembly for the Admission of a Stateto the
UnitedNationssaid:

'The Court considers it necessary to say that the first
duty ofa Tribunalwhich is called uponto interpretand
applythe provisionsof a treaty, is to endeavourto give
effect to them in their natural and ordinary meaning in

the contextin which they occur. If the relevant words
in their natural and ordinary meaning make sense in
their context,thatis an end ofthe matter.'

And the Permanent Court in an early Advisory
stressed that the context is not merely the
Article or section of the treaty in which the term
occurs,but the treaty as awhole:

In consideringthe question beforethe Court upon the
language of the Treaty, it is obvious that the Treaty

must be read as a whole, andthat its meaning is not to

41Op.Cit.,p.130(emphasis added).
42See Competenceof theILO toRegulate AgriculturalLabour,PCIJ(1922),SeByNos. 2 and
3,p. 23. be determined merelyuponparticular phrases which,if
detached fkomthe context,may be interpretedin more
than one sense.'

Again the Court has more than once had recourse to the
statement of the object and purpose of the treaty in the
preamblein orderto interpretaparticularprovision.'743

1. The ObjectandPurposeIndicatedin the Textof the Treaty

2.36. It is now appropriateto analysethe evidenceof the objectandpurposein

the form of the title and text of the Treaty of 1858. Tfis analysis remains
necessarygiven thatthe Reply showsa strongaversiontothe examinationof the

text ofthe Treatyas awhole.

(a) The Titleand thePreamble

2.37. Thetitle of theTreaty speaks foritselt4. In the Spanish textit iTratado

de Limites entre Nicaragua y Costa Rica and, inEnglish, the Treaty of Limits

between Costa Rica and Nicaragua. In the text of the ClevelandAward it is

referred to as the "Boundary Treaty of 1858 between Costa Rica and
~icara~ua"'~.

2.38. The preamble forms a part of the context of a treaty, as specified in

paragraph 2 of Article 31 of the Vienna Convention. The Court has made

43Yearbook,ILC, 1966,Vol.11,p. 221 (emphasis added,footnotesomitted).

SeeCRM, Vol.11,Annex7.
45Costa Rica-Nicaragua, Treaty of Limits (Caiias-Jbrez), Nicaraguan English .translation
submitted to Cleveland.CRM,Vol.11,Annex7(c),AppendixB,p. 55.recourseto the statement ofthe object and purpose of the treaty in the preamble

intheprocessofinterpretation46.

2.39. The preamble to the Treaty of Limits of 1858 provides a clear

confmation of theobjectandpurposeofthe agreementas follows:

"We, Maximo Jerez, Minister Plenipotentiary of the
Government of the Republic of Nicaragua, and Jose Maria
Cgnas, Minister Plenipotentiary of the Government of the
Republic of Costa Rica, having been commissioned by our
constituentsto conclude a Treatyon the boundariesof the two

Republics, which mayput an end to the differences that have
retarded the better and more perfect understanding and
harmony which ought to prevail between them for their
common security and aggrandizement, having interchanged

our respective powers, ....and having in the presence and
with the assistance of the Representative of San Salvador,
discussed the different points with the necessary care and
precaution, have agreed on, and concluded the following
Treatyof boundariesbetween Nicaraguaand CostaRica.. 46"

2.40. Thus the explicit purpose of the two Govements was "to conclude a

Treatyonthe boundaries of thetwo Republics."

(b) TheProvisionsof the Treaty

2.41. Theprovisionsof the Treaty, bothin their indvidual content and in their

sequence,give priority and emphasisto the business of establishing a boundary

line. Article 1 explicitly indicatesthe historical background inthe reference to

46See the UnitedStates Nationalsin Morocco case,ICJ Reports, 1952, pp.183, 184, 196, 197,
198;South WestA3ica cases,ibid, 1966,p.24,para21 (emphasisadded).

46Costa Rica-Nicaragua,Treaty of Limits (Cafias-Jkrez),English translations. CRM, Vol. 11,
Annex7(d),pp. 62-65(emphasis added)."differencesabout boundaries", andthe need to proceed to the consolidationof
"peace,happilyre-established".

2.42. ArticlesI1andI11are devotedto theestablishmentof theboundaryline as

follows:

"11. The boundary line betweenthe two Republics, setting
out from theNorthern Ocean, shall commenceat the extremity
of Punta de Castilla, in the mouth of the River San Juan de
Nicaragua,and shallcontinue, always following the rightbanlc
of the said river,up to a point distant from CastillaViejo 3
English miles, measured fromthe outer fortificationsof the
said Castilla to the said point. Fromthence the line shall

continue in a curve, the centreof which shall be the said
fortifications, and from which it shall be distant 3 English
milesthroughoutits course, untilit arrivesat a pointtwo miles
distantfrom the riverbank abovethe Castillo. Fromthence it
shall continuein a direction towardsthe River Sapoa, which
falls intothe LakeofNicaragua, alwaystwomilesdistantfrom
theright of the SanJuan River,withits circumvolutions, upto
its origin at the Lake, and from the right banla of the lake

itself, until it arrives at the above-mentionedRiver Sapoa,
wherethis line, parallel to thesaidbanks,shallend. Fromthe
point where thisline meets the River Sapoa, and which must,
accordingto the aforesaid,be twomiles 'distant frornthe lake,
a straight line shallbe drawnto the centre of Salinas Bayon
the Pacific, where the boundary-line between the two
Contracting Republic ends.

111. This boundary line shall be measured entirely or in
part by Commissionersof the two Governments, ata time
which shall be furedby them. The said Commissionersshall
be at liberty to deviate from the curve round the Castilla, for
theparallel alongthe shoresof theriverandlake, and frornthe
straightline between Sapoaand Salinas,if they should agree

thereon,forthepurposeoffindingnatural landmarks." 46

46 Costa Rica-Nicaragua,Treaty of Limits (Cafias-Jkrez),English translations. CRM, Vol. 11,
Annex7(d).

392.43. Articles IV and V are concerned with the legal status of particular

locations. Followingthese four articlesinvolvinga territorial division,Article VI

formspart of theoverallsettlement of thedifferenceswhich resulted inthe war of

1857and providesas follows:

"VI. The Republic of Nicaragua shall have the exclusive
dominion and supremecontrolover thewatersof the River San
Juan from their issue out ofthe laketo their discharge into the

AtlanticOcean. But the Republicof CostaRica shallhave the
perpetual right of free navigation in these waters from the
mouth ofthe river up to 3 English miles belowCastilloViejo,
for commercialpurposes ["con objetosde comercio"],whether
withNicaragua or withthe interiorof Costa Rica by the Rivers
San Carlos or Sarapiqui,or any otherroute starting from any

point on the bank of the San Juan River belonging to that
Republic.

The boats of either countrymay touch at any part of the banks
of the river where the navigationis common, without paying
any dues except such as may be established by agreement
betweenthe two ~overnments."~~

2.44. The first element in this provisionconcerns"the exclusive dominion and

supreme control (exclusivamente el dominioy sumo imperio)"over the watersof

the River SanJuan. Thisis the primaryprinciple and the referenceto navigation

is logicallya secondary element.

2.45. Theprovisionsof ArticleVII emphasisethegeneralpurposeofthe Treaty,
as the creationof a "territorialdivisiony'.ThusArticleVIIprovidesthat:

"It is agreedthat the territorialdivision made bythis Treaty,is
in no wise to be understoodas contrary to the obligations
incurredeitherby political Treatiesor contractsof canalization

47Ibid. or transit entered intoby Nicaragua beforethe recognition of
the present Convention;it is understood rather thatCosta Rica

assumes those obligations, in the part which belongsto her
territory, without any prejudice to her sovereign rights and
dominionover thesame."48

(c) The GeneralCharacter ofthe Treatyof 1858asRevealedin the
Diplomatic CorrespondenceandNegotiationsSubsequentto the Treatyof

1858

2.46. In the Counter-MemorialNicaragua explainshowthe general characterof

the Treaty of 1858 as a treaty of peace and boundaries isreflected in the

diplomatic correspondence subsequentto the conclusionofthe ~reaty~'.

2.47. 'Whilethe Applicant State recognisesthe relevanceof subsequentpractice

inprinciple50,the materialsinvokedby Nicaraguaonthis subject are ignored.

2.48. Inthis context CostaRica remains silentin face of the correspondenceof

the years preceding the agreement to the arbitrationof President Clevelandin

1888. The relevantdataof the Counter-Memorialwhich are ignored intheReply
are as follows:

"2.1.38 Bythe year 1870 the Nicaraguan Government started
to raise the question of the validity of the 1858 Treaty, and
asserted that its provisions were incompatible with the

Constitution of Nicaragua. The relevant correspondence
includesthe following items:

48Ibid.

49SeeNCM,paras.2.1.36-2.1.39.
5SeeCRR,paras.2.55-56. i) Nicaragua to Costa Rica, 1 February 1871. In this Note
Nicaragua complains of the loss of Guanacaste as a

consequence ofthe Treaty of 1858.
ii) Costa Rica to Nicaragua, 22 July 1872. This substantial

document sets forth arguments relating to the boundaries of
Nicoya (Guanacaste),and the claimof CostaRica to title. And
it ispointed out that the Treaty of 1858confmed that Nicoya
was anintegralpartof CostaRica.

iii) Message of the State Department of Nicaragua to the
Senate of Nicaragua on8 January 1876,giving the history of
the boundary question with Costa Rica andthe invalidityof the

1858~reaty."~'

2.49. The correspondenceon this themepersisted until the two States agreedto

the arbitrationof President Clevelandin 1888. Two letters fiom the year 1888

are fairly typical of the milieu. The immediate subject of discussion was the

legalityof thepresenceonthe San Juanof a CostaRicansteamship.52

(4 TheObjectandPurpose asRevealed inthe ClevelandAward of22 March
1888 andtheReport to theArbitratorby George I;Rives, Assistant
Secretary of State, of2 March1888

2.50. TheRives Report providesa detailedaccount of thehistoricalbackground

of the Treaty of 1858, and an elaboration of the relevance of territorial claims.

Thesematerials are set forthin the counter-~ernoriat~ andwill not be reiterated

here.

51NCM,para.2.1.38.

52See Note of Nicaraguato CostaRica, dated 3 August 1886, andthe responseof Costa Rica,
dated31August 1886.
53SeeNCM, paras.2.1.22-2.1.24.2.51. In her Counter-Memorial Nicaragua hasinvoked the principle of inter-

temporal law in relation to the determinationof the object and purposeof the
Treaty of Limits at the time of its conclusion. In doing so Nicaragua has

presented amplelegalmaterialsin supportof thelawasunderstoodattherelevant

period54,including the Arbitral Award in the case of the Reserved Fisheries

betweenthe United Statesand Britainof 1858~~a nd theworks of Carlos Calvo

and AndresBello.

2.52. 'In the Reply the Applicant State does not rejectthe applicationof the

principle of inter-temporal law as such but introduces certain elementsof

1. FirstElementof Confusion

2.53. In the firstplace,MaxHuberis quotedto supportan alleged"secondrule

of the inter-temporallaw" to the effectthat the existenceof a right"shall follow

the conditions requiredby the evolutionof law." Thepassage fiom the Award

requires a fullerpresentation than appears in the Reply. In its full version the

passageintheIslandofPalmas casereads as follows:

"If the view most favourable to the American argumentsis
adopted - with every reservationas to the soundnessof such
view - that is to say, if we consider as positivelaw at the
period in question the rulethat discovery as such,i.e. the mere

factof seeing land, withoutanyact,even symbolical,oftalcing

5SeeNCM,paras.2.1.14-2.1.17.
5De laPradelle anPolitis,RecueildesArbitragesInternatiIIa,.440,atp.447.

5SeeCRR,paras.2.43-2.45.possession, involved @sojure territorial sovereignty and not
merely an 'inchoate title', a jus ad rem, to be completed
eventually byan actualanddurabletaking ofpossession within

a reasonabletime, the question ariseswhether sovereigntyyet
existed at the critical date,e. the moment ofconclusion and
cominginto forceof the TreatyofParis.

As regards the question which of different legal systems
prevailingat successive periods is to beapplied in a particular
case (the so-called inter-temporal law),a distinction must be
madebetweenthe creationofrights and theexistenceof rights.
The same principle which subjects the act creative a right to
the law in force at the time the right arises, demands thatthe

existence of the right, in other words its continued
manifestation, shall follow the conditions required by the
evolutionof law. Internationallaw in the 19thcentury, having
regard to the fact thatmost parts of the globe were under the
sovereignty of States members of the community of nations,

and thatterritorieswithouta masterhadbecome relativelyfew,
took account of a tendency already existing and especially
developedsincethe middle of the 18th century, andlaid down
the principle thatoccupation, toconstitutea claimto territorial
sovereignty,must be effective, that is,offer certain guarantees
to other States and their nationals. It seems therefore

incompatiblewith this rule of positivelaw that there shouldbe
regions which are neither under theeffective sovereigntyof a
State, nor without a master, but which are reserved for the
exclusive influence of one State,in virtue solely of a title of
acquisitionwhich is no longer recognisedby existinglaw, even
if such a title ever conferredterritorial sovereignty. For these

reasons, discoveryalone, without any subsequentact, cannotat
the present time sufficeto prove sovereigntyoverthe Island of
Palmas (or Miangas); and in so far as there is no sovereignty,
the question of an abandonment properly speaking of
sovereignty by one State in order that the sovereignty of

anothermaytake its place doesnot arise.
If on theotherhand the view is adoptedthat discovery does not
create a definitive title of sovereignty,but only an 'inchoate'

title, such a title exists, it is true, without external
manifestation. However, according to the view that has
prevailedat anyrate since the 19th century,an inchoate title of
discovery must be completedwithin areasonable periodby the
effective occupation of the region claimed to be discovered. This principle must be applied in the present case, for the
reasons givenabove in regard to the rulesdetermining which
of successivelegal systemsis tobe applied (the so-callednter-
temporallaw). Now, no act of occupation nor, except asto a
recent period, any exerciseof sovereignty atPalmasby Spain
has beenalleged. But even admitting that theSpanishtitle still

existedas inchoatein 1898 and must beconsideredas included
in the cession under Article I11of the Treaty of Paris, an
inchoate title could not prevail over the continuous and
peaceful displayof authorityby another State; for such display
may prevail even overa prior, def~tive title put forward by
another State. This point will be considered, when the
Netherlands argumenthas been examinedand the allegations
of either Party as to the display of their authority canbe

2.54. The question of law elaboratedby Huber is to be seen in its context.
There is no issue of a rule of inter-temporallaw, and certainly not of a rule

pertainingto the interpretationofbilateraltreaties.

2. Second Elementof Confirsion

2.55. The second elementof confusion is to use referenceto the 'notion of

inter-temporallaw'as an excuseto introducethe issueofthe relevanceofgeneral
internationallaw. The relevance of general internationallaw is a qualitatively

differentissue,and willbe examined in SectionI1below. In any eventit is clear

that there canbe no presumption that a principleof generalinternationallaw can
intrude in orderto modify theeffects of the negotiated provisionsof a bilateral

treaty. Theprovisionsof suchan instnmnentwould inevitably reflectthe precise

concernsof the partiesat the material time. It wouldbe wholly irregularto seek

57IslandofPalmasCase,UNRIAA, II,p.845-846.

45to use the notion of inter-temporal law todisturbthe stableregime embodiedin a

treaty establishingboundaries andsettlingterritorial claims.

3. ThirdElement of Confusion

2.56. The further element of confusion is the proposal that the subject of the
Treatyof 1858must involve "theevolutionof general internationallawregarding

the right of navigation of riparian states in international No

evidenceis offered toshowthat theprovisionsof the 1858Treatyare subjectto a

process of evolution. The governingprincipleis the intentionof theparties at the

time of the conclusionof the treaty. As the Court stated in theAdvisory Opinion
on theLegal Consequencesfor Statesof the ContinuedPresence of SouthABca

inNamibia:

"53. Mindful as it is of the primarynecessity of interpreting
aninstrumentin accordancewiththe intentionsofthe partiesat
the time of its conclusion, the Court is bound to take into
accountthe factthat the concepts embodiedin Article22 of the
Covenant - 'thestrenuousconditionsofthe modem world'and

'the well-beingand development'of the peoples concerned -
were not static, but were by deJinitionevolutionary, as also,
therefore, was the concept of the'sacredtrust: Theparties to
the Covenantmust consequentlybe deemed to have accepted
themassuch. That iswhy,viewingthe institutionsof 1919,the

Court must take into consideration the changes which have
occurredinthe superveninghalf-century,and its interpretation
cannot remain unafected by the subsequent development of
law, through the Charter ofthe United Nations andby way of
customary law. Moreover, an internationalinstrument has to

be interpretedand applied within thefi-ameworkof the entire
legal systemprevailingat the time of the interpretation. Inthe
domain to which the present proceedingsrelate, the last fifty
years, as indicated above, have brought important

58CRR,para.2.45. developments. These developments leavelittle doubt that the
ultimate objective of the sacred trust was the self-
determination and independenceof the peoples concerned. In
this domain, as elsewhere,the corpus iurisgentium has been
considerably enriched, and this the Court, if it is faithfully to

dischargeits functions,maynot ignore.
54. In the light of the foregoing, the Court is unable to

acceptany constructionwhich wouldattachto 'C'mandatesan
object and purpose different fi-om those of 'A' or 'By
mandates. Theonlydifferences were those appearingfi-omthe
languageof Article22 of the Covenant,and fi-omthe particular
mandate instruments, but the objective and safeguards

remained the same, with no exceptions such as considerations
,of geographical contiguity. Tohold otherwise would mean
'that territories under 'C' mandate belonged to the family of
mandates only in name, being in fact the objects of disguised
Icessions, as if the affiation that they could 'be best

administered under the laws of the Mandatory as integral
portions of its territory'. (Art.22, para. 6) conferred upon the
administering Power a special title not vested in States
entrustedwith 'A'or 'B'mandates. The Court would recallin
this respect what was statedin the 1962Judgmentin the South

TestAfrica cases as applyingto all categoriesof mandate:
'The rights of the Mandatory in relation to the
mandated territory and the inhabitantshave their foundation in

the obligations of the Mandatory and they are, so to speak,
mere tools given to enable it to fulfil its obligations.'I.C.J.
Reports 1962,p.329.)"59

2.57. This reasoning is directly related to developments concerning self-
determination and human rights affecting"the entire legal systemprevailing at

the time of the interpretation". Thereis no comparison here with theprinciples

relating to watercourses, and, even less, witha watercourse forming part of a

Treaty of Limits closely anchored in specificswhich are both regional and
historical.In the present case the''entirelegal system" consists essentiallyof the

59ICJ Reports,1971,pp.31-32,paras.53-54(emphasisadded).

47bilateral treaty,the character of its provisions, and especially the objective of

achievinga stableterritorial settlement.

1. The Thesesof CostaRica ConcerningTreatyInterpretation

2.58. It is obviousthat the San Juan River issubjectto a regime designatedby a
bilateral treaty. No rights are created for third states and the provisions of the

Treaty of Limits reflect its purpose in establishing boundaries as a basis for

peaceful relations. The object and purpose of the Treaty in relation to the

settlement of boundaries is unequivocally indicated by the preamble, by the

provisions, and by thehistoricalbackground.

2.59. Prior toan examinationof "theprinciples of interpretationyin her

CostaRica seeksto use a typology of watercoursesto createa set of suppositions

intended tostandin frontof, andto obscure, theprocess oftreaty interpretation6'.

2.60. The f~st of thesesuppositions isthat the San Juanis a "boundaryriver"62.

By this is meanta river inwhichtheboundaryis drawnon the shorelineof one of

the riparian States. As will be demonstrated below,there is no basis in general
internationallawfor givingthisfact any consequencesin favourofthe positionof

CostaRica on her navigationrights.

60CRR,paras.2.41-2.73.
Seeibid paras.2.02-2.40.

62Ibid .aas.2.19-2.33.2.61. The second suppositionin the Replyis to the effectthat the San Juanis an
"international boundary river"63. In the analysis offered by Costa Rica, the

advantage this supposition gives Costa Rica remains very obscure. The key

paragraphsare as follows:

"2.37 The characterisationof the San Juan as an international

boundary watercourse entails that the rules of general
international law apply to it unless they are pre-empted by
treaty rules or binding decisions (herethe Cleveland Award
and the Judgmentof the Central American Cowt ofJustice). It
also entails the applicability of the general rules on territorial

sovereignty pursuant to which the respondent State exercises
sovereigntyover the waters of the San Juan, always subjectto
its internationalobligations.'

2.38 The Treaty and the pertinent arbitral and judicial
rulings must be appreciated in the light of the rules of
interpretation laiddown by Articles 31 and 32 of the Vienna
Convention on the Law of Treaties of 23 May 1969. The

interpretation of the provisions of the 1858 Treaty must take
account of the rules of general international law relating to
watercourses and the circumstances surroundingthat Treaty,
including the fact that the boundary runs on the Costa Rican
bank. The rules of interpretation in questiondo not in all

aspects correspond to those invoked by Nicaragua in the
present controversy."64

2.62. As has been pointed out already, these passages exhibit considerable

confusion concerningthe applicablelaw. In particular,the relation of the treaty

provisions and general international lawis not clearly articulated.

63Ibid.,paras.2.34-2.39.

64CRR, paras.2.32-2.38.2.63. Invokingthe typology of watercoursesis unhelpful. The doctrineshowsa
reluctance to generalise from the Europeantreaty practice. Thus Dr. Whiteman

reportsthe opinionof Alvarezwith approval:

"At the Barcelona Conference, the Chilean publicist, Alejandro
Alvarez, in his report as chairman of the subcommittee on
navigable waterways,noted:

'The principle of freedom of navigation on rivers has
not evolved in the same manner in the American
Continent. Freedom of navigation on international

rivers has been admitted there, not as an extension of
the European principle, but as a concession accorded
voluntarilyby the riparian States through the medium
ofinterpartesagreementsor of legislativeacts ...'

League of Nations, BarcelonaConference, Verbatim
Records and Texts Relating to the Convention on the
Regime of Navigable Waterways of International

Concern (Geneva, 192 1)225-226." 65

2. TheResponseof CostaRica to theAnalysisPresented in theCounter-
Memorial

2.64. In the counter-A4emoriaP6Nicaragua presents an analysis of the legal

consequences flowing from the object and purpose of the Treaty. The Reply
containsno clearly integratedresponseto what is said in the Counter-Memorial,

and it is thereforenecessaryto seek outthe disassociatedcommentswhich have

been introduced in Chapters I1 and I11of the Reply. Nicaragua maintains that

65MarjorieM. Whiteman,DigestofInternationalLaw,Vo1.3,Departmentof StatePublic.7737,
released October 1964,p. 881; see also the work of Carlos Sosa Rodriguez, LesFleuves de
I'ArnkriquLatineetleDroit desGens,Paris, 1935,pp. 65-66 and89-119.

66SeeNCM, paras.2.1.46-2.1.66.these comments, both individually and as a composite, do not constitute an

effectiveresponseto the analysis contained intheCounter-Memorial.

2.65. The response of the Applicant State will now be analysed in relation to

eachrelevantparagraphof the Counter-Memorial.

2.66. In her Counter-Memorial Nicaragua explains thatthe position of Costa

Rica that her "vessels must be perrnitted to navigate the Rio San Juan 'sin

ninguna condicion' ("without any condition"), and that, in consequence,

Nicaragua may not exercise any rights of sovereignty andj~risdiction"~~is
untenable6'. Theresponseof the ApplicantStateto this reasoning,insofaras it is

visible, is exiguous and fissiparous. The relevant passagesof the Reply are in

paragraphs 2.57and2.58.

2.67. It is difficult to understand why the Applicant State considers these
observations inher Reply to be helpfulto her case. No admission has been made

by Nicaraguain her Counter-Memorial to back CostaRica'sposition. Moreover,

generally speaking, these paragraphsfiom the Reply are consonant with the

position ofNicaragua. Thus,a particularright of Costa Rica (fiee navigation) is

presented in the Treaty of Limits asa qualificationof the general grantof rights
(in the form of title to territory)to Nicaragua. The Treaty provisions sthat it

is Nicaragua'ssovereigntywhich is limitedby the particularright of Costa Rica

of free navigation. As theReply helpfullyaclcnowledgesin paragraph2.58: "the

rights and obligations of the parties in the present case are governed,ust and
foremost,by the 1858Treatyof Limits."

67NCM,para.2.1.47.
SeeNCM,paras.2.147- 2.SO.2.68. Nicaragua's Counter-Memorialrecalls:

"2.1.51There is a fhrtherimportantconsideration arisingfrom
the fact that ArticleVI does not provide for 'free navigation'
tout court, but only 'forthe purposes of commerce either with
Nicaragua or with the interior of Costa Rica, through the San

Carlos River,the Sarapiqui, or any other way,proceedingfrom
the bankof the San JuanRiver.. .'

2.1.52 Fromthis premise two conclusionsfollow. First, the
fact that the right of navigation is subjectto careful def~tion
and precise limitationconfms the view that the right is to be
exercised in a contextof Nicaraguansovereignty and general

jurisdiction. Secondly, Nicaragua must have the power to
regulate CostaRicantrafficfor the purposeof ensuringthatthe
conditions of the right of navigation laid down in the Treaty
arebeing observed."69

2.69. The response of Costa Rica in the Replyis two-fold. First, it is claimed

that such a regulatory power 'camountsto an effective denial of Costa Rica's

right" (of navigation). But this is clearly notthe case7'. Secondly,it is claimed
that such regulatory powersdo not stemfiom any of the applicable instrument^^^.

But it isimpossibleboth inlaw and inpracticeto have a right ofnavigationwhich

is not subject to regulation and policing. This form of practical necessity is

recognised by the standard authorities cited in the Counter-Memorial at

paragraphs 2.1.53 to 2.1.57, including the opinions of Wheaton and OYConnell.

In other words, the right of navigation must be compatible with the nature of
territorialsovereignty.

69bid.,2.1.51-2.1.52.

70CRR,pp.47-48,para. 3.14.

71Seeibid pa,a. 3.24.2.70. In response to thepropositionin the above indicated paragraphsof the
Counter-Memorial, CostaRicaobserves inherReply,

"3.25 Someof the writerscitedbyNicaraguain supportof its

views on the purported rightof regulation only address the
issue of regulatory rights in relation to innocent passage or
innocent use, situations which clearly fall outside a
conventionalrightoffiee navigationsuchas that inthepresent
case. But even in the case of an innocent use, the writers
generally agree thata State cannot establish regulations that
limitnavigation."

2.71. These observationslaclcanybasisin lawand nosourcesare cited. Indeed,

the passage fiom Wheaton (cited in paragraph 2.1.54of the Counter-Memorial)

expresslyrefers tothe "right ofinnocentpassage''being "necessarily modified by
the safetyand convenienceof the Stateaffectedby it ..." Moreover,thepassage

from 0'~onnell~~doesnot employthephrase"innocentuse".

2.72. In response to the quotation from Wheaton in paragraph2.1.54 ofthe
Counter-Memorial, Costa Rica commentsas follows:

"3.36 Nicaragua gives the impression that Costa Rica'sright
established in Article VI of the Treaty of Limits is an
'imperfectright'..

CostaRicaquotesWheaton'sElementsofInternationalLaw,publishedjust eight

yearsafterthe conclusionofthe 1858Treatyof Limits. Wheatonwrote that:

"The right of navigating, for commercialpurposes, a river
which flows through theterritories of different States, is
commonto all the nations inhabitingthe different partsof its
banks; butthis right of innocent passage beingwhat the text-
writers call an imperfect right, its exercise is necessarily
modifiedby the safetyand convenienceof the State affected

7SeeNCM,para.2.1.57. by it, and can only be effectually secured by mutual
convention regulating the mode of its exercise". (Emphasis
added.)

And CostaRicarecallsinparagraphs3.37ofherReply that Nicaraguacomments:

"It is not suggestedthat thisreasoning isdirectly applicableto

the present case, especiallyinview of the fact that the right of
navigation presently in issue arises from a bilateral Treaty.
However, the significant point is presented in the final
sentence of the passage which clearly assumes that, when it
exists,a rightof navigationfor commercialpurposes issubject
to certain conditionsas tothe modeof its exercise."Emphasis

added.)
Nicaragua's embarrassment about this quotation is
understandable. Wheatonmentioned theneed of a convention

to secure the mode of exercise in regards to such 'right of
navigation for the commercial purposes',which is precisely
the case ofthe San JuanRiver."

2.73. There is no embarrassment in Nicaragua's Counter-Memorial on the

relevance of this quote. Moreover, the Reply is here accepting that a mutual

convention,as requiredby Wheaton,wouldstill govern"the mode of exercise" of

the rightof navigation.

2.74. The sources when consideredas an ensemblejustify the conclusionthat

the right of regulation in legal terms derivesboth from the provisions of the

Treaty of 1858 and from the inherent and logical rights emanating from

sovereignty.In her Counter-MemorialNicaragua points out in paragraph 2.158

that at least three types of regulation by the Nicaraguan authorities would be
compatible withthe principle of free navigation, including the rightto monitor

the type of vessels exercising the right of navigation and those measures

involving questionsof security and safety. In Chapter IV of this Rejoinder,

Nicaragua further demonstrates that the regulatory measures are necessary todefend her sovereign interests in crime prevention, navigationalsafety, border

securityand,above all, environmentalprotection.

2.75. The response of Costa Rica in her Reply amounts to little more than a
formal denial: and it is a denial which involves the rejectionof any regulatory

power whatsoever inhering inthe territorialsovereign.

2.76. AsNicaragua explained in herCounter-Memorial:

"2.1.63 There are certain materialswhich, whilst not directly
relevant,provide supportby wayof analogy fortheproposition
that a right, fieedom, or liberty, may be subject to a certain
degree of regulation by the sovereign of the territorywithin

vvhichthe right,fieedom,or libertyisto beexercised. Thus,in
the North Atlantic Coast Fisheries arbitration (1910), the
United States claimedthat Great Britain had no right to make
regulations fora fishery inwhich American citizenshad been
granted 'a libertyto talcefish of every kind' by a Convention

of 1818. The Tribunal (createdby a Special Agreementof
1909) decided that itwas lawful for Great Britain to malce
regulations if they were bonaJide and not in violation of the
Treaty and also if they were: '(1) appropriate or necessaryfor
the protectionor preservationof suchfisheries,or (2)desirable

or necessary on grounds of public order or morals without
unnecessarily interfering withthe fishery itself; and in both
cases equitable and fair as between local and American
fishermen ...7773

2.77. Theresponseof Costa Ricain theReply is as follows:

"3.17 Nicaragua also referredto the Award ofthe Tribunalof
Arbitrationin the Question relatingto theNorthAtlantic Coast

Fisheriesof 7 September1910. However,its referenceto this
Award is not clear. Again it is worth quotingthe relevant
paragraphof this arbitralawardin its entirety:

73Parry(ed.),British Digestoflntemational Law,Vol.,2b, 1967,p.585atp.594. 'The exerciseof that rightby Great Britain is,however,
limitedby the said Treaty inrespect ofthe said liberties
therein grantedto the inhabitantsof the United Statesin
that such regulationsmust be made bona fide and must
not be inviolationof the saidTreaty.. ."

2.78. In relation to the first paragraph from the Reply it is simply mistaken to
suggest that the award is in some way misrepresented. The right to make

regulations"mustnot beinviolationof thesaidTreaty", as the Award states. But

this propositiondoes not defeat the right of Great Britain to make regulations as
long asthey "arenot inconsistentwith the obligationto executethe treaty in good

faith, and are therefore reasonableand not inviolation of the treaty." (emphasis

added)

2.79. Thus, in this passage, which is adopted by Costa Rica, the Tribunal is
expressly accepting that regulations necessary ongrounds of public order and

moralsare not inviolation of the treatyinquestion.

2.80. In paragraph 3.18 of her Reply, Costa Rica urges upon the Court a

distinction between a resource subject to exhaustion, such as fisheries, and
navigation "which is not destructiveof anynatural resource". It is then asserted

that free navigation does notneed any regulation. This distinction lacks validity

both in law and in the sphere of policy. In the first place, navigation is a

notorious source of pollution and public order involves both environmental
protection and safety of navigation, includingavoidance of collisions and other

disasters. In any event the concept offree navigation must include thenecessary

regulationto ensure that navigationis available in conditionsof safety, freedom

from criminalactivity,and freedomfrom environmentalhazards.2.81. In paragraph 2.1.64 of the Counter-Memorial,Nicaraguabrought to the
fore the implicationof the decisionof the Court in the Rightof Passage Case

(Portugalv In that case, bothPortugalandthe Court recognisedthat the

passage was subject to the regulation andcontrol of India. In the Reply no

attemptis made eitherto discuss, orto deny, the relevanceof this decisionof the
Court. It is particularlystrikingthat CostaRica fails to challengethe analogy

madeby Nicaragua with therightofpassage.

2.82. The evidence available leads to the inevitable conclusionthat theprimary
object and purposeof the 1858Treatywas the definitive settlementof the long-

standingterritorialdispute concerningthe districtof Nicoya andthe overalllimits

of CostaRica andNicaragua. The evidenceof the specificobjectandpurpose is
asfollows:

(i) The historical context, includingseveral bilateral
treatieswhich formpartof thehistorical context75.

Thenatureof thetitle, and thetextof the preamble.
(ii)

(iii) The provisionsof the Treaty, includingthe sequenceof
theprovisionsandtherankingofArticle V?.

(iv) The diplomatic correspondence subsequentto the
conclusionof the ~reaty~~.

74SeeICYReports,1960,p.6.
75See alsoNCM, paras.2.1.36-2.1.39. (v) Thetext of theClevelandAward of 22March 1888and
the Report to the Arbitrator by George L. Rives, Assistant
Secretaryof State,of2 March 1888~~.

2.83. Thetreatment of these sources in the Reply is incomplete and extremely

shallow. Moreover,there are certainadmissionsin the text of the Reply,which

havebeen examined above.

2.84. Given that the Treaty of 1858 recognises the territorial sovereignty of

Nicaragua overthe river as awhole, it must follow that the rightof navigation is

necessarily to be reconciled with the existence ofNicaraguan title. Moreover,

accordingto the general principles of international law, Nicaraguahas both the
right and the duty, as territorial sovereign,to make provision for the safety of

navigationand the maintenance of publicorder.

2.85. The ordinal significance of theinteractionof territorial sovereignty and a

regime of navigation is well-recognisedin the doctrine. The authorities referto
the regulatory power ofthe riparian Stateinsuchcircumstances7*.

2.86. Theposition of contemporaryauthorities,such as Wheaton,was reflected

in the opinions of Governments. This is evidencedby the advice offered to the

British Secretary ofState,the EarlofAberdeen,in 1844by SirJohn~odson~'.

76Seealso NCM, paras.2.1.22-2.1.24.

77SeeNR, Chap.11,Sec.111.

78SeeNR, para.2.69.
79SeeInternationalLawOpinions,Vol.1, 1956,p.308.2.87. In addition to these evidences, when essentially similarlegal questions

were examinedby internationaltribunalstheir decisionsexplicitlyrecognisedthat

a Statemay exerciseapolicepowerin respectof vesselsexercisingatreaty-based

right of fkee navigation in rivers forming part of its territory.In face of the
Awards in the North Atlantic Coast Fisheries case and McMahan (U.S.A.) v

United Mexican States (1929), the Applicant State makes no attempt to deny

eithertheir authorityorrelevance8'.

2.88. In her Reply Costa Rica is remarkably reluctantto recognise the force of

the evidence, either in its separate manifestations, or as a whole. A carefbl
examinationof the individual sourcesis avoided. "Writers" are invokedbut not

quoted. In this settingit has been necessaryto reaEi the pertinent elementsof

the interpretationof the Treaty of Limits and to place its provisionswithin the

appropriatelegalperspective.

2.89. Therefore,whateverthe nature and extentof CostaRica'snavigationright
(whichwill be addressed in Chapters I11throughV of this Rejoinder),within the

provisions of the Treaty of Limits and the Cleveland Award, Nicaraguamust

havethe exclusive competenceto exercisethe followingregulatory powers:

(a) The protection and maintenanceof the right of navigation,that is
to say, the power to maintain public order and standardsof safety

in respectofnavigation;

(b) The protection of the border, including resortto immigration

procedures in respect to foreign nationals navigating in
Nicaragua's territorial waters;

See CRR,paras.3.17-3.18,3.32. The exerciseofnormalpolicepowers;
(c)

Theprotectionof the environmentandnatural resources; and
(d)

(e) The maintenance of the Treaty provisions prescribing the

conditions of navigation in accordance with the Treaty, thatis to

say, the maintenance of the discipline of the Treaty as such,

togetherwiththe termsofthe ClevelandAward.

Section TI. TheRoleof General InternationalLaw and OtherParticularRules

2.90. CostaRica devotesan entire chapter (Chapter11)of herReplyto "General

InternationalLawRelevantto the ~is~ute"~'.The topic doesnot deservesomuch
emphasis: while it is certainly true that, in some limited respect, "the rules of

general international law apply ...98, it remains that the case is primarily

governedby the Treatyof 1858. Costa Rica's ChapterI1is clutteredwith rather

general and academic developments on the law of internationalrivers83which are

of limitedrelevanceforthepresent purpose.

2.91. As has been shown in Section I above, the 1858 Treaty recognises the

territorial sovereignty of Nicaragua overthe bed and the waters ofthe San Juan

River. It does so in the first sentence of Article VI. The second sentence,

introduced by the word "but" ("peron), constitutes an exception to the usual

consequencesof the "exclusive dominionand supremecontrolover the waters of

CRR,paras.2.01-2.74.

82CRR,para.2.40.
83See e.g., the lengthy presentationof the practiceof establishing boundarieson riverbanks at
paras. 2.21-2.25.the San Juan Rive..."("exlusivamenteel dominyosumo imperio sobre las

aguas delrio de San Juan"). This exceptionis constitutedby the "right of fiee

navigation" ("10sderechosperpetuos de libre navigacidn") on the river with the

importantstipulationsthat this right islimitedto navigation:

(i) "with articlesoftrade" ("conobjetosde comercio") and
(ii) that this commercebe "withNicaragua or withthe interior

of CostaRica" ("conNicaragua ointerior de CostaRica").

2.92. Nicaragua will comeback to these limitationsin Chapterw.Inthe

present Section, she is only concerned with the respective roles of the

Treaty (and ofsome othermore minorinstruments)andgeneralinternationallaw,

and with the relationsbetween the formerand the latter for the settlementof the
presentdispute.Andtheprinciples arestraightforward:

(i.) the Treatyprevails;

however,if it is incomplete orif itsmeaningis obscure,
(ii.) there canberecourseto other rulesof internationallaw.

A. THETREATY PREVAILT SHECONTINGENT ANDSECONDAR RELEVANCE
OFGENERAIL NTERNATION AALW

2.93. Whatever their content may be, the rules of general international law

whichmightbe applicableto a similar casearenot peremptory: they wouldapply

insofar asthe Statesin question have not accepted spec-awhich can be
derogatory to said general rules. For this reason, the legalqualification of the

situationis of ratherlittleimportance.

2.94. Costa Rica pays great attentionto the issue of the def~tion of an

international river. According to her, the San Juan River would be aninternational river for three cumulative reasons: "(i) the presence of different

riparians ; (ii)the factthat the watercourse,if navigable,offers accessto and from

the sea to more than one State ; and (iii) the existenceof a treaty regime"84.It

might well be so - but it does not really matter since,whatever the general rules

applicable tointernationalwatercourses, the 1858Treaty must prevail, as Costa
Rica acknowledgesfrom time to timeg5.But, in doing so, she doesno more than

pay lip serviceto the principleof lexspecialis.

2.95. Thus, Costa Rica writes, "[rlegarding navigation ... any recourse to

customary lawis contingenton the lexspecialis resulting fiom the 1858 Treaty,

as interpreted by the 1888 Cleveland Award and the 1916 Judgment of the

CentralAmerican Court of~ustice"'~N . icaragua denies the relevanceof the 1916

Judgment in the present caseg7,but leaving this aside for the moment, it is

revealingthat,while she seems to accept theprincipleof specialia [herethe rules

in the 1858 Treaty]generalibus [here general international law rules] derogant,

Costa Rica goesto great lengthsto base her right of navigation on the San Juan

River ongeneralinternationallaw.

2.96. In this respect, she attaches great importanceto an allegedly "truncated

version" of a quote from a writer (Professor LuciusCaflisch) commentingupon

the Faber case decided in 1903 by the German-Venezuelan Claims

~ornmission~~T . he alleged "truncating" isa venial sin: it has no bearing on the
meaningof the sentence (andit is the reasonwhyNicaragua indulged herselfnot

84CRR,p. 28,para. 2.35.

85 Seee.g.CRR,para.2.08orpara.2.58.

86 CRR,p. 19,para.2.15.
87See NR, paras. 2.124-2.128.

See CRR,paras.2.16-2.17.to reproducethe phrasein questionwhichattributesto the Umpirean alternative

position, where the only purpose of the quote was to contrast two positions;

moreover the learned author interprets'Yreely"what the Umpire effectively

saidg9).Now, leaving aside these pettifogging quibb,oth the decisionin the
Faber case and Professor Caflisch's comment are of interest regarding Costa

Rica'sallegedrightsof navigationundergeneralinternationallaw.

2.97. As was usual at the time, the Award includes the opinionsof the

Commissioners.In the instant case, oneoftheCommissioners(Goetsch) wrote:

"In the first place it is undeniable thata sovereign state
holds absolute authority overits rivers and water courses

untilthese touchthefjrontiersof other states. Thisprinciple
is nevertheless limitedin two sensesby internationallaw.
'Whena river constitutesthe only way of communication,
indispensablefor the subsistenceof another nation, orpart
ofit, itsuse cannotbe entirelyprohibited."90

For his part, Commissioner Zuloaga considered th,[tlransitorycommercecan

thereforebe prohibitedby Venezuela atany time, as sheis not obligedby any

treatyto permitit...)Venezuela,as a sovereignnation,regulatesthiscommerce

in transit in its territory as it sees fit'"', and that "[tlhe theory thatnavigable
internationalrivers arefreeto navigationhas not been admittedas a generalrule

of the law ofnations.No nationup to now has recognizedthis absoluteprinciple

orthis obligation asa perfectone,andin the caseswhereit hasbeen agreedto by

nationsit has alwaysbeenby virtueof specialtreaties.mpire DuEeld clearly

concurred with this last opinion:"To sustain a claim for injuries to C6cuta

8SeetheAwardof1903,Fabc ersR,IRAvolX.,p462- fi97.
Ibidp.444.

Ibidp.447.
9Ibidp.449.merchants with the reasons adduced,to the effect that the river Zulia must be

opened to internationalcommerce, is tosurreptitiously introduce questions asto

the sovereigntyof venezuelang3;then, quoting Woolsey, who terms the alleged
right of navigation on international rivers "only a moral or imperfect right to

navigation", the Umpire adds:"However, it is no longer to be doubted that the

reason of the thing and the opinionof otherjurists [whoseopinion is analyzed at

length in the Award], spoken generally, seem to agree in holding that the right
can only be what is called (however improperly)by Vattel and other writers

imperfect, andthat the state through whose domainthe passage is to be made

'must be the solejudge as to whether it is innocent or injurious in its character'

(Phillimore,CLVII,citingPuffendorf,Wheaton'sElementsof InternationalLaw,

Hesty'sLaw ofNations,Wolff s Institutes,~attel)"'~.

2.98. It is therefore not really true that "la sentence arbitrale dans I'affaire

Faber met en relief l'oppositionentre la doctrine dela libre navigation, crdation

de 1'Europedu me si6cle,et la conception latinoamdricaine,qui fait ddpendre

la navigationde la volontdde 1'~tatriverainou des tatrive rain^ .o^rindeed
is it entirelytrue that,"[clette conception sembledu reste l'emporter sur la th6se

subsidiairequifut ddveloppdepar le surarbitreDuffield et qui consistaiA liniter

la libre navigationaux trajets sanstransbordementvers la mer ou en provenance

de ~elle-ci"~~I.n reality,the positionof the Umpire isclearlyin favour of the first
of those two theses; and the alleged "subsidiarythesis" is not at all presented as

94Ibid.,p.466(italicsinthe text).

95L. Caflisc((Rbgles ghnhralesdu droit des cows d'eau intematD,Recueil des cours,
1989,Vol.1119,p. 125.
96Ibid.an alternative to the former one but as concerning the differentquestion "of

regulatingcommerce,rather thanrestrictinginternalnavigation'"7.

2.99. What, on the other hand,is clearly true, is the conclusionarrived at by

Professor Caflisch: "La doctrine, quant 2 elle, semble 2peu prks unanime :en

AmCrique latine, il n'existe pas de libertC de navigation en l'absence de

concession unilatkraleou de dispositioncon~entionnelle"~~ T.his isconfmed by
the careful examinationof the authoritiesby Umpire ~uffield" - who doesnot

limit his conclusionto Latin America but shows that "[[flromthis review of the

authorities it seems thateven in respectof rivers capable of navigationby sea-

going vessels carrying oceanic commerce [wherever situated] the weigho tf

authoritysustainstherightofVenezuelato makethedecrees complainedof 'loo.

2.100. In other words, generalinternationallaw, as presentedby more or less
contemporaneous authorities, does not help Costa Rica n,ot only is it supplanted

by the 1858 Treaty which introducesa qualified right of "fiee navigation" in

favour of CostaRica,butalso,if itwereto apply,it wouldnotrecognizeanyright

of navigation in her favour:the principle wouldbe (and only be) that of the

absolute authorityof the sovereignState(here Nicaragua) overthe waters of her
river (herethe SanJuan).

2.101. At thisstage, CostaRica'sfallbackposition isto claimthat thelimitfixed

by the 1858 Treaty, beingalimitonthe shore,is a "bad"boundary:

9Awardof 1903,Fabercase,&YAY volX,p. 462.

9L. Caflisch,op.cifn9.5,p. 125.
99SeeAward of 1903,FabercaseIURcl v,l.X,pp.463-466.

loIbid.,p. 466. - "The great injustice ofthis type of boundary (. .) is that one
of the border Statesis excluded fromthe use and exploitation
ofthe ri~er"'~';

- "The effect of placing an internationalboundary on the shore
of a navigable rivermaybe particularlydramatic.. ,,102,

- "Limits on the shore cannot beconsidered 'good' boundaries
because they tend to generate conflict rather thanto promote
peaceful

2.102. These are extraordinaryallegationsbefore a Court, "whose function is to

decidein accordancewith international law". Tworemarksare in order.

2.103. First, these limitations "imposed"on CostaRica on the use of the riverby
the lawfully concluded Treaty of Limitsof 1858were agreedin exchange of the

concession of enormous compensations -- of which the granting of qualified

rights of free navigation was not the main part. In reality, in exchange for this

supposedly unfavourable limit, Costa Rica gainedsovereignty over the districtof

Nicoya --an advantage whichwas the main quidpro quo, compensating with
largessethe placingof the borderat the banklo4.There is nothing "inequitable"in

this agreement,which can be seenaslargelyin favourof CostaRica.

2.104. Second, and more importantly froma legalpoint of view, Costa Ricadoes

not contend thatthe 1858Treaty is unlawful orinvalid for any reason. It must

then be appliedas it stands, withall its consequences.In particular, Costa Rica
must acceptthat:

lo'CRR,p. 26, para.2.28, quotingL.J.Bouchez,"The FixingofBoundariesin InternationalRiver
BoundaryRivers", 12International and ComparativLaw Quarterly 1963,p. 792.

'02Ibid, para. 2.30.
lo3Ibid, para. 2.31.

lo4SeeNCM,paras. 1.2.2-1.2.4 andparas. 1.2.13-1.2.23;see NR,oparas. 2.13-2.19. - "[tlherelevant linebetween the two Republics (...)shallrunalongthe

rightbank" of theSanJuandeNicaraguariver (Article 11);

-TheRepublicofNicaraguahas "exclusivelythedominionandsupreme

control(sumoimperio)overthewatersof theSanJuanriverfromits origininthe

Laketo itsmouthintheAtlantic"(ArticleVI), withthe exceptionthat ('but"):
-theRepublicofCostaRica hasthe "right offreenavigation (..),said

navigationbeing 'con objetos decomercio'either with Nicaragua or with the

interior of CostaRica.. ."(ArticleVI).

2.105. Therefore,Costa Ricamust acceptthat sheonly enjoysthis last freedom,

which clearly is anexceptionto the otherwise generally applicable rules when a

river border isplaced at the bank.As explainedby Bouchez, withthe apparent
approval of CostaRica, in the absence of any contraryexpress provision in a

treaty,the Statewhich does not possessthe waters"is excluded fromthe use and

exploitationofthe river"lo5.

2.106. As shown abovelo6,the real issue is not to interpret restrictively the

freedom ofnavigation concededto CostaRicaby the 1858Treaty,but simplyto

interprettheTreatyin conformitywith theusualcanonsoftreatyinterpretationas

set forth in Articles 31 and 32 of the 1969 Vienna Conventionon the Law of
Treaties. Once this interpretation hasbeen madelo7,general international law

applies and, whetheron the basisof a non-existent rightof navigationor on that

of the speciallaw applicablewhena borderis fmed on thebank of a river, Costa
Rica has no right on the San Juan outsidethe right of qualified freedomof

'0SeeNR, para. 2.101.
loSee NR,para. 2.55.

'0See NR, ChapterIII.navigation that she holdsunder the Treaty. Consequently,whether the river is

"international" --as CostaRica insistentlyallegeslo8 -- or not, or whether the San

Juan is "a boundaryriver" --as she strongly emphasisestoo10g --or not, does not

matter; what does matter for the settlement of the present dispute is that the

border follows the right(CostaRican)bank andthat the bed and the waters of the
river areunderthe sovereigntyofNicaragua.

1. Relevant CustomaryRules

2.107. As already indicated1'', Nicaragua fully accepts that "customary

internationallaw is (..) relevantto adjudicationof the present dispute and to the

interpretationof the relevant treatyprovisions", with the importantqualification
that "any recourse to customary law is contingent on the lex specialis resulting

fromthe 1858Treaty..."'ll. In otherwords, thatthe Treaty, exactly as any treaty,

does not apply in isolation.It is groundedin generalinternationallaw which can

clarify its terms if they are obscure or disputed, or complement them whenthey
are silent.In other words, when properly interpreted in conformity with the usual

rules of interpretation in international law, it can only be completed, but not

contradicted,by customaryinternational law.

'08Cf.CRR,paras.2.02-2.40, andespeciallyparas. 2.34-2.36.

logCf CRR,paras.2.19-2.33.
"O SeeNR, paras.2.17and 2.56.

"' CRR,para. 2.15.2.108. Concerning the first of these functions of general internationallaw, as

recalled above112,both parties agree that the "general rule of interpretation"
together with the "supplementary means ofinterpretation" as describedin

Articles 31 and 32 ofthe 1969Vienna Conventionon the Lawof Treaties apply

forthepurposeoftheinterpretationofthe 1858Treaty,andinparticularto clarify
the meaning of the expression"fi-eedomof navigation witharticles of trade"

(librenavigacidn ..conobjetosde comercio). Thereis no needto reconsider the

issue of whetherthe generalruleandthe supplementaryrulesof interpretationare
applicable. Bothparties applythemto supporttheirinterpretationsof the phrase

"con objetos de comercio". Nicaragua fiu-ther addresses the issue of

interpretationof,thisphrase in Chapter111 of thisRejoinder.

2.109. It should notbe necessaryto emphasize again that besidesthis qualified
fi-eedomof navigation,the general applicable principles are a duty of abstention

(or, to put it otherwise,no right on the river) forCostaRica contrastedwith an

otherwiseunlimitedterritorial sovereigntyofNicaraguaonthe watersof theriver.
As Costa Rica recognises:'Woone disputes [Nicaragua's]sovereigntyover the

watersof theSanJuan river"ll3.

2.110. This being said, whilea State cannot abandon its sovereignty, unless it
accepts to disappear asa State, nothingimpedes a sovereign State from freely

limitingits sovereignrights over itsterritory(asNicaraguadid bygrantinga right

of navigation,with limitations,to Costa Rica in ArticleVI of the 1858Treaty).

But here arises the principle accordingto which, whena State has agreed to
submitto a limitationonthe exerciseofits sovereignrights overits ownterritory,

"2See NR, paras.2.25-2.35.
H3CRR,para. 2.61.as is the case here, "[tlhis fact constitutes a suecient reason for the restrictive

interpretationin caseof doubt,of theclausewhichproducessucha limitation"'14.

2.111. It is of course not an answer tostate, as Costa Rica does, that this
argument "has no value, because the wording of Article VI of the Treaty of

Limits is clearwii5.Indeed the expression"con objetos de comercio" is clear, but

it is contested by theApplicant - as more than amply shown by the lengthy

arguments exchangedon this crucial point by the parties before and during the

present proceedings;andthe real scopeofthe expression"fkeenavigation"("libre

navegacicin")itselfis disputed. Hence theneedto haverecourseto interpretation.

2.112. As Nicaragua explained in her Counter-Memorial,'"m]utatis mutandis,

this situation maybe compared withthat of a right of passage of States on the

territory,or withinthe territorialsea,or in an internationalcanal in the territoryof

another state"ll6. This has not been challenged byCosta Rica, which has not

criticized the analysis made by Nicaragua of the Judgment in the Right of

Passage case'17,which shows that such a right is not unqualified under
international law and is, in particular, subordinated tothe "power of regulation

and control"ofthe territorial~tate"~.

"4 PCIJ, Judgmentof 17 August 1923, Vimbledon, SerieA, no 1, p. 24; See also the PCIJ
Advisory Opinion of21 November 1925in the case concerning theInterpretationof Article 3,
Paragraph2, of the Treaty ofLausanne,SerieByno 12,p. 25, invokedby CostaRica herself
(CRR,para.2.62).
CRR,para.2.63.

NCM,para.3.3.8.

SeeNCM, paras.2.1.64and3.3.8.
Judgmentof 12April 1960,ICJReports 1960,p. 45.2.113. It is the very purposeof the conceptof territorialsovereigntyto establish

that the territorial Stateexclusively and fully possessesandexercisesall the rights
that it has not freely limitedin favourof anotherState.This has been veryclearly

statedby Max Huber in his celebrated dictum, in the IslandofPalmas arbitration,

'"slovereignty in the relations between States signifies independence.

Independenceinregardto a portionof the globeis theright to exercise therein,to

the exclusionof any other State, thefwctions of a State.The developmentof the

national organisationof States duringthe last few centuries and, asa corollary,

the development of international law, have established thisprinciple of the
exclusive competenceof the State in regard to its own territ~ry""~.And as the

Arbitral Tribunal aptly consideredin the Lake Lanoux case, "La souverainetk

territorialejouetila manihred'uneprksomption.Elledoitflkchirdevant toutesles

obligations internationales, quellequ'en soit la source, mais elle ne flkchitque

devant elle~"'~~A. s a consequence,in the present case, unless Costa Rica can

positively show that other rules do apply,there is no room for any further

limitation on Nicaragua's sovereignty thanthat resulting from Article VI of the
Treaty,when thisprovision is properly interpreted.

2. The "Instruments" Invoked by CostaRica

2.114. Costa Rica puts forward a single rule of customary origin and a small

handfbl of written instruments which would allegedlymalcethe "presumption"

linked to the territorial sovereigntyof Nicaragua bend beforethem. As for the

"9ArbitralAward,4April 1928lUAA ,ol.11p. 838.

12ArbitralAward, 16November 1957,Ha, vol. XI, p. 301 ("Territorial soveplaysthe
partof a presumption.It must bend beforeall internationalobligations, whatever theirorigin,but
onlybefore suchobligations."MIL 1956,at1591).allegedcustomaryrule (introducedas "relatedrights" - in the plural121)i,t relates

to fisheries and will be dealt with below, in Chapter IV. Leaving aside the
ClevelandAward of 1888 and the Alexander Awards, whichare relevant for the

interpretation of the 1858Treaty, Costa Rica mentions three other instruments,

which, from her pointof view, wouldbe relevantfor the settlementof the present

dispute:

-the Fournier-SevillaAgreement of9 January 1956;

-the Cuadra-Castro JointCommuniqutof 8 September 1995;and

-the Cuadra-LizanoJointCommuniqutof 30 July 1998'~~.

The 1916 Judgmentof the Central AmericanCourt of Justice is also invokedby

CostaRica butit isby no meansrelevant for the present case, aswillbe explained

below.

(a) The1956Fournier-SevillaAgreement

2.115. Leaving aside the unwelcome andsuperfluousremark made at the end of

paragraph 2.11of the CostaRicanReply, the1956Fournier-Sevilla~~reernent'~~

adds nothingto the 1858 Treatyas interpreted bythe ClevelandAward, contrary

to CostaRicaYsallegations12'T . o demonstrate this,it will sufficeto quotethe text

of two provisions of this Agreement invokedby the Applicant in supportof her
allegation.

lZ1SeeCRR,para. 2.15.

122SeeCRR,paras. 2.11-2.14.
lZ3See CostaRica-NicaraguaAgreement pursuantto ArticleIV of the Pact of Amity,9 January
1956. CRM,Vol.11,Annex 24.

'24SeeCRR,para. 2.11.2.116. ArticleIprovides:

"The two Parties, actingin the spirit which should move
the members ofthe Central American familyof nations,
shallcollaborateto the bestof their ability in orderto carry
out those undertakings and activities which require a

common effort by both States and areof mutual benefit
and, in particular,in order to facilitateand expeditetraffic
on the PanAmerican Highway andon the San Juan River
within the termsof the Treaty of 15 April 1858 and its
interpretation givenby arbitrationon 22March 1888, and
also to facilitate those transportservices which may be
providedto the territoryof one Partyby enterprises which

arenationalsofthe other."125
Thisprovisionexpresslyinvokes"thetermsoftheTreatyof 15April 1858andits

interpretationgivenby arbitrationon 22 March 1888"andit clearly addsnothing

to thoseterms.

2.1 17. For itspart, ArticlI1provides:

"The twoParties shall, inso far as possibleand with the
utmost diligence, arrangefor the supervision of their

commonborder asa means ofpreventingthe illegal entry
ofeitherweaponsor armed groups&omthe territoryof one
of the Parties intothe territoryof the other. Theauthorities
of the two Governments, and, in particular, the border
authorities, shall exchange, as fully as possible, any
informationwhich may come to their attentionand which
mighthelpto avoidsuchincidents."

Accordingto Costa Rica - which,carefully,does not quotethis provision:"This

could onlybe done,on the part of Costa Rica,by allowingits policeto navigate
on the River with normalarms and on the basis of an abilityto re-supplyCosta

lZIt mightbe notedthatthis Agreementdated 1956 only took into consithe 1858Treaty
and the ClevelandAward of1888attributesno relevance toof the then morerecent decisionof
the CentralAmerican Couin1916.SeeNR,para. 2.125.Rica'sborder posts"126N . othing in the text or the spirit of Article I1implies such

a conclusion. The only precise means of cooperationwhich is provided for is
mutual information. Moreover, even accepting Costa Rica's audacious

interpretation accordingto which this provision amounts to an agreement "to

cooperate to safeguard their common borderyy12t7 h,is certainly does not imply

armed navigation or re-supplying border poststhrough the river on the part of

Costa Rica; this canperfectly (andmust) be done on and&omthe land itself. In

any case, this is clearly a typical case where the presumption in favour of

territorialsovereignty mustfully apply.

(b) The1995Cuadra-Castro Joint Communiquk

2.118. Thesecond "relevanttextyy --to be noted:"text," not a treat- invokedby

Costa Rica is the 1995 Cuadra-Castro Joint~ommwli~uk~~~ A.ccording to the

description given by Costa Rica, this instrument "refers to far-reaching

cooperationfor thejoint orparallel surveillanceofthe commonborder. That such

cooperation would not be possible without the assistanceof Costa Rican public
vessels is evidentyy129I.n reality, as Nicaragua has indicated in her Counter-

Memorial, this communiquk is nothing more than "a comrnitrnent to

cooperate ~~1.0.

lZ6cRR, para.2.11.

127Ibid.
lZ8Cuadra-CastroJointCornmuniqud,8 September 1995.CRM,Vol.11,Annex27.

12'CRR,para.2.12(footnoteomitted).
130NCM ,ara.3.2.9. - point one calls for"coordination"andparallelpatrolling atthe borderof

bothcountries;

- point two envisages that"the chiefs of theborder units will coordinate
and cooperate morecloselyin planningand carrying out jointparallel patrolling

along our countries'commonborder, exchanging operativeinformation of the
commonentitiesinvolved";

- accordingto point three,"[bloth institutionswill coordinatethe training

of guidesandcaninetechniqueineachcountry'snationalcentres.. .";and

- pointfour provides for various meetings.

2.119. Even acceptingthatthe signatoriescouldcommittheirrespective Statesin
matters relating to theboundaryregime (whichin the Nicaraguancase was not

legally possible), it is indeed impossibleto interpret those fourpoints as an

agreement givenby Nicaraguato CostaRica for a unilateralright to navigate on
the SanJuanwith public vessels, thus clearly derogating fitomthe 1858Treatyas

interpretedby the 1888 Award, andlimitingagainNicaragua's sovereignty over

the river.Nowhere in thecommuniqukis Costa RicanCivilGuardnavigation on
the river mentioned, expanded or approved - in fact, theSm Juan River is not

mentioned at all. This document did nothing more than clarifl in writing the
existing collaborative relationship between the Nicaraguan and CostR aican

security forces in the border area, premisedon the desire to exchange

information, coordinatelawenforcementefforts,andcontinueparallelpatrols. As
stated by Brigadier General Denis MembrefioRivas, the Commanderof the

Nicaraguan MilitaryDetachmentatthe timethiscommuniqukwas signed:

"Frommy firstday atthe SouthernMilitary Detachmeni tn
February 1992until my departureat the end of December
1995, ourrelations withthe Costa Ricansecuritypersonnel
were very good. From time to time, my Detachment coordinated operations against crime with the Guardia
Civil, where in a parallel manner we would travel the

relevant sectorof the border, them fi-omtheir territory and
us navigating the San Juan River. These efforts were
primarily focused on the prevention ofillegal activities or
rescuing shipwreck victims. The Costa Rican security
personnel never navigated on the river without first

requesting authorizationfrommy ~etachrnent"'~' .

2.120. The communiquddid nothingto expandCosta Rica's navigation rights as

provided under theTreaty of Limits or the Cleveland Award. Pursuant to the

communiqud, which put in writing the procedures that had previously been

adopted informallyby the respectivemilitary commandersin the area, patrolling
of the border area for law enforcement purposeswas coordinated and carriedout

in parallel. The evidenceshowsthat Costa Ricansecuritypersonnel onlyused the

river after seeking and obtainingprior authorization byNicaragua. As shown in

Chapter V below132,Costa Rican security personnelhave not patrolled the San

Juan River for law enforcement purposes,or carried out lawenforcement actions

on the River, excepton those infrequent and short-lived occasions when they
were expressly authorizedby Nicaragua to do so, and in conformity with the

conditions and time limitations imposed by Nicaragua. At most, the Cuadra-

Castro Communiqudis an authorization by Nicaraguafor Costa Rican security

personnelto use the river for limitedpurposes, subjectto specific conditions.As

sovereign over the river, it is Nicaragua's prerogative to issue such
authorizations,which would not have been necessaryhad Costa Rica enjoyed a

right to engage in the authorized activity. Consequently, the Cuadra-Castro

Comuniqud is evidencenot of Costa Rica'sright to navigate on the San Juan

13'Affidavit of Brigadier GeneralDenis Membreiio Rivas, 10 March 2008 (hereinafter
"MembreiioAflidavit"):NR,Vol.11,hex 73.

'32SeeNR,paras.5.65,5.77, and 5.80-5.84.River with law enforcement vessels, but exactly the contrary I.t is evidenceof

CostaRica'slackof suchright.

(c) The 1998 Cuadra-LizanoJoint Communique'

2.121. The lastrelevant instrument, according to Costa Rica,wouldbe the 1998
Cuadra-Lizano Joint ~ommuni~u6"~, which, according to the Applicant

"confiis therightof Costa RicanpoliceofEicerstonavigateonthe San~uan"'~~.

As already explajned in some detail in the Counter-~emorial'~~,this alleged

"agreement", which has never been officially published anywhere,whether

internally or, afortiori, by the Secretariatof the United Nations, was declared
null and void by the Governmentof Nicaragua less than two weeks after its

creation(on 11August1998)'~~.

2.122. To fullyunderstandthe inherentlimitationof the document,it is useful to

describethe context in whichit was concluded.The communiqu6was signedby

the Nicaraguan Ministerof Defence and the Costa Rican Ministerof Public
Securityin an attemptto assuage the tension betweenthe two nations duringthe

height of the diplomatic crisisin July 1998 - following Costa Rica's illegal

arrests of Nicaraguans on the San Juan River and Nicaragua's resultant

prohibition of Civil Guard navigation. During that meeting,the two Ministers

prepared ajoint communiquC,in which both parties manifested thaC t ivil Guard
boats could re-supply their postsvia the river, after givingthe required notice,

'3See Cuadra-Lizano JointComuniqu6,30 July 1998.CRM,Vol. 11Annex28.

13CRR,para.2.13.
'3See NCM,paras. 3.2.9-3.2.12.

'"See Letterof theNicaraguanactingMinisterof Foreign Affairsto the Costa RicanMinisterof
Foreign Affairsand Worshipof 11August1998. CRM,Vol.111, nnex 49.carrying only theirsmall arms,reportingat eachNicaraguan militarypost passed,

and accompanied bya Nicaraguan militaryesc01-t'~~ I. essence, the document

restored the practice which the Nicaraguanmilitaryhad permitted at times in the

past, but had stoppedauthorizingin July 1998. However, whenthe communiqu6

left the high-pressure meeting room and was objectively evaluated by the

Nicaraguan Congress and Executive, the relevant legal authorities quickly

realized that the hastily concluded communiqu6 had been executed in clear

violationof theNicaraguanConstitutionandwas invalid13'.

2.123. In this regard, the Cuadra-LizanoCommuniqu6is similar to the earlier

Cuadra-CastroCommuniqu6but even less relevant. At most,both were express

authorizationsby Nicaraguafor CostaRicanpublicvesselsto navigate onthe San

Juan River for specified purposes and subject to conditions providing for strict

limitation and control by Nicaragua - authorizations that would not have been
necessary if CostaRicahad already possessed theright to engagein the specified

activities, and conditionsthatwere totally contradictoryto Costa Rica's putative

possession of such a right. Beyond this, the Cuadra-Lizano Communiqu6was

never a binding international legal document, nor did it create any rights of

navigation for Costa Rican public vessels beyond the limited privileges that

Nicaragua had chosento grant in some previous moments ofpositive relations.

137See Resolutionof the Republicof Nicaragua's Natl ssembly onthe Cuadra-LizanoJoint
Communiqu6,18August 1998.NCM,Vol.11,Annex68.

13'Thejoint communiqu6violated the Constitutionof the Republicof Nicaragua,as discussedin
NCM,para3.2.12, aswellasthe followingarticles:
Article 92: "...The transit or stationingof foreign militaryships,aircraftand machinerymay be
authorizedforhumanitarianpurposes, alwaysprovided that such authoris requested bythe

GovernmentoftheRepublicandratifiedby theNational Assembly;"
Article 130: "No appointmentgrants, to that who exercisesit, additional functions thanthose
conferred to by the Constitutionand the ..All governmentofficials from the State must
provide an accounting of his or her assets before assuming a position andafter the term is
completed. Thelaw regulatesthismatterNR, Vol.IIA,nnex54.Finally, as already discussed, thecomm~que was declarednull andvoid - and

therefore lacksany legal force.

3. The 1916JudgmentoftheCentralAmericanCourtofJustice

2.124. Costa Rica insists in herReply on the relevance of the decision of the

CentralAmerican Courtof Justiceto the issuesnow before the court13'.In fact,

as pointed out in the ~ounter-~emoriall~~,this judgment has no relevance

whatsoever to the present case. The questions at issue before the Central
American Court are completely unrelatedto those before this Court. The 1916

case did not concern the extent of Costa Rica's navigationalrights on the San

Juan Riverbut only,as theCourtemphasized,the conclusionof a treatybetween

Nicaragua and the United States relatingto the constructionof an inter-oceanic
canall4l.The CentralAmericanCourt purportedto do no morethan look to the

1858Treatyand the ClevelandAwardas the legal framework governingthe San

Juan. It certainlydid not purportto enlarge or affectin any way Costa Rica's

rightsunder thoseinstnunents.

2.125. In 1916, Costa Ricawas not claiming anyrights to navigate with state
vessels with armed men on board, nor was she claiming any rights to bring

foreign and nationaltouriststo view thesights(onthe Nicaraguan side,sinceon

the CostaRican side there is mainly farmland) along theSanJuan River.What

Costa Ricaclaimedbeforethe CentralAmericanCourtwas thatwhenNicaragua

13'SeeCRR,para. 2.10.
14SeeNCM, para. 3.2.6.

14'See Republic of Costa Rica v Republic of Nicaragua, Central American Courtof Justice,
Opinion andDecisionofthe Court(AJIL, 1917). CRM,Annex21,p. 122.enteredinto a treatywith theUnited StatesofAmericain 1914(Chamorro-Bryan)

giving that State an option to build a canal across Nicaraguan territory, she

violated her obligationto first consult with CostaRica in accordancewith Article
VIII of the 1858Treaty and Paragraphs 10and 11of the ClevelandAward. Costa

Rica furthermore alleged that since the treaty ceded parts of the territory of

Nicaragua to the United States,it violated the rights of Costa Rica and those of

the rest of the States of Central America,stipulated in the General Treaty of

Peace and Amity agreed to by all the Central American States in 1907 in
Washington,D.C.

2.126. The decision of theCentral AmericanCourtwas limitedto these issues.It

declared:

"that the Governmentof Nicaragua has violated, to the injury

of Costa Rica, the rights granted to the latter by the Cafias-
Jerez Treaty of Limits of April fifteen,eighteen hundred and
fifty eight,by the Cleveland Awardof March twenty-second,
eighteenhundred and fifty-eight, and bythe CentralAmerican
Treaty of Peace and Amity of Decembertwentieth, nineteen

hundred and seven"'42.

2.127. Any wording of that Judgment that might becons.truedto refer to Costa

Rica's other rights inthe 1858Treatyor the 1888Award are at most obiter dicta

and even these dicta are general statementsparaphrasing looselythe wording of
those same documents.The Central AmericanCourthad no authorityto reviewor

add anythingto the 1858Treatyas interpreted by theClevelandAward; nordid it

attempt todo so.

'42CRM,Vol.11,Annex21 (AJIL1917, p.229).

802.128. The CentralAmerican Courtof Justice consistedof fiveJudges appointed
by the legislativebodies of each of the fivemember States."Unfortunately,"as

Hudsonpoints out,"the judgesofthe court seemto have beenlookeduponnot as

international officials of all five States, but as officials of their respective
~tates"'". And moreunfortunately for Nicaragua,the Chamorro-BryanTreaty

she had enteredinto with the United States was hotly rejected by the other four

member States.Three of them, CostaRica, Honduras andEl Salvador, hadsent

notes of protest to the United [email protected] simple terms, all the Judges were
pronouncingon a question that involvedthe national interests of each of their

own States vis-A-visNicaragua. Buteven in this inevitable4 to 1 decision, the

CentralAmericanjudges werenot deciding anyofthe issuespresentlybeforethe
Court.

Section HI. TheScopeofthe ClevelandAward

2.129. CostaRica acceptsthat the applicablelaw consistsof the 1858Treaty as

interpretedin the 1888ClevelandAward,but she mischaracterizesNicaragua's

position on the Cleveland Award and readsmuch into the Award thatis simply

not there. Thissectionwill distinguish betweenwhat questions were decidedin
the Cleveland Awardand whatquestions werenot, andshowwhy CostaRica's

attempteduse of theClevelandAward tosupporthercaseis entirelymisplaced.

'4M.Hudson,ThePermanentCourtofIntemationa1Justice, Macmilla, ewYork, 1943,p. 46.
SeeAJIL1917,p. 192. A. THECLEVELAN ADWARD LIMITED COSTA RIGA'S RIGHTS TONAVIGATE
THE SANJUAN WITH PUBLIC VESSELS

2.130. The Court will recall that in paragraph Second of his award, President

Clevelandfoundthat CostaRica

"has not the right of navigation ofthe River San Juan with

vessels of war; but she may navigate said river with such
vessels of the Revenue Service as may be related to and
connectedwith her enjoyment of the 'purposes ofcommerce'
accorded to herin said article, or as may be necessary to the

protectionof said

2.131. As the text makes clear, the Arbitratordecided twoissues:First, whether

Costa Rica has the right of navigation on the San Juan with vessels of war; and

second, whether she hasthe right of navigation on the river with vessels of the

revenue service. The Arbitrator answered the first question clearly and

emphaticallyin the negative.

2.132. As to the second question, President Clevelanddoubtlessawarethat a

revenue vessel, or cutter, could be made to be the functional equivalent of a

vessel of war-at least one that would be capableof navigatingon a rather small
river like the San Juan, its tributaries and distributaries (such as the Colorado

River). The publication referred to by Costa Rica, US. Coast Guard and

Revenue Cutters, 1790-1935, by Donald L. ~anne~'~~,leaves no doubt that

contemporaryversionsof these revenuevessels could bequite formidable. Thus,

if the Arbitrator were goingto permit navigation by CostaRican revenue vessels

'45Awardof the Arbitrator, the Presidentof the United States,uponthe validityof the Treatyof
Limitsof 1858between Nicaragua andaica(hereinafter "CleAward"),para.Second.
CRM,Vol. 11Annex16.
'46Naval Institute Press,Annapolis, Maryland, 1995.a refersto this publication in
CRM,para.4.81.he would have to do so in a way that prevented suchcraft fkomevolving into

what were effectivelyvessels of war, thus rendering meaninglesshis holding on
the first question.

2.133. President Cleveland therefore answered the second question quite

carefully. The Court willnote that he didnot simply say "but she may navigate

said river with vessels of the Revenue Service," which he certainly had the

authority to do had he found that this conformed withthe text and spirit of the

Treaty. Instead,the Arbitrator placed clear restrictions uponnavigationby Costa
Rican revenue vessels, so that he would not effectivelygive back something he

had just taken away in prohibiting navigation by Costa Rican warships. He

imposed these restrictions by tying any navigation by Costa Rican revenue

vessels to the exerciseof anotherright CostaRica enjoyed underthe 1858Treaty

(a right thatwasnot at issuein the arbitration). Thus,President Clevelandlimited
navigation on the San JuanRiverby Costa Rican revenue vesselsto that whichis

"related to and connected with her enjoymentof the 'objetos de comercio'

accordedto her in [Article VI of the 1858Treaty], or as may be necessary to the

protection of saidenjoyment."

2.134. Nicaragua referred to this statement by the Arbitrator in her Counter-
Memorialinthe following words:

"For President Cleveland,the only navigationby Costa Rican
vessels of the revenue service thatwas permittedby the treaty
was that which is 'relatedto and connectedwith' the right to
navigatewith articlesof trade."147

'4NCM,para. 3.1.54.2.135. In her Reply, Costa Rica, referring to this passage of the Counter-
Memorial, accuses Nicaragua of "misrepresent[ing] the language used by

President Cleveland in the 1888 ward"'^^ .osta Rica makes this serious

accusation simply because, in paraphrasing thearbitrator's finding, Nicaragua

used what in her viewis the correct translationof "objetosde comercio" - articles

of trade- a translation thatis used throughoutthe Counter-Memorial. CostaRica
does not complain about the wordsNicaraguaplaced in quotation marks -- and

correctly attributedto President Cleveland--"relatedto and connectwith". These

quoted words, not"objetosde comercio"or articlesoftrade, werethe focus ofthe

section of Nicaragua's Counter-Memorialin question -- and of the relevant
portionofparagraphSecondof theClevelandAward.

2.136. The history of the case leadingup to President Cleveland's 1888Award

still further evidencesthe limitsthe Arbitrator intendedto imposeon CostaRica's

public navigationon the San Juan. As the Court is aware, the mandate for the

Cleveland Arbitration was contained in theTreaty signed by both parties at
Guatemala City on 24 December 1886. Article I of this Treaty submitted to

arbitration the validityof the 1858Treaty.It further providedin ArticleVI that if

the Treatywas declared valid, then"the same awardshall declare whether Costa

Rica has the right to navigate the River San Juan withships of war or revenue
boats. Alsothe decision aforesaid shall,in caseofthe validity of said Convention,

decide the other pointsof doubtful interpretation foundby either of the Parties in

the Treaty..."I4'

14'CRR,para. 1.09.

14'CRM, Vol.11,Annex14,p. 88.2.137. Nicaragua accordingly communicated eleven pointi st consideredto be of

doubtfulinterpretation. QuestionNumberEight (8)posedby Nicaragua asked:

"If CostaRica, who, accordingto ArticleVI of the Treaty,has
only the right ofreenavigationfor the purposesof commerce
in the waters of the SanJuan River,can she also navigatewith
men-of-waror revenue cutters in thesamewaters?"50

2.138. The answer Costa Rica gave in her opening submissionto President

Cleveland was not at all surprising. It began "by calling the attention of the

arbitratorto the factthatthe wordonly...doesnot occur inArticleVI of the treaty

of limit^." '^m'phasisin original). After quotingArticle VI, Costa Rica then

added the following rhetorical question (whichit naturally answered in the
negative):

"Does this mean that Costa Rica cannot under any
circumstances navigate with public vesselsin the said waters,
whether the said vesselis properly a man-of-war,or sirnplya
revenue cutter, or any other vessel intended to prevent
smuggling,orto carry ordersto the authoritiesof the bordering
districts, or for any other purpose not exactly withinthe

meaningof transportationof mer~handise?"'~~

2.139. This passage iscritical with regard to two of the most central points

before the Court today. First, it showsthat Costa Rica understoodthat, literally,

the words "con objetos de comercio" mean --exactly as Nicaragua has always
maintained --"with articlesof trade," or,as Costa Ricaput it, "transportationof

merchandise". This language willbe discussed further in Chapter111of this

Rejoinder.

15Argumentof CostaRica,op.cit.,p.NR,Vol.11A,nnex 5.
15Ibid.

15Ibid.2.140. Thesecondcriticalpointhas to dowith CostaRica's contentionbefore the

Court today that she has the right under the Treaty and the award to navigate on

the San Juan with virtually every kind of public vessel except warships,strict0
sensu. It will be evidentfrom the passage set forthabove that Costa Rica made

the same argument before President Cleveland,in the form of a rhetorical

question,requestingthe Arbitratorto decidethat apartfrom the "transportationof

merchandise",as she describedit, she alsohad the right to navigate with alltypes

ofpublic vessels. Thus,the issuewaspresentedquite clearlyto the Arbitrator.

2.141. The Award of PresidentClevelandon this point leavesno doubt about his

response. Under paragraph Second of his award, he decided that Costa Rica's

public vesselshad no right to navigate on the San JuanRiver --except only that

vessels of her revenue service couldto the extent,and only to the extent "related

to and connectedwith her enjoyment of the"purposesof commerce"accordedto
her in Article VI of the 1858 Treaty,or as may benecessaryto the protection of

saidenjoyment"'53.

2.142. President Cleveland clearly did not acceptCosta Rica's contention that

she could navigate with "any other vessel intended toprevent smuggling, or to

carry ordersto the authoritiesof the borderingdistricts, or for any other purpose

not exactlywithin the meaningof transportation ofmerchandise"'". Yet now,

120 years after the Cleveland Award, Costa Rica is insisting that the Court

reversethat award and adjudge anddeclarethat Nicaraguahas

ls3See ClevelandAward,op.cit.,para. Second.CRM,VoII, nnex 16,p. 98.

lS4SeeArgument on the Question of the Validity ofthe Treaty ofLimits Between CostaRica and
Nicaragua and OtherSupplementaryPoints Connected Wt, Submittedto theArbitrationof the
Presidentof the UnitedStatesof America, FiledonBehayof the Government ofCost1887a,
(hereinafter"Argument ofCostaRiea"),p. 1NR, Vol.11,Annex5. "the obligationto allow CostaRican official vessels the right
to navigate the San Juan, including for purposesof re-supply
and exchangeof personnelof the border posts alongthe right
bank of the River with their official equipment, including
service arms and amunition, and for the purposes of
protection as established inthe relevant instruments,and in

particulararticle2ofthe Cleveland ward."'^^

2.143. Nicaraguarespectfbllyrequeststhe Courtto see thissubmissionof Costa

Rica for what it is: an effort to obtainin the early 21Stcentury what she tried
unsuccessfullyto obtainin the late 19&century. TheCourt shouldconsiderthis

mattertobe resju5icata.

2.144. The practice of the parties subsequentto the 1858Treaty but before the
ClevelandAwardis also consistentwith the decisionof the Arbitrator, ascan be

seen in the documentsthat were annexedto the Costa Rican Argumentsduring

theArbitration.

2.145. One of the annexes filed by Costa Rica consists of a note sent by
Nicaragua on 23 April 1863 whereby she cautioned Costa Rica that some

violencewasanticipatedfTomforeignerswho"are accessoriesto thepiraticaland

filibuster outrage"156that had recently been perpetrated. For this reason,
Nicaragua suggested that CostaRica "cause some forces to be stationed at

Sarapiqui to meet on that side any emergency thatthe same events might

occasionthere"157(emphasisadded).

CRM,Submissions,2 (g),p. 147.

SeeArgumentof Costa Rica,op. cit.,p.NR,2Vol. 11,Annex 5.
Seeibid.,p.243.2.146. Even in this case of anticipated danger,corning soon after the Filibuster

Wars, CostaRicawas askedonlyto "meet on that side" - i.e., on the CostaRican

bank of the river - any further emergency. She wasnot asked to patrol the river

itself.

2.147. Another telling point regarding how the parties understood the rights

conferred on Costa Ricaby the 1858 Treaty canbe appreciatedin a Costa Rican
Decree of 28 April 1869 prohibiting, in Article1, the export through the San

Juan Riverof lumber and other resourcesof the forests. InArticle 3, it established

revenueposts in each pointof intersectionof the San Carlos and Sarapiquirivers

withthe San JuanRiver158.

2.148. Two points are interestingaboutthis decree.TheJirst is that nowhere does

it inhcate that revenue patrols are to navigate the San Juan in search of

contraband. Themandate is only for revenue stationson the Costa Rican side of

theborder.

2.149. Thesecondpoint is that it is evident&omthe decreethat even as far back
as 1869there was a problem of contraband lumberand other natural resourcesof

the forests that had to be controlled.One hundred andforty years later, with the

intense deforestation occurring everywhere and quite noticeably on the Costa

Rican sideof the border, it is unreasonableto claim that Nicaraguahas no right to

158
SeeReply totheArgument ofNicaraguaonthequestionof thevalidityor nullityof thetreaty 1
of limits of April 15,1858, to be decided by ThePresidentof the UnitedStatusof America as
Arbitrator,887(hereinafterLLReplyfCostaRica"),pp. 201-202NR, Vol.11Annex6.

88care for her natural reserves along theriver by inspectingthe cargo of passing

boats in her own territory159.Morewillbe saidonthisissuein Chapter IV below.

2.150. The foregoingexaminationof the Cleveland Awardin light of theparties'

submissionsto the Arbitrator, as wellasthe practiceofNicaragua andCostaRica

under the 1858 Treaty and prior to the Cleveland Award, demonstrates beyond

any doubt that CostaRica7sright to navigateon the San Juan with publicvessels
was limited to navigation by revenue boats "relatedto and connected with her

enjoymentof the 'purposesofcommerce ,,,1.0

2.151. In the preceding paragraphs, Nicaragua discussedwhat the Cleveland

Award decided. She willnow tur no an issue that the Award didnot decide. In

particular, Nicaragua will demonstrate that President Cleveland's use of the

English phrase "for purposes of commerce"in paragraphSecond of his Award

has no bearing on any of theissues in dispute in this case because he wasnot
called uponto determinethemeaning of thatexpressionin anylanguage.

2.152. In paragraph Second, President Cleveland found that CostaRica "may

navigate [the RiverSan Juan]with suchvesselsof the Revenue Serviceasmay be

related to and connected withher enjoyment of the 'purposes of commerce'

accorded to her in said article, or asmay be necessary to the protectionof said

15See CRM, Submissions,2 (d),147.
16ClevelandAward,op.citCRM,Vol.11,Annex16,p. 98.enjoyment."161 Costa Rica seizes on the Arbitrator's use of the phrase "for

purposes of commerce" and suggests that this means that he necessarily

determined the meaning of the expression "con objetos de comercio" in Article
VI ofthe Treatyof 1858. InherReply,for example,CostaRica states:

"The parties agree thatthe case is primarily governedby the
1858 Treaty and the 1888 Cleveland Award, that award
confirming Costa Rica's right to sail vesselsin the lowerpart

of theSanJuan '$orpurposes ofcommerce 'and its right to sail
publicvessels in connexionwith suchnavigation."162

2.153. This paragraph implies that President Cleveland decided that Costa Rica

had a "right to sail vessels in the lower part of the San Juan 'for purposes of

commerce"', and that he decidedthat the meaning of the phrase "con objetosde

comercio" was"forpurposesof commerce".

2.154. However,as demonstrated in Nicaragua'scounter-~emoriall~~,President

Cleveland could not have intended to decide anything about the meaning in

Englishof thephrase "con objetosde comercio"because theissuewas not before

him. None of the "points of doubthl interpretation"164 raised by Nicaragua

relatedin anywayto this expression.

2.155. In referring to Costa Rica's "enjoymentof the 'purposesof commerce"',

President Cleveland simply adopted the English translationof the 1858 Treaty
submitted by both parties (therewas no material difference in this respect as

16'Ibid.

16'CRR,para. 2.08(emphasis added).
'63NCM,paras. 3.1.19-3.1.26.

'64LetterfromFernandoGuzmh to CostaRicanForeign Minister, 22 June1887. CRM,Vol.III,
Annex 36.between thetwo translations), beingcarefulto place theexpression"for purposes

of comrnerce" within quotation marks. As Nicaragua has pointed out in her

counter-~ernoriall~~,this can only be understood as a reference back to the

original Spanish text,which the arbitrator did not intendto alter by use of the

English translation - and indeed couldnot have intendedto alter becauseof his

obligation to apply the Treaty. His use of the translation -- a translationwhich

Nicaraguahas shownto be incorrect166--is, at most, obiter dicta. And even that

is likelyan overstatementunderthe circumstances.

2.156. In fact, there is no evidence that President Cleveland considered the
original Spanishtext of the Treatyat all in the process of preparing his award.

This is confmed by a Note of 31 October 1887fromUnited States Secretaryof

State T.F. Bayard to Nicaraguan Envoy and Minister Plenipotentiary Horacio

Guzmtin,from which CostaRica quotesin her Reply,in which Secretary Bayard

stresses that it is the Englishtext of the Treaty "upon which the arbitratormust

necessarily depend forhis understandingof the issuesbefore him1". Assistant

Secretary of State George L. Rives, to whom Cleveland delegated thetask of

preparing a draft of his arbitralaward,did note certainphrases in Spanishin his

first report that he consideredto be most important for the purposes of the
arbitration- none of whichwas "con objetosde corner~io~'~~I~ n.any event, had

'65~~~,paras. 3.1.7and4.1.18.
16NCM, paras.4.1.16-4.1.36;and ChapII IfthisRejoinder,below.

lb7Note from Secretary of State of the United StatsT.F. Bayard, to Nicaraguan Envoy
Extraordinary and MinisterPlenipotentiary, HoracioGm;i31 October 1887. CRR, Vol. 11,
Annex29, quotedin CRRpara.3.43.

lbNCM,para.3.1.25.either President Clevelandor GeorgeRives wishedto referto the originalSpanish
text, they had accessto it; it hadbeenprovidedby CostaRica16'.

2.157. In an effort to give the Cleveland Award a legal effect it could not

possibly have had, CostaRica makesmuch of the fact that Nicaragua submitted
to the Arbitratoronlymaterialsin ~n~lish'~'.Yet, this fact only confis that the

parties werenot askingthe Arbitrator to interpret theoriginal Spanishtext. The

two principal questions submittedto President Cleveland were whetherthe 1858

Treaty was valid and, if so, "whether Costa Rica has the right to navigate the

River San Juan with ships of war or revenue boats"171. These questions had

nothing to do with interpretingthe original text in Spanish. Nor didthe eleven

points of doubtful interpretation submittedto the Arbitrator by ~icaragua'~~.

Thus, CostaRicaYs preoccupation with Nicaragua's having submitted materialtso

the Arbitrator only in English ignores the questions that were actually submitted

to the Arbitrator. In addition,it ignores considerationsof courtesyand efficiency

that must also have motivated both Nicaragua and Costa Rica; President

Cleveland, afterall,worked in English.

2.158. The conclusionis therefore clear. Themere appearanceof the phrase "for

purposes of commerce"in the ClevelandAwardis irrelevantto the determination

See NR, originals filed withthe Court Registrar.Informe sobre la cuestibnde validez del
tratadode limitesde Costa Ricay Nicaraguay puntosaccesoriossometidosa1Arbitrajedel Seiior
Presidentede 10sEstadosUnidosde America.Presentadoen nombre delGobiernode Costa Rica
por Pedro Perez Zeledbn.Washington,D.C. Gibson Bros.,Printers and Bookbinders, 1887.pp.
171-177.

170CRR,para. 3.43.
l7'Romhn-Esquivel-CruzConvention ofArbitration,24 December1886. NCM, Vol. 11,Annex
11;see alsoArticle 6,and CRM, Vol.11,Annex 14.

172SeeLetterfromFernandoGuzmhnto CostaRicanForeignMinister, 22 June 1887.CRM, Vol.
111A, nnex 36. of the true meaning of the Spanishexpression "con objetos decomercio". That

meaning is the subjectofthe following chapterof this Rejoinder.

2.159. This section has shown that: (1) Nicaragua and Costa Rica both accept
that the applicable law is the 1858 Treaty as interpretedin the 1888 Cleveland

Award; (2) paragraph Second of the ClevelandAward, particularly as elucidated

by Costa Rica's argumentsto the American President,make it clear that Costa

Rica's right to navigate the San Juan River with public vessels is limited to

navigationby vessels of the revenue serviceto the extent, and onlyto the extent,

"related to and connected with" her navigation "con objetos de comercio"; and
(3) contrary to Costa Rica's contention, the use by President Clevelandof the

expression "for purposes of commerce" has no bearing on the present case

because the meaning of the original Spanish expression "con objetos de

comercio" as used in the 1858 Treaty was not in dispute in 1858 and was

thereforenotplaced before the Arbitrator.

Conclusions

2.160. The evidence available leadsto the inevitableconclusion thatthe primary

object and purposeof the 1858Treaty was the definitive settlement of the long-

I standing territorial dispute concerning the district of Nicoya (and the overall
I
I limits of Costa Rica and Nicaragua). The evidenceof the specific object and

i purposeis as follows: (i) The historical context, including several bilateral treaties which

formpart of thehistoricalcontext173.

(ii) Thenature ofthe title, andthetext of thepreamble.

(iii) The provisions of the Treaty, including the sequence of the

provisionsandtherankingofArticleVI.

(iv) The diplomatic correspondence subsequent to theconclusion of

the ~reaty'~~.

The text of theClevelandAwardof 22 March 1888and the Report
(v)
to the Arbitratorby George L. Rives, Assistant Secretaryof State,

of 2 March 1888'~~.

2.161. Inher pleadings CostaRica seeksto give a majorrole to theprinciples of

general international law. The role of general international law, and related

matters,havebeen examinedin detail in SectionI1of the present Chapter. In the

result it is clear that general international law, as presented in contemporary

sources, doesnot help Costa Rica. In the first place it is supplantedby the 1858
Treatywhich introducesa qualified right of "free navigation7'in favour of Costa

Rica. And, in addition, evenif general internationallaw wereto apply, it would

not recognise g right of navigationin her favour: theapplicableprinciplewould

be the authority of the sovereign state (Nicaragua) over the watersof the San

Juan.

173SeealsoNCM,paras2.1.36-2.1.39.

'74SeealsoNCM,paras.2.1-22-24.

175SeeNR, paras.2.165and5.11-5.142.162. In Section 11it is also demonstratedthat,unlessCostaRica canpositively

show that other rules apply, thereis no room for any further limitation upon
Nicaragua'ssovereignty apart&omthat resulting&omArticle VI of the Treaty.

Theattemptsby Costa Ricatopromotethe applicationof otherrules areshownto

be failures.

2.163. The first such candidate rule concerns the so-called "relatrights", and

the relevantconjectures are rejected in ChapterV below. The othercandidates
take the formof threebilateralinstrumentswhich haveno legalrelevance.

2.164. In her Reply Costa Ricainsists on therelevanceof the 1916Judgmentof
the GeneralAmerican Courtof Justiceto the issuesnow before the Court. Not

for the first time, Nicaraguamust emphasise that this decision hano relevance

whatsoever.

2.165. In thethirdsectionof thepresent chapterithas been shownthat:

contraryto CostaRica'scontention,the Cleveland Award didnot
(a)
granther a right to navigation with herpublicvessels, orto carry

out police or other security-relatedhctions on the river; the
question putby the parties to President Clevelandwas whether

CostaRica had the rightunder the 1858Treatyto navigate on the
river with her vessels of war, or with vessels of her revenue

service,orwhetherhernavigationwaslimitedto "transportationof

merchandise;"the Arbitrator determinedthat Costa Rica had no
right to navigate with vesselsof war, butonlywith vessels of her

revenue servicewhen suchnavigation is relatedto, connected with

or necessary for the protection of her right to navigate "for
purposes of commerce". ChapterV of this Rejoinder addresses the nature and extentof CostaRica's rightto navigate with vessels

of her revenue service, as well as Costa Rica's alleged rights

regardingprotection,custody,anddefence ofthe river; and

(b) contrary to Costa Rica's contention, the use by President

Cleveland of the expression "for purposes of commerce"has no
bearing on the present case becausethe meaning of the original

Spanish expression"con objetosde comercio" as used in the 1858

Treaty was not in dispute in 1858 and was therefore not placed

before the Arbitrator. ChapterI11of this Rejoinder addresses the
proper interpretationto be givento the expression"con objetosde

comercio," and, accordingly, to the nature and extent of Costa

Rica's rightto navigate"con objetosde comercio"under the 1858

Treaty.

2.166. In her Reply Costa Rica is remarkably reluctant torecognise the force of
the evidence, either inits separatemanifestations, oras a whole. In this settingit

has been necessary to reaffirm the character and main object and purpose of the

Treaty of Limits, and to place its provisions within the appropriate legal

perspective. As stated above in the Conclusionsto Section I of this chapter,
within the provisions of the Treaty and whatever the nature of Costa Rica's

navigation rights thereunder, Nicaraguamust have the exclusive competenceto

exercisethe followingregulatory powers.

(a) The protection andmaintenance of theright of navigation, that is

to say, the power to maintain public orderand standardsof safety
in respectof navigation; The protection of the border, includingresort to immigration
(3)
procedures in respect of foreign nationals entering Nicaraguan

territory;

(c) The exerciseof normalpolicepowers;

(4 Theprotectionofthe environment andnaturalresources;and

(e) The maintenance of the Treaty provisions prescribing the

conditionsof navigationin accordance with the Treaty, thatis to

say, the maintenanceof the discipline of the Treaty as such,
together with the terms of the Cleveland Award. CWPTER 111:

THENAT EXTENTOFCOSTARICA'SRIGHTTO
NAVIGATE ccCQNQBnTQS DE CIQ"

Introduction

3.1. Nicaragua and Costa Rica agrethat,underArticleVI of the1858 Treaty

of Limits, Nicaragua has "exclusive dominion andsupreme control (sumo

imperio)" over the San Juan River, andthat Costa Rica enjoys a "right of free
navigation"ontheRiver"conobjetosde comercio.. ."Thereneither isnor canbe

a dispute over Nicaragua's "exclusive dominion and supremecontrol (sumo

imperio)" over the River, and CostaRica acknowledgesthis176.Nor is there a
dispute that Costa Rica has a "right of free navigation" on a part of the river.

Thereis disagreement,however, overthe natureandextentof CostaRica'sright,

andthisdisagreementis attheheartof thepresentcase.

3.2. For Nicaragua, the Treatyof Limits conferred on Costa Rica, as an

exception to Nicaragua's "exclusivedominion and supreme control (sumo

imperio)" over the river, a "right of fiee navigation ...con objetos de
comercio .." Pursuant to this linguistic formulation,the "free navigation" to

which Costa Rica enjoys a "right" is necessarily limited to navigation "con

objetosde comercio;"that is CostaRica's"right offree navigation"existswhen
her navigationis"con objetosde comercio." And, therefore, navigationthat is

'7SeeCRR,para2.69;seealCostaRicanForeignMinister,Roberto Traja,toNicaraguan
ForeignMinister,Norman Caldera Cardal,te No. DM-462-05,28 Sept. 2005. CRM,
Annexes,Vol.1, nnex80.not "con objetos de comercio" is not a "right" afforded to Costa Rica by the

~reaty. 177

3.3. Costa Rica, by contrast, reads the Treaty as though there were a full stop

after the word "navigation." For her, the right of 'Tree navigation" that she
claims to enjoy is free-floating and unrestricted, andmay be exercised without

regard to the nature or purpose of the navigation.In particular, CostaRica argues

in these proceedings that her "right of free navigation" onthe San Juan River is

entirely separate from, and independent of, herright to navigate "con objetos de

comercio." In this chapterit will be shownthat CostaRica's argumentis entirely

without merit, and that she enjoys no navigationalrights other than those related
to navigation "con objetosde comercio."

3.4. A second disagreement between the parties concerns the proper

interpretation of "con objetos de comercio." For Nicaragua, the word "objetos"

means tangible "objects" or "articles" or"goods," such that the entire phrase is

correctly translated as "with articles of trade." For Costa Rica, "objetos" means

"purposes," and the phrase means "for purposes of commerce." As shown in the
Counter-Memorial, and as will be further explained below, Nicaragua's

understanding of "objetos" is the correct one: and the proper English translation

of "con objetos de comercioJ'is "with articles of trade." However, and more to

the point, in 1858 both parties' interpretations of thephrase "con objetos de

comercioJ' -- that of Nicaragua and that of Costa Rica -- had the identical

meaning. Whether the words of the Treaty are properly translated as "with

'77The "perpetualright of free navigation"does not include the rightto be a party to any canal
agreementsthat Nicaragua might enterinto. This was made cleainthe Cleveland Award,at
paragraph 11. The "perpetuity"of Costaca'srightisthus contingentonthis eventuality. In the
text, the use of the originallanguageof the 1858Treatyis maintained,subjectto this reservation
ofNicaragua's rights.articles of trade" or "for purposes of commerce,"their meaning wasthe same,
because --as will be shown below --in 1858cccommerce" necessarily meant

"trade in goods." The idea that commerce also includes services -- such as

tourism or passenger transit-- is a late-twentiethcenturyinventionfar removed
fi-omthe vocabulary or conceptual understanding of thosewhodraftedthe Treaty

of Limits more than 100 years earlier. Thus, whichevep rarty is right about the
English translationof "objetos,"the key word in the phrase is 'komercio," and

the entirephrase is properly understoodas referring eitherto "articlesof trade(in

goods)" or to ccpurposes of trade (in goods)," which in the context of the 1858
Treaty mean the same thing: Costa Rica's "right of fi-eenavigation" exists

whenever(but onlywhenever)her navigation involvets radein goods.

3.5. Costa Rica allbut admits that "con objetosde comercio" meanttrade in

goods to mid-nineteenth century draftsmen, when she argues for an
"evo1utionary"interpretationof the phrase and invokes inter-temporallaw to

claimthat, sincewe arenow in the year 2008,the Courtshouldsupplya twenty-

f~st century interpretationof 'komercio,"one which injects intothat word (as a
nineteenth century interpretation wouldnot), the concept of services,including

tourism and passenger transit.By this logic, CostaRica would extendher "right
of fi-eenavigation"beyondnavigation involving trade in goods (asthe right was

understood by the parties in 1858) to a right to navigate in performance of

comercial services, including sightseeing excursions. Thii ss a third area of
disagreementbetween the partiesa ,ndit, too,is addressedinthis chapter, whereit

is shown that the 1858 Treatycannot be given the evolutionaryinterpretation
advocatedby Costa Rica without:(i) ignoringits statusas a Treatyof Limits;(ii)

upsetting the delicate and carefully-balancedquid pro quo that the parties

incorporatedinto the Treaty (regardingNicaragua'sacceptanceof Costa Rica's
annexationofNicoyaIGuanacasteinreturnfor her exclusive sovereignty over theSan Juan River); and (iii) violating the intentions of the parties at the time the

Treatywas negotiated andexecuted.

Section I. Interpretationofthe 1858Treatyof LimitsAccordingto the
Vienna ConventionontheLaw ofTreaties

3.6. The Vienna Conventionon the Law of Treaties ishelpful in resolving at

least the f~st two of the disagreements identifiedin the Introduction to this

chapter:the disputes over (i) whetherCostaRica'sright of fi-eenavigation under
Article VI of the Treaty of Limits refers specifically and exclusively to her

navigation "con objetos de comercio," and (ii) whether navigation "con objetos

de comercio" refers to trade in goods, or whetherit can be extended to cover

performanceof serviceswhere no goodsare involved.

3.7. Nicaragua and CostaRica agree that the 1858 Treaty of Limits must be

interpreted accordingto the principles establishedin Articles 31 and 32 of the

Vienna Convention. Despite this agreement, theyare at odds over the correct

interpretation of the 1858 Treaty. In Nicaragua's submission, this is because

Costa Rica pays lip serviceto the principles of the Vienna Conventionb , ut then
ignoresthem in conjuringan interpretationof the 1858Treaty that departs from

the plain meaning of the text, and contradicts the objects and purposes of the

Treaty.

3.8. The dependence of Costa Rica's "right of free navigation" on her
navigation "con objetos de comercio" is unmistakable, basedon a good faith

interpretation of the ordinary meaning of the language of the first sentence ofArticleVI of the Treatyof Limits. In the Englishtranslationprovidedby Costa

Rica, the "right of fiee navigation" refers directly to a particular kind of
navigation: that which is conducted for the purposes of commerce ("said

navigation" --i.e.,the fiee navigationthat is thesubjectof the right-- "beingfor

the purposes ofcommerce.. .").The ordinarymeaningof this textmakes it plain

that it is Costa Rica's right tonavigation "con objetosde comercio" -- and no
other --that isdeemedfieeunderArticleVI.

3.9. Contraryto this ordinarymeaning,CostaRicapurports to findinthe same

language a right of fiee navigation dissociatedfiom any substantive limit. To

strengthen,even subliminally, the idea that the righo tf fiee navigation existsper
se, autonomous and absolute, CostaRica not only analyses such right in a

separate section of her Reply, different fiom the one which is dedicated to

navigation"con objetosde comerci~"'~~ b,ut distinguishesin an explicitmanner
among the alleged breaches of Costa Rica's right of fiee navigation and the

breaches of her right of navigation "for purposes of commerce"179,and

systematically,throughoutits Reply,bombards thereader with allusionsto the

"rightof fieenavigation" tout courtlsO.

3.10. Since the premises of Costa Rica's reasoning are erroneous, the

consequences deduced from them must be rejected. Costa Rica's right of

navigation over partof the San Juan Riveris not only situated within the

fiamework of Nicaragua's "exclusivedominion and supreme control (sumo

17'CRR, Chap. 3.B. ("A perpetua1Right of Free Navigation7'),Chap.3.C ("con objetos de
comercio'7.

17'CRR, Chap. 4.B (Breachesof Costa Rica's perpetual right of free navigation), Chap. 4.C
(Breachesof CostaRica'srightofnavigation"forpurposesof commerce").
lgIn this sense, for instance,in CRR, paras. 1.27,2.26, 2.27, 2.30, 2.33, 2.39, 2.40, 2.57, 2.68,
2.74(6), 3.79,3.97,3.134,3.148,4.38,4.42,4.50,4.69,4.70,4.71,4.87,5.05,5.255.29.yimperio)" -- overthe waters, but is also limited substantivelyin its exerciseby its

linkageto articlesof tradelpurposesof commerce ("con objetosde comercio '3'*'.

3.11. Thus, Costa Rica has no right of free navigation that is separate or

independent from her navigation "con objetos de comercio." As the text of

Article VI, given its ordinary meaning, makes clear, it is only CostaRica's right

to navigate "con objetos de comercio " that is free. No other navigationby Costa

Rica enjoys this statusunder the ordinarymeaning ofArticleVI.

3.12. Applying the same general rule of interpretation to the second

disagreement between the parties -- over the meaning of "con objetos de

comercio" --the conclusion is inescapablethat the language refers to trade in

goods. If the word "objeto" in the singular may refer indistinctivelyto a matter,
good or thing and, likewise, to a purpose, end or objective, depending on the

context, the word normally does not include thelatter conceptwhen it is used in

the plural form ("objetos"); and it definitely does not include the concept of

"purpose" or "objective" when the plural form ("objetos") is qualified or linked
with the word "comercio". The phrase "con objetosde comercio," therefore can

only mean trade (or commerce)with articles,goods, or commodities;it can never

mean "for purposes." This conclusion is supported by a leading expert on the

Spanish language from the Spanish RoyalAcademy, the publisherof the ofiicial

Dictionary of theSpanishLanguage. According to the Formal Opinionissuedby
Dr. Manuel Seco Reyrnundo,Member of the Royal Academy and Advisor to the

Academy's Instituteof Lexicography since 2000: "My conclusion,consequently,

in view of all of the elements studied,is that, in the text of Article VI of the

Treaty of Limits between CostaRica andNicaragua signed on15April 1858,the

18'NCM,para. 4.1.8ff.phrase 'conobjetosdecomercio'must beunderstood as'with things that areused

in commercialactivity."182

3.13. Moreover,it is beyond dispute that,in 1858,the word "comercio" meant

exclusively tradein goods (as opposedto services);at the time, "con objetos de

comercio" could have only meant"with articlesof trade." Even if CostaRica's

translation of the word "objetos" were accepted, the phrase "con objetos de

comercioJ'would mean "for purposes of trade in goods." In the middle of the
nineteenth century, the concept of "comercio" had not evolved to incorporate

"services." It was exclusively concerned with"goods." Indeedthe expansionof

the original concept would take at least another one hundred years to evolve.

This is demonstrated by contemporaneous dictionaries, and representative

examplesof contemporaneoususage, as well as expert opinion.Thesepoints will

be furtherelaboratedbelow, at paragraphs3.71-3.89.

3.14. CostaRicapretendsto replacethe interpretationof the only authentictext,

whichwas drafted in Spanish,by anEnglish translation madeon the occasionof
the Cleveland Arbitration,which Costa Rica considers moreto her liking. Costa

Rica evenpretends thatthe meaningthat shewishesto give to theexpression "for

purposesof commerce"was sharedby Nicaragua.

3.15. Thetranslationsof the Treaty intothe English language, whichthe parties

provided to President Cleveland (and, in particular,the translation of "con

objetos de comercioJJas "for the purposes of commerce") did not imply an

lg2Formal Opinionof Dr. Manuel SecoReymundo(hereinafter"Seco Opinion"),2 May 2008,
para. 14. NR, Vol. H,Annex 64. (Original Spanish:"Mi conclusi6n,por consiguiente,a la vista
de todos 10sdatos estudiados,es que, en el texto delAmVIudel Tratado de Limites entre
CostaRicay Nicaraguasuscritoel 15deabrilde 1858,elsintagmacon objetosde comerciodebe
entenderse'con cosassobrelas querecaela actividadcomercial'.")acceptance of any particular view on the scope of the right to free navigation;

indeed it was not a point of disagreementbetween theparties, let alone one that

was submitted to the decision of the Arbitrator, or one that he resolved. At the
time of the Treaty, Costa Rica claimed no more than a right to navigate freely

"con objetos de comercio," which Nicaragua accepted, andboth understood that

"comercio" --in 1888as well as in 1858 -- meant "tradein goods." Regardless of

the proper English translation of the word "objetos," there could be only one

meaning for the word "comercio," and that was trade in goods. Notably, the
practice under the Treaty for the next one hundred yearsfollowing the Cleveland

Award confms that the "comercio" referred toin the Treatywas trade in goods.

When Costa Rica made a new interpretation, in the 1990s, and redefined

"comercio" to include services as well as goods, she encountered an immediate

answer by Nicaragua, which expressed the position that Costa Rica's right of
navigation is with articles of trade,.e. tangible goods,and does not include the

performance of services, suchas tourismorpassenger transportlS3.

3.16. As shown in the following section of this chapter,the historical context

confms the interpretation that Nicaraguahas consistently givento Costa Rica's

right of free navigation "con objetos de comercio" under the Treaty of Limits.
The diplomatic documents and draft treaties preceding the 1858 Treaty

demonstrate that the navigation rights under discussion were always for the

purpose of allowing Costa Rica to carry on trade in merchandise, coffee in

particular,half of whoseproductionwas exportedto GreatBritain, at a time when

Costa Rica lacked any ports on the Caribbean Sea.In order to facilitate Costa
Rica's exports to Europe, and avoid the hazardous, long and prohibitively

expensive route around Cape Horn at the southern tip of South America,Costa

183See Note fromNicaraguan Foreign Minister, Ernesto Leal, toaican Foreign Minister,
BerndNiehausQuesada,NoteNo. 940284,21 March1994. CRM,Annexes,Vol.111A , nnex48.Ricarepeatedlyandurgently soughtfiomNicaraguatheright to usethe SanJuan

River asan outlet tothe sea so that she could havea shorterandbetter routefor
her exports toEurope and other Atlanticdestinations. Thus, the conductof the

parties both before andafter the Treaty of Limits was executed consistently

reflects theirunderstanding thatwhat was agreedto in the Treatywas a right of
CostaRicanvesselsto navigate onthe SanJuan River witharticlesoftrade.

3.17. Nicaragua stated in her Counter-Memorial that: "Given that the

application of the General Rule of interpretation offers a perfectly clear and
reasonablemeaningof the ArticleVI of the Caiias-JerezTreaty, recourseto the

supplementarymeans of interpretationmentionedby Article 32 of the Vienna

Conventionof Lawof Treaties is notneeded."lg4Nevertheless, aswill be shown
below, thehistoricalrecord filly conhs the conclusions reachedby Nicaragua

throughapplicationof theGeneralRuleofinterpretation.

3.18. Nicaragua reiterates that, becausthe phrase "con objetosde comercio"

in the Treaty of 1858means"with articles oftrade," recourseto supplementary
means of interpretation is unnecessary. In the event the Court is nonetheless

inclined to turnto supplementary principlesof interpretation, as setforth in

Article 32 of the Vienna Convention, thosetoo confirmthe reading Nicaragua
advocat'es. In particular, the historical contof the 1858 Treaty makes clear

that Costa Rica's navigation rights on the San Juan River are limited to

navigationwitharticlesoftrade.

IgNCM, para.4.1.34.3.19. At paragraph4.1.35 of her Counter-Memorial,Nicaragua observe tdat,

"CostaRica'sother vital nationalaimwas to secureforher
products, mainly coffee, a way out to the Atlantic that
would ensure faster and cheaper access to the European
market, particularly Great Britain, which absorbed hahlfer
production ata time when Costa Rica lacked portson the
Caribbeanand herexportsto Europe hadto head for Cape
Horn. This ... is what theJerez-CaiiasTreaty granted to
CostaRica."

Inother words,thepurposeArticleVIofthe 1858Treaty,which gaveCostaRica
therightto navigatethe SanJuanRiver "conobjetosdecomercio, " wasto give

that Statean Atlantic(Caribbean)outletforher trade with(and,in particular,her

coffeeexportsto)Europe.

3.20. Costa Rica'sReplyis conspicuouslysilentin response. Nowhere among

its 231 pages does the Reply address, much less make any effort to refute,

Nicaragua's characterisationof CostaRica's needsand goals. And for good
reason. As will be further demonstratedbelow,relying largely on CostaRican

sources --many contemporaneouswith the Treaty of 1858 -- Costa Rica's
consuming preoccupation withthe San Juan River in the middle of the lgth

centurywasto gain accessto it as a trade routeto Europe. It is thiskey factthat

definesthe objectandpurposeof CostaRica's navigation rightsunderArticle VI
of the Treatyof 1858.

I. CostaRica'sNeedfor a TradeRouteto theAtlantic

3.21. In orderto fully appreciate the historical context whichled to ArticleVI,
someobservationsabout the developmentof CostaRica's economyin the early

19"centuryarenecessary. Duringthe colonialperiod, CostaRicawas one of thepoorest, most sparsely populated Spanish possessionsin the America~'~~.As

statedin a 1953 study,"CostaRica endedits history as a province of the great

SpanishEmpire in 1821a poverty-strickennation, almost wholly withoutroads

and schools, without a printing press, without any governmentalfunds and

without anyforeign commerce savefor the small exchangesmade by overland

routeswithitsneighbours,Panama and~icara~ua."'~~

3.22. At various moments during the colonial period, Costa Rica had made
efforts to stimulate its languid economy bydeveloping exportable surplusesof

agriculturalproducts. Both cacao (inthe late 17" and 18~centuries)andtobacco

(in the late 18" and early 19" centuries) werethe subjectsof early experiments,

but both effortsmet withonlylimitedsuccess187.Everything changed, however,

withthe coffeeboom in the 1830s.

3.23. Coffeewasinitiallyintroducedto CostaRicainthe late 18" and early19"
Due to the unique suitability of the soil in Costa Rica's central

plateau, coffee growing quicklytook hold. By 1839, coffee had becomethe

country'sleading export;by 1843,it represented some80%of CostaRica'sthen

burgeoning exportsto theworld market; andby 1853,it compriseda full 94%of

totalexports189. ccordingtoCostaRicanhistorianPaulinoGonziilezVillalobos:

lSJorge Lebn Shenz.Evolutionof the Foreign Trade and Maritime Transport of Costa Rica
1821-1900(hereinafter"Evolutionof the ForeignTrade"), San Jod, Editorialde la Universidad
de CostaRica, 1997,p. 11. NR,Vol.11,Annex33.
lSRichard J.Houk."'TheDevelopmentofForeignTradeand Communicationin CostaRicato the
Constructionof the FirstRailway"(hereinafter"DevelopmentofForeignTrade"),(TheAmericas,
Vol. 10,No.2., 1953,Oct., pp.197-209).NR,11Annex30.

'8Evolutionofthe Foreign Trade,op.ci44. NR,Vol.11,Annex33.

DevelopmentofForeign Trade,op.cit.,p. NR,.Vol.11Annex30.
laEvolutionof theForeign Trade,op.cit., p. 53. II,,ex. 33. "During the period of 1836-53, a series of qualitative
changes took place within Costa Rican society that
simultaneouslyincreasedthe need for theroad to Sarapiqui
and generated contradictory processes. Thedetermining

element of these transformations was the dramatic
developmentof coffeecultivation. This processhad begun
in 1832 with exportationto Chile. Years later,it would
acceleratethrough directtrade with Englandand especially
withtheinjectionoffinancialcapitalfrom saidnation.

"The coffee boom forceda rapidprocessof changein land
use within the IntermountainCentral Valley. Subsistence
farming and formerly hegemonicproducts (sugarcane,
tobacco and wheat) werereplaced by coffee, and their

cultivation was marginalized toperipheral zones of the
valley. In th7,190y, a monoculture system was
developed.. .

3.24. The importanceof coffee to the growth of the Costa Ricaneconomy and

the Costa Rican nation cannotbe overstated. The money she made exporting

coffee to the world allowed Costa Ricato lift herself out of poverty and to
transformquickly into oneof therichercountriesin theregion. Writingin 1850,

one of Costa Rica's leading citizens, Don Felipe Molina, capturedthe point

succinctly:"Dedicatedto fanning and trade, [theCosta Rican people]live from

the exportationoftheir

TheInadequacyof Existing TradeRoutes
(a)

3.25. In the 1840sand 50s,CostaRicareliedprincipallyonportsonher Pacific
coast --in particular, atPuntaArenas --for the shipment ofher coffeeand other

exportstotheworld. In anotherwork dated1851,Molinaobserved:

Paulino GonzitlezVillalobos, The SarapiquiRoAtSocio-Political Historyof a Road
(hereinafter"SarapiquiRoute"), , . 3NR, Voi.IIhex 29.
IglFelipe Molina,Report on the Border Questions Raised Between the cf Costa Rica
andtheState of Nicaragua(hereinafter''MolinaReport")p. 22NR, Vol.11,hex 35. "In the Pacific, the Republicof CostaRicapossessesmany
safe and spacious ports, such as: Golfo Dulce, Puerto

IngMs,Las Mantas, Caldera,Punta Arenas, La Culebra,
Santa Elena and Las Salinas. Among them, only Punta
Arenas is currently frequented andhas been outfittedfor
foreigntrade, with theFree Port privilegesgrantedby the
legislature..,7192

Statisticsfromthe late 1840sshowthatmorethan 90%of CostaRica'sexternal

trade waspassingthroughPuntaArenas on thePacific,while less than 10%

passed throughtheCaribbeanport atMatina:

"From 1848to1849,the entryof shipsto the Port of Punta
Arenas increased innumberto 70, witha total of7,188tons
of imports. Ifwe adda similar amountin exportsand 1,200
tons for all trade from Matina [on the Caribbean], we

wouldhavethe sumof 15,571tons, representingmercantile
movementasawhole."193

3.26. The existing Pacific routehad serious disadvantages,however. During

this period, most of Costa Rica's coffee wasbeing exported to the United

Kingdom,withlesseramounts toFrance and other European Yet, as

statedinthe Counter-Memorial,the shipmenf trom PuntaArenasonCostaRica's
Pacific coast necessitated the arduous journey arounC dape Horn at the tip of

SouthAmerica,a voyagewhich tookatleastfivemonths and costa staggering(at

the time)fivepoundsper tonnelg5.An Atlantic outlet for Costa Rica's trade was

the obvioussolution. Yet, in contrastto the Pacificcoast, CostaRica'sAtlantic

coastoffered few suitable sites. Writinagainin 1851,Molinaobserved:

lgFelipeMolina,Studyofthe Republof CostaRica (hereinafier"MolinaStudy"), 1851,p. 36.
NR,Vol.II ,nnex36.

lgIbid.,p32.
'9SeeIbid.,pp. 31-32.

SeeDevelopmentofForeignTrade,op.cit.,p. 20NR,Vol.11,Annex 30. "On the Atlantic side, there is not a single site alongthe
entire coastkomSan Juan, toward the southeast, to the
cove of Veragua, that merits being called a good port,

except for the magnificent bay of Boca Toro. Neither
Matina nor Salt Creek (Moin) offer the necessary
requisites,and this part of the seaboardis currently rarely
fkequented.Only a small amount oftrade in sarsaparilla,
tortoiseshell, coconut oil, etc. etc. is carried out fkom

there."lg6

3.27. The lack of an Atlantic outlet was badlyhampering the growth of the

CostaRicaneconomy. AccordingtoMolina:

"The growthoftradeis paralyzedby theneedto follow the
long and laborious path of Cape Horn, as the several
articles that it would be convenient to export cannot

support the increased charter fees or heavy costs of such
lengthy navigation."lg7

And:

"Coffee, whichis currently theprimary exportitem, has
been qualifiedas excellent, althoughit rarely reachesthe
marketplaces of Europe without having suffered

deteriorationdueto the delays andsetbacks experiencedby
shipmentsin the long anddifficult trip thatmust be made
aroundCape~orn."'~*

3.28. Thesealreadyseriousproblemswere exacerbatedin 1846when theprice

ofcoffeeon theworldmarket droppedprecipitously. AC s ostaRicasubsequently

wrotein itsArgumentto President Clevelandin 1887:

lgMolinaStudyo,pcitp.36-37N.R,Vol.11Annex36.
lgIbidp..32.

lgIbidp..30. "In 1846 CostaRica had to pass through an exceptional

crisis. Coffee,itsprincipalexportproduct,hadexperienced
remarkable depreciationin the foreignmarkets, and could
not stand competition,owingto the high freightthat it had
to pay when carriedby the way of Cape Horn. It was of
vital importance, and worthyof any sacrificewhatever,to

have a passage open to the Northern Sea, that is, the
AtlanticOcean. The old port of Matina couldnot answer
the purpose, owing to insuperable obstacles, and no
recourse was left except makingthe exports through San
Juan delNorte[at the mouthof the SanJuanRi~er]."'~~

(6) TheIdeaof theSanJuanRoute

3.29. Underthe circumstances,the solutionto CostaRica'sproblem seemedto

be to send her coffeeand otherproducts (grownlargely in the centralplateau)

northto the SanJuan Riverby way of one of that river's Costa Ricantributaries.

Onceon the San Juan,the coffee couldbe sentdowntheriver,outto theAtlantic,

andthen onto Europeby wayofthe portof SanJuan delNorte. Incontrastto the
five months requiredfor the journey fromPunta Arenas and around Cape Horn,

thetrip from SanJuan delNortetoEuropetookjust fortydaysby sailingshipand

half that by steamship200.The plan to makeuse of the SanJuan River loomed

large inthemiddleofthe 19"century. Accordingto Molinain 1851 :

"Thereis no doubt that SanJuan [del Norte]is destinedto
be a market of first order, as well as the main point of
departure for trade from CostaRica by mean; of the

~tlantic"~~'.

lgArgumentof CostaRica,op.cit.,p. 4NR, Vol.LIAnnex 5 (emphasisadded).

20SeeDevelopmentofForeign Trade,op.cit.,202. NR, Vol.11,Annex30.
20MolinaStudy,op. cit.,p. 53: NR,V11,Annex 36. 3.30. The idea of makinguse of the San Juan actually extendedback several
decades,at leastto independencein 1821~~'.Several tributariesof the SanJuan

originatingin Costa Rica offeredpossibilities, includingboth the San Carlos and

Sarapiqui Rivers. From the beginning, however, theprimary focuswas onthe

Sarapiqui. On 12 March 1827, the Costa Rican government issued a decree

offering land as a reward for discovering a routeto the San Juan. Several

individualsand companies acceptedthe challengeand began explorationsfor a

route fromSanJosdto the Sarapiqui,but theseearlyprojects wereabandonedfor
a variety of reasons, including a lackof man-power andcapital, aswell as the

unexpectedly inhospitableterrain203. Contemporaneousrecords attest to the

difficulties encountered.According to an account by the French Minister,Felix

Belly:

"From San Jose to this port was ajourney of thirty-six

miles, which had to be covered partly by mule and partly
by rude canoes. M.Belly found the soleoficial was a
captain of the port. He had neither a soldier nor a
subaltern. Helivedin a housewithoutfurniture, onlyhalf

enclosedwith canes, andhe slept in the attic. This official
estimated the weight of goods entering annually at one
hundred tons. As it was not a customs port, he issued
passes for goods, and theduties on them were paidupon
their arrivalinSanJose. Thecapitalwasreached onlyafter

'02See Molina Report, op. cit., p. 2NR, Vol.TI , nnex 35 (Spanish Original: "En tales
circunstanciasocurricique 10shabitantes de Costa-Rica,habiendo descubierto desde 1821la
posibilidadde abriruna comunicacipasta el puerto,por medio delrio Sarapiqui,tributariodel
San Juan, emprendieronhacer, como en efecto hicieron, un camino hacia aquel nunbo, y
comenzarondirigirsucomercioporaquellado...") (Englishtranslat"In:suchcircumstances,it
so occurred thatthe inhabitantsof Costa Rica, having discoveredsince 1821the possibilityof
opening communicationsto theport,by meansofthe SarapiquiRiver, a tributaryofthe SanJuan,
undertookto build, andindeed didbuild, aroadtoward said course,andtheybeganto directtheir
trade thatsid.").

-- -20See zbzd.,pp.27etseq. a long and arduousjourney, forthe road had to be opened

with a macheteflzo4.

After the 1846 coffee crisis,and given Costa &cays continuedreliance on
3.31.
Europeanmarketsfor her coffee,the idea of improvingthe Sarapiquiroute tothe

San Juan received renewed interest. Spurred on by coffee merchants, the

Sarapiqui Company was createdby decree dated 27 October 1851, and it was

ordered to build a road between San Jose and the dock on the Sarapiqui in 18

monthszo5.Again,the lack of labour provedto be a principal obstacle,206 and the

work was abandoned in 1853'07.Even so, obtaining accessto the San Juan asan

outlet forhertrade with Europe remaineda highpriority for CostaRica.

204Development of Foreign Trade, op.cit., p. 202-0NR, Vol. 11,Annex 30. (Incontrast to the
100tonne figure cited, statisticsshow that in 1859,the volume CostaRica's coffee exports alone
totaled5,000tomes.)

205Seeibid., p.67; seealsoCosta Rica, "Basis for the formation of a Company, named the
SarapiquiCompany.. .,"27 October 1851,Art.3. NR, Vol. 11,Annex49.
20SeeSarapiquiRoute, op. cit.p. 70. NR, Vol. 11,Annex 28.

20Seeibid.,p. 71.(c) Negotiations with Nicaragua over the San Juan Riverprior to the 1858
Treaty

3.32. Because Nicaragua was sovereign over both the San Juan River and the

port of San Juan del Norte at the river's mouth, CostacaYsaspirationsfor a SanJuan route necessitatednegotiations with Nicaragua. But those negotiations

proveddifficult. Nicaragua continuedto objectto CostaRica'sannexationofthe
Pacific coastalregionof NicaragualmownalternativelyasNicoyaor Guanacaste

duringthe 1820s,and resistedCostaRica'sattemptsto secure access to the San

Juanforthetrans-shipmentof hertrade.

The earliest negotiationson the subjecttook place in 1838,just as the
3.33.
Costa Rican coffee trade was exploding. The Costa Rican negotiator in these

early talks was Don FranciscoMaria Oreamuno. The confidential negotiating

instructionshe received make clear Costa Rica's driving interestin obtaining
accessto the SanJuan River. Accordingto InstsuctionNo. 17,Oreamunowas to

attemptto securefreenavigationonthe SanJuanfor all import andexportitems.

The instructionsstatethat inthe eventthis proved impossible, CostaRica would

yield on the free import of foreign goods. Inno case, however, would it
compromiseonthe freeexportofhercoffee:

"[Ilf necessary,this covenant shallinclude the prohibition

of introducing foreigngoodsor merchandiseto CostaRica
through the same waterway, in case entered goods could
not be registeredto pay duties at this Statecustoms; anda
fifth, fourth,orthirdofthe annualliquidreturnsin favorof
Nicaraguamaybe agreedupon, providingexportsare done

Nothingcameof these initial effortsto finda compromise.

3.34. With the 1846 coffeecrisis, however CostaRica's need for a low-cost

Atlantic route became acute, and she renewedeffortsto negotiate an agreement

withNicaragua.Asrecountedinher 1887Argumentto PresidentCleveland:

'0Instructions carbyethe specialMinisterappointedto the Governmentof Nicaragua, 1838,
para17.NR, Vol.IIA,nnex7(emphasis added).

117 "Costa Rica decided to make an effort, and seek for a
settlement, which, setting aside interminable discussions,

would enable its Govement to cany into effect the
purpose above referred to [i.e., gaining accessto the San
Juan routeto the Atlantic]. Tothis endit senttoNicaragua
SefioresMadriz and Escalante, with suchinstructions as
proper,to treatwithher

This effortdidyield a treatysignedby theparties' negotiators

"relatedto navigation ofthe SanJuan. Thisstipulatedthat
the Costa Ricans were topay, at the port of San Juan,
warehouse fees, a tax over the tonnage of ships, and a
transit duty of two silverreales (or five reales made of a
copper and silver allow) for every "quintal" of hits

exported, along with four percent of the value of the
merchandise imported"210.

It was,however,subsequentlyrejectedby CostaRica,whichwas unwillingto

paythe agreedcharges.As Molinaput it:

ccSuch treaties must naturallyhave been ratified withinan
instant in Nicaragua, whereasin Costa Rica they were
receivedwith theindignationtheyde~erved"~".

3.35. Undeterred,Costa Ricacontinuedto press aheadwithher plans for aSan

Juanroute, andinMay 1848,she communicatedto Nicaraguh aerintentto opena

route to the SanJuanvia the ~ara~i~ui~~N ~.icaragua respondedby threateningto

breakties if CostaRicapressed ahead withouta prior agreement213.Molinawas

209Argumentof CostaRica,op.cit.,p47.NR, Vol.IIAnnex5.

MolinaReport,op. cit.,p. NR, Vol.II,Annex35.
21Ibid.,p. 31.
212
SeeSarapiquiRoute,op.cit.,p. 59. NR, Vol.11,Annex28.
213Seeibid., pp.59-60. sent to discuss both the route and, more generally, the two States7 territorial

disputes, but again nothing came of these efforts214. Nicaragua insisted on

retaining control of the river route while Costa bca continued to press for an

outlet for her trade to the Atlantic215.Throughout these discussions, Nicaragua

(in addition to insisting on the return ofNicoya/Guanacaste)refused to recognize

Costa Rica's right to navigate on the San Juan, and attempted to levy duties on

the transport of Costa &can goods216.

3.36. In his 1850recordings of these dealings, Molina made clear Costa Rica7s
rising hstration, made worse by what sheperceived as the "vital need" for a San

Juan route. He wrote:

"Transit by the San Juan had become a vital need for the
Costa Ricans, so the uncivil opposition intimated by
Nicaragua was the same as condemning [Costa Rica] to a
certain decline in her trade and wealth"217.

As he saw it:

'"icaraguan gave Costa Rica] this hard alternative: either
renounce Guanacasteor renouncethe Sarapiquiand the San
Juan. These conditions are equally inadmissible because,
on the one hand, in Guanacaste Costa Rica possesses a
significant population, extensive farms and a growing

number of cattle;whereas on the other hand,the mentioned
rivers are the two main arteries for the country's circulation
to the

214See ibid.,p. 60.

215See ibid.

216See ibid.,pp. 60-61.
I MolinaReport, op. cit.,p. 32. NR, Vol. 11,Annex 35.
I
218Ibid., p. 36.3.37. Nicaragua's claim to GuanacasteNicoya is shown in the map of

Nicaragua published in 1855, which is reproduced following this page. The
sketch map below compares the claim depicted on the 1855 map with the

boundary that resulted fromthe 1858Treatyof Limits.

3.38. Costa Rica and Nicaragua resumed their efforts to negotiate a treaty in

1854. Meetings were held between diplomatic representatives of the two States

between 10January and 17February 1854."Protocols," or official minutes of the

meetingswere signedby the two heads of delegation. The Protocol of the meeting Map 1
Iheld on 10 January 1854states that the purposeof the discussionwas to address

"the issue of territorial limits pending between the two countries (arreglar o

trnnsigirla cuestidnde limitesterritorialespendientes entre10sd~s~aises)."~~~

3.39. Underdiscussionwasthe establishmentof a boundaryrunningparallel to,

but several "leagues" south of, the San Juan River (leaving Nicaragua with the

right bank of the river as well as the left) all the way to the Atlantic Ocean.

Nicaragua's sovereigntyover the San Juan would be subject, however, to the

concession to Costa Rica, either in a formal Treaty of Limits or a Treaty of

Friendshipand Commerce,of "see transitby the river andport of 'SanJuan,' for

the import and export tradeby the citizensof CostaRica.. .(el trdfico librepor el
rio y puerto de 'SunJuan,'para el comerciode importacidny exportacidn de10s

hijos de Costa Rica.. .).'y22As earlier, it was Costa Rica's objective in these

negotiationsto secure forherselfthe rightto use the SanJuan River asa route for

her exportsto the Atlanticandbeyond.

3.40. To this same end, CostaRica insisted insubsequent meetings andwritten

communicationsthat it shouldbe "wellunderstood thatthe waters of the riverand

port of 'San Juan'and of the Lake shouldbe free at all times for the importation

and exportation traffic of Costa Rica...(bien entendido que las aguas del rio y

puerto de 'SunJuan 'y la delLago debenser libresen todotiempopara el trdfico

de importacidn y exportacidnde CostaRica.. .)12'CostaRica's fmalproposalto

219Protocolofthe conferenceof 10January 185NR, Vol.IIA,nnex 8.
220Ibid.

221Protocol ofthe conferenceof9February1854NR, Vol.11,Annex9.Nicaragua, communicatedin a Memorandumdated 13 February 1854,insisted

that: "The waters of the river and the Port of San Juan will be free to the
importationand exportationtrafficof CostaRica, withoutat anytime such trade

being subjectto any lcindoftaxation.(Serhnlibrespara el Wco de importacidn

y exportacidn de CostaRica las aguasdel rio y Puerto de San Juan, sin que en

tiempoalgunoseagravadoelcomercioconningunaclasede iinpuesto)."222

3.41. For various reasons indicatedin the Protocols and the exchanges of
correspondencebetween the parties,thenegotiationsfailedandno treatyoflimits

was agreed.What is importantfor present purposes is the continuingcentralityof

Costa Rica's objectiveof obtainingfrom Nicaragua a guaranteedright to freely

use the San Juan Riverand the port of San Juan del Norte as an outlet for her
importandexport trade.

3.42. Shortly after the failed treaty negotiations, civil unrest toolc hold in

Nicaragua,creatinganopportunityfortheAmericanfilibusterer,WilliamWalker,

and his mercenariesto invade. In October 1855, they capturedthe capital of

Granadaand seizedcontrolof the country. Walker's historyin Central America
is notorious, as described in Nicaragua's counter-.Memorial223. It need not be

revisited here. The important point isthat when Walker attempted further

conquests in CentralAmerica, a combined force of Nicaraguan, Costa Rican,

Guatemalan, Salvadoranand Honduran soldiers dislodged him from power in
May 1857.

222Memorandumfrom Costa Rica, dated 13 February 1854, mentionin the protocol of the
conferenceof 17FebruaryNR, Vol.11,Annex10.
22See NCM,paras. 1.2.35,eseq.3.43. Upon conclusion of the hostilitieswith Walker's forcesin May 1857,

Costa Rica's army was the most powerful in Central America. Her forces

occupied all strategic positionson both sides of the San Juan River. Theywere

thus in a positionto controlall navigationon the river224.CostaRica seizedthe

moment to renew discussionsover both NicoyaJGuanacasteand navigational
rights on the San Juan. The negotiationsresulted in the July 1857Juhrez-Cafias

treaty in which Nicaragua expressly renounced her claim to

~ico~a/~uanacaste~~~T . he treatyrecognisedNicaragua'sdomain over the San

JuanRiver,althoughthe fif trticleprovidedthatthe

"Republic ofCostaRica, as well as the one of Nicaragua,

will have free use of the waters ofthe SanJuan River,for
navigation andtransportationof articlesof trade of import
and export ...7,226

224See"Message ofthe Presidentof the Republicof Nicaragua, Juan Rafael Mora Porrast,o the
Congress,6 September1857",GazetteofEl Salvador,Cojutepeque,7 October 18NR, Vol.11,
Annex 11. ("Greatandinfinitewerethe difficultiesofall types that facedthe Government,but all
havingbeen surpassedby afirmand decidedwill, I raisedthe voice of alarm yet againand was
answered unanimously byallpeoples.I ordereda column ofbravemento marchto theworldof a
general ofknownexperience, tofight theenemyonthe fieldof honor, as demonstrated gallantly
in the area of Rivas. Convincedthat our effortsand thoseof our allies wouldbe made in vain
unlesswe attackedthe filibustererat the sourceofhis greatresourcesandtroops-that is, unless
we strippedhim of the fortsand steamerswithwhich he dominatedthe San JuanRiver andLake
Nicaragua,by meansof which hismen, armsand supplieswould arriveevery fifteendays on a
scale much greater thanours and even greater thanthat of all CentralAmerica- I orderedthe
riskymaneuverof surprisingthe enemyatthesepoints.

Godprotected ourobjectivesand ourefforts, and within very few daytshe national flag fluttered
overthe fortsonthe river,at PuntadeCastillaandon the beautiful LakeNicaragua.")

225
SeeJuarez- CafiasTreaty,6 July 1857. CRM,Vol. 11,Annex5. ("First:The Governmentof
Nicaragua, asa signof gratitudeforthe Governmentof CostaRica, forits goodofficesonbehalf
of the Republic, for the soliddeterminationan great sacrificesmade for the cause of national
independence,waives, takes and puts away everyright on the Districtof Guanacaste, whichis
now called theProvince of Moraciaof the Republicof Costa Rica,to be understood, held,and
acknowledged,from now and forever, asan integral part of said Republic, underthe sovereign
jurisdiction of saidGovernment.")

226Ibid.3.44. The 1857 Juarez-Caiiastreaty wasultimately rejected byCostaRica for

reasons,and in circumstances,that are amplydescribedin Nicaragua's Counter-
Memorial (at paragraphs 1.2.41through 1.2.47). It is sufficienthere merelyto

reiterate that Costa Ricadecidedthat it mightbe more advantageousto pressher

apparent military advantage and expand her territory at Nicaragua's expense,
rather than accept a Treaty. Nevertheless, the 1857 treaty is a fwther

manifestation of the constantin the historical record: Costa Rica's abiding

interest in the San Juan River asa trade route, especially for her exports to
Europe. The record shows that this was the driving force behindthe right of

navigation"con objetosde comercio"that parties enshrinedin Article VI of the
Treatyof 1858.

3.45. In her Reply,Costa Ricatalcesissuewith Nicaragua'sargumentthat the

fifh articleof the 1857 Juarez-Caiiastreatyhas anybearing on the interpretation
of the phrase "con objetos de comercio" in Article VI of the Treaty of 1858.

CostaRica suggests --albeitwithoutactuallyarguingthatthiswasthe casehere -

-that "if oneparty failstoratifyatreaty, onemaypresume thatitwas dissatisfied
and wanted a new text having a meaning dzflerentfrom that of the previous

unratifiedone."227CostaRica'sintimation hasno supportin the record. Indeed,
quitethe contrary.

3.46. First, it should be noted that Nicaragua's argument is not merelythat

ArticleVI of the Treatyof 1858shouldbe read in lightof the fifth article ofthe
1857 Juarez-Caiias Treaty.Thepoint is much broaderthan that. As stated,the

1857 Juarez-CaEiastreaty is but one fwther link in a long chain of evidence,

22CRR,para.2.54.consistentwiththe entirecorpus of thehistoricalrecord,demonstratingthat Costa

Rica'sdrivingaspirationwithrespectto the San Juanwas to secureaccessto it as

a trade route forher goods. As such,it is not just the fifth articleof the 1857

Juarez-CafiasTreaty, standingalone,that shedslight on the phrase "con objetos
de comercio"in the Treatyof 1858,butratherit is the historical contexttakenas

a whole,includingthe 1857Treaty,that reveals the objectandpurposeof Article

VI ofthe 1858Treaty.

3.47. Moreover, even with respect to the narrowquestionof the interpretation
of the 1857 treaty versusthe Treaty of 1858,history shows that CostaRica's

bargaining position, especially with respect to the San Juan, had weakened

considerablybetween thetimeof the unratifiedJuarez-CafiasTreatyin July 1857

and the Treaty of 1858 somenine monthslater. In the interveningtime, Costa
Rican soldiers had unexpectedly been dislodged from their positions on the

Nicaraguan sideof the San Juan. Costa Rica was thus nolonger in defacto

controlof theriver228.This factwasdulynotedby a keenlyinterestedWilliamC.

Jones, Special Agent ofthe United States to Nicaragua and CostaRica, in a

January 1858report to Washington,wherehe observed that Nicaragua was now
"in a better situationthan before"in terms ofher negotiation position vis-B-vis

CostaRi~a~~'.

3.48. In addition, as discussed at paragraphs 1.2.41through 1.2.46 of the

Counter-Memorial,the United States had made her interests in the region

228See''NotefiomWilliamCarey Jones,SpecialAgentoftheUnitedStatesofAmericato Central
America,to Lewis Cass, Secretaryof State of the United States," 30January 1858,(Diplomatic
Correspondenceof the UnitedStates: Inter-AmericanAffairs 1831-1860, editedbyR.illiam
Manning, Washington:Carnegie Endowment for International P, 934,pp. 647-657NR,
Vol.TIAnnex13.
22Ibid.abundantly cleardwing this period. She repeatedly informedCosta Rica that

Washington would not countenance Costa Rica's bid for territorial

aggrandizementat Nicaragua'sexpense. The United Stateslikewisemade plain
her position that fullsovereigntyof the SanJuan was to remainwithNicaragua,

and Nicaragua alone. In his July 1857instructions toMr. Jones,the American

Secretary of State, Lewis Cass, statedflatly: "[Ylou will make knownto the

authoritiesof CostaRica the confidentexpectationof the United States,that the

possessionof the territory,overwhichthe line ofcommunication passes[i.e.,the
SanJuan],will beleftto~icaragua."~~'Mr.Jones did asinstructedandconveyed

themessageto CostaRica. Accordingto his 2 November1857letterto Secretary

Cass:

"[Als early as June last the Government of Costa Rica
refusedto deliverthe fortressof 'Castilla[sic] Viejo' and

refused alsoto confirma Treaty of limits with Nicaragua
which givesto CostaRicathe freepassageof theRiverSan
Juan for her importations& exportationsquite as much as
accordingto my instructions agrees withthe views of the
department. I have thereforenot hesitatedto malceknown
to the authoritiesof this Stateand by such means as have

been in my power to the Governmentof Costa Rica & to
the authoritiesofthe otherStatesof Central Americathat it
was the oppinion [sic] of the United States that the
Jurisdictionof the entire Transit route oughtto be sole&
not dividedandthat that Jurisdiction ought to remainwith

the State (,9231yNicaragua) to which it had previously
belonged. .

23'CNot&omLewis Cass,Secretaryof Stateofthe United State,to WilliamCareyJones, Special
Agent of the United Statesto CentralAmerica,"30 July 1857. NCM, Annexes, Vol.11,Annex
21, p. 98.
23"Note from William Carey Jones, Special Atf the United States of Americato Central
America,to Lewis Cass, Secretaryof State of the UnitedStates,"2 November 1857,(Diplomatic
Correspondenceof the United States:Inter-AmericanAflairs 1831-1860, editedbyR.illiam
Manning, Washington:Camegie Endowmentfor InternationalPeace, 1934,p. 624) (emphasis
added).NR,Vol.11,Annex12.3.49. It is interestingto note, in the f~st of the two italicized phrases cited

above,the recognition that the"free passageof the River San Juan" in the 1857

Treaty wasfor CostaRica's "importations & exportations." SpecialAgent Jones
delivered this pointedmessage --includingthe U.S. position that Nicaragua was

to have sole jurisdiction over the rive-- to CostaRica through the person of

CostaRican GeneralJosCM. Caiias, the very same man who had negotiated the
1857 treatyon behalf of Costa Ricaand who wouldsubsequentlynegotiatethe

1858Treaty,as

2. Article YIofthe1858TreatyinItsHistorical Context

3.50. Consistentwith the historical factpresentedjust above, thetext ofArticle
VI of the Treaty of 1858makes clearthat CostaRica's navigationalrights should,

if anything, beinterpretedmore narrowlythan therights shewouldhave enjoyed
had she ratified the 1857treaty, notmore broadly as CostaRica might like to

suggest. For instance,the languageof the 1857 Juarez-Caiias Treaty providing

that theSan JuanRiver constitutesNicaraguan territory(articlesecond)isworded
rather generically, and statesmerelythat the borderbetween thetwo States shall

be the southernbank of the SanJuan River. In contrast, ArticlVI of the 1858

Treaty of Limits is notably more emphatic. It states: 'Wicaraguashall have
exclusive dominionand supreme control(sumo imperio) over the San Juan

River."

3.51. Similarly, the Treaty of 1858 articulatesCostabca's navigational rights

in a very differentwaythan the unratified1857treaty.'In the 1857Juarez-Cafias

Treaty, CostaRica's navigationalrightsnot onlyreceivestand-alonetreatmentin

23Seeibid. the fiftharticlethereof,theyarepresented as co-equalto Nicaragua's rights("The
Republic of CostaRica, as well as the one of Nicaragua,will have free use ..."

etc.). ArticlVI ofthe Treatyof 1858,ontheother hand,is wordedsoasto make
-
Costa Rica'snavigational rightsan express andlimited exceptionto Nicaragua's
Wicaragua shall have exclusive dominion
otherwise unqualified sovereignty:
and supreme control (sumo imperio)of the waters of the San Juan Riverbut the

Republic of Costa Rica shall have perpetualrights of free navigation .. [con

objetos de comercio.]" These, of course, are very different linguistic
formulationsand compela narrower interpretationof Costa Rica's rightsunder

the Treaty of 1858 thanunder the 1857 Treaty. It thereforecannotbe true that

CostaRicaacquiredbroader navigationar lightsunderthe Treatyof 1858than she
did under the 1857 Treaty. Underboth treaties, CostaRica's rights extend no

fwther than navigationwith articlesoftrade.

3.52. The languageof ArticleVI further confirmsthat the parties' purposein
giving Costa Ricathe right to navigatethe San Juan "con objetosde comercioJJ

was to afford herthe Atlantic tradeoutlet shehad longsought. ArticleVI states,

for example,that Costa Rica shall havethe right to navigate theSan Juan "con

objetos de comercio" either withNicaragua or with theinterior of Costa Rica,
throughthe SanCarlosriver,the Sarapiqui, or any otherwayproceeding fromthe

portion of the bank of the San Juanriver,which is hereby declaredto belong to

CostaRi~a."~~~ Giventhe historical antecedents discussed above t,hese specific
referencesto the Sarapiquiand San Carlosrivers are telling. They are obvious

manifestations of Costa Rica's long-standing interestin making use of these

watercourses as trade routes.As such,they constituteunmistakableconnections

233"Costa Rica-Nicaragua Treatyof Limits (Caiias-J15April 1858,"ArticleVI. CRM,
Annexes, Vol.IIA,nnex7@),p. 50.As willbe discussedlaterin the text,thistranslation, taken
fromCostaRica'sApplicatiois notpreciselycorrinseveral important respects.

129between the specific text of Article VI and the historical context. Costa Rica's

objective, which became an object and purpose ofArticle VI, was to secure a

way, whether bythe Sarapiqui,the SanCarlos or someother tributaryof the San

Juan, to get her coffe--her dominantarticle of trade-- to the Europeanmarket
as expeditiouslyaspossible.

3. Early Practice of theParties underthe Treatyof 1858

(a) TheFate ofthe SarapiquUSanJuan TradeRoute

3.53. It is ironic that soon after the Treaty of 1858 hadbeen concluded and

Costa Rica achievedher longstandingobjective ofgaining accessto the San Juan

to transport her exports to European markets, her interest in the San Juan

diminished sharply. Indeed, as a trade route, the San Juan became all but
irrelevant to Costa Rica -- within just two years of the Treaty's execution.

Several causeswere at play. The firstwas the completion ofthe trans-isthmian

railroad acrossPanama in 1855. By 1860, CostaRican merchantswere shipping

their goodsvia the Pacificto Panama, and relying onthe railroadto get the goods

to the Atlantic. As a consequence, they hadless interest in using the more
difficultlandroute to the Sarapiqui Riverandthen tothe San~uan~~~ R.eflecting

the decreased importanceof the SarapiquiISanJuan route, CostaRica's customs

post on theSarapiquiwas closedin July 1860~~~.

23See SarapiquiRoute,ocit., p.73. NR,VII.,nnex28.
23See Decree closingMoin and SarapiquiPorts, CostaRica, 24 July1860,Art.2. NR, Vol. 11,
Annex50(Original Spanish:"Quedan suprimidaslasAduanasde ambospuntos [PuertosdeMoin
y Rio Sarapiqui]").3.54. A second reason diminishing the importanceof the formerly"vital need"
for an Atlantic outletvia the San Juan was the construction of a railroad across

Costa Rica herself,from SanJoseto Lim6non CostaRica'sAtlanticcoast. The

project, on which construction beganin 1871 and concludedin 1890~~~ g,ave

Costa Rica a wholly domesticsolution to her problem that involved neither

shipmentto a foreign country (Panama)n , or relianceon a neighbow:with whom

relationswerenot alwayssmooth(Nicaragua).

3.55. The Costa Rican railroad wasbuilt in stages and actually began service

fromthe coffee-producingCentralValley to LimcinontheAtlanticcoastin 1882,
some eight years before completion of the entireroute237.In these early years,

goods were transported in stagesa ,lternativelybyroad from SanJoseto Carrillo,

and then by rail from Carrilloto Limcinon the ~tlantic~~~.Once the railroad

came into usein the early 1880s,the importanceof the port of PuntaArenas on

the Pacific diminished, as CostaRica at long last had her prizedoutlet to the

Atlantic for her trade239.By 1886, just five years after the railroad came into

operation,and still four years beforethe entire linewas completed,Limcinhad
surpassedPunta Arenas in importance, andby 1907fully 90% of Costa Rica's

foreigntradewaspassing throughtheportof ~imcin~".

3.56. Yet another factorcontributingto Costa Rica's abandonmentof the San

Juan as a trade routewasthe substantial change in the geography atthe mouthof

23SeeEvolutionoftheForeign Trade,op. cp..167.NR, Vol.11,Annex33.
23Seeibid.

23See J.A. RodriguezBolafio& V. G. Borge Carvajal, TheRailroad to the Atlanticin Costa
Rica, 1979p.6.NR, Vol.11,Annex38.

23Seeibid.,p. 1.
24SeeEvolutionofthe ForeignTrade,op.cit.,Table p.170. NR, Vol.IIA,nnex33.the river. As early as the 1860s,the diversionof much ofthe flow of the San

Juan intothe ColoradoRiver drasticallyreduced thevolumeof water flowingto
the lowerreachesof the SanJuan,renderingtheriver substantiallyless navigable

thanithadbeen previously241T. he siltcarried downthe SanJuanalsoalteredthe

geographyatthe mouth ofriverinthe vicinityoftheport of SanJuandelNorteto
such anextentthattheriverbecame allbut inaccessible&omthe sea, except only

forthesmallestboatsz4'.

3.57. As a result of all three developments -- the completionof the Panama

railroad, the constructionof the Costa Ricanrailroad, and the changesto the
geographyof the San Juan --the SarapiquUSan Juanroutewas all but abandoned

as an outletforCostaRica'sforeigntrade. CostaRican merchants stoppedusing

the San Juan to transport their goods to the Atlantic coast andbeyond. It is
precisely these facts thataccountforthe dearthof information suppliedby Costa

Rica concerning her pertinent practicesbetween 1858and the 1990s. The

Applicant State's pleadings areremarkablefor the scant informationprovided

aboutheruse oftheriverduringthis130-yearperiod.

3.58. In this respect, it is conspicuous that CostRica nowhere alleges, much

less provides any evidence,that she actuallymade use of the San Juan for any

trade-relatedpurposes.Forthe 130yearssubsequent tothe Treatyof 1858,Costa

Rica provides nothing becausethere was nothing. Put simply, there wasno
practice ofnavigating "con objetosde comercio" because Costa Rica wasnot

usingthe SanJuan as a traderoute. It was onlywhen tourism wasinitiated --in

the early 1990s--that CostaRica actuallyattemptedto exploitthe SanJuanRiver.

24See DavidI.FolkmanJr.,TheNicaraguaRoute,1976,pp. 115-NR,Vol. 11,Annex28.

24See ibid.This use of the river will be discussed belowin greater detail, in ChaptIV,

Section11.

(b) The Two Treatiesof 1868

3.59. Although,forthereasonsdiscussed,CostaRica losther interestinthe San
Juanas atraderoute intheyears subsequentto theTreatyof 1858,thereis atleast

one occasionon whichthe parties returnedto the issue. Theydid soin awaythat

confms yet again the extentto which the object and purposeof Costa Rica's
navigation right on the San Juan River under ArticleVI of the Treaty was to

affordher anoutlet for her tradein goods.

3.60. In particular, inJuly 1868,severalyears before constructionof the Costa

Ricanrailroadbegan, Nicaragua andCostaRica enteredinto apreliminary treaty

concerning the improvementof either (a) the port of San Juan del Norte in
Nicaragua, or (b)Bocadel Colorado atthe mouthof the ColoradoRiverin Costa

Rica. As discussed, the diversionof the flow of the SanJuan into theColorado

renderedthe lower reachesofthe SanJuanlargelyimpassableto merchanttraffic,
and the mouth of the river inaccessibleto the sea. Given this, Costa Ricaand

Nicaragua agreedto conductajoint investigationto determinewhichof San Juan
del Norte or Boca del Colorado was a better port site, and to conduct

improvementsatthe chosenlocation.

3.61. Pursuantto the 1868 treaty, CostaRica and Nicaragua carried outthe
stated siteinvestigationandjointly concludedthatthebetter sitewasn Juandel

Norte. Subsequently,they adopteda follow-onconvention dated21 December

1868which, readas a whole,confmed that whatever interestCostaRicabad inthe San Juanwas as an outletfor her foreigntrade. The treatyis worth citing in
extensosothat Courtmayappreciatethepointforitself

"ArticleI1
The Government of Nicaragua, onits part, commits to
stipulate,in the event that any transit contractis entered
into, whetherwith nationalsor foreigners, that the.freight

rates establishedby Nicaraguafor imported or exported
products or merchandiseshall also extend to Costa Rica,
and any grace, privilege or cohesion obtained by
Nicaragua,as far astransportation on theSanJuanRiveris
concerned,shallextendto CostaRicaonan equal footing.

ArticleIII
Vessels.fromCosta Rica, which arrive at the San Juandel
Norte port, shallnot pay anydutieswhich are not charged

tothe nationalvesselsofNicaragua.
ArticleIV

In the event that SanJuan ceasesto be a freeport, andthe
Government of Nicaragua subjects to registration or
taxation themerchandise which is imported or theproducts
which are exported through it, themerchandise and
products imported or exportedby Costa Rica shall be
exempt .fromsuchformalitiesandfromthe payment of any

duties.
ArticleV

If in the previous case, it were to occur that the
Government of Nicaragua,as a result of any internal
disorder or because it finds itself at war, could not
efficiently protectthe San Juan port, the Governmentof
CostaRica is grantedthe right to send thenecessary force
to the aforesaidporttoprotectthe [interestsof comercio] of

Costa Rica, and the Government ofNicaragua shall not
concur in the costofthisprovision.'"243

243"Convention BetweenNicaraguaand Costa Rica, Supplementhe Conventionof July 13'
21December 1868.NR,eVol.11,Annex 1.mentof the Colorado orSan JuanRivers &was-Esquivel)",3.62. As the Courtwill appreciate,the treaty makes clearthat, as far as the San

Juan River and port of San Juan del Norte were concerned,Costa Rica's

"interests of commerce"' weredefined just as hernavigation "con objetos de
comercio " had been defmed in the 1858 Treaty; that is, by her "merchandise

which is imported or the products whichare exported". Thus, Article 2 is

designedto ensure that Costa Rica paysno greatertariffs on imports and exports
shipped onthe San Juanthan Nicaraguaherself. Similarly,Article 4 guarantees

that CostaRicanimportsandexports at theportof SanJuan delNortewillremain

kee regardlessof whether ornot the portas a wholeremains afreeport. Indeed,
Article 5 evengives CostaRica the right to sendher militaryto the port of San

Juan delNorte toprotecther "interestsof 'comercio"'in the eventthat Nicaragua

is unableto do so. There canbe no disputethat in 1868,as in 1858,Costa Rica
continuedto view the SanJuan asan outlet, albeit a lessimportant one, for her

"comercio," meaning her importandexportof goods.

(c) CostaRica 'sWrittenSubmissionstoPresident Cleveland

3.63. Notably, CostaRicaherself admittedthat hernavigation rightson the San
Juan were limitedto the transportationof trade goods in her briefs to President

Clevelandin 1887. TheadmissionappearsintheportionofCostaRica'sopening

submissionto the AmericanPresident that addressesthe questionof whether or
not CostaRicahad the rightto navigateon the SanJuan withvesselsof war. At

the beginningof her argument,CostaRica first quotes the relevantpassages of

ArticleVI of the Treatyof 1858givinghertherightof navigation"conobjetosde

comercio." Shethen proceedstopose the revealingrhetoricalquestion:

"Does this mean that Costa Rica cannot under any
circumstances navigate with publicvessels in the said
waters, whetherthe saidvesselisproperlyaman-of-war,or simply a revenue cutter, or any other vessel intendedto
prevent smuggling,or to carry orders tothe authoritiesof
the bordering districts,or for any otherpurposenot exactly
withinthemeaningoftransportationofmerchandise?"244

3.64. Thereupon, Costa Rica naturallyproceeds toargue that theanswerto her
own rhetorical question must be "no" (a conclusion with which President

Cleveland very muchdid not agree). What is telling for present purposes,

however, is that Costa Rica expresslyequated her navigational rights "con
objetos de comercio" under Article VI of the Treaty of 1858 to the

"transportation of merchandise."

(4 TheAlexanderAwardof 1897

3.65. The arbitral award of 30 September 1897,issued by General E.P.

Alexander, confirmedthat the Treatyof 1858gave Costa Rica the rightof free

navigation on the San JuanRiver "con objetos de comercio"so that she would
have an Atlanticoutletforher importand exportof goods. In fact,AwardNo. 1

by GeneralAlexander isdecisive on this issue. The Court will recall thatby

treaty dated 27 May 1896 Costa Rica and Nicaraguaagreed to submit to an

arbitrator(to be chosenby the Presidentof the United States)any disputes that
might arise in the work of the boundary commissions from both States then

taskedwith defeg preciselythe locationof the boundary betwethem245.

3.66. The firstquestionpresentedto General Alexander concerned the starting

point of the boundaryat the mouth of the San Juan River. After receiving

24Argumentof CostaRica,op. cit.,p.NR,Vol.IIAnnex5 (emphasis added).

24SeeNCM,para. 1.3.38;NCM,fn.96.extensive argumentationfrom the parties, he issued his ruling. Although

Nicaragua quotedthe decisionin paragraph2.1.44of her Counter-Memorial,the

Arbitrator'swords are worth revisiting herefor reasonsthat will immediatelybe
obviousto theCourt. He stated:

"[Olf these considerationsthe principal,andthe controlling
one, is that we are to interpret and giveeffectto the treaty
of April 15, 1858, in the way in which it was mutually
understoodat the time,by its makers. .. It is the meaning
of the men who framedthe treaty which we are to seek,
rather than some possible meaning whichcan be forced
upon isolatedwordsor sentences. Andthis meaningof the
menseemsto meabundantlyplainandobvious.

[Flromthe general considerationof the treaty asa whole,
the schemeofcompromisestands out clear and simple.

Costa Rica was to have as a boundary line the right, or
southeast,bank of the river, consideredas an outlet for
commerce,fromapoint 3 milesbelowCastillotothe sea."
Nicaragua wasto have her prizedsumoimperio [emphasis

in original] of all the waters of this same outlet for
commerce,alsounbroken to the sea."246

3.67. As indicated inthe firstparagraphofthe quotedtext, GeneralAlexander's

understandingof the parties' intent very much informedhis decisionas to the
boundary'sstartingpoint. The difficulty identiQingthispointhad arisenbecause

the San Juan spreadout into a delta comprisedof three differentbranches before

reachingthe sea. Thearbitrator ultimately rejecteda boundaryfollowingone of
the two other branches precisely because neither was a viable trade outlet. He

stated:"[Theboundary] cannot followeither of them,for neither isan outletfor

1897,inthe boundaryquestion, betweenCosta Rica and Nicaraguayy.Annexes, Vol.11,30,
Annex 18,p. 107(emphasisadded).commerce, as neither has a harbor at its mouth. It must follow the remaining

branch,the one calledtheLower SanJuan, throughits harborandintothe sea."247

For General Alexander, the boundarybetween Nicaragua andCosta Rica could

only be the branch of the river that "is an outletfor commerce"with "a harbor at
its mouth," because only that boundaryfulfilledthe purpose of Article VI of the

1858Treaty,which wasto provideCosta Rica with"an outlet forcommerce."

3.68. General Alexander similarly resolved a dispute concerning title to an

island located near the mouth of the San Juan by reference to the object and
purpose of ArticleVI. The precise question concerned anisland thatwould have

been connectedto CostaRicaby a sandbar atthe timeofyear the Treatyof 1858

was signed,which was at the end of thdry season. Thearbitrator found thatthe

presence of the sand bar during thedry season did not alter the course of the

boundaryalongCosta'sRicaysright bank, stating: '"I]twouldbe unreasonableto
supposethat such temporary connection couldoperateto change permanently the

geographiccharacter andpoliticalownership of theisland. The sameprinciple,if

allowed, wouldgive to Costa Rica every islandin the river to which sand bars

from her shore had made out during the dry season. But throughoutthe treaty,
theriver is treated and regarded aan outletfor commerce. This implies that it

is to be consideredas in average conditionof water, in which condition, alone,it

isnavigable.'"'*

* * *

3.69. For all thesereasons,it is clearthat the intent of Nicaragua andCostaRica

in 1858 was to afford Costa Rica the Atlantic outlet for her exportsand imports

24Ibid(.mphasisadded).
24Ibid ..108(emphasis added).that shelong desired. It is equallyclear,however,that theneedforthis outlethad

allbut evaporated soon aftertheinlchad driedonthe TreatyofLimits. Dueto the

constructionofrailroads across Central America in both Panamaand later Costa
Rica herself,as wellasto morphological changesin the lower SanJuanarea,the

SanJuan routebecame unimportantto CostaRica, andso it remained --until the

last decadeofthe 2othcentury, whenthe CostaRicantouristboats firstundertook
regularvoyagestotheriver,asfurtherelaboratedin Chapter IV.

4. "Comercio"as Understoodin 1858MeantTradein Goods

3.70. ThatthelpartiesintendedCostaRicato havethe right touse the SanJuan

as a traderouteforher goodsis stillfurtherconfmed by the factthat,as statedat

paragraph4.3.19of the Counter-Memorial,the term"comercio"asunderstoodin
1858embraced onlythetrafficincommodities.It didnot includebroader notions

which todaymaybe included withinthe meaningof the term"comrnerce."Thus,

the right theparties to the 1858Treaty gave to Costa Rica to navigate the San
JuanWer "conobjetos de comercio"was a right touse the river as a route for

her exportand import of goods. Inher Reply Costa Rica contends simplythat

Nicaragua's positionis unjustified249.Yet, aswill be shown below, Nicaragua's
position is amply supportedby multiple sources,many of them Costa Rican.

Contemporaneous dictionaries, contemporaneous histories prepared by Costa

Rican oacials, the pleadings of Costa Rica before President Cleveland and
official translations of other period treaties all show that"comercio," as

understoodby the parties in1858,encompassedonlytrade in goods;in the rnid-

nineteenth century,theterm didnot extendto services.

24SeeCRR, para.3.74.(a) ContemporaneousDictionaryDefinitions

3.71. Perhaps the best starting place for ascertaining the scope of the term

cccomercio"in 1858 is with the edition of the Dictionary of the Spanish Royal

Academy current to the Treaty of 1858. In the 1852 edition, the primary

definition of "comercio" is given as follows: "Business and trafficking that is

done by buying, selling or exchanging some things for others (Negociacidny

trhfico que se hace comprando, vendiendo d permutando unas cosas con

ot~as).'~~~ Thetermthus plainly embracedthe exchangeof physical objects.

3.72. Although theEnglish translation that perhaps mostnaturally springs to

mind for "comercio" is "commerce," in fact (and consistent with the above

definitionfrom the SpanishRoyal Academy),it canbe and was equallytranslated
as "trade." Period dictionariesconfm the point. Indeed,it is interestingto note

that the primary translation listed for "comercio" is typically "trade," with

"commerce" appearing only secondarily.The Spanishtranslationfor the English

"trade" is "c~mercio."~~'In the 1858edition ofADictionary of the Spanishand

250Royal SpanishAcademy,Dictionaryofthe CastilianLanguage,Tenthedition,1852. NR,Vol.
11,Annex59. [Excerpt: "Thegrammaticalevidenceis impressive.Thefirstmeaningof commerce

givenby the dictionaryof the SpanishRoyalAcademyof 1803is: 'Negotiationandtraffic which
is madebuying, selling,or exchanging some things for othersamemeaningis repeatedin
the editions of 1817, 1822, 1832,1837, 1843, 1852,applicable atthe date of signatureof the
Cafias-JerezTreaty, and then, in the editionsof 1869, 1884, 1899 andsuccessive editions until
todaywheretheword commercecontinuesto be, in the firstplace, 'Negotiationis made by
buying or selling or exchanginggeormerchandises.' (Foonotesmitted).]
251TheNew PocketDictionary,of the SpanishandEnglishLanguages,1809. NR, Vol.11,Annex
58.EnglishLanguages,"comercio"is translatedas "[tiradecommerce,"and"trade"

is translatedas "comer~io,"~~~

(b) ContemporaneousUsages

3.73. Thefact that theterm"comercio JJasused andunderstoodinthemiddleof

the 19thcentury embracedthe trafficin goods, andwas translatable intoEnglish

as "trade," is amplyconfirmedby numerousCostaRican sources from thetime.
For example,the contemporaneoustranslation of Felipe Molina's 1850 work

"Memoiron theBoundaryQuestion Pending Between the RepublicofCostaRica

andthe Stateof Nicaragua"containsan English translationof the February 1796

royal decreefirst establishingthe port of San Juan delNorte, about which so

muchhasbeenwritten:

"His Majesty, being desirous that the province of
Nicaragua and the other provinces of the lcingdom of
Guatemala, which are situated more than three hundred

leagues distance from the capital, and from the ports of
Omoa and Santo Tomas de Castilla, may be enabled to
carry on a direct trade ("comercio") with the mother
country, without beingsubject to the inconveniencesof a
long distance,hasbeenpleasedto declarethat theharborof

SanJuan deNicaragua,on the riverofthe samename,shall
be aportofthe secondclass"253.

3.74. Similarly,in 1851,CostaRica andtheUnitedStatesof Americaentereda

Treatyof Friendship,Commerce andNavigation. Althoughthe term"comercio"

appears throughout the treatyin Spanish, it appears variously inthe English

25MarianoVelkquez de la Cadena,A Dictionaly of the SpanishandEnglishLanguages,1858,
pp.106and805.NR, Vol.11,Annex 60.

253Felipe Molina, Memoir on the Boundary Question Pending Bthe Republic of Costa
Rica and the StateofNicaragua, 1851,ppNR,Vol.IIA,nnex37 (emphasis added).languageversion as either "commerce" or "trade."254To exactly the same effect

is the Treaty of Friendship, Commerce andNavigation betweenCosta Rica and
the United Kingdom ratified in 1850. It is interesting to note further that the

subjectof these treaties of "commerce"/"comercio"was very much the reciprocal

trade in goods -- underscoring the effective equivalence among "comercio",

"trade" and"commerce"in the mid-19thcenturylexicon.

3.75. Once again, the work of Molina is particularly helpful. In his 1851

"Study of the Republic of Costa Rica", he devotesa sectionto the "comercio" of

CostaRica. It begins:

"This is carried outmainly withEngland,on English ships.
Almost all products &omthe countryend up in the United
Kingdom, in exchange for English manufactured goods,

which to date make up the greatest part of consumption.
Nevertheless, thereis a French firm that receives three or
four expeditions each year,and theFrench goodsarehighly
esteemed."255

3.76. Molina goes on to discuss points already highlightedin the preceding

sectionof this chapter; namely (1) that thegrowthof Costa Rica's "comercio" is

paralyzed by the need to travel around Cape Horn, and(2) that the majorityof
Costa Rica's "comercio" was enteringand exiting throughPunta Arenas on the

Pacific coast. It is thus clear thatcomercio" as understood atthe time meant

trade in goods.

254"Treaty ofFriendship,Commerce,andNavigation, betweenthe United Statesof America and
theRepublicof CostaRica," 10July 1851. CRR,Annexes, IIl,nnex 9.

255MolinaStudy,op.citpp. 31-32NR, Vol.11,Annex36.3.77. Additionalconfirmationof this fact can be found in the provisionsof the

August 1868Treatyof "comercio"between Nicaragua and Costa Ri~a~'~.As its
title indicates, this brief treaty dealsentirely with the subject of "comercio"

betweenthe two States, and is thusof interest forreasonsthat areobvious. The

termsof thetreatymakeclear that"comercio"meanttradein goods. Thisshines

through in the very first sentence of Article I which states: "There shall be
between the Republics of Costa Rica and Nicaragua a reciprocal freedom of

comercioin all the goodsthat are notprohibitedby their respectivelaws.(Habrd

entre las Repziblicasde Costa Rica y Nicaragua una reclrprocalibertad de

comerciocon todos los articulosnoprohibidos por sus respectivasleyes)." By

itself, and withoutmore, this one line shows in the clearest possibleway that
"comercio " was somethingone didwith goods.

3.78. The remaining provisions of the 1868 Treaty of "comercio" are

consistent, and likewise make clear that "comercio" meant trade in goods.

Although Nicaragua invitesthe Court to read the treaty inits entirety, just one
other quotation should sufficetoprovethepoint. Article 2states:

"[Ilt is therefore declared and established, regarding their
particularand ownproducts: that the imports and exports
that aremade .firom one point to theother,eitherby sea of
land, of the goodsor natural or industrial products natural
to the sender'scountryshall not pay rights or taxesof any

kind..."257

256"Costa Rica-Nicaragua,Treaty of Commerce(Volio-Zelaya),San Josb," 14 August 1868.
CRM,Annexes, Vol.11,Annex10,p. 73.

257Ibid. (Original Spanish: "[Sle deylestablece, respecto de sus particulares ypropias
producciones;quelasimportacionesy exportacionessehagandeuno ziotropunto,ya seapor
mar 6 por tierra, de 10sarticulos6 productosnatu6industriales,propios delpais que 10s
remite,nopagarzinderechosni impuestodeningunaclase.")AlthoughNicaraguahesitatesto belabourthe obvious,this provisionagain makes

abundantly clear that the "comercio" that was the subject of the treaty was the

traffic in "importsand exports" of "naturalor industrialarticlesor products";that

is, tradein goods.

(c) TheFull TextofArticle yI Makes Clear That "Comercio" Means Trade
in Goods

3.79. Based onthe contemporaneous understanding andread in proper context,
it is clear that the term "comercio" as used in Article VI of the Treaty of 1858

meant trade in goods, and trade in goods only. Although the text of ArticleVI

has now been cited many times byboth parties, it is worth reviewing againwith

this pointinmind. In pertinentpart,it states:

"... the Republic of Costa Rica shall have the perpetual
right of free navigationon the said waters,between the said
mouth [of the San Juan Riverland the point, three English
miles distant from Castillo Viejo, ["con objetos de
comercio"] either with Nicaragua or with the interior of

CostaRica ..."

Although Costa Rica has focused extensively on the phrase "con objetos de

cornercio," she has given no attention to the language immediatelyfollowing,
which states that the "comercio" will either be "with Nicaragua or with the

interiorof CostaRica". The limitationis importantbecause, as explainedbelow,

it only makes sense if the "comercio" referred to in ArticlVI is understood as

tradein goods.

3.80. Before proceeding further,it must be stated that CostaRica's translation

of ArticleVI (takenfrom CostaRica'sApplication),althoughbroadly accurate,isnot entirely correct. The original Spanishprovides that Costa Ricawill have the

right of free navigation "desde la expresada desembocadura [del rio San Jw

hasta tres millas inglesas antes de llegar a1 Castillo Viejo, con objetos de

comercio,ya sea con Nicaragua d a1interior de Costa ~ica."~~* More precisely

rendered, this shouldreadthat CostaRicahas the right to navigate"from the said
mouth [ofthe San JuanRiver]to three miles before arriving at the CastilloViejo,

[con objetos de comercio], whetherit be with Nicaragua or to the interior of

Costa Rica."

3.81. These differences,althoughsubtle, are significantfor at leasttworeasons.

First,the fact that ArticlVI gives CostaRica the right to navigate "con objetos
de comercio", "whether it be with Nicaragua or to the interior of Costa Rica"

underscores the fact that the parties to the Treaty of 1858 understoodthat, by

definition, "comercio" under Article VI came in just two varieties (i) with

Nicaragua (including,of course,the port of San Juan delNorte) or (ii) to Costa

Rica's interior. So understood,it becomes clear that, in context, the term can
only mean "trade." Trade canbe "withNicaragua;" trade can also travel"from"

the mouth of the San Juan "to the interior of Costa Rica." On the other hand,

these limitationsmake little senseif the "comercio" referencedwas intendedto

confer on Costa Rica some broadly defined right to navigate the San Juan for

purposes beyondthe tradein goods. With regardto that period, convnerce"with
Nicaragua" couldonlymeantradein goods. Thesame istrue for "comercio""to

the interiorof CostaRica".

3.82. The use of the terms"from" ("desde") the mouthof the SanJuan and "to"

("a") the interiorof CostaRica have a directional component, and highlight the

25Costa Rica- Nicaragua Treatyof Limits (Cafias-Jdrez),15 April 1858.CRM, Vol.11,Annex
7(a).fact that the parties very much had in mind "comercioJ'moving between

locations outside and inside Costa Rica--i.e., foreign trad--exactly as the
history recountedabove wouldsuggest.

3.83. The fact that the "comercioJJeferred to in the text of ArtVIlemeans

trade in goods is still further underscored by the section of Costa Rica's

Argument to President Cleveland highlightedabove, at paragraphs 3.63-3.64 in
which Costa Rica specifically linksher right to navigate on the San Juan "con

objetos de comercioJJwith the "transportationof merchandise." Here again, we

have an obvious equation of the "comercioJJ of Article VI with trade in
merchandise.

3.84. Viewed in the historical and linguistic context citedabove, it is clear that

the parties to the Treaty of 1858understood "comercioJo include only trade in
goods,not broader, modemconceptionsof commercethat sweepup virtually any

form of economicactivity. So seen,the significanceof the parties' disputeover

the meaning of the term"objetos"largely vanishes. Even if--quodnon --that

word couldbear the heavy load Costa Rica attempts to impose onit, and it could
be construed to mean "objectives" or "purposes" rather than being limited to

physical "objects," the fimdamental meaning of the phrase "con objetos de

comercioJJ is just the same. Under Costa Rica's reading, ArtiVIewould give
her the right to navigate the lower San Juan "for purposes of trade." Under

Nicaragua's reading, on the other hand,ArticleVI would give Costa Rica the

right to navigate the lower San Juan"with objects of trade." As the Court will
appreciate, there is no meaningful difference betweenthe two.In either case,

CostaRica'snavigationrights are limitedto the trade ingoods.(4 TheNineteenth CenturyTreatiesand DocumentsCited by Costa Rica in
the Reply

3.85. Costa Ricatries to overwhelm theCourt with a long table ofdocuments

fkom the nineteenth century in which she alleges the word "objetos" means

"purposes."z59Accordingto Costa Rica,the table includes provisions froman
"impressive number of relevant treaties, contracts and other instruments

contemporary with the Treaty of Limits in which the term 'objetos' was
73,260
overwhelminglyused as meaning'purposes. However,the great majority --

sixty out of seventy-six -- of the provisions quoted, taken fkom thm-one
documents, donot speak of"objetos"but "objeto," andthereforedo not sustain

Costa Rica's pretension, because Nicaragua does notquestion the different

meaningsthat the word "objeto"may have in its singularform, but onlyrejects

the meaningthat CostaRica pretendsto giveto the word "objetos" in plural, in
particular when those objects arqualifiedby thewords"de c~mercio.'~~~'

3.86. To correctly interpretthe phrase "con objetosde comercio"as it appears

in ArticleVI of the Treaty of Limits, Nicaragua consultedone of the leading

experts on Spanish vocabulary andgrammarfkomthe Spanish RoyalAcademy
(Academia Real Espafiol), Dr. Manuel Seco Reymundo, whoseimpressive

curriculumis appendedto his Formal Opinion(in Volume IIof this Rejoinder,

Annex 64. In his Formal Opinion,Dr. Seco explains that the Spanish word

''objeto" is susceptible of two different meanings, each of which could
correspondto theEnglishword "object."Accordingto Dr.Seco, ''objeto" -- in its

25See "Table 1: Use of the term 'objetos'meaning 'purposes' in 19thCentury documents".
CRR, pp.99-126.

26CRR,p. 62,para.3.60.
26Seeibid.singularform --could meaneither a tangible"object" or anintangible"objective"
or "purpose." However, in its plural form ("objetos") the word only refers to

tangible "objects," and not to "objectives" or "purposes." As statedby Dr. Seco,

whose analysis of the topic included a review ofthe Table incorporated in Costa

Rica'sReply:

"A simplereview of the CostaRica Table allowsfor a first
general observation: use of the singular objeto is much

more abundant than the plural objetos. Second, when it
appears, it is mostly found in the sense of 'purpose or
objective,' particularly in virtually lexicalized
constructions, such as the prepositional phrase, con el
objeto de (sometimes in variations, such as con objetode,

con el imico objeto de and para el objeto de), or the
adverbialphrase, con este objeto (andits variations, contal
objeto, con eseobjeto, con el objeto expresado, para este
objeto,andpara el dichoobjeto) - constructionsthat do not

existin the languagefortheplural form."262

3.87. In addition to the documents identifiedin the Tablepresented by Costa

Rica in the Reply,Dr. Seco examinedother examplesof contemporaneous usage

of the relevantlanguagedictionariesof theperiod and other authoritativesources.
He statedhis conclusion thusly:

"(...) Consequently, based onall the information studied,
my conclusion is that, in the text of Article VI of the
Border Treatybetween CostaRicaandNicaraguasigned on
April 15, 1858, the phrase conobjetos de comercioshould

be understoodas 'withthingson which commercialactivity
falls.n263

262SecoOpinion,op. cit.,paras. NR,.Vol. 11,Annex64.

26Bid., para 14.3.88. As indicated, only 16 of the 76 references to "objeto" or "objetos"
providedby CostaRicainher Tableusethe pluralformof the word, whichis the

form used in the Treaty of Limits. BesidesDr. Seco's Formal Opinion,which

rehtes Costa Rica's attemptto interpret"objetos de comercio" as "purposes of

trade,"there are stillother reasonswhyher Tableis unimpressive.First,in ten of

those 16 references the expression "objetos" is not accompanied by the

expression"de ~ornercio."~~S ~econd,four oftheremainingsix examplesrefer to

the right of the citizens of the parties to "alquilar y ocupar casas y almacenes

para 10sobjetosdesu comercio"(hireandoccupyhousesandwarehousesfor the
"objetos" of their "comercio ") in which "objetos" can only mean goods or

articles, since '"purposes" and "objectives" cannot be stored in houses or

warehouses265.Third, thetwo remaining examplesare those of the very Article

VI of the 1858 Treaty, and the Cleveland Award, whoseinterpretationis at the

centreof the controversy inthis case266.Sowhat CostaRica demonstratesisjust

the oppositeof whatshe pretends. "Objetosde comercio"are only goodsin the

2GSee"Table 1:Use oftheterm 'objetosmeaning"purposes"in 19thCenturydocuments'.CRR,
pp. 99-126: Doc.3 (art. 37, at p. 101),7 (arts. 3 and 7, at p. 106), 10 (p.tlog), 11
(preamble, atp. 1lo), 14(arts. I andVII, at p. 112),15(arXIX,Iat.P. 113),and28 (para.
V,atp. 123).
265~eiebid. CRR,pp. 99-126:Doc. 6 (art.11,at p. 105),9 (art.11,at p. 107),12(art.11,at p. 111)
and 16(art. 11,at p. 11Intwo of the nineteenth century treatiesbetween theUnited Statesof
America andNicaragua(Cass-Irisarri,of 16 November 1857, andLamar-Zeledbn,of 16 March
1859),there is a commonArticle I1which translates"arobjetosde su comercio" as "for the
purpose(s)of their commerce;"(CRR,pp. 60-62,para. 3.55-3.59) accordingto Costa Ricathese
expose"the fallacy of Nicaragua's arguments...by referenceto instruments contemporaryto the
1858Treaty of Limits." (CRR,p. 60, para. 3.55) But CostaRica's confidence inthese treaties,

which werenever ratified, is misplaced. Theprovisionon which Costa Rica reliesis actually a
model provisioncommonto all U.S.-Nicaraguatreaties of the period,,which date backto and
were copied directly fromthe Treaty of Amity, Commerce andNavigation, of 10 July 1851,
whoseArticle11provided:that the citizensand subjects ofboth countrieshad the freedomto let
and occupyhousesand warehouses';Dara10sobjetosde su comercio."(CRR, pp. 4-5,para 1.10-
1.1I) Thus,the "objetosde comercio"were quite obviouslythe goods that theybought andsold
and, logically, depositedand savedin houses and warehouses. Ordoes Costa Rica suggest that
purposes and objectivescanbe storedinwarehouses?
2GSeeibid. CRR, pp. 99-126:Doc. 10 (art.6,atp. 108),Doc.28 (para.Segundo,atp.123).nineteenth century; they are not ccobjectives"or "purposes." Costa Rica cannot

present even a singledocumentto supporta different conclusion.

3.89. Costa Rica enlarges her Reply with a second table on the terms used to

refer to articlesof trade,goods or thingsin nineteenth century documents267.This

is even less helpful to her cause than the first table. The second table only

demonstratesthe richness of the language used when referring, within the ambit
of commercial traffic, to mercancias, mercaderias, articulos, cosas, productos,

bienes, jixtos, efectos, materiales, gkneros,producciones, manufacturas and, of

course, objetos,which are translated into English asmerchandise,articles, things,

products, goods, wares,effects, stock, items, materials, manufacture, andobjects.

It is curious, andworthy of notice, that onlywhen CostaRicaherselfprovides the

English translation of the term "objetos" --in four cases (numbers 2, 13, 17 and

22) -- does it turnout to be "objects," while in the other three cases included in
her list, where the translation of "objetos" is provided by an independent,

contemporaneous source, the English word chosen is "things" (number 23),

"goods" (number 25) or "articles" (number 26). Nicaragua's conclusion is

thereby fhther reinforced; in the nineteenth century "objetosde comercio" could

onlybe tangible goods268.

267See"Table2: Termsto referto articlesof trade, goods, thing19&Century documents".
CRR,pp. 127-151.
See Letter from Neil Johnstone, Directorof the Language Services and Documentation
Divisionof the WTOto Alicia Martin, PermanenteRepresentatiof the Republicof Nicaragua
before the Office of the United Nations, 12October 2006NR, Vol. 11,Annex 63 (stating
"althoughthe Organizationhas not found documentsin its possessionin which the expression
'objetosde comercio' appearst,he DivisioncanneverthelessindicateEnglish expressioas,such
'articlesof trade' and 'wares',which havebeen translated intoSpanish as'objetosde comercio'
(for instance,in documentsWT/DS/236/R,WT/DS/257RandWT/DS/257ABR)."). SectionII. TheTreaty DoesNot EmpowerCostaRicaToPerform
PassengerOrOther Services,Nor DoesIt RaveAnEvolutionary Character

3.90. Thefacttheparties intendedto limit CostaRica'snavigationalright to the

transportof trade goodsis still furtherconfirmedby the fact that, historically, it
was Nicaragua --and only Nicaragua --that ever authorized passengertraffic on

the SanJuan River. If the partieshad intended togive the term "comercioJ Jhe

broad sweepthat CostaRicanowcontends --i.e.if theyhadmeantalsoto include
servicessuchas the transportofpassengers ortourists --one wouldexpectto see

evidence in the record that Costa Rica had authorized such transportation
I,
sometime afterthe Treaty of 1858 and before the current dispute over tourism
erupted in the 1990s. There is, however,no such evidence, which further

highlightsthe limitednatureofCostaRica'srightunderArticle VI.

3.91. The facts on this score are not in dispute. As stated in the Counter-
Memorial at paragraphs 1.3.9through 1.3.22 (concerningthe pre-1858period)

and4.1.37to4.1.45(concerningtheperiodthereafter),thetransportofpassengers
throughthe SanJuan --themostlucrativebusiness atthe time the Treatyof 1858

was executed -- was authorizedby Nicaragua alone. Nicaragua identified no

fewer than eight conventions,treaties or contracts relating to that subject,
including:

c the 1849 contract withthe American Atlantic and Pacific
ShipCanal Company;

0 the 1851White-Charnorro-Mayorga CanalConvention;

the 1857Irisarri-StebbinsContract;

the 1857Cass-Irisarri Treaty; 0 the 1860Zeledcin-RosaPdrezConvention;

the 1863Molina -Morriscontract;

the 1877PellasContract; and

0 the 1887Cardenas-MenocalContract.

3.92. InherReply,CostaRicaneitherdisputes nor takesissuewithNicaragua's

characterizationof any ofthese facts. They may thereforebe taken as admitted.

CostaRica confinesherselfto a threeparagraph response contending:(1)thatthe

Treaty of 1858 does notuse express language to excludethe transport of

passengers; (2) that Nicaragua was carefulnot to deny Costa Rica's rightto

transport personson the San Juan;and (3)Nicaragua's exclusive exerciseof the

privilegeof grantingconcessionsover inter-oceanictransit "bears no relation" to
Costa Rica's rights under Article~1~~'. None of these arguments disproves

Nicaragua's point.

3.93. With respect toCostakca's f~stargument, itis Nicaragua's position that

the wording of Article VI, which ties Costa Rica's freedom of navigation to

navigation with "articles of trade" doesi ,n fact, expressly excludepassenger

transportation. Even accepting Costa Rica's (incorrect)argument that "con

objetos de comercio" means "for purposes of trade", the fact remains that the

transport of passengers (and certainlyof tourists)is beyondthe limits ofthe term

"comercio" as the term was understood in 1858. As demonstrated above,
"comercioJJwas understoodin the mid-nineteenth century toembrace only trade

in goods. Contraryto CostaRica's assertion(atparagraph3.76of herReply)that

269CRR,paras.3.76 -3.78."thereis nothingintherecordthat supportsthenotionthatthis [i.e.,the exclusion

of passengertransport] wasthe intentionof the parties," the truth is very much

the opposite. Accordingto multipleCostaRicanhistoricalsources,the intention
of thepartieswas plainlylimitedto affordingCostaRica anAtlanticoutletforher

export and import trade. By the admission of her own negotiator at the time,

Costa Rica's motivating "vital need" was to get her exports to the European
market more quickly, not to send tourists down the river on sightseeing

excursions. There isno evidencethat Costa Ricasoughtaccessto the San Juan

for the transport of tourists orother passengers;and there is no evidencethat
before or after the 1858 Treatywas executed, for at least the next 130 years,

Costa Rica issued any licenses or other official authorizations of passenger

servicesontheriver.

3.94. To supporther second argument(thatNicaragua"wascareful"notto deny

Costa Rica's right to transport "persons and property"), the Reply cites

Nicaragua's treaties of friendship, commerce andnavigation with the United
States, Franceand Great Britain in 1857, 1859and 1860, respectively. The

treaties contain a substantially identical provision towardthe end of each that

provides that"nothing contained in this treaty shallbe construed to affect the
claim of the government andcitizens of the Republic of Costa Rica to a free

passage by the San Juan River for their persons and propertyto and fromthe

ocean."270These provisions cannotbe construed as an endorsementof Costa
Rica's "right" to transport passengerson the San Juan. First, none of these

treaties purportsto or could modifythe plain provisionsof the Treaty of 1858.

Second, the treaties subsequentto 1858all appear to have imported wholesale
exactlythe samelanguagefromthe earliesttreatyasa modelprovision. Theytoo

27E.g.,CRR,Vol. 11,Annex10(U.S.).shed little lighton the meaning of the Treaty of 1858.Third,it is noteworthythat

the provisions refer to Costa Rica's "claim" not "right." This is hardly a

recognitionof an entitlementonthe part of CostaRica. Fourth,andfinally, given

the contextof these treaties,all of which werevery much trade-relatedtreaties,it
is most logical to interpret the phrase "persons and property" appearing in them

as embracing Costa Rican merchants and crews together with their articles of

trade,not passengers travelling downtheriver on sightseeingexpeditionsor other
non-trade related missions. The fact that these treaties are Costa Rica's only

"evidence" of Nicaragua's non-denial of her "right" to transport passengers on

the San Juan proves onlythe weaknessof her argument. Costa Rica is unable to

present a singledocument, letter, note, orstatementby Nicaragua --pre- or post-
dating the 1858 Treaty -- in which Nicaragua acknowledges, accepts or

acquiescesin an allegedright of Costa Ricato transportor authorizethe transport

of passengers. All ofNicaragua'sstatements on thesubjectareto the contrary.

3.95. Costa Rica's thirdargument (namely,that Nicaragua's exclusive granting
of concessions for inter-oceanic transiton the San Juan "bears no relation" to

Costa Rica's rights under Article VI) is also flawed. The point is that the

undisputed evidenceshowsthatNicaraguahasbeen andis the onlyparty granting
authorizationsfor the transportation of passengers on the San Juan River. No

evidencehas been submittedby Costa Rica to show that she ever authorizedthe

transportationof passengers (or,indeed, any otherservice activitythat mightnow

be associated with more modernnotions of "commerce")on the San Juan at any
time between 1858and the outbreak of the currentdispute in recent years. That

there is no such evidence further confms that the scope of Costa Rica's

navigationrightsis limitedto thetransportofgoods.3.96. CostaRica argues that,even if the partiesin 1858didnot contemplatethat

"objetos de comercio"might include passengersandlortourists,the Court should

give the phrase an evolutionary interpretation of the notion and content of

"commerce," which now (more than a century later) includes not onlygoodsbut

also services, such as tourism271.Nicaragua believes that such an assertion is
void of any foundation because it finds no support in the express or implied

intention of the parties, eitherin 1858or subsequent thereto;nor is it possible to

deduce such an understanding from the practice followed by the parties in their

applicationof the Treaty, orto reconcileit with the object and purposeof Article

VI of the Treaty, which, as shown,was to afford CostaRica a trade route for her

exportand importofgoods.

3.97. It bears repeating thatthe 1858Treaty is a treaty of territoriallimits. Such
was the name givenby the drafters. Such is its nature. Its contents correspondto

that nature. It is not a treaty of decolonization, nor is its subject matter the

protection of human rights orthe environment. Ina treaty concerningterritorial

sovereignty,thejurisprudence affirms that limitationsto the State's sovereignty,

in case of doubt, shall be interpreted narrowly. This principle has already been
discussed in Chapter11,at paragraphs2.22-2.35 and2.110-2.113.

3.98. Treatiesof limits,like the 1858Treaty, enjoy specialstability,for obvious

reasons: opening them to an "evolutionary" interpretation undermines the

permanence of established boundaries and encouragesconflicts that may result

27See e.gCRMparas.4.66-4.72;CRRparas. 2.43-2.49.

155from unstable borders. Courts and arbitral tribunalshave been sensitive to this

problem. Thus, it has been decided that a concession awarded in a State's

maritime jurisdiction does not generate rights in the continental shelf, afterthe
Statehas extended hermaritimejurisdiction into this area, becauseit may notbe

presumed that the sovereign intended her initial concession to have an

evolutionarycharacter272.The samepoint is illustratedby the fact that, when a

State limits the areas subject to her jurisdiction whichmay be the subject of

dispute resolution, the limitationextendsto the subsequently-claimedcontinental

shelf273. AS more fully discussed in Chapter 11,at paragraphs 2.56-2.57, the

common thread in these cases is that care must be taken to avoid evolutionary

treaty interpretations that result inlimiting or diminishingthe sovereignty of a
State. For all the reasons statedin this chapter,there is no room for doubt that

Costa Rica's navigation right under Article VI of the Treaty ofLimits is limited

to navigation with articles of trade. However, since Costa Rica disputes that

interpretation, any doubt that she might have succeededin raising about the

meaning of Article VI must be resolved with due regard for Nicaragua's

sovereignty, and in a manner that, to the fullest extent possible, avoids

diminishingit.

3.99. The conclusionis as obvious asit is inevitable. Even if Article VI of the

1858 Treaty created for Costa Rica a right of navigation "for purposes of

commerce," the commercial purposes would bedefined by the concept of
commerce in force at the time of conclusion of the Treaty, and therefore, they

would be limited to the trade of merchandise, goods,products, and articles, i.e.

272See Arbitral Award, Petroleum DevelopmentLtd.v. Sheik of Abu Dhabi, 28 Aug. 1951,
InternationalLegalMaterials, 1951,p. 144.

273See Judgments, AegeanSea Continental Shelf,19 Dee. 1978,ICJ Reports, 1978, p. 32;
discussedinNCM,paras.4.3.10 -4.3.19.tangiblethings, excludinga sector,that of services, whichwas only much later,

afterthepassageof morethana century, understoodto comewithinthe def&tion
ofcccornmerce." TWEREASONABLENESSOFN ATIONOF
NAVIGATIONON T

4.1. Costa Rica alleges that Nicaragua has denied and breached herright to
navigate on the San Juan River "con objetosde comercio." Nicaragua submits,

and the evidence confirms,that she has never deniedor breached thisright. As

will be shownbelow, CostaRica has submittedno evidence whatsoever that
Nicaragua everdenied,limited orinterferedwith her navigationon the San Juan

River related to the trade in goods. TOthe contrary,the evidence shows that

Nicaragua has alwaysrespected this right. Nor has Nicaragua prevented Costa
Rica from navigatingon the river forpurposesoftourism or passenger transpor-

- although, by virtue of her exclusive dominionand supreme control (sumo

imperio) over the river shehas the right to prevent these services from being
perlbrmed. Rather, in the exercise of her sovereign discretion,Nicaragua has

expressly authorized navigationby Costa Rica for these purposes, subjectto

reasonable regulationsspecifically crafted to protect Nicaragua's legitimate
sovereigninterests,especially her interestsin navigationalsafety,environmental

protection, law enforcementandborder security274.

4.2. CostaRica objectsto Nicaragua's exercise of her regulatorypowers over

navigation on the San Juan River, even though theseregulations are applied

without discriminationto all vessels, including Nicaraguanvessels. Costa Rica
asserts that her"right of free navigation" necessarily impliesshe is exempt

fromregulationby Nicaragua, regardlessof Nicaragua'sacknowledged statusas

sovereign over the river, and notwithstanding the reasonableness or even-

27Nicaragua has permitted tourismby CostaRicanvesselsas a gestureof goodneighbourliness,
but expresslyreservesherto opposethis practiceinthe future.

159handedness ofNicaragua's regulations. This chapterwill demonstratethe laco kf

merit to Costa Rica's assertions, and both the right of Nicaragua toregulate

navigation on the San Juan River, and the reasonablenessof the regulations
Nicaraguahas implemented in furtheranceof herlegitimatesovereigninterests.

Section I. CostaRica'sNavigationon the Riveris Subjectto Reasonable
Regulationby Nicaragua

4.3. As demonstrated inChapter111t ,he objectandpurposeof accordingCosta

Rica the right of free navigation on the lower San Juan "con objetos de

comercio" was to give her the Atlantic trade outlet that she consideredso

essential in the middleof the 19~century. As such, and especially given the
limited scope of the term "comercio" prevailing at the time,it is clear that the

makers of the Treatyof 1858didnot intendto convey toCosta Rica theright to

navigatetheriverforpurposesother than trade ingoods.

4.4. Even if Nicaraguais wrong aboutthis, however,it does not follow that

Costa Rica has an unbridled rightto navigate the SanJuan for all commercial

purposes such as transit of passengers or tourists, without having to submit to
regulationsof any kind. Nicaragua has demonstrated in the Counter-Memorial

and again in Chapter I1 of this Rejoinder, thatthe mere presence ofthe term

"free"in ArticleVI of the Treatyof 1858cannot bear the heavy load Costa Rica
attemptsto place on it275.In particular,given theTreaty's expressrecognition of

Nicaragua's"exclusivedominionand supremecontrol(sumoimperio)"over the

river, she must retain the power to impose reasonableregulations that are
necessarytoprotecther legitimatesovereigninterests inthe SanJuan.

27SeeNCM, paras.4.1.-4.1.48.4.5. Not only is there nothing inconsistent betweenthis sensible conclusion

andthe useoftheterm"free"inArticle VI, it actuallyfollowsinevitablyfromthe
fact that this same article leaves to Nicaragua--and Nicaragua alone --the

"exclusive dominion and supreme control(sumoimperio)"overthe waters ofthe
SanJuan. If CostaRicawere correctthatNicaragua is barredf?omexertingany

regulatory controlof any kind over Costa Rican commercialtraffic, the effect

wouldbe to createa lawless zone in whichCostaRican commercial vessels could
operate with impunity. Takento itslogicalconclusion,for example,CostaRica's

argument woulddictate thatNicaraguan authorities would have no choice butto

stand idly by even as a Costa Rican commercial shippolluted the river and
wantonly flouted Nicaraguan environmental laws designedto protect the

exquisite natural beauty and endangeredaquatic speciesof the San Juan (about

which morewillbe saidbelow). Suchapatently absurdresultcannot stand.

4.6. The law,fortunately, is otherwise.As demonstratedin Chapter 11,Section

I, at paragraphs2.58-2.81, a right of free navigation on the river or lakes of
anotherStatedoes notdeprivethe sovereignof its inherent authority toregulate

that navigationin conformitywith its own legitimateinterests, provided such

regulation is reasonable, fair, and non-discriminatory. As shown below,
Nicaragua's regulationofnavigationonthe SanJuanRiver meetsthattest.

Section 11. TheEvidence Regarding CostaRica'sExerciseof herRightof
Navigation bbCoa Objetos de Comercio,"andNicaragua's Non-Interference
withthat Right

4.7. CostaRica'smitten pleadings --both her Memorialand her Reply -- are

remarkablefor how little they say about her actual navigationon the river '%on

objetos decomercio" between 1858 andthe early 1990s.This can hardlybe an
oversight. Tothe contrary,it is reflectiveof the evidence that:for the first 130years after the Treaty of Limitswas executedthere was very little Costa Rican
commercialnavigationon the river; it was all local in nature; and it consisted

entirelyof trade ingoods between Costa Rican riparianhamlets andthe interior

of the country,and to a lesser extentbetweenthosehamletsand the Nicaraguan
townof SanJuandelNorte,located atthe mouthofthe SanJuan River.

4.8. As explainedabove,at paragraphs3.21-3.31,for at least 20 yearspriorto
the 1858Treaty, CostaRica sought access to the SanJuan asa trade routeforthe

coffee and other productsshe was exportingto Europe in the mid-nineteenth
century. Shecoveted the SanJuan routeas a faster,lower-costalternativeto the

shipment of herproducts fi-omher PacificCoastportsaround CapeHornandthen

across the Atlantic --a route that was both prohibitivelytime-consuming and
extraordinarilyexpensive.CostaRica continually soughtto secureas a matterof

highest national priority a trade routethat consisted ofland transportfkomthe

central coffee-growingregion to the SarapiquiRiver, fi-omthere by boat tothe
SanJuanRiver,downthe SanJuanto theNicaraguancoastalport at SanJuandel

Norte, andfromthere acrossthe Atlantic.

4.9. Navigationon the SanJuan required Nicaragua'sacquiescence, of course,

and this Costa Rica repeatedly failedto obtain, until the1858 Treaty was
negotiated.Article VI of the Treatyresponded directlyto CostaRica'sneed for

the San Juan toserve as an outlet for her trade along theso-called"Sarapiqui

route" (depictedin SketchMap 1,followingparagraph3.31). ArticleVI did so
by providingexpresslyfor a "rightof fkeenavigation ...con objetosde comercio

either with Nicaraguaor with the interiorof Costa Rica, through the San Carlos
river, the Sarapiqui, or another proceedingfiom the portionof the bank of the

SanJuanriver,whichishereby declaredtobelong to Costa Rica."4.10. Costa Rica's commercial navigation rights on the San Juan lost their
importance shortly aftertheTreatywas executed. Thereasons are set forthabove,

at paragraphs 3.53-3.58, especially the constructionof the first trans-isthmian

railroadin Panama, the constructionof CostaRica'sownrailroad toher Atlantic

Coastand the developmentof a majorport there,andthe diversionofthe flowof
the San Juan River upstream £romSan Juan del Norteto the Colorado River,

closing off accessto boththe port andthe seato allbut the smallestvessels. The

resultwas: after 1860,whenshe closedher customspost on the Sarapiqui,Costa

Ricaabandonedany attemptto makesignificant commercial use oftheriver.

4.1 1. There isnothingin Costa Rica'swritten pleadingsthat contradictsany of

thesehistoricalfacts.In particular, CostaRicapresentsno evidencethat,afterthe

1858 Treaty was executed,she ever used the San Juan River to carry on any

internationaltrade, other thana small amount oftrade with Nicaragua. Thereis
no evidenceof trade betweenCosta Rica and anycountryother than Nicaragua,

let aloneany countryacrosstheAtlantic, usingthe SanJuanRiver. Indeed, Costa

Rica has notdescribeda singlevoyage onthe SanJuandestinedfor Europeanor

other Atlanticports, has provided no data on exports (or imports) via the San
Juan,andhas presentedno customs data reflecting commerciatlransit on theSan

Juan. Instead, what the evidence showsis that Costa Rica closed down her

customs posts on the Sarapiqui River and along the San Juan long ago.

Undisputedtestimony establishes that CostR aicahasnot maintainedanycustoms
postsanywherealongthe SanJuan,the Sarapiquior SanCarlosRiversforat least

the past 40 years.276These facts explainwhy Costa Rica has never employed

vesselsof her revenueserviceto protectany ofher commercialnavigationon the

27See Affidavitof William Aburto Espinoza, 8 March 2008(hereinafter"Aburto Affidavit"),
para.3.NR,Vol.11,Annex 65;see alsAffidavitoRigobertoAcevedo Ledezma7 March2008
(hereinafter"AcevedoAffidavit"),parNR,3Vol.11,Annex66.San Juan, as discussed more fullybelow in Chapter V. Simply put, since the
anticipated commercialnavigation on the river never materialized, awhat little

took placewas not even sufficientto require the existenceof customs posts,it
was hardly of such character or volumeas to necessitateprotectionby revenue

servicevessels.

4.12. Although CostaRicahasnot usedthe San Juanas she initiallyenvisioned

--to carry hercoffeeand other productsto European markets --her vessels have,

in fact, navigated theriver continually over thepast 150years "con objetos de
comercio." The evidence showsthat this formof navigation -- which was the

only commercialnavigation by CostaRican vesselsbetween 1858andthe 1990s -
- consisted almost exclusivelyof local traffic, carrying foodsand household

goods between theinterior of Costa Rica and her riparian communitieson the

right bank of the San Juan, and between those communities andSan Juan del
Norte. Costa Rica does not dispute thisby presenting any evidence to the

contrary. Eyewitness testimonyconks the natureof hernavigationon the San
Juan "conobjetosde comercio"between the 1960sandthepresent. Accordingto

Ed6nAtanasio Pastora, who livedand workedin CostaRica alongthe San Juan
fiomthe mid-1960sto the late1970s:

"Duringthisperiod therewas very little commercial traffic
along the San Juan River. Therewas almost no trade
between San Juan del Norte, which was the only
Nicaraguan townalong the entire lengthof the river, with
the Costa Ricanside ...In the 1960sand 1970s therewas
sometradein goodsbetweenPuerto Viejode Sarapiquiand
Barra del ColoradoPoth in CostaRica], whichnecessarily
includedtransport along a portion of the San JuanRiver,
but this was smalland infrequent, and consisted onlyof
some basic foods and other supplies. There were no
customs posts anywhere along the river, and no
internationaltradeat all..Theprincipaland mostfrequent
use of the riverby Costa Ricans duringthis entire period, fiom the 1960sto the 1980s,was by the local population
that livedin the smallsettlements inCostaRica'sterritory.
They navigatedthe riverin their smallboats as partoftheir
dailylives."277

4.13. ThetestimonyofWilliam Aburto Espinoza,a commercial boatmanon the

riverin the 1960sand1970s,is to thesame effect:

"Duringthe 1960s,I worked on the river transporting fuel
and sometimes commercial goodsbetween communities

located on the river. My river shipmentbusiness ended in
the 1970sdueto theonsetof the war inNicaragua. WhileI
was worlujlgon the river, there were a few Costa Ricans
and Nicaraguans who navigatedthe river like myself to
transport goodsfiom one communityto another. Noneof
these boatmen usedtheriver forshipmentsoutsidethelocal
river communities.The materials beingtransported on the

river inthe 1960s were mostlyfuel, bananas, coconutoil,
andwood,all horn the sameareas....Duringthistime,there
was very little activity on the river. I would roughly
estimatethat there were 150families living alongtheentire
bank of the San Juan River, includinga small community
with a school located at Sarapiqui ..During the twelve
hour trip between San Juan del Norteand El Castillo,I

would normallysee one or two boats on the river.Most of
the boats I saw were small boats belongingto the local
neighbors,who lived in Costa Rican territory, navigating
short distances in their private boats for personal

4.14. The lowvolumeof localcommercialandpersonaltraffic on the San Juan

during the 1960sand 1970s,according to thewitnesses, cameto a virtualhalt

between 1977and 1990as aresult, first,oftheNicaraguan Revolution (inthe late

27Affidavitof EdBnAtanasio Pastora, 10 March2008 (hereinafter"PastoraAffidavit"),para. 6.
NR, Vol.11,Annex75.
27Affidavitof William AburtoEspinoza,8 March 2008 (hereinafter "Aburto Affidavit"), paras.
2,4. NR,Vol.11,Annex65.1970s) and second, the Counter-Revolution (during the 1980~)~ when the San

Juan was at the heart of a combat zone. According to Mr. Pastora, who was a
military leader of the Nicaraguan Revolution that overthrew the dictatorship of

GeneralAnastasia Somoza Debaylein the 1970s,and then,after 1982, a military

leader of the counter-revolutionary forces opposed to the new Nicaraguan

government,navigationon the SanJuan:

"...was reduced to a mihum during the height of the war
years, 1977 to 1979 and 1982 to 1986, because of the
extremerisk of going out on a river that wasthe center of a
war zone, where every boatwas a potentialtarget of either

the ARDE [counter-revolutionary]forcesor the Sandinistas
if it was suspected of belonging to orassisting the other
side."279

4.15. According toNicaraguan Army Colonel Bosco CentenoAr6stegui, who

served as Commanderto the revolutionarygovernment'sarmed forces along the

SanJuanbetweenJuly and December1979,and againErorn1982to 1991:

"For some time, after the trimph of the revolutionary
forces and my arrival as Commander in July 1979, the
region remained insecure. During that period, there was

some commercial navigation on the river, but not very
much. There was no international trade, only local trade
between settlementson the river...There were no customs
posts on the Costa Rican side of the river ...The local
traders who transported thesegoods,both Nicaraguansand

Costa Ricans, operated their small boats Ereelyalong the
river. There were no tourist excursions at the time ...By
1982, when Ireturned to the region as Commanderof the
SouthernMilitary Detachment, ithad become a war zone
again. Counter-revolutionary forces ("contras") had
organized in Northern Costa Rica, along the right bank of

the San Juan River, and they madeErequentattacks and
forays acrossit. The riverwasunsafe for navigation forthe

27PastoraAffidavit, paraNR, Vol.11,Annex75. rest of the 1980's,until the fightingendedin 1990 andthe
counter-revolutionary forces-were fblly demobilized in
1991.Thecontrasfired at all ourvesselsthat navigatedthe
river and tried tosinlcthem, and we did the same to all
vessels that webelievedwere theirs or were bringingthem

supplies."280
4.16. Accordingly:

"If there were any local trade, it would have beenvery
minimal, giventhe greatdangerto whichthe boatmenwere
exposed if they were mistaken for an enemy by the
contending militaryforces. There was definitely no trade
with SanJuan del Norte, which wasisolated andincapable
of obtaining supplies. As a result, the entire population
,3281
abandonedthetown. ..
Costa Rican boatmen, whosewitness statementshave been suppliedby Costa

Rica and annexed to the Reply, agree that the combat brought on by the

Nicaraguan RevolutionandCounter-Revolutionmadenavigation on the SanJuan

extremely dangerous, and reduced commercialandpersonaluse of the river to a
bare minimum282

4.17. Costa Rican commercialnavigation on the river returned tonormal, such

as it was, after peace wasrestoredto Nicaragua andthe San Juan River in the

early 1990s.Nomal meant,as it was before the two wars, thatis, strictlylocal

trade between CostaRicanripariancommunities, andbetweenthosecommunities
andtheinteriorofCosta Rica. There wasstillno internationaltradecarriedout on

the river-- not even trade between Costa Rica and Nicaragua. ~ccordin~ to

28Affidavit ofLieutenant Colonel JuanBosco CentenoArostegui, 9 March 2008 (hereinafter
"CentenoAffidavit"),para.4. NR,VoI.11,Annex 69.
28Ibid.

28SeeAffidavitofMarvinHayGonzfilez,28 January2006. CRM,Annexes,Vol.IV,Annex 91;
seealsoAffidavitsof ArmandoPerla Perez, 28 January2006:M,Annexes, Vol. IV, Annex
92; Windel Hodgson Hodgson,28 January 2006. CRM, Annexes, Vol. TV,Annex 93; Jod
GranadosMontoya, 29 January 2006. CRM, Annexes, Vol.IV, Annex 94; Wilton Hodgson
Hodgson,1February 2006.CRM,Annexes, Vol.IV,Annex 96.Brigadier GeneralDenis MembreiioRivas, military commander ofthe San Juan
zonebetweenFebruary 1992andDecember 1995:

"The town of San Juan del Norte, at the mouthof the San
Juan River, had been abandoned by its population during
the 19807s,and remained unpopulated during my entire
tenure. There were no otherNicaraguan settlementson the
leftbank opposite Costa Rica because the entireareais part
of the Indio Maiz Biological Reserve, where human

settlement is prohibited in order to preserve that natural
environment and the rich biological diversity that exists
there...

[Thus,]the only trade that was carried outon that part of
the river was on the portion between the Sarapiqui River
and the Colorado River, which wasused infrequently by
Costa Rican boatmenin small boats transportingsupplies

from Puerto Viejo de Sarapiqui in Costa Rica, downthe
Sarapiqui River to the San Juan,and then east along the
San Juan River as far as the ColoradoRiver (a distance of
approximately 24 km.), where they reenteredandnavigated
Costa Rican waters until their destination at Barra del
Colorado on Costa Rica's Atlantic Coast. These were

mainly engaged in the delivery of supplies to the small
hotels that were springing up in the area to service Costa
Rica's then-nascent tourism industry in the region...The
right of Costa Rican vessels to transport goodsalong this
portion of theSanJuanRiver wasfully respected."283

4.18. By 1996, San Juan &elNorte on the Nicaraguan coast had become

repopulated, but only with a fraction of its former population, and some trade
between that town and Costa Rican riparian communities has taken place.

Otherwise, Costa Rican commercialtraffic on the river remained limited to the

exchange of goods betweenCosta Rican hamlets, and between themand Puerto

Viejo de Sarapiqui.

283Affidavit of Brigadier General Denis Membrefio Rivas, 10 March 2008 (hereinafter
"MembrefioAffidavit"),paras.3NR, Vol.11,Annex73.4.19. The evidence on this point is undisputed: Accordingto Nicaragua's

regional military commanderfrom January 1996to October 1997, Brigadier

General Cesar Ovidio LargaespadaPallavicini:

"There was very little trade trafficon the river. The new
residents of San Juan del Norte engagedin some minor
commerce with Barra del Colorado,using the river, and

there were occasional deliveries of basic supplies from
Puerto Viejo de Sarapiquito Barra del Colorado. Butthis
kind of commercialtraffic, carriedon by small boats,was
very infrequent.There was no truly international tradeof
any kind. Therewere no customs posts.There was a small

number of boatmen, Nicaraguanand Costa Rica, engaged
inethiscommercialnavigation."284

4.20. This situation continued duringthe period from October 1997to June

2000, when the seniorNicaraguan military officerfor the San Juan regionwas

BrigadierGeneralFrancisco Orlando Talavera Siles:

"There is a very insignificant amountof river traffic
dedicatedto trade in goods between communities near the
river...I recall that therewas somesmall amountof trade
between San Juan del Norte andBarra del Colorado,

mainlyinthe transportandsaleof shellfish.Therewasalso
a small amount of local trade between Puerto Viejo de
Sarapiquiand a few of the communitieson Costa Rican
territory. This trade,or what there was of it, proceeded
without interference."285

Thereisnothing in CostaRica'sevidencethat contradictsthistestimony.

4.21. Commercial navigationon the San JuanRiver, as described above,has

remainedthe same, in termsof its local nature and lowvolume, to the present

284Affidavit of Brigadier General Cesar Ovidio Largaespada Pallavicini,9 March 2008
(hereinafter"Largaespada Affida, ara7.NR,Vol. IIA,nnex 72.
28AffidavitofFranciscoOrlandoTalavera Si19May2008(hereinafter"Talavera Affidavit"),
para7. NR, Vol.11,Annex78.day. As testifiedby local boatman Rigoberto Acevedo Ledezma, who hab seen

transportinggoodsin his ownvesselbetweenPuerto Viejode Sarapiquiand San
Juan delNorte forthepast 10 years:

"My business involves transporting basic food supplies from
Puerto Viejoto severalsmall shops andrestaurantslocatedin San
Juan...Onthe return,I rarely transportgoodsonthe sameroute, as
there is little commerce out of San Juan del Norte, excep for an
occasional deliveryof coconutsto PuertoViejo...Duringmytrips,
I have not seen many boats that transport merchandise.In the
stretchbetweenPuertoViejo and SanJuan...onlyI am dedicated

to transportinggoods. Until one yearago, there were two more
Costa Rican boatmen who travelled thissame route. Anothertwo
Nicaraguans cover thearea between San Juan ..and El Castillo,
transportingproducts ofbasic necessity.Also,forthelasttenyears
threeboatmen havebeennavigating, two of whom are CostaRican
and one whois Nicaraguan, usingthe San JuanRiverto transport
shellfishfiomSanJuan...toPuertoLindo, CostaRi~a."~~~

4.22. Mr. Acevedo concludes,"I am not awareof any occasions when anyof

the CostaRican boatmen whonavigate therivertaking goodseitherto Nicaragua

or Costa Rica have been prevented fromcompletingtheir trip by Nicaraguan
authoritiesposted along theirroutes"287.Nor, apparently,is Costa Rica awareof

any occasions when hercommercialboatmen have been prevented by Nicaraguan

authoritiesfrom completingtheir deliveries.Neitherthe Memorialnor the Reply
identifiesa singleexample.

4.23. Nicaragua affirms that she has never preventeda Costa &can vessel,

navigatingtheSanJuanRiver "conobjetos de comercio " fromenteringtheriver,
or from completingits voyage on theriver. There is nothing tothe contrary in

Costa Rica's written pleadings, includingthe annexes. Nicaragua has never

28Acevedo Affidavit,op cit.,parasNR,-Vol.XIA,nnex 66.
28aid., para. 4.prevented a Costa Rican vessel from entering the river or navigating on it for

purposes of internationaltrade, which wasthe navigationright securedby Costa

Rica 150years ago in ArticleVI of the Treatyof Limits.Nor has Nicaragua ever
prevented a Costa Rican vessel from entering or navigating on the river for

purposes of local trade, eitherwithin Costa Rica, or betweenCosta Rica and

Nicaragua. Again,Costa Rica presents no evidenceto the contrary. It istrue that

the Replyincludesa sectionthat bearsthe subheading: "Breachesof Costa Rica's
Right of Navigation 'for purposes of commerce"', at paragraphs 4.25 to 4.49.

But the text of that sectiononly underscores Nicaragua's point:that Costa Rica

has no evidenceof any interferenceby Nicaragua withher right to navigate"con

objetos de comercio." The incidents describedby Costa Rica plainly do not

involve navigation"con objetosde comercio,"regardlessof whetherNicaragua's
translation ("with articles of trade") or Costa Rica's ("for purposes of

commerce") is accepted. Rather, they all involve navigation by Costa Rican

public vessels for non-commercial purposes, in particular law enforcemena tnd

the delivery of social services to riparian communities by Costa Rican
governmental agencies. None of these governmental activities constitutes

navigation"con objetos de comercio," andnone is the subject of the navigation

right affordedto CostaRicaunderthe 1858Treaty,aswillbe furtherdiscussed in

ChapterV of thisRejoinder.

4.24. What this case is about, therefore, is not Nicaragua's denial of Costa

Rica's commercial navigation rights undetrhe 1858 Treaty, orher prevention or

interference withthe exerciseof those rights, butNicaragua's effortsto regulate

navigationon theriver,bothby Nicaraguan and CostaRicanvessels, towhichthe
regulations are equally andnon-discriminatorilyapplicable.There is no dispute

about the content of these regulations. Both Nicaragua and CostaRica agreeaboutwhat theyare and whatthey provide.Whatis disputedis Nicaragua's right

to enforcethem.

4.25. The parties agree that Nicaragua requires all vessels -- including
Nicaraguanvessels -- navigatingonthe SanJuanRiver to: (i)reportto the nearest

Nicaraguan military post upon entering the riverand register the names of

passengers and crew members; (ii) undergoa safety inspection and obtain a

departureclearancecertificateshowingthat the vessel is seaworthy; (ii)eportto
otherNicaraguanmilitaryposts passed duringthe voyage,includingthe lastsuch

post before exiting the river;(iv) navigateonly duringdaylighthours, exceptin

cases of emergency;and (v) dependingon the size and configurationof the

vessel,hoist aNicaraguanflag as agestureofrespectforNicaragua's sovereignty

overthe territory288.

4.26. It has alreadybeen demonstrated inChapter11,Section I,that Nicaragua,

which has "exclusive dominion and supreme contro (sumoimperio)" over the

San Juan,is empoweredtoregulate CostaRica'snavigation on theriver, provided

suchregulationisreasonable,non-discriminatory, and in furtheranceof legitimate
sovereign interests. Inthe section that follows,it will be further demonstrated

that the regulationsdescribedabove fully satisfy thisstandard,and inparticular

that they are necessary measures tofurther Nicaragua's legitimate interestsin

environmental protection, crime prevention, navigational safety, and border
security.Thus,to the extentthat CostaRicahas exercised herrightto navigateon

288SeeCRM,paras. 1.063.39 and CRR,paras. 3.994.05-4.06;eealsoMernbreiioAffidavit,
para.4.NR, Vol. 11,Annex73; Largaespada Affidavit,p7. NR,Vol.11,hex 72;Talavera
Affidavit, para. NR, Vol.11,Annex 78; Affidavit of Colonel RicardoShchez Mkndez, 9
March 2008 (hereinafter "S;inchez Aff~davit"),7. NR, Vol. 11,Annex 77; Army of
Nicaragua, "Action Plan for Issof Departure Clearance Certifiin the San Juan River"
(hereinafter"ActionPlan"),5 2001 , rt6.NR, Vol.11,Annex 48.the river "con.objetosde comercio,"Nicaraguahas fully respected that right,has

never deniedit or prevented its exercise,and has done nomore than applyin an

even-handedmanner such regulations as are reasonable and necessary forthe
furtheranceof herlegitimate sovereigninterests.

4.27. Costa Rica claims that, under her definitionof navigation"con objetosde

comercio," she has a right to navigate on the San Juan not only for the

commercial transport of goods, but also for the purpose of performing
commercialservices,includingtourist excursions.Thereis no needto repeathere

the legal argumentsand evidence already presentedin the Counter-Memorialand

in Chapter I11of this Rejoinder, which demonstratethat the Treaty of Limits

coders no right upon Costa Ricato perform tourist, passenger transportor other

servicesunrelatedto the commercial transportof goods.But it is worth pointing
out that, in practice, Costa Rica never claimed a right to conduct tourist

excursionson the San Juan Riveruntil the early 1990s,more than 130yearsafter

the 1858Treaty was executed.To be sure, the Memorial and theReplyrefer to

four isolated instances in 1982 (which stillwas more than 120 years after
executionof the Treaty), but thereare no other tourist excursionsmentionedby

CostaRica before the early 1990s.It will be recalledthat between 1982and 1990

the SanJuanRiverwas in the midstof a war zone,andno traffic on the riverwas

safe. Because the counter-revolutionary forceswere based on the Costa Rican
bank of the river, and innocent commercial traffichad all but disappeared, the

Nicaraguan Army stopped and searched all unfamiliar vessels as a security

measure. Thisincluded the four incidents in 1982 involving privately-operated

touristboats mentionedin CostaRica's pleadings.As acknowledgedby ColonelCenteno, the Nicaraguan Army's regional commander at the time: "We

encounteredafewtourism excursionsin 1982,but notthereafter.7y289

4.28. Costa Rica provides no evidence on when, after peace was restored in

Nicaragua in the early 1990s,her tourist boats beganoperatingon the San Juan,

or howfrequentlytheyran, or howmany touriststhey carried.It thereforefalls to

Nicaraguato supplythis information,in the interestof historical accuracy.While

Nicaragua cannotpinpoint the exact datethat CostaRicanvessels began carrying
tourists to and along the San Juan, the evidence shows that these activities

commencedin earnestat some time betweenFebruary 1992and December 1995,

when Nicaragua's regional militarycommander was Brigadier General Denis

MembrefioRivas:

"During my tenure as Chief of the Military Detachment,

there was a significant increase in the frequency of
navigation of the lower part of the San Juan River by
vessels carrying tourists. Some of the vessels were owned
and operatedby Nicaraguans,butthe vast majority of them
were Costa Rican. The principal route was from Puerto

Viejo de Sarapiqui in CostaRica downthe SarapiquiRiver
to the SanJuanRiver,then eastalongthe SanJuan Riverto
the location known as Delta, where the ColoradoRiver
begins, and then down the Colorado (in Costa Rican

waters) to Barra del Colorado or Tortugueroon the Costa
Rican coast....Near the beginning of my tenure, no more
than 10 tourists per month were transported along this
route, oneway orthe other. However,by the time I left the

Detachment at the end of 1995, the numberincreased to
between approximately 200 and 700 tourists per month,
dependingonthe season."290

289CentenoAffidavitara. 4. NRVol.11,Annex69.

290MernbrefiAffidavi tara. 6. NVol. 11,Annex73. COSTARlCAN TOURISM ROUTEFROM 1990s TO PRESENT

SketchMap3 ForIllustrativePuOnlyes

4.29. This large increase in traffic along the river raised several concerns for

Nicaragua. As explainedby Brigadier GeneralMembrefio:

"First, as a sovereign State,Nicaragua needed to assure the

safety and security of all transportation in its waters,
includingtransportationby foreign vesselscarrying foreign
citizens. Second, Nicaragua had a need to assure that the
fragile ecology of the Indio Maiz Biological Reserve and
the San Juan River were protected. To accomplish these

objectives, Nicaragua not only required all tourist boats
(including those owned and operated by Nicaraguans) to
register at the closest military post to their point of entry of
the river, and to undergo a safety inspection and obtain a
departure clearance certificate; it also required all

passengers and crews to carry valid passports, and all
passengers to purchase tourist cards for US$ 5 per
passenger and to pass through Nicaraguan immigration on
entering and exiting Nicaragua. These were the same
requirements applied to all foreign citizens upon entering Nicaragua at any of its border posts.. ..Nicaragua required
that all vessels report to the nearestnilitarypost when they

left the San Juan River, as well as when they entered it.
This was to assure that the full complement of passengers
who entered Nicaragua were leaving, and that none had
disembarked illegally in Nicaraguan territory, especially in
the Biological ~esewe."~~'

These requirements have been in forceever since, and for the same reasons given

by Brigadier General ~embreiio~'~.

4.30. Although Costa Rica complains that Nicaragua has denied her alleged
right under the 1858 Treaty to navigate the San Juan River for the comercial

purpose of conductingtourist excursions, she fails to identify a single incident in

which Nicaragua preventeda Costa Ricantouristboat fiom entering or navigating

on the San Juan, or from completing its journey on the river (apart fiom the

wartime security measures carried out in 1982). There is no evidence, other than
from 1982,that Nicaragua ever detained a Costa Rican tourist vessel, denied its

entry on the San Juan, or prevented it fiom navigating on the river. And

Nicaragua affms that, although she has a right to prevent Costa Rican vessels

from engaging in tourist excursions on the river --since Costa Rica has no right
to navigate on the river forsuchpurposes --shehas never done so.

4.31. Consequently, and once again, this case isnot aboutNicaragua's denialof

Costa Rica's alleged navigation rights under the 1858 Treaty; it is a case

concerning Nicaragua's efforts to regulate navigation (Nicaraguan as well as
Costa Rican) in a reasonable manner and in furtherance of legitimate sovereign

interests. The regulations that Nicaragua imposed on Costa Rican (and

''IIbid., para.7
'''See Largaespada Affidavit, paras.9-10. NR, Vol. 11,Annex 72; see also Talavera Affidavit,
para 6.NR, Vol.11,Annex 78;Shchez Aff~davit, ara. 7. NR,Vol.11,Annex 77.Nicaraguan) touristvessels are identifiedabove, in paragraph4.25. Morewill be
said about these regulations and the justifications for them in the following

sectionofthischapter.

4.32. Before proceedingto that discussion,however, two points bearmention.
First, as indicated above,the regulationsaboutwhichCostaRicanow complains

have been in effect since at least the time of Brigadier GeneralMembrefio's

tenureas Nicaragua's regionam l ilitarycommander,that is,sincesome time prior
to December 1995. Thisdate is significantin light of Costa Rica's repeated

assertionsthat Nicaragua didnot begin to violateherrightsunderthe 1858Treaty

in a systematicmanner until 1998 (and more particularly,until July 1998)293.
Costa Rica does not explain how the same Nicaraguanregulations that were

continuouslyin effect sinceprior to December 1995 did not constituteviolations
of her Treaty rights before July 1998,but somehow becameTreaty violations

thereafter.Costa Rica's silenceon this point exposesa fundamentalflaw in her

case:sheoffersno serious argument against the lawfiilnessand reasonablenessof
the measures Nicaraguahas taken to regulate, in a non-discriminatory manner,

navigationonthe SanJuanRiver.

4.33. Second, although Costa Rica alleges that, as a result of Nicaragua's
regulatory practices there habeen a sharpdrop in Costa Rican tourism along the

San Juan,andgrave economic ham to her tourism industry, she offersno datato

support these allegations. Nowhere does Costa Rica provide any evideno ce the
number or frequencyof tourism excursions,or the number of tourists --either

before, during or afterNicaragua'sregulationswent into effect.On this ground

alone, the claim that Nicaragua's regulations have unreasonably imposed a

293See, inter alia, CRM, paras.3.02, 3.21-3.29,4.104-4.106;see also, CRR, paras.3.23, 3.87,
3.91,3.100,3.141,4.01,4.50.burdensome limitationon Costa Rica's exerciseof her navigationrights must be

rejected. But thereis more. Thetablebelow wascompiledfiom registrationforms

maintained at Nicaragua's Sarapiqui bpost, which is the principal point of

entry for Costa Rican touristvessels traversing the San Juan fiom west to east,
and the principal point of exit for these vessels travelling in the opposite

direction. As such, it is the Nicaraguan border post where virtuallyall Costa

Rican tourist vessels report,and register how manytourists theyare carrying, as

well as their names and countriesof origin. The table showsthat Costa Rican

tourism along the San Juan River actuallyincreased after 1998,when Nicaragua
supposedly began violatingCosta Rica's Treaty rights in a systematic way, and

that it remained at healthy, elevated levelthe end of 2004, the last full

year before the present conflict eruptedand these proceedingswere commenced

(excluding 2001, forwhich norecordswere available).Thesefiguresdemonstrate

that there is no merit to Costa Rica's unsupported allegationthat Nicaragua's
regulations have causeda reduction in her tourism activities on the San Juan,

much less a harmto her tourismindustry.

Table 1. SarapiquiBorder PostTourismRegistry(1997-2004)~'~

1997 1998 1999 2000 2001 2002 2003 2004
USA 230 230 121 576 868 1177 976
GERMANY 176 111 49 110 182 139 125
FRANCE 5 12 7 41 105 214 231
COSTARICA 39 112 162 270 414 336 144
SPAIN 14 99 2 275 133 168 103
CANADA 21 24 14 148 101 133 121
ITALY 6 5 3 33 49 144 118
ENGLAND 19 58 24
99 184 357 418
ALLOTHERS 93 60 80 291 369 612 354 .

Registered 603 711 462 1,843 NIA 2,405 3,280 2,590
TOTAL

29SeeAffidavitofMartin Antonio Jarq4June 2008, parNR,Vol.11,Annex71.

178SectionIIP. TheReasonablenessofNicaragua'sRegulationsandtheImportant
InterestsThat They Serve

4.34. The regulationswhich Costa Ricanow claimsviolateher rightto navigate
the San Juan freely are all necessaryto protect Nicaragua's legitimate sovereign

interests. Costa Rica complains about six categories of regulations: (1) the

requirementto stop at Nicaraguan poststo register;(2)the requirementto obtain
a departureclearancecertificate;(3)theprohibitiononnavigation at night; (4) the

prohibition on certain fishing activities; (5) the requirement to undergo
immigration processing;and (6) the requirementto fly the Nicaraguan flag. In

the following sectionsof this chapter, Nicaraguawill show that eachof these

requirementsis tailoredto protect oneor more (indeed,in most cases,more) of
Nicaragua's sovereign interests in (a) environmentalprotection, (b) control and

preventionof crime,(c)navigational safety,and (d) border protection. It cannot

be deniedthat these are all legitimatand importantnational interests. Nor can it
be shown that any ofNicaragua's regulationsimposesan impedimentto Costa

Rican navigation. At worst, they constitute de minimis inconvenienceswhose

reasonablenessandnecessitymorethan balanceouttheseminor intrusions.

4.35. Nicaraguahas animpressivewealth of biodiversityconsistingof hundreds

of speciesof flora and fauna which thrive inecosystemsthroughoutthe country.
The area includingand surroundingthe San Juan Riveris especially rich, and

Nicaraguahasinvestedconsiderableeffortsin crafting andenforcingthelawsand

regulationsnecessaryto protect and conservethese delicateecologicalareas. I. ProtectedAreas

4.36. There are three Nicaraguannature preserves on or near the San Juan

River:(i)the IndioMaizBiological Reserve, bordering theNicaraguan side ofthe

river; (ii) the San JuanRiver Wildlife Refuge, consistingof the river itself and a

two-kilometre strip abuttingthe Nicaraguan bank2g5a ;nd (iii)the SanJuan River -

Nicaragua Biosphere Reserve, which is affiliated with UNESCO's Man and

Biosphere projectandencompassesthe other reserves.

295SeeNicaragua, Decree 66-9,rt.3.5.NCM,Vol. 11,Annex61.

180 For illustrative purposeonly
SketchMap 4(a) TheIndio MaziBiologicalResewe andSunJuan River wildlife refuge

4.37. Southeastern Nicaraguais particularly rich environmentally. On 17April

1990, the Govement of Nicaragua created the San Juan River Indio Maiz

Biological Reserve, along with three other protected areas located within the

greatersoutheastregionof~icaragua~'~.

4.38. The original footprint of this Reserve covered 435.5 lm2. Since then,

Nicaraguahas increased itssize to 3,157 km2 297. In additionto a large expanse
of land, the Resewe as originally created also included most of the lower San

Juan River extendingto the Caribbean Sea. The protectedpart of the river was

designatedas a separate reserve in1999,as discussed below.

4.39. The Indio MaizReserveis comprisedof a complexvariety of ecosystems,

includinghumid tropical forests, continentalwetlands, mangroves,estuaries, and

salt marshes298. These ecosystems support a remarkable number of animal

species,including hundredsof differentbird speciesandmammalssuch as sloths,
wild boars, pumas, pacas, manatees, and monkeysa ,s well as poison dart fkogs,

snakes, crocodiles,turtles, and iguanas299.It is estimated thatthe Reserve hosts

296See Nicaragua, Executive Decree 527. NCM, Vol. 11,Annex 58. The same decree which

designated the reserves also established a National Commission to manage and develop the
protected areasof the SoutheastofNicaragua.
297 See MARENA, Southeastern Nicaragua Biosphere Resewe: Strategic Program 2008
(hereinafter"Strategic Program2008"NR, Vol. 11,Annex47.

298See ibid.;see also Meyrat, Alan. The Biological Stretchof SoutheastNicaragua: Important
Space for the Conservation of Nature. IMARENA-ARAUCARLA,2006 (hereinafter "The
Biological Stretch"),200NR, Vol. 11,Annex 41.

299See Affidavit of Benedicto Adam Borges Requenes, 26 May 2008 (hereinafter "Borges
Affidavit"),para. 5., Vol. 11,Annex 67.221 species of bird3", 65 mammal species3013 , 4 amphibian species, 55 reptiles,

and 57 species of insect302. Many of these animals, which can be sold on the

black market for substantialsums, are attractivetargets forpoachers.

Photographsabove:on the left,wetlandsof theIndioMali BiologicalReserve;

on the right,aPoisonDart Frog. TheSunJzianRiver 'Wi'ldlieefuge

4.40. In May 1999, Nicaragua created the Southeastern Biosphere Reserve of

Nicaragua, which includes seven protected areas303.One of these protected areas

is the San Juan River Wildlife Refuge, which was carved out of the Indio Maiz

Reserve. This conservation area encompassesthe lower San Juan River from its

junction with the Bartola River to the Caribbean Sea, covering the entire portion
of the San Juan where the left and right banks belong,respectively, to Nicaragua

and Costa Rica. The San Juan River Wildlife Refuge also includes a two-

ltilometrestrip of land extending north from the river's left (Nicaraguan)bank to

the southernedge of the Indio Maiz ~eserve~'~.

300See WNA, Indio Maiz ManagementPlan: 2005-2010 Period (hereinafter "Indio Maiz
ManagementPlan"), 9May 2006. NR, Vol. 11,Annex 42.
301Ibid.

302Ibid.

303SeeNicaragua, Decree 66-9Art2. NCM, Vol. 11,Annex 60.
304Ibid.Art3..7.4.41. In 2001, the San Juan River Wildlife Refuge was designated as a wetland

of international importance by Nicaragua under the Convention on Wetlands of

International Importance (the Ramsar As a party to the
Convention, Nicaragua agreed to the international standards of conservation and

environmentalmanagement set forth therein. The protection of the San Juan thus

became an internationally recognized and monitored priority. According to

UNESCO, the San Juan River Wildlife Refuge and the adjoining Indio Maiz

Reserve form part of "one of the two most extensive biological nuclei of the

MesoamericanBiological

4.42. The San Juan RzverWildlife Refuge encompasses a variety of wetlands,

including estuaries and shallow marine waters, coastal freshwater lagoons, and

inter-tidalmarshes, as well as permanent lakes, rivers, andpools. These wetlands

support a large diversity of bird, fish, crustacean, andmama1 (both aquatic and

terrestrial) species. Scientific expeditions have identified 303 bird species, 26

mamals, 15 reptiles, 3 amphibians, and 61 insects, in addition to 7 species of

marine crustaceans, 13 marine fish species and 10 fresh water fish species307.

Many of these animal speciesare threatened with extinction. Indeed, there are no
less than 46 endangered species inhabiting the San Juan River Wildlife Refuge,

includingthe exceptionallyrare manatee308.

305See "Convention on wetlands of international importance especiallyas waterfowl habitat,"
concluded atRamsar, Iran on 2 Feb. 1971. (United Nations,TreatySeries, Vol. 996, Reg. No.
14583,17Feb. 1976.)
306"TheAnnotatedRamsarList:Nicaragua". NR, Vol. 11Annex 44.

307 See MARENA, The Sun Juan River WildlifeRefige ManagementPlan (hereinafter "SJR
Wildlife Refuge ManagementPlan"), 2005,p. 37. NR, Vol.11,Annex40;see also ibid, pp. 119-
128 (Annex 1of ibid.)for a table of the numerous animal species foundin the San Juan River
WildlifeRefuge.

308Seeibid.,p. 39. DISTRIBUTIONOFTHE MANATEE

INTI-IESANJUAN RIVERANDTI-iE

I 1
Sketch Map 5: T%eDistribution of the Manatee in the Sun Juan River and
Tortuguero~hannels~~~

4.43. In addition to these animals, the San Juan River Wildlife Refuge

conservesa varietyof plants, includingvaluabletrees,of which the red mangrove

(Rhizophora mangle) and the yolillal (Raphia taedigera) are of particular

309JimdnezPdrez,Ignacio. The Manateesof the Sun Juan River and the TortugueroChannels:
Ecology and Conservatio. anagua.ARAUCAIUA2 , 000,p. 33, (hereinafter"The Manatees of

the San JuanRiver"NR,Vol. 11,Annex3 1.

185importance. The full extentof the vast ecologicalwealth containedin the Refuge

and the adjacentIndioMaiz Reserve remains to bediscovered.

(5) TheSunJuan River -Nicaragua Biosphere Reserve

4.44. In July 2003,UNESCO's Man and the Biosphere Programme designated

the San Juan River Wildlife Refuge and theIndioMaizBiologicalReserve aspart

of the greater international biosphere reserve entitled the "San Juan River -

Nicaragua Biosphere This internationallyrecognized and supported

biosphere covers 18,340km2,a full 14percent of Nicaragua's national territory

(the equivalent of half of the etherl lands)^ ".he Biosphere Reserve covers a
wide variety of ecosystems,including tropicalhumid forests and wetlands, tidal

marshes,coastallagoonsandestuaries, allofwhich are important sheltersforrare

or threatenedanimals andplantresourcesofthe Meso-Americantropics. In total,

the Biosphere Reserve includes19 natural ecosystems andis inhabited by 555

species,including27 amphibians, 388 birds, and 60mammals312.

4.45. This comprehensive reserve system is built around several nucleus

zones313. One of the principal zones is the Indio Maiz Biological Reserve.

Accordingto UNESCO,"the vast size of the biospherereserve, in additionto its

proximity to neighbouring Costa Rican protected areas, and as part of the
Mesoamerican Biological Corridor, guarantee an adequate area for preserving

genetic diversity, free mobility of species, breedingand maintenance of major

310UNESCO MAB BiosphereProgramCertificat, 5Sept.2003. NR, Vol.11,Annex 39.

3" See"IndioMaiz DeclaredWorldBiosphereReserve", (LaPrensa, 10July 2003). NR,Vol. 11,
Annex24.
312SeeTheBiologicalStretch,ocit.p. 9 and 21:NR,Vol.11,Annex41.

313SeeStrategicProgram2008,op. ciNR,Vol.11,Annex48.species such as the jaguar or American tiger (Felis onca), the tapir (Tapirus

biardii)andthered andgreenparrot(~sittacideae)"~'~.

2. 'RegionalandInternationalEnvironmentalCommitments

4.46. Participation in the UNESCO Biosphere Program and the Ramsar

Convention are only some of Nicaragua's international and regional

commitments to protect and effectivelymanage the environment within and

around the San Juan River. In 1977, Nicaragua ratified the Convention on

International Trade in Endangered Specieo sf Wild Faunaand Flora (cITEs)~'~.

The Conventionobligates Nicaragua toregulate strictlythe trade of threatened

species foundin her territory. Several of the speciesNicaragua committed to

protect are foundin the SanJuan River Biosphere Reserveincluding atleast 42
bird, 36mammal,8 amphibian,and 18reptilespecies316.

4.47. In 1992,Nicaragua, together with five other CentralAmericancountries,

including Costa Rica, signedthe Conventionforthe Conservationof Biodiversity

and protectionof the PriorityWildlife Areas in CentralAmerica317.The State

partiesemphasizedthat"the creation,managementandstrengtheningofProtected

Areas playa relevantrole in ensuringsustainable development, reproduction of

31See "BiosphereReserve Information: Nicara: o SanJuan,"UNESCO - MABBiosphere
ReservesDirectoryNR, Vol.11, nnex45.
315See Nicaragua,AgreementNo. 5, 23 April 1977. NR, Vo11 ,nnex 51; see also ''Listof
ContractingParties", Website of Conventionon InternationalTrade in EndangeredSpecies of
WildFaunaandFlora.Avialableat:http:l/www.cites.org/eng/disc/parties/ch.

31See IndioMaiz Management Plan,op. cit., p. NR, Vol. 11Annex 42;see also "CITES-
listedanimals:Nicaragua," UNEP-WCMCSpeciesDatabase:CITES-ListedSpecies.Availableat:
http://www.mep-wcmc.org/isdb/CITES/Taxonomy/comtrytrylist.c~isdb/CITES/
Taxonomy/comtrytrylist.cfm?displaylanguage=eng&Co~~~&sub~~Go.

31See Conventionfor the conservation of Biodiversityand Protectionof the Priority Wildlife
Areasin Central America,5 June 19NR, Vol.11,Annex2.essential ecological processes and rural development'"'*.Both Nicaragua and

Costa Rica also recognized that the "conservation of biodiversity in border

habitats or bodies of water requires the will of all and external cooperation,
regional and global,in additionto the efforts developedby our nati.ns...

such, both States obligated themselvesto "ensure the adoption of measures that

contributeto the conservationof natural habitats and their populationsof natural

species"320.

4.48. These agreements,of course, meanthat Nicaragua is required to protect

the environmentin and surroundingthe SanJuan Rivernot merelyas a matter of

municipal law butas a matter of international obligationas well. Indeed, under

the agreements CostaRica is obligated to protect the San Juan River and its

environment from her side of the river. Nicaragua places a high priority on
meeting these obligations. Costa Rica,apparently, does not. While Nicaragua

has protected her entire side of the river by prohibiting human habitation and

economicexploitation. CostaRicahas not. Very littleremains of the vastforests

on the right bank that once mirrored those on the left. Costa Rica has permitted

the levelling of these fragile areas, and the destruction of their ecosystems to

make way for large cattle ranches andgrazing areas. SketchMap 6 producedby

Nicaragua's Ministryof Environment and Natural Resources, shows the areas

adjacentto the San Juan Riverprotected,respectively,by Nicaragua(to the north)
and CostaRica (to the south). While theentireNicaraguanarea north of the river

is protected (as indicatedby darkgreen or yellow-lined areas),there is relatively

littleprotectionon the south side.

3'Ibid .,eamble.

31Ibid .rt3.

32Ibid .rt13(c). SketchMap 6 For illustrativepurposes only

3. Management and Protectionof theReserves

4.49. In order to implementNicaragua's commitmentto conserve the San Juan
River Wildlife Refuge, the Indio Maiz Biological Reserve, and the greater San

Juan River - Nicaragua Biosphere Reserve, the Nicaraguan Ministry of

Environment and Natural Resources ("MAmNA," by its Spanish acronym) has

I established seven posts along the left bank of the San Juan River, in addition to

inland posts scattered throughout the Indio Maiz Reserve. These seven posts are

I located at San Carlos, Siibalos,Bartola, Boca de San Carlos, Sarapiqui,Delta, and
I
San Juan de Nicaragua, the last four of which lie directly across the river from

Costa Rican territory. Each post is manned by two rangers, who haveresponsibility for monitoringand controlling the areas surroundingthat post321.

In order to manage the region's naturalresources, the MARENA rangers must

monitornavigationalongthe SanJuan.

4.50. The distance between the posts can be up to 40 kilometres, making the

task of monitoring the reserves extraordinarily difficult. The challenge is

compoundedby the fact thatpoachers and otherhuman predatorswho operate in

the area are frequentlyarmed. As a result, WNA andthe Nicaraguan Army

have joined efforts to cooperate inthe task of protecting theseerves322.For

this reason MARENA and Army posts have beenestablished adjacent to one

another along the river, andARENArangers arejoined by military officers in

theirpatrols onthe riverandthe adjoininglandin theNicaraguanreserves.

NICARAGUAN ARMYAND MARENAPOSTS
ON THESANJUANRIVER

SketchMap7 ForIllustrativePurposesOnly
-

321SeeBorges Affidavit,6.rNR,Vol.II, Annex67.

322SeeInter-InstitutionalConventionfor EnvironmentalConservationandthe SustainableUse of
Natural Resources Signed Between the Ministryof the Environmentand Natural Resources and
the SandinistaPeople'sAnny, 29March 1995. NR, Vol.II,Annex3. 4. IllegalLogging

4.51. Illegal logging has been a constant problem both in the Indio Maiz
Biological Reserve andin the San JuanRiverWildlifeRefuge. Both reservesare

home to a wide variety of rare tree species, many of which are commercially

prized for their aesthetics and durability. The rosewoodtree (Dalbergia retusa),

for instance, canbe sold in the United States forup to US$ 40 per kilogram323.

The caoba (Swietenia macrophylla) and cedro real (Cedrela odorata) -- two

different species of mahogany --the laurel (Cordia alliodora), the guanacaste
(Enterolobiumshomburkii),and theroblemacuelizo(Tabebuiarosea) are also all

in high demand,especiallyin CostaRica, for the constructionof fmefi~niture~~~.

4.52. Apart from their natural beauty, these andother sought-after trees are

critical to maintaining the delicate ecological balance of the reserves. The

almendro tree (Dipteryx oleifera), for example, provides refuge and food for

green macaws, the population of which has declined precipitously due to

increasedloggingin both CostaRicaand, byillegallogging, ~icaragua~~~.

4.53. The biggest threat to Nicaragua's reservescomes from the Costa Rican

sideof the river. Residentsof Costa Rican settlementsfrequently crossthe river,
enter the reserves, cutdown protected trees andreturn to Costa Rica to sell the

TheycometoNicaragua for thewoodbecauseit canno longerbe found

-- at least not in abundantquantities-- on the CostaRican bank. Wile the land

to the north of the river, withinNicaragua, remainsheavily forested, the landto

323SeeTheBiologicalStretch,op. cit.30.NR,Vol.11,Annex 41.
324Ibid.

325SeeMARENAMinisterialResolution 029-2006p,araM. NR,Vol.11,Annex 57.
326SeeBorgesAsdavit, para7. NR,Vol.11,Annex 67.the south in CostaRicahas largelybeen clearedby CostaRica's logging industry,

increasedhumanhabitation,andthe establishmentof numerouscattleranches.As
statedin a recent internationaltourist guide book:

"You'llnotice evidenceof loggingin the area, especially at
the pointwherethe Sarapiquiflows intothe Rio SanJuan --
the lumberindustry has long hadcarteblanche in this area,
due to the non-enforcementof existing anti-logginglaws.

The Nicaraguan side of the Rio San Juan, part of the
country'shuge IndioMaiz Reserve, looks altogetherwilder
than its southern neighbor, with thick primary rainforest
creeping right to the edge of the bank. Partly because of

logging, and the residual destructionof its banks, the Rio
San Juanis silting up, have even shallow bottomed lanchas
get stuck in the once consistently deepriver.""'

4.54. TheNicaraguan Anny maintains recordsof poachers caughtcutting trees

or transporting logs from the protected areas. Some of these incidents, as

contemporaneouslyrecordedby the Anny, are describedin Annex74. To cite an

example,in one dayalone --26 May 1997 -- 5,000board feet of wood were cut

andremoved from Nicaragua's reserves,and transported acrossthe river to Costa

~ica~~~.

327McNeil, Jean. TheRoughGuide to Costa Rica, Fourth Edition, 2005,p. 171. NR, Vol. 11,
Annex34.
328See Affidavit of Lieutenant Col alnerAbraham MolinaPBrez,26 May 2008(hereinafter
ccMolinAffidavit"), Annex1toAffidavit. NR,Vol.11,Ann74.Photograph Above: Aerial view of the Sun Juan Riverporn the Nicaraguan side. The
forested land intheforeground isNicaraguan territorywithin the Indio Maiz Biological
Reserve. Theclearedlandin the baclcgrozmd is CostaRicanterritory.

PhotographsAbove: CostaRican residentsfound takingfreshly cutplanlcsof wood into
CostaRica on theSunJuan River.

4.55. Illegal logging along the San Juan River is not a recent phenomenon, but

has long been a serious problem. The evidence shows that Costa Rica has

recognized this since as far back as 1869. On 28 April of that year, Costa Rica

enacted a decree which, in its first article, prohibited the shipment through the

San Juan fiver of lumber and other resources on her side of the river3".

32See Reply of CostaRica, op. cit., pp. NR,-Vol. 11,Annex See alsoC,hap. IT.,Sec. 111
above.Unfortunately for Costa Rica, her efforts over the years to prevent illegal logging
on her bank of the SanJuan have not been sufficient, as evidencedby the factthat

most of the once-forested land has been cleared. Especially in view of this,

Nicaragua submitsthat shehas every right to take reasonable measuresto prevent

the same thing fiom happening on her side. By designatingthe river itself and the
entire length of its left bank an environmentally protected area, Nicaragua has

been able to accomplish (thus far) what Costa Rica has not; until now, she has

managed to preserve her forests, and the plant and animal species that inhabit

them. But prevention of deforestation and protection of the environment are

constant challenges, and require perpetual vigilance. No State should be more
aware than Costa Rica of the risks and consequences of deforestationby illegal

loggers and human settlers, since she has suffered the loss of her own forests at

their hands. If any State should understand the need for Nicaragua's

environmentalregulations,it is CostaRica.

5. Illegal Hunting and Fishing

4.56. Trees are not the only natural resource illegally extracted fiom the

Nicaraguan reserves along the San JuanRiver, or fromthe river itself. Poachers,
mostly originating fiom Costa Rican territory, illegally enter the reserveseking

other valuable plants and, especially, animals which are taken either for their

meat or for sale as pets. Nicaraguan Army records include numerous

apprehensions of poachers engaged in illegal hunting activities. Examples are
provided in Annex 67. Local hunters have trained their sights especially on

mamals like white tailed deer (Odocoileusvirginianus),tapirs (Tapirus bairdii),

pacas (Agouti paca), white lipped pecarries (Tayassu pecari), and collaredpeccaries (Tayassu tajac~)~~~.Marine turtles, iguanas, crocodiles and caimans

are also frequenttargets of poachers alongthe river.

4.57. An unfortunate but common weekend practice for some inhabitants of

Costa Rica's riparian communities is to cross the river with hunting dogs to

capturepacas, deer, sahinos, pavones, monkeys, parrots, macaws, or guatuzas, as

well as other species that are on the verge of e~tinction~~'.Pacas and macaws

have been sold on the CostaRican market andhunted almostto extinction332.

Paca Deer Tapir RedMacaw

4.58. Illegal fishing in the protected waters of the San Juan River is also

common. Amongthe many fish species which live in the Refuge, severaluse the

river as a migration route to reach Lake Nicaragua or Lake CafioNegro in Costa

Rica where they procreate333.The more notable of these include the bull sharlc

(Carcharhinus leucas), the tarpon (Tarpon atlanticus), the fat snook

(Centropomz~p sarallelus), and the tropical gar (~entropomusparalle~us)~~~A . s a

result of illicit fishing in the San Juan River Wildlife Refuge, the populations of

330See "CostaRicans DamageFlora in the San JuanRiver", (LaPrensa, 13June 1991). NR, Vol.
11,Annex 15;see also The Manatees ofthe SanJuan River,op.,p. 51NR, Vol. 11,Annex 32.

331Seeibid se;also BorgesAffidavit, para 9. NR, Vol. 11,Annex 67.
332See "CostaRicans DamageFlorain the San JuanRiver". NR,Vol. 11,Annex 15.

333SeeTheBiological Stretch,op. cit., pp. 24-5. NR, Vol. 11,Annex41.

334See MARENA, "Species Under Threat of Extinctio--Biosphere Reserves: Indio Maiz and
BOSAWAS" (hereinafter"MARENAEndangered SpeciesList7'). NR, Vol. 11,Annex 46.all these fish have significantly declined335. Some, like the shark, are close to

extinction336.

4.59. The river also hosts an array of shellfish species including the Caribbean

Spiny Lobster (Panulirus argus)337 and the large Big Claw River Shrimp

(Macrobrachiurn car~inus)~~~ and four species of Caribbean Prawn (Penaeus

spp).33gCosta Rican riparianresidents illegallyplace traps in the water to capture

these protected species in bulk for commercial sale340.Nicaraguan Army records

reflect numerous incidents of illegal fishing or shrirnping activities in or on the

river. See Annex 74. For example, in one day, in a single location in the River

Refuge, Amy and WNA personnel found and seized as many as 85 shrimp

traps341.

6. Illegal Occupation ofProtected Land

4.60. With some frequency,familieslarge and small, seeling land and dwelling

space have crossed the river from Costa Rica in an effort to clear and settle on

protected land in the San Juan River Wildlife Refuge and Indio Maiz Reserve.

When detected, these incidents are duly recorded by the Nicaraguan Army.

Annex 75 provides some examples, extracted fi-omthe Army's records. In 1996,

for instance, in onenight 72people from CostaRica occupiedterritory within the

335See TheBiological Stretch,op. cit.,p. 25. NR, Vol.11,Annex 41.
336SeeMARENAEndangeredSpeciesList, op. cit., NR, Vol.11,Annex46.

337See IndioMaiz ManagementPlan, op. cit.,p. 55. NR,Vol. 11,Annex42; see also SJRWildlife
Refuge ManagementPlan, op. cit.,p. 59. NR, Vol. 11,Annex40.

338See TheBiological Stretch,op. cit.,p. 25. NR, Vol. 11,Annex41.
339See SJRWildlifeRefuge ManagementPlan, op. cit.,p. 59NR, Vol. 11,Annex 40.

340See BorgesAffidavit,para 8. NR, Vol. 11,Annex 67.

341SeeMolinaAffidavit,Annex 1to Affidavit.NR Vol. 11,Annex 74.ZndioMaiz Biological Reserve, 5 kilometres fkomthe Boca Sarapiquiborder

post342.Similar eventshwe occurredrepeatedlyover thelast decade. In 2006,
19CostaRicanresidentswere fomd clearing landforoccupation inthe Reserve

and prosecuted343.

7. Nicaragua's RegulationsAreNecessary ToProtect theEnvironment

(a) The RequirementToStopand Register

4.61. The regulations aboutwhich CostaRica now complainsare necessaryto
protect the environmentand combatthe aforementionedillegalactivitiesin and

aroundthe SanJuan RiverWildlifeRehge. The requirementto stop and report

at Nicaraguanmilitary posts uponentry and exit is an obviousexample. These
veryminimaland non-intrusiverequirements,pursuanttowhichindividualsmust

merely statetheir namesandidentifyanypassengersand cargotheyare carrying,

are crucial to monitoring activitieson the river. This reporting provides

Nicaraguanauthoritieswith information on who entersthe RiverRefuESe a,ndin
what areas, in order to ensure that theriver is being used only for lawkl

purposes. In particular,thereporting allows Nicaraguato assurethat allpersons

(includingNicaraguans) whoenter theprotected areaalsoleaveit, sinceno oneis

allowed to remain. As explsLinedby a former Commander of Nicaragua's
SouthernMilitaryDetachment:

""Whenthe vessel completedthe San Juan River portionof its
excursion,it stopped againat theNicaraguan military post located
at that point, at Delta, to register the tourists' departure tod
assurethat everyonewho enteredNicaragua was exiting, and that

"'See ibid.
34SeePublicProsecutor'sOfficeSanCarlosRio SanJuanProvince,"CriminComplaintNo.
000106(hereinaft"CriminaComplaint"),21December2006.NR, Vol.11,Annex43. none of them had been left behind in Nicaraguan territory, This
was necessary as a securitymeasure to asswe that there were no
unauthorized entries into the protected area of thendio Maiz
BiologicaI~eserve."~~~

@) TheRequirement To ObtainaDepartureClearanceCertiJcute

4.62. The requirementto obtain adepartureclearancecertificateservesa related
fbnctian, and is crucial to protecting the riand surrounding reserves. To

obtain acertificatboatmen using theSm Juanmustpermit an inspectionof their

vessels for purposes of, inter a,nsuring that theyare not carrying any plants
or animalstaken fPom Nicaragua's protected area,ncludingthe river itself. The

inspection also servesto assure that the vessel is not leaking or otherwise

dischargingfuelor otherenvironmentallyharmfulsubstancesintothe river.

4.63. Costa Rica imposes similar requirementson vessels entering her rivers
fromthe SanJuan; they must stop at Costa Rican border posto obtain a Costa

Rican departure clearance certificate.Yet Costa Rica complainsabouther vessels

having to stop at Nicaragua's border posts for the same purpose. Costa liica

alleges that Nicaragua'sregulationsviolate her "related rights"under Article VI
of the 1858 Treaty '70 land indiscriminatelyon either side of the rivat the

portionthereof wherethe navigationis common," To be precise, Costa Ricadoes

not claim that Nicaragua has violated herright "to land" on the Nicaraguan side

ofthe river, butshe arguesthat the right "to land"necessarilyimpliesa right "not
to land," andthat this implied and "'related"riisthe one that Nicaraguahas

violatedby obligingCostaRicanvessels"to land"at theborder posts.

34LargaespadAaffidavit,parNR,Vol. 11,Anne72.

1984.64. Besides the fact that Nicaragua's registration and departure clearance

regulations are justifiableand reasonableexercisesof her sovereigntyover the
river, it:ifarfrom clear that theright "to land'?on the Nicaraguan side ofthe

river has as a necessary corollarythe right "not to land" on that bank, There is

nothing in the 1858 Treaty that would prohibitNicaragua fromestablishing

border controls and check points, or hrn obliging Costa Rican vesselsto stop
there,to protect herlegitimatesovereigninterests. Nicaraguais sovereign in her

own territory, and can, in this capacity,establish such limitationson activities

conducted within her territoryas are reasonable andprotective ofher legitimate

sovereigninterests.As hasbeen established, the regulationsereunderdiscussion
are fully justifiedby Nicaragua'sinterests in protectingthe fragile andunique

naturalenvironmentand,as discussedbelow,her interestsinpreventionofcrime,

navigational safetyand securityof theborder.Theregulationsviolateno rights -

"related"or otherwise - ofCostaRica.

TheProhibitionofNavigation at Night
(c)

4.65. Navigation isprohibitedon the San Juan after dark345. This appliesto
everyone,Nicaraguansas well as Costa Ricans. Beyond theobvioussafetyand

security abjectives achieved by this regulation (discussedbelow), it is also

necessary for environmentalprotection. As testified by Nicaragua's military

commanders, who are responsible for law enforcementand environmental
protectionon the river:"[1]tis duringthe night, when detection ismost difficult,

thatthe protected flora andfaunaof the IndioMaizBiological Reserveand the

SanJuan River are most vulnerableto poaching.7734" "[Mlost criminalactivity

34SeeActionPlan,Art.7.NR, Vol.11,Annex48.
34%ernbrefiAffidavitpara.9.NR,Vol.11,Annex73.and environmental depredation (including hunting and fishing for protected

species inthe Indio Maiz BiologicalReserve and the San Juan River) took place

atnight.7734A7lmost allincidentsof illegaloccupationofland insidethe protected

areas have also occurredat night, with individualsusing the cover of darkness to

move in and clear the trees around their camp as secretly and as quickly as

4.66. The prohibition on navigation at night cannot, of course, stop all

environmental depredationwithin the San Juan River Wildlife Refuge and the

Indio Maiz Reserve, but it makes such illegal activity more difficult, sinceany

boat observedontheriver at nightpromptsimmediateattention and investigation.

(d) TheProhibitionof Certui~ aishingActivities

4+67, As discussed above,populations of certain fish, crustaceans,and aquatic

mammals have dropped significantly overtime due to the growth in human

settlementon CostaRica's side of theriver,and the increasedfishing in the San

JuanRiverthat has come with it. In orderto conservethe fish and other animals
which live in ormigrate through the riverMAWNA has prohibited commercial

fishing or shrimpingin the river, while allowing subsistence fishing by local

Costa Rican residents, providedthat they fish from the Costa Rican bank of the

river?49. Fishing fiom within the San Juan River Wildlife Refuge, whether on

347SiinchezAffidavit,paraNR, Vol.11,Annex77.
348 See CriminalComplaintNR, Vol.11,Annex 443("On the seventeenthof December of two
thousandandsix,inthehoursof the nigatgroupofpersons originatingfromthe sisterRepublic
of CostaRicaenteredournationterritorthroughthe sectorof La Penarmedwith machetes,
shovels, hoes, rakes, rope, hammocks, plastic oarticleor tools thwere used bythe
accused.."I.

349~eeLargacspadaAffidavit, para. 10. Vol. 11hex 72; see also MembreGoAffidavit,
para.8.NR, Vol. 1Amex73; seealsoBorgesAffidavitpara8. NR,Vol. II,Anne67,boats in the river or from the Nicaraguanshore is stJictlyprohibited35o.The

prohibition applies toeveryone, including Nicaragmans.In the past, MARENA

allowed some fishing in the rehge, but the regulations were tightenedwhen it

became clear that MARENA7stolerancewas being abused by boatmen fishing
commercially, andlorusingfishingas a false coverforilegally enteringtheIndio

Maiz~eserve'~'. By permittinglocal residentsto fishfor subsistence purposes

fromCostaRica's bank of the river, while prohibiting all otrormsof fishingin

the liver,Nicaragua has endeavouredto achieve a reasonable balance between
environmental protection (in this case, protectionof endangered fish,aquatic

mammal,andcrustacean species) ad local human needs.In doingso,Nicaragua

surely has notviolatedanyrightsof Costa Rica orhernationals.

4.68. In her Memorial, CostaRicaclaims a "customaryrightto fish initswaters

for subsistencepurposes for residents livingon the Costa%can bank of the San
~uan"~N ~i~caraguadenies thatsucha right exists. Costa Ricacertainly has not

established its existence, It cannot be found in the Treaty of Limits or the

CleveImd Award. Indeed there isneitheran expressor evena logicalconnection

between this claimedright and the "right of free navigation.. .con objetm de

comercio," that is included inthe 1858Treaty of Limits, andupon which the
Application in this case is based. In .Factt,here is no mention of any kind -

explicitor implici- ofallegedfishingrightsanywhereinthe Application. Inher*

Reply, Costa Rica makes no attempt to relate the so-called"customaryright to

fish" to thApplication, to the Treatyof Limits,or to any navigational,or other

35See MembrctiloAffidavipara 8. NR, Vol.11,Annex73 ("Theonly exceptionsaretwo
specificallydesignsportfishingzones,oatSan JuandelNorteandoneon theupperportion
of thriverwhere bothbanksbelongto Nicaragua,where licensedsportFishingunderstrict
limitationsispermitduringcertainperiodsof theyear").
35SeeBorgesAfidavit,para8.NR, Vol.IT,nnex67.

35CRM, para.4.118(3).rights thereunder, It is certainlynot necessaryto rule on CostaRica'sbelated

claimto customary fishingrightsinotderto decidethequestionofwhetherCosta
Rica's navigation right has beenviolated. In these circumstances,Nicaragua

considersthat CostaRica's attempt toexpandher Applicationto cover an alleged

'"astornary right to fish" is inadmissible underArticle40 of the Statute and

Article 38, pasagraph 2, of the Rules of Court. It is therefore only in the
alternative thatNicaraguahas answeredCosta Rica'salegations concerninga

"customaryright to fish." It is difficultto understandwhat"customary rights"

Costa Rica is referringto. Thereisnorecordof native population settlementsin
the area and nonethat were present in 1858. As that time there were no

significant populationcentres or even knownsettlements along the river. This

needto fishfor subsistence,isnewand dueto theestablishmentof settlementson

the CostaRica.nbank of the riverduringthe last decades. The novelty of this
need is probably what caused Costa Rica to exclude this claim from her

Application.

4.69. Illegal trafficking ohgs and ms on the San Juan is a problem.

Nicaraguan militarypersonnel are vigilant intheir effortsto deter and prevent

these activities, andhave periodically captured smugglers using the river to
transport theirillicitcargoes35'.Apartiallist of criminalapprehensionsby the

Nicaraguan Army on the San Juan Rilieris set forth in Annex 74 to this

RHO inder.

353SeeMoIinaAffidavit,AnnextoAffidaviNR, Vol,11,Annex74.

2024.70, In addition to the need to control illicdrug and arms trafficking,the

Nicaraguanmilitarymonitorstrafficontheriverto guardagainstall-too-common
crimes liketheftand assault alongthe river. Therehavebeen instances inwhich

touristsvisitingtheareahavebeenkidnapped. On 1 January1996,forexample,a

group of Geman tourists wasrobbed by a gangof masked and heavilyarmed

individuals,who then kidnapped two women seven kilometresfrom Boca San
Carlos, where bothNicaraguaand CostaRica maintain securitypostsacrossthe

riverfromoneandanother354.

1. The Requirement TOStop andRegister

4.71. Nicaragua hasrequiredindividualstravellingthe riverto stopand report

themselves sincebefore the 1960s. This requirementappliesto everyonewho

navigates on the river -- including Nicaraguans. To this day, it remains a
hndamental element of Nicaraguanlaw enforcementeffarts inthe area. The

requirement to stop and report at Nicaraguan military posts has an obvious

deterrent effecon criminalactivitiesof alkinds. lndeed,it is quite tellingthat

Costa Ricaherselfhas alsodeemed itnecessaryandappropriateto implementthis
samerequirementon her own riversconnectedto the San Juansince atleast the

1960s""" The requirement to stopand register isparticularly importantto the

preventionand detectionof criminalactivitydueto the geography ofthe river, It
winds its way through remote, heavily vegetated (on the Nicaraguan side),

sparsely populated (on the Costa Rican side) territoryformore than 220 h.

Nicaragua'sArmypostsarespreadoutfiornoneanother,leavingvaststretches of

the river far removedfromlaw enforcementofficials. Onlyby keepingtrack of

35See"Tourisand GuideKidnapped",(LNacibn,3January1996).NR, Vol11,Annex16.
35SeeAburtoAffidavit,pa3.NR, Vol. 11,Annex65.vessels asthey enterand leavethe river can Nicaraguan authorities effectively

monitor them to assure theydo notengageinunlawfulactivities.

2. TheRequirement To ObtainaDeparture Clearance Certij42cate

4.72. Theneed for eachboat -- regardlessof nationalit--to securea departure

clearancecertificatealso enswes that the individualsnavigatingon the riverare
notcarryingillicitcargo. To obtaina certificate,vesselmustbe inspected, inter

alia,to assureit is not transporting prohibited items.Nicaragua establishedthe

requirementto secure a departureclearancecertificate at least fiftyears ago.

Costa Rica hashada similarrequirementfornavigationonherrivers --tributaries
ofthe §an Juan --for atleastfortyyears(asshown by her ownevidence)356.

4.73. As statedby Captain Mario GarciaLopez, responsible for supervising

severaloftheNicaraguan Army's monitoringposts alongthe SanJuan River:

"[Bjoats are required to obtain Nicaraguan departure
clearance certificatesbeforethey maynavigate on the San

Juan River. This includes boats operated by
Nicaraguans....Allboats mustalsoidentifytheir passengers
and any cargo that they are carrying. This is a security
measure designed to ensure that &ere is no illegal
traffickingofpersons or goodson the river,and to ensure
that no one who entersand exits the river has enteredthe

Indio Maiz Biological Reserve,located on the northern
bankoftheriver'scourse, where access is not a~lowed.""~

356See"DeparturelearancCertificatissuedbytheCostaRicanRevenueGuard. CRR, Vol.
11,Annex65(b);see also AbuxAffidavipara3. NR, Vol.11Annex 66;seealsoMembreiio
Affidavi,ara4.NR,VoI.11,Annex73.

357SeeAffidaviof CaptainMariGarciaLbpez9 March 2008(hereinaft"GarciAffidavity'),
para.4.m, Vol.11,Amex 70.4.74. The measuredoesnotmaterially burdencomercis1 boatmenwho use the

river.As attestedby aboatmanwho transportscommercialgoodsonthe riveron

a weekly basis,""Im not awareof any occasions when any of the Costa Rican

boatmen who navigatethe river taking goods eitherto Nicaraguaor Costa Rica

have been preventedfromcompletingtheirtsip, byNicaraguanauthoritiesposted
along their routes."358 Nor does the departure clearance certificate impose

hardshipson localCostaRicanresidents. Nicaraguaprovidesdepartureclearance

certificateto localresidents--i,e.CostaRicanswholive ontheright bank ofthe

river-- as a courtesyandat no cost. Thesecertificates arevalid forone month,

andarepermanentlyrenewable, withoutneedfor inspectionofthelocalresident's

vesse1.3~~

4.75. Despite her pretensions tothe contraryin these proceedings,Costa Rica

hasexpresslyagreedthat,for lawenforcementpurposes,andespeciallytocombat

drug trafficking, Nicaragua shouldenforce her requirement that all vessels

navigating on the San Juan obtain a departure clearancecertificate,and report

their presence at all Nicaraguan Army posts passed during the voyage, This

agreementis reflected inthe Find Minutesof the FourthBinationalNicaragua-
CostaRica Meeting,held on 12 and 13May 1997~". TheFinal Minutes, which

were signed by Foreign Minister Emilio Alvarez Montalvhnof Nicaraguaand

Foreign Minister Fernando NaranjoVillalobosof Costa Rica, cover avariety of

matters agreed to at the Meeting.On the subjectof Drug Trafficking,theFinal

Minutes reflectthefollowingagreement:

35AcevedoAffidavitpara.4NR,Vot. 11,Annex66;see alsNR,para.4.89.
35See Shchez Affidavit,para.NR,Vol. TI,Annex77;seealsoMembreEiAoffidavit,para.5.
NR,Val,11,Annex 73;Largaespada ffidavpara.8. NR,Vol. 11,Annex72;GarciAffidavit,
paras6-7.NR,Vol. 11,Annex70;TalaverAffidavitara8. NR,VoI. 11,Annex78.

36FinalMinutes&omthe IVNicaragua-Costa caBinationaMeeting.NR,Vol.IT,Annex4. "'Regardingthe problem raised by the Costa Rican
delegationabout the existence of places that require the
presence of authorities competenton this subjectit was
agreedthatNicaraguawill cany out efforts directedtoward
establishing posts in specific locations,o broaden the
coverageinthefightagainstthis crime.

(..*I

In relation to the flow of vessels it was considered
necessarythat these boatsnavigate duly registereby the
posts thatissuehe correspondingcertificatesofnavigation,
as applicable, theposts ofan Juan del Norte,San Carlos
andSarapiqul.9,361

4,76, Having recognizedand accepted the necessity of these Nicaraguan
regulationsand having agreedto theirenforcementi:n 1997,CostaRica'ssudden

change of heart --and newfound theorythat they constitutea violation of her

rightsunderthe 1858 Treaty-- areindefensible and shoulbe disregarded.

3. TheProhibitionof Navigation atNight

4.77. Much likepoachers whouse darknessto their advantage, traffickersin
arms, drugs,and humanbeings alsoprefer thecoverof nightwhenit is easier to

navigate the river without detection. By prohibiting nighttime navigation,

Nicaragua isable to betterprevent theseillicit activities, Customarytrafbyc
local residents, commercial boatmeno ,r tourist boatsnormally occurs during

daytimehours, As statedby a localresidentwho was a commercial boatmanon

theriverin the1960s andcontinuestousethe rivertoday: "Itwas rareforaboat

to navigateatnight. Local residentsmd otherboatmen madetheir tripsduring

36Ibi demphasisadded).the day, and onlyused the river at nightin cases of emergency.'J62Nicaragua

continuestopermitnavigation at nightin casesof emergency.363

4,78. As dominionandsupremecontrol(sumoimpsria)overthe Sm JuanRiver
are entrusted toone State -- Nicaragua -- it is she who bears responsibility for

ensuringthe safetyofnavigationontheriver.

4.79. The river poses a wide array of hazards, including the many, shifting

sandbars that characterize itslower reaches, the presence of fallen trees

throughoutits course, and alligatorsthat lurin itswaters. Asone might expect,

theboats thattravel theriverarein variousstatesofrepair,andsomeare not in a

candition to operatesafely. Accidents,drownings and even animalattacks are
not uncommon. Navigation at nightisparticularlydangerous"4.

1. The Requirement toStopand Register

4.80, The requirementto stop and registerat Nicaraguanposts ensuresthat all

passengersare accounted foron each leg of thejourneyon the SanJuan. Costa
Rica's statement thatthe Nicaraguan Army officers at the post requireschool

children passing the postto stop andreport dailyis true365.In additionto the

3GAburtoAffidavit,para.NR, Vol.TIA,nnex65.

36See MembrefioAffidavitpara9. NR, Vol. 11,73; see also LargaesAffidavipara.8.
NR,Vol. 11Annex72.
36SeeTalaveraAffidavit,para8PSRV,ol.11Annex 78;seealsoMembrefioAffidavipara.9.
NR,Vol.11,Annex 73.

36SeeCRR, para.4.48.possibilityof children(or anybody else)falling overboardand drowning,several

childrenhavebeen attackedby crocodiles inthe SanJuan andits adjoininginlets.

Within the past year, a 4-year-oldboy and a 13-year-oldboy were killed by

crocodiles3". The riveris especiallyhazardousfor children,who sometimespilot

their own small craft, and Nicaraguan officials are particularly vigilant in

protectingthem againstthe fate of those whohave already lost their livon the

river.

2. TheRequirement To Obtaina DepaP-fure Ckeamnce CevtiJa'cate

4.81. The requirementto obtain a departure clearance certificate helps ensure

that the boats navigating the river are seaworthyand capable of safe operation.

As previouslystated,the vesselsused on the San Juan River are invarious states

of repair--and disrepair. As testifiedby CaptainMario Garcia Lopez, all boats
are required tostop at the Nicaraguan postat their pointof entry onto the San

Juan River. "The departwe clearance certificate certifiesthathe boat has been

inspected,and that it meets all Nicaraguansafetyrequirementsfor navigation on

the river'"67. To secure a departure clearance certificate, boat owners must

present operators' licenses and relevant information about the vessel. These

minimal stepsare reasonable and necessaryto make traffic on the Sm Juanas

safeas possible,which is Nicaragua's sovereignright and responsibility.

4.82. Searches of vessels, which are carried out as part of the departure
clearance process, also serve the interests of safety. As testified by Colonel

3G6See'LCro~~diDleevoursChiinthe IndioRiver", (LaPrensa, 10Ap2007). NR,Vol. 11,
Annex25; seealso'Trocoditekil13-yeaoldboy whowas bathinintheriver",(LNacidn,5
May2007). NR, Vol.XI,nnex26.

367GarciAffidavit,para.NR, Vol. 1Annex70.Ricardo Shnchez, a fonner Commander of the Southern Military Detachment:
"For safety reasons, all tourist boatsncluding those operatedby Nicaragua from

El Castillo or San Juan del Norte) had to stop atthe army post closest to their

point of entry onto theriver and submit to a safety inspection, which included a

determination that the vessel was not carrying any weapons, explosives or other

flammable The treatment is the same for Nicaraguans as well as
Costa ~icans~~~.

3. TheProhibitionofNavigation atNight

4.83. As discussed,navigationof theriver can be dangerous;navigation at night

is much more so. As anyone personally familiar with the river can attest, once
the sun sets darkness envelopes the river very quickly. At best,the unaided eye

can see ahead only a few metres making it nearly impossible to detectthe many

obstacles on the river370. Very few of the boats on theriver have navigation

lights, which ineans not only that they cannot see the water in fronof them but

also that other boats cannot see them, Increasing risks of nighttime collision"'.
Nocturnal navigation isparticularlydangerous in thedry season, when the waters

of the river are shallow, and sand bars make much of the river close to

impassable. If one cannot see the movement of the current, it is extremely

difficultto find the navigablepaths in the water and avoid the sand bars.

36%knchezAffidavit, para7NR, Vol.11,Annex77.
3" SeeMembrefioAffidavit,para9. NR,Val.11,Annex 73;seealso AcevcdoAffidavit, para 3.
NR,VoI.11, Annex 66.

370SeeLargaespadaAffidavit, paraNR, Vol. 11,Annex72;see also MembreiioAffidavit,para.
9. NR, Vol. 11,Annex73.
37'Ibid.4.84. The pointis emphasizedby Brigadier GeneralMembrefio,Commander of

the SouthernMilitaryDetachmentbetween 1992and 1995: I

"[Nlavigation is not permitted afkr dark, This prohibition
applies to everyone, Nicaraguans included. The river is

treacherous to navigate at night, since here are no lights,
and fallen logs and sand bars, invisible in the dark, are
prevalent, as are crocodiles. By longstanding custom
nighttime navigation of the river has not been practiced,

exceptin emergency situations. Nicaragua authorizessuch
emergency use of the river at night. Otherwise, it is
prohibitedmainlyfor safety

PhotographsAbove: Thephotographsabove were taken on theSanJuan Rivea rt 5:40,
6:06,and 6:20in March, 2008.

4.85. Nowhere in her written pleadingsdoes CostaRica deny that navigation on
the San Juan River is difficult anddangerous, and even more dangerousat night.

In fact, CostaRica haslong recognizedthat navigation onthe riverisfiaught with

risks.As she explainedto President Clevelandin 1887: "...it is well known that

the navigation of the Sm Juan River encounters many obstacles, not only on

accountof the shallownessat certainplaces,but also owingto its rapids and other

dangers'"73. The natural "obstacles" cited by Costa Rica - shallowness and

rapids,both renderingthe river impassable in places- have not disappearedinthe
past 120 years. Nor have the crocodiles. Nor has the darkness that descends at

372
See LargaespadaAffidavitpara.8. NR, Vol. 11,Annex 72;seeaisoMembreiioAffidavit,
para.9.NR, Vol.XI ,nnex 73.
373Argumentof CostaRica,op.citpp. 150-163..NR,Vol.XI,Annex5.night become any more penetrable,These facts arewell known to Costa Rica,

making it disingenuous for her to challenge Nicaragua's promotionof

navigationalsafety,and the protectioof humanlives,by prohibiting navigation

ontheriverafter dark,exceptin emergencies.

D. BORDEP RROTECTI O NDSECURITY

4.86. Itis undisputed thatthe San Juan River is part ofNicaragua'ssovereign

territory, To enterthe river fkomCosta Ricais to crossaninternational border

and enter Nicaraguaherself. As does every sovereigState,Nicaraguamahains
cerkainrequirementstoregulate entryintoherterritory.

I. ImmigrationControls

4.87. Nicaraguanimmigrationofficials atthe borderposts alongthe San Juan
River follow the same proceduresthat are followed at all other border entry

points. Just as all non-nationalsare required to obtaina tourist card when

entering Nicaraguaat the Managua InternationalAirport, orat other points of

entry, so too when they enter Nicaragua via the SanJuan. Contray to Costa
Ricst'sassertionsthat this policy began onlyin the mid-1990s,it was actually

establishedasearlyas 1979,if not earlier,underDecreeNo. 161~~~T .he decree

required all foreign travellersto securea specialtouristcard when entering

Nicaraguanterritory. The cost of the tourist card has varied over time. The

current cost iUS$ 5375. The requirement isthe same for all non-Nicaraguan

37SeeNicaragua,DecreNo,161,l.Nov. 1979NR, Vol.11Annex52.

37SeeNicaragua,LawNo. 495:GeneralTourismLaw,2 July2004,Art.21te). NRVol.11,
Annex55;seealsoNicaragua,RegisterNo. 3743.Vol.11,Annex53.nationals, regardless of their country of origin.Many States impose similar

requirements,or chargehigher fee$76.

4.88. Nicaragua makes an exceptionfor residents of Costa Ricm riparian

communities,who aretreated likeNicaraguansinsofaras theirnavigation onthe

San Juan is concerned3". In fact, as testified by Franklin Ponce Ortiz,
Immigration DispatchInspector for San Juan River Province: "[I]mmigration

authoritieson the river donot regulatethe local residents. Riverresidents,far

their own safety and forthe security of the territory, are simply required to

register with thmilitaryofficialwhen theypass a militarypost'"78.According

to Army CaptainMario Garcia Lopez, Chief of the SecondBorder Sectorof the

Sm JuanRiver:

"Nicaragua does not require the Costa Rican residents

alongtheriverto havetheirboats inspected, or topay afee
for a departure clearance certificate,or to register with
Nicaraguanimmigration, or to have a consular visawhen
they navigateonthe SanJuanRiver. If aresident passes a

militarypost,he is requireto simply noti@ thepost of his
passage. A11 local reside~rtsare provided a courtesy
departurecertificateortheirregular useof theriver,which
isvalidfuronemonthand ispermanently

376See, e.g.United StateDepartmentof State,"Fees forVisa Services,"availabat:
http://~avel.state.gov/visdlemp/type seltaloeDsu1ch63.hisrI;of Foreign
Affairs"Applyingfora visa," availablehttp://www.rninbuza.nI/en/weIcome/comingt,
visas~x~consular~se~~i~es/applyi~~ sg~flor~aiivi~ofFhorignRelationsof
Colombia,"Proceduralinformatiforvisas," availaat:hrcp://www.car~cilleria,gov.cotWeb
ContentManager/webapp/displayYjsp? s936&20p=l;spialo1MinistryofForeign
Relationsof the Republic of El Salvador, "Types of Visas CA4," avaiIable at
h~:llwurw.rree.gob.svlsitio/sitiowebrree.n~Eipagesisvisas~tiposca4.

'"SeeTalaveraAfidavit,para.8. NR,VoXIAmex 78;seealso GarciaAffidavit,parNR,.
VoI. 1Annex70, seealsMembrefioAffidavipara9.NR,VoI. 11Annex73.
37AffidavitofFranklPonceOrtiz,7 March2008(hereinafrPonceABdavit"),para4. NR,

Vol.11,Annex76.
37GarciaAffidavit,pa6..NfZV,ol.TAnnex 70.4.89. Likewise, Nicaragua presently exemptsfrom her immigrationregulations

and proceduresthe Costa Rican merchantswho regularly use theriverto transport

goods fromone communityto another, since they are alslocalresidents whoare

exempt fkomimmigrationrequirements on that basis. Duringthe last ten years,
there have been approximatelyfour Costa Rican boatmen regularly transparting

goods on the rivdaO. One transports and sellsboat fuel from Puerto Viejo de

Sarapiquito local boat aperatoxs. Anotherowns a small "mom and pap" grocery

store in La Tigra, on the Costa Rican bank, and uses the river to resupplyhis

wares381.There are two other Costa Ricm boatmen whoship shellfishfrom San

Juan del Norte, Nicaragua to Puerto Lindo, Costa~ica~". None of these Costa

Rican commercial boatmen is required to secure a tourist card, to obtstina
Nicaraguan visa, or to pay for a departureclearance

4.90. Inaddition to the tourist cards, which Nicaragua requires of all non-

nationals (except as indicated above), entry into Nicaragua also requires a valid

visa, depending on the country of origin. Local Costa Rican residents and

commercial boatmen are exempt fromthe visa requirement,as well as the tourist

card requirement. Notably,the entryvisa requirementaffects very few of the

foreign touristwho enterNicaraguavia the SanJuan River,includingthe tourists
who enter in Costa Rican tourism boats. Nicaragua requires entry visas forthe

38SeeAcevedoAffidavitpara 2. NRVol.11,Annex66;seealsoGarciaAffidavipara.3.NR,
VoX .IAnnex70.
3gSeeGarciaAffidavit,para.7. NR,Vol.Annex 70.

38SeeAcevedo Affidavipara2.NR, Vol.11,Annex66.
38SeeGarciaAffidavipara.4.NR, Vol. 11,Anne70.nationals of only a very small number of States who frequent the rive?". As

testifiedby ColonelSinchez, who commanded the SouthernMilitaryDetachment

fiom 2002 to 2007: "Very rarely were [tourists]required to show a Nicaraguan

visa, because Nicaraguadoes not require tourists from North America, member
countriesof the European Union,Canada or Australiato obtain visas, and almost

all of the touristson these vessels were from those countries, with very few

exceptions."3a5 Costa Rica has not demonstrated that the tourist card or visa

requirementshave discouragedtourists fromcorningto the SanJuan. Indeed, she

has providedno evidence whatsoeverto supportthis claim. Nicaragua's evidence
thoroughly refutes it. As shown earlier in at paagzaph 4.33 and the

accompanying table,Costa Rican tourismto the SanJuan actually experienced a

substantialgrowthbetween 1998and2004, while these Nicaraguan immigration

measures were in effect. Thus, in contrast to the unsupported claims made by

Costa Rica that Nicaragua's immigration requirements have "practically

destroyed"tourism to the San ~uan~'"towism on Costa Rican vessels has quite
obviously continued toflourish.

4.91. With the exception of residents of local settlements and commercial

boatmen, Nicaragua requires CostaRicannationalsto have an entry visa to eater

Nicaragua. The requirementthat non-localCostaRicans have a consular visa to

enter Nicaragua isbased on reciprocity. Costa Rica requires an emtryvisa fiom

allNicaraguan travellers entering Costa Rica.

384SeeNicaraguaDecreeNo. 57-2005,31August2005. NR,Val. 11,Annex 56DecreeNo. 57-
2005 delineatethree immigrationcategories. Tmajorityof Statewhose nationalsvisit
NicaraguaarelistedunderCategoA.

3" SbnchezAffidavipara7. NR,Vol.11,Annex77.
'"CCR,para.4.12(iii). 2. TheRequirementToFly theNicaraguanFlag

4.92, Nicaragua has required certain larger vesselsto fly the Nicaraguan flag

while navigatingon the San Juan River. The requirementhas only been applied

to those vessels that have masts or turrets at the stern387.This excludes local

residents and commercial traders who generally travelin small woodenpangas
(simple rudimentary boats, generally with a single outboard motor) which lack

the means to display flags. According to Colonel Ricardo Sanchez, a former

military Commander for the region: "Inpractice, this meant only that the Costa

Rican tow boats kept aNicaraguan flag on board, and hoisted it during the time

they were on the San.Juan"388T . he inconvenienceimposedon CostaRicanboats
is therefore trivial. The requirementisknown by all boat operatorswho use the

river,and has never impedednavigation. CostaRica has not identified a single

incident in which Nicaraguan authorities prevented a Costa Rican vessel from

navigation on theSan Jum because of failure orrefusal to displaya Nicaraguan

flag.

4.93. The requirementto fly her flag duringnavigationon her waters, including
the San Juan, is an attributeof Nicaragua's sovereignty, and is a matter of

international customand practice. Nicaraguapermits foreign vesselsto fly their

flagsof registrywhile navigatingon the San Juan, as wellas the Nicaraguanflag.

Thus, Costa Rican vesselsmay and do flythe CostaRican flag, as well as that of

Nicaragua. Flyingthe Iatteris a gestureof respect for thesovereigntyofthe host
State, Nicaragua finds itdisturbingthat Costa Rica's objects to this reasonable

and non-burdensomerequirement, It is emblematic of Costa Rica's repeated

38See ActionPlan,opcitArt.6. Nit, Va11,Annex 48,

Shchez Affidavitpara.7.NR,Vol. 11, mex 77.efforts, since 1998, to expand her "'rights"on the San Juan at Nicaragua's

expense. Particularly troubling are Costa Rican attempts, through her
government-supportedtourism promotion effortst,o depict the SanJuan River as

part of Costa Rica. In 1999, for example, the Nicaraguan Minister of Tourism

protestedthat a CostaRicantravel agency was promotingits San Juan Rivertours

with amap depicting the riveras belongingto Costa~icd~'.

4.94. Costa Rica'sApplication makesno referenceto Nicaragua's requirement
that allforeign vessels fly the Nicaraguan flag (as well as their own) while

navigating on the San Juan, The Applicati oankes no claim that this is a

violation of her rights, let aloneof her right of navigation under the Treaty of

Limits. Rather, the claim post-dates the Application, and is styled by the

Applicant Stateas a form of harassmentthatNicaragua inventedto punish Costa
Rica for bringingthis caseto theCourt.Nicaraguarejects this suggestion,aswell

as Costa Rica's implication of bad faith on her part. In fact, Nicaragua's flag

requirement has deep historic roots,of which Costa Rica cannot help but be

aware. In her pleadings to President Clevelandin 1887, Costa Rica referred

approvinglyto a note of protest that Nicaragua sentto the Government of the
United States of America in Washington, dated7 October 1863. In this note,

Nicaragua protested thatthe flag of the United States had been used while

navigatingon the San Juan, declaring that: ''Nicaragudoes not feel disposedto

consentthat any other flag,excepther ownandthatof Costa Rica, asa bordering

state, should floain the navigation of her interiorwater^'" A^'.Costa Rica's

389See"AnotherCostaRicanMap 'TaketheRiver1",(ENirevaDiario, 26August1999). NR,
Vol.11,Annex 23; see also Lefrom EduardoMontealegreForeignMinisteofNicaragua,to
LorenzoGuerrero,Directoofthe Nicaraguan InstituTourism,1September1999and Email
from AlfredoFerretiLugo, SecretaryGeneralof the NicaraguanInstitute of Tourism,to Cafio
BlancoMarina,13September1999. NR,Vol.11,Annex14.

390Argumentof CostaRicaop.cit.,p.251NR, Vol.11Annex 5(emphasisadded).ownpleadingsto theArbitratoracknowledge,sinceat least 1863,shortlyafterthe
Treaty of Limits was executed, Nicaraguahas considered it inherent in her

sovereign rights overher own "interiorwaters," includingthe §an Juan River,to

decide whose flag may fly on vessels navigating in those waters, and she has
carefully indicated that hers togethewith Costa Rica's (notthat of Costa Rica

alone)could be flownovertheSanJuan.

4.95. Costa Rica contends in the Rep& that the comparison in the Counter-
Memorial between the rules of the law of the sea and those governingriver

navigationis "extravagant7"". Butwhy so? To the contrary, it is both reasonable

and appropriate to assimilate navigation on a river, over whicha State is

acknowledgedto have exclusive dominionand supremecontrol (sumoimperio),
with internalwaters or territorial seas.As the Courtrecalled in its1986Judgment

in Nicaragua v.United StatesofAmerica:

"The basic legal concepts of State sovereignty in
customaryinternationallaw,expressedin, interalia,Article

2, paragraph I, of the United Nations Charter,extendsto
the internalwaters andterritorial seaof every State andto
tbe air space about its territory. [...T]he1944 Chicago
Convention on International Civil Aviation ,. in
conjunction with the 1958 Geneva Convention on the
Territorialea,Wher specifiesthatthe sovereigntyof the
coastal Stateextends to the territorial sea and to the air

space above it,as does theUnites Natians Conventionon
the Law of the Sea adoptedon 10 December 1982. The
Court has no doubt that these prescriptions of treaty-law
merely respond to hly established and longstanding
tenets ofcustomaryinternationallaw.7J92

"'Militarand ParamilitaryActivitieand lagainstNicaragua(Nicaraguv.UnitedStates),
merits,judgmento27June1986,ICJ Reports1986,p1 11,para.212.Clearlythesameholdstrueregardingriversinwhich ariparianhasexclusive

jurisdictionandsovereignty- asisthecaseofNicaragua andthe San Juan,as

explicitlyprovidedinArticle VI ofthe Z858 TreatyofLimits.

4-96. In sum, by requesting foreignStates- includingCosta Rica - to flyher

own flag, together with theirs, Nicaraguais merely exercisingher sovereignty

over the river, withoutby any means impedingnavigation. Nicaragua's flag
requirementviolatesnosightsof CostaRica,

4,97. Each and everyoneof the regulations with which Costa Rica take ssue

is expressly designedand implemented to protect Nicaragua's legitimate

sovereign interests. They have also been crafted to avoid imposing any
significantorunreasonabIeburdens on.CostaRica orhernationals;andinfact,no

materialburdens havebeen imposed.Theregulationsprotect not onlyNicaragua

but also the peoplewho enter theriver expectinga safe journey, the local

residents who desire a secure neighbowhood, and the members of the
international communitywho place great value on consewingthe river's rich

biological diversitforCture generations.As shown:

a. The requirementthat a11persons navigating on the river report to
Nicaraguan borderposts is a reasonable measure to protect the

environment,prevent criminal activita, d ensurenavigationalsafety;

b. The requirement that all vessels obtain a departure clearance
certificate is alaoreasonablemeasureto protect the environment,

prevent criminal activitandsecurenavigational safety; c. The prohibition of navigation atnight (exceptin emergencies) is a

reasonable measure to protect the environment,prevent criminal

activity, andsecurenavigational safety;

d. The prohibition on fishing from boats on the river is a reasonable

measureto protecttheenvironment;

e. The requirement thatpersons enteringthe river undergo immigration

processingis a reasonablemeasureto protectNicaragua's bordersand
her sovereignty;and

f, The requirementthat vesselsofa certainsize flytheNicaraguan flag -
-aswellas theirflagof registry --is areasonablemeasure to manifest

andprotectNicaragua'ssovereigntyovertheriver.

4,98. Nicaragua takes her obligation to safeguard the river, its users and
residents,and its environmentseriouslyand has designedher regulationsto meet

this responsibility. ThatCosta Rica wishesto sidestepthese regulationsbecause

she finds themsomehow inconvenient,or inconsistentwithher own pretensions
to extend her "rights" over the river, is clear. However,Costa fica's desireto

exempt herself fiom these basic environmental,security, safety and border

protectionmeasurescamot diminishNicaragua'sright,asthe exclusivesovereign
power, to reasonably regulate navigation on the San Juan River. CHAPTERV:

COSTARI[CA9S ALLEGEDRIGHTS OF PROTECTION, CUSTQDY AND
DEFENCEOFTHE SANJUAN RIVER

Introduction

5.1. Though the vehicleof this case, Costa Rica seeks to expand herrights

under the 1858 Treaty,as interpreted inthe1888 Cleveland Award,to an extent

that would negateNicaragua's"exclusive dominion and supremecontrol(sumo

imperio)over thewatersof the SanJuan river" forallpracticalpurposes393.Her
Reply provides hrther proof of CostaRica7srefusalto acceptthat thiswaterway

is wholly within Nicaraguan territory, and thereforeunder Nicaragua's

sovereignty.

5.2. Thus, Costa Rica continuesto base rights onthe shifting sands of non-

binding documents and inapposite cases ,nd to conjurerightsfrom provisionsof
the 1858 Treatyandthe ClevelandAwardthat grant nosuchrightsat dl.

5.3. By claimingthisbroad arrayof rights onthe SanJuan River, Costa Rica

effectively claims shared sovereigntyover the river. Sincea direct and open

claimto this effect wouldbe precludedby the 1858~reai$'~, CostaRicaseeksto

attain her objectivethough a multiplicity of lesser,yet still quite significant,

claims - a "death by a thousand cuts"strategythat sheevidently believes will
enableherto attainher goal.

39"Co~faRica-NicaraguaTreaty of Lim(Cailas-Jere,5April1858",in Argumentan the
Questioofthe ValidiofthePeaty oLimitsbetweeCostaRica and Nicaragua,Washington:
GibsonBros.,1887,DocumentNo. 1, ArticlVI (hereinaf"1858 Treaty(Englishversion
submittto PresideClevelanbyCostaKca)"). CRM,Vol. TI,Anne7(b)p,50.

39Seeibid.5.4. She should not be permitted to do so. Giving effect to Costa Rica's

claimed rights ofprotection, custodyand defence would render entirely illusory

the quid pro quo embodied in the 1858 Treaty, which as shown in Chapter 11,
Section I,legitimized theannexationby Costa Ricain 1824of the large districtof

Nicoya (Guanacaste) in return for recognition of Nicaragua's exclusive

sovereignty over the San Juan River. More fundamentally, validation of these

claims would negate Nicaragua's sovereignty over the river,treating it asf the
boundary followedthe median line rather than the right bank. The injustice of

such a result is obvious,but Costa Ricanevertheless continues to seek it,orits

hnctional equivalent.

5.5. This chapterwill show that,as to the scopeofthe rights claimedby Costa

Rica to use the San Juan River, the Reply fails to rebut Nicaragua's Counter-

Memorial. In particular,iwillbe shown thatCosta Rica has no rightto perform

police hnctions onthe San Juan River,or to navigatethe river with vessels of her
public security forces except to the limited extent recognized inthe Cleveland

Award: with vessels of her revenue service, when (and only when) such

navigationis necessaryto protecther right to navigate"conobjetosde comercio."
The chapter will also demonstratethat Costa Rica has never sought to exercise

thisright,and that, in any event,Nicaragua has nevedeniedorbreachedit.

SectionI. The Scopeof Costa Eca's Alleged Rights

5.6. Costa Rica recites a litany of authorities undthe heading, "Applicable
Law" --the same sources she referred to in her Memorialin this regard--in her

effort to establish "public rights of protection, custody ~nd defence." Thesesources are no more availing for Costa Rica than they were when first cited;

CostaRicafailstorefbteNicaragua's challenges tothem.

1. ArticleIY ofthe Treaty ofLimits

5.7. CostaRica first alleges that her "publicrights of protection,custodyand

defenceare established in ArticleIV of the Treatyof Limits," andthat "[tlhese
rightshave implicationsfor CostaRica7snavigationon the San~uan'"~~.That

Article-- whoseactualtext, perhaps understandably ,osta Ricadoes notquote in

the Reply to substantiatethe above contentions --for the most part lays down
abligations,not "rights"as they are characterizedby CostaRica, It provides as

follows:

"ArticleIV.

The Bay of SariJuan delNorte, aswell as theSalinasBay,
shallbe commontobothRepublics,and,therefore,boththe
advantages of their use andthe obligationto contributeto
their defenceshall alsobe common. Costa Rica shall be

bound, as far as the portion of the banks ofthe SanJuan
river which correspondto it is concerned,to contributeto
its custody inthe same way as the two Republics shall
contributeto the defence of the river in case of external
aggression;and this they shall do with all the efficiency
within theireach."396

5.8. Article IV is straightforward. It begins by addressing thebays at the
Atlantic (Caribbean)and Pacific endsof theborder betweenthe two countries. It

39CRR, para.3.79.

391858 Treaty(Englistranslationsubmittedto PresidentClevelandby CostaRica),ArticleIV.
CRM,Vol.11,hex 7@),p.49.providesthat sincebothbays are "common"to the two each has rights

("advantages of their use") and duties (?he obligationto contribute to their

defence") in respectof the bays. TheArticlethengoes on to addressthe portion

of the Sar?JuanRiverwhere the rightbank formstheboundary. It provides that
Costa Rica hastwo obligationsregardingthisportion ofthe river. m, she has

an obligationto contributeto thecustodyof the river"as fa as theportionof the

banks ofthe SanJuanriverwhichcorrespondto it is concerned.398"Second,she

has an obligation, with Nicaraguat ,o "confxibuteto the defence of the riverin
caseofexternal aggression."

5.9. Costa Rica seeks to make these very limitedrights and obligationsthe

basisof greatly expandedrights of navigationonthe San Juan River with vessels

of her public security forces.As made clear in the ~oanter-~ernoriaP~~ ,uch

rightswouldbe incomp&tible not only with Nicaragua'ssovereigntyoverthe San
Juan,but alsowithPresidentCleveland's decision that CostaRca has no rightto

navigateon the river with vessds ofwar, and that only vessels ofCostaRica's

revenueservice may use the river,and only thenwhennecessaryto protectthe

righttonavigate "conobjetosdecomercia."

5.10, Contrary to CostaRica's inflatedcontentions,theordinarymeaningofthe
termsof ArticleIV, intheir contextand in the light ofthe Treaty'smainobject

and purpose (the establishmentof a boundary), is that while Costa Rica may

397Thequestionispresently notissubeforetheCourt,butthe extenof th"common" nature
of theBay ofSan Juan waslimitedby the ClevelandAwardanditwasleftin the delimitation
executedby thAlexanderAwardstotallywithinNicaraguanterritoThe other"common"Bay
of Salinaswaspartiallyddimitedby the AlexandAwards.Whenthe term"common"bays is
usedinthese pleadinby Nicaraguaitisinthispecialsense.
3981858Treaty(EnglishtransIatisubmitteto PresidenClevelandbyCosta Rica)Article IV.
CRM,Vol.IT,Annex7@),p. 49.

39See NCM,paras. 4.2.28-4.2.35.defendthe two bays using vessels-- since "the advantages oftheir use and the

obligationto contributeto theirdefence fare]common'7 and the Bayof San Juan
in 1858 was accessibleby sea --she may dischargeher obligationsto contribute

to the river'scustody("cguarda" anddefenceonlyfrom her own banks, andonly

"incaseof externalaggression,"

5.11 As noted in the ~ounter-~ernorial~~? this interpretationis confirmedby

the second report of Assistant Secretary of State George L, Rives, to whom

President Clevelanddelegated the task of preparinga draftofhis arbitralaward.

In a passage set forth in theCounter-Memorial, a portion of which is worth
repeatinghere,Rives saidofArticle IV ofthe treaty:

"All that article requires is th&Costa Rica should repel

foreign aggressionon the river with all the efficiency
within herreach. If under the termsof the Treaty,Costa
Rica is not permittedto maintain vesselsof war on the
River she cannot be regarded as derelict if she fails to
oppose foreign aggression in that quarter by her naval
forces. .,. CostaRica would only be bound to contribute
to the defenceof the streamby land, a modeof defence, it
maybe added,whichseemsbetter adaptedto aRiverofthe

size and character of the San ~uan."~'~ (Emphasis in
original)

5.12. This interpretationofthe relevant portionof ArticleIVwould seemto be

the only one possiblein light of(a)Nicaragua's exclusive sovereignty ovetrhe
river under the 1858 Treaty, (6) the prohibition.of navigationon the river by

Costa %can warships under the Cleveland Award and (c) the restrictioof

navigation by Costa Rican revenuevessels (which are not defence vessels)ta

'"SeeNCM, para.4.2.31.
'" Reportof GeorgeL. Rives(Second)(hereinaft"RivesReport"), pp. 211-2oforiginal
handwrittenversioNCM,Vol.11, Annex71,p.251.circumstances relatedto and connectedwith, or necessaryto theprotectionof,

navigation"'conubjetosde comercio,"also underthe ClevelandAward.

5.13. Costa Rica, however, does notrespond to Rives' analysis directly,

confining herselfto the statement that"'within its reach' does not necessarily

correspondto 'ffornits shore'. Itcouldequallywe11 mean that each State shall

actwithmaximumefficiency."402 CostaRicaexplainsneither theimplicationsof
such an interpretation nor how the interpretation can be squmedwith the

contennporaneousone made by Rives, as a neutral third party tasked with

proposing a resolution of the dispute, or with President Cleveland'soutright

rejectionofherpretensiontonavigateon theSanJuanwithmilitaryvessels.

5.14. Therefore, contrarytoCosta Rica'scontention,Article IV ofthe Treatyof

Limitshasno "implicationsforCostaRica'snavigation on the SanJuan."

2. Article VIof theTreraqofLimits

5.15. Aftermakingthe contention regardingArticle IV of theTreaty ofLimits

discussed above, Costa Rica states in her Reply: "Moreover, Article VI
establishesa perpetualright of fiee navigation for Costa Rica,hich of course

includes navigation with public vessels. This was recognizedby the Second
,7403
ArticIeof theCleveland Award ....

5.16. It is truthatArticIeVI providesthat "the Republic of Costa Rica shall
have the perpetualrightof freenavigation"on the Sa JuanRiver. But what is

40CRR, paw.3.93.
403
CRR,para. 3.79(emphasiadded).inconvenientfor CostaRica is thatArticle VI saysnothingaboutpublicvessels.

Instead, it refers onlyto &freenavigation"con objetos de coirzercio":'Iperola

RephbEica de Costa-Rica tendriiendichm upas, 10sderechos perpetzkosde libre
navegacidn, . ..con objetos de comevcio .,. .(butthe Republicof CostaRica

shall have perpetual rights, in the said waters; of free navigation ...for the

purposes of ~omrnerce)''~~'

5.27. fights of freenavigation witharticlesof trade (or even for purposes of

commerce, as per Costa Rica's translation)are not exercised by Costa Rican
publicvessels,either today or inthe mid-nineteenthcentury405. Perhapsrealizing

this,CostaRica seeksrefuge, notinArticle VI itselfbut intheClevelandAward.

5.18. Costa Rica relies in thisconnection on the Second paragraph of the

ClevelandAward. But she satisfies herself with merelyquoting thatparagraph,

and adding thatthe paragraph"recognised"that a "right of free navigationfor
CostaRica . . .ofcourseincludesnavigation withpublic vessels'7406 H.ow the

Secondparagraph of the Cleveland ward^' ^ecognizesa right of "navigation

with public vessels," or what kinds of public vessels other than those of the

revenue service that are specificallymentioned,Costa Rica does not explain.

Thiscontentionthereforeremainsanunsupported allegation.

404Cost aica-NicaraguaTreatof Limits(Jerez-Caiia,5 April1858,in CoEecci6de Eas
Leyes,Decretoy Ordenesexpedidopor 10SupremosPoderes LegislatlyEjecutivode Costa
Rica eelaffode I858(hereinafter"1858Treaty (originalSpversion)"),TomoXV,,1871,
ArticlVI.CRM, Vo1.11Annex 7(a),pp41-42.

40SeeNCM, para4..2.8.
40CRR,para. 3.79.

40Quotedin ibid.5.19, And it is an allegation that:isespecially unsupportable in light of the

question that Costa Rica put to President Cleveland at the arbitration, and his
responseto it. After quotingArticleVI of the Treaty,Costa ZiicaaskedPresident

Cleveland: "Does this mean that Costa Kca cannot under any circumsta~ces

navigate with public vessels inthesaid waters,whether said vessel isproperly a

man-of-war, or simply arevenue cutter, oranyother vessel intended to prevent
smuggling, or to carry ordersto the authoritiesofthe bordering districts, ofor

any other purpose not exactly within the meaning of transportation of

rnerchandi~e?"'~~President Cleveland's response was to recognize no general

right of Costa Rica to navigate with her public vesselson the San Juan River;

instead he recognized only a right to navigate with vessels of the Costa Rican
"revenue service,"and only thenas necessaryfor the "protection" of navigation

"for purposesof commerce". This languageplainly excludedthe uses of the river

identifiedby Costa Rica inher questionto the Arbitrator,suchas "to carry orders

to the authoritiesofthebordering districtsoreven "toprevent smuggling," since
the revenue service vessels that PresidentClevelandpermitted to navigate on the

riverhad to be "relatedto and connected withher enjoymentof the 'purposesof

comerce+"'

5.20. Any other navigation rights accordedto Costa Rican public vessels,
including vessels of her police or border security forcewould be inconsistent

with Nicaragua's entitlement -- under the Cleveland Award -- to exclusive

dominion and supreme control (sumo irtzperio)over the river. This was

recognizedby President Cleveland, and it explainwhy he limitedthe use of the
river by CostaScan public vesselsto thoseof the revenue service engagedin the

protection of her right under Article VI of the 1858 Treaty to navigate "con

'0Argument ofCostaRica,op.citp.155.NR, Vol.11,Annex5(emphasisadded).

228objefos de comercio." Nevertheless,Costa Ricanow asksthe Court to adjudge
and declare that Nicaraguahas: "theobligationto allow Costa Rican official

vesselsthe rightto navigate theSanJuan,includingforpurposesofre-supplyand

exchangeof personnel of theborderpostsalongthe rightbank of theRiverwith

their official equipment,including service arms and ammunition,and for the
purposesofprotection asestablishedinthe relevant instrument,ndin particular

article2 ofthe Cleveland ward."'^ ^osta Ricahopesthe Court willnot notice

that shemade virtuallythe same requestof PresidentCleveland 130 yearsago,
andthat he rejectedit.

'.3. OtherDocuments Invoked by Costa Rica

5.21. Costa Rica expands her argument beyond the 1858 Treaty and the

Cleveland Award, and invokesstnumberofothersources sheallegestobepart of

the "applicable Thisiscurious inlightof theparties' agreemen hat the
scopeof CostaRica'snavigationalr.ightsmustbe determined by referenceto the

Treatyof f858 andthe 1888Cleveland Award. At paragraph 1.18 of theReply,

for example,Costa Rica correctly states that"the parties agree thatCostaRica's
navigational rightsare defined by the 1858 Treaty md the 1888 Cleveland

Award." The point issignificant becauseeven as Costa Rica admits that the

scopeof hernavigationrightsis definedby the Treatyof 1858 andthe CIeveland

Award, she consistentlyseeks to expandthose rights beyond the obvious
limitationsthoseinstrumentsestablish.

"'CRM, Submissions,2(g).

41ThesesourcesarediscussniNCM, paras.3.2.1-3.2.14.5.22. Tothis end,Costa Ricainvokesthree additional instrumen,allingthem

"relevant" without sayinghow they are relevant, or apposite, the present

case"". Costa Ricain factreferto onlyone of them--the Cuadra-Lizmo Joint

ComuniquCof 30 July 1998"*,discussedin Chapter11,Section11, and again
belowatparagraphs 5.94-5.99--inattemptingto answerNicaragua's arguments.

These instrumentswere aI1shownto be unhelpfulto Costa Rica's casein the

~ounter-~ernoriat'hnd again inChapter 11,Section11,of thiRejoinde re;

Replyfailstobreathe any lifeintothem,

B. COSTA NCA'S RESPON SE THEANALYSI SNTTKECOUNTER-MEMO RSTAL
NoANSWE RO NICARAGUA A RS UMENTS

5.23, Costa Rica attemptsto answer Nicaragua's analysisof why she lacks

"public rights of protection, custodyand defence" of the kind she

Theseattemptswillbe shown tobeineffective inthefollowingparagraphs.

5.24. Costa Rica asserts foreasonsthat she contends"militate infavourof a

right ofnavigationonthe SanJuanby CostaRicanpublicvesselscarryingpolice
with normalarms."415These"reasons"constituteassertionsthat Costafica,for

themost part, makenoattemptto substantiate,

4"SeeCRR, para.3.81.
412
See"Ministrof DefencofNicarag-aMinistrofGovernment,Police PubliSecurity
of CostaRica, JoiCommuniqud(Cuadra-Lizano),Managua30 July 1998" (hereinafter
"Cuadra-LizaCommuniqu&')C. RM,Vol11,Annex28.
4'SeeNCM, paras.3.2.1-3.2.14.

4'SeeCRR,paras.3.86-3.94.
41CRR, para3.86. "The first [of thereasons citeby Costa Rica] is that the re-supplyof
5.25.
posts is covered by the right of free navigationfor purposes of cammerce in

ArticleVI of the 1858 ~reaty.''~~~One would expectthat such a remarkable

assertion--and it wouldbe remarkableeven if "can obg'etod7ecomeucio"were
properlytranslatedas"forpurposesofcommerce" --wouldthenbe explained and

documented. But it inot. Instead, CostaRica simplyrefers to herMemovial,

which itself failto show any logical or treaty-supportedlinkage between the
"rightof freenavigationforpurposesofcommerce"on the onehand,and the"re-

supplyof [police]posts" on the other, Certainly, President Clevelanfoundno

suchlinkage.

5.26, Without Wher explanation, the Reply proceeds directly to the second

reason. "The second [reason] is that navigationunder Article VI of the 1858

Treatycannot be effectively protected without thuse of such Why
not? CostaRicanever explainswhy protectionof her right under Article VI --

the rightto navigate"can objetosde comercio" -- requiresthe presenceon the

river of vessels of her police or other public forces, apart frthose of hew
revenue service, whose useof theriverPresident Cleveland expresslauthorized,

but onlywhennecessary toprotect CostaRica'srighttonavigate"con objetos de

comercio." By expresslylimitingCosta Rica'suse of the river to vesselsof the
revenue service,he necessarilyexcludeduse by other publicvessels,especially

for purposes otherthan commerce, Finally on this point, it mightbe wondered

why and &om whom ""navigatiounder Article VI of the 1858 Treaty" --i.e,,
navigation"con objeios de covnercio"-- would requireprotection. CostaRica

does not clariQ this point,but presumably shedoes not meansuch navigation

'IIdem.
41Ibld.would require protection from Nicaragua. In any event, it is Nicaragua, asthe

exclusive sovereign over the river, that has both the right and responsibility to

providepoliceprotectionofnavigationonthe river.

5.27. Costa Rica7sthird reason is "for the defence of the common border and

the commonbays under Article IV of the ~reaty"~T 'h~s argumenthas already

been shown to be without merit4I9. In addition, Article IV itself specifically

makes separateprovision foxeachof the two sectors-- the bays and "the banks of

the SanJuan river." As has been demonstrated420C , ostaRica may dischargeher

obligations to "protect" the San Juan River -- i.e., to contribute to the river's
custody ('"uvda") md defence --only from her own banks, and only "in case of

externalaggression7"'.

5.28. The fourth reason givenby Costa Rica for a "right of navigation on the

San Juanby CostaRicanpublic vessels carrying police with normalarms" isthat

"it would be impossible, withoutadequate re-supplying of the border posts, to

prevent or deter unlawfuI activities in the (land) border area (smuggling,
trafficking in persons).Itwould also be impassibleto hlfil official acts such as

police investigationsin a timely

5-29. Even assuming everything Costa Rica asserts in the above-quoted

language is true, which is not proven (indeed, Costa Ricasubmits no proof

41sCRR, para.3.86.

4'see NR, paras.5.8-5.14,
420Seeibid.

4211858Treaty (EnglishtranslasubmittedtoPresidentClevelandbCosta Rica),ArticleIV.
CRM,Vol. 11Annex7@), p.49.
422CRR, para.3.86.whatsoever in supportof this assertion), it would hardlyconstitute a legal
justification for entering Nicaragua's sovereign territory and utilizing that

territoryto performhnctions that shouldbe performedon CostaRicanterritory.

This reason is part ofthe themeof CostaRica'scase: needs(evenon land, and
eventhough unproven)createrights(on theriver). Obviously, theydonot.

5.30. Moreover,theevidenceshowsthat thereisnotevena need forCostaRica

to re-suppplher border posts via theSanJum River, On the contrary,there is
incontestableproof --foundin Costa Rica'sownAnnexes,as will be described

below --that sheis ableto re-supplyher borderpostsalongthe right bankof the

San Juan by land,and in factdaes so.Accordingto theNicaraguanArmy officer

responsible for the San Juan River Province, "the Costa Rican Civil Guard
usually we-suppliesits posts by land, for which purpose they have feeder

roads"423. Further,"he has evenobservedthat a highwayis beingbuilt in their

territory,runningparallelto the San Juan~iver"~'~.In fact, the roadsto Costa
Rica's borderostsare depictedonCostaRicanmaps,includingthe one shownin

paragraph5.98. Thusit seemsclearthatthere isnot evenaneed, let alonearight,

forCostaRicato re-supplyher borderpostsviatheriver.

5.31, Costa Ricamakesmuch hss about Nicaragua'sPresidential Decree No.
65-2005of 28 September2005, citing a press reportof October 1,2005,which

she sayshas"aggravated"the"sihrationYdz5 C+ostaRicareproduces severalofthe

operative paragraphs of the decree, which is entitled "The Government of
Nicaraguawill not allow Armed Navigationof ForeignForces in Nicaraguan

"'AffidaviofColoneRicardoShchezMhdez, 7 December2006.NCM, Annex 91,p.322.
42Ibid.

42CRR,para.3-87.Territorial Not surprisingly, Costa Rica omits the preambular

paragraphsof this decreeentirely. These paragraphsexplainthe motivesfar the

decree,includingthefollowing:

After the timelimit fixedin the Declaratioof Alajuela,of

September 26, 2002 expired, CostaRican authorities have
resumedan intense campaign along with statementsmade
by some officials,with the claim of cawing out armed
navigationinNicaragua'sSanJuanRiver.

Any claim from foreign forces to cany out armed
navigationin Nicaraguan sovereign waters constitute- in
itself a threatto thecountry'sinternaland externalpeace

andsafety and lessens the essentiinterestsofitssafety.

The public claim tousetheNicaraguan sovereign watersof
the San Juan River for the passing of armed personnel,

relief, transportationof weapons, ammunitionand any
otherforeignmilitaryor policeactivity,withoutan express
authorization,constitutesan intolerable challenge to the
sovereign attributions of dominion and sovereign
jurisdiction thaNicaragua has over its waters along its
whole length.

Article 111(Sovereignty)Clause 2 of the Inter-American
Convention Against the Illicit Manufacturing of and
Trafficking in Firearms, Ammunition,Explosives and
OtherRelatedMaterials ofNovember 13, 1997,reads: '<A
State Party shall not undertakein the territoryof another

StateParty the exerciseofjurisdictionand performance af

42CRR, para.3.88. functionswhichare exclusivelyreservedto the authorities
of thatother StateParty by its domestic

5,32, The decree,therefore,is a perfectlyappropriatestatement ofthe obvious:

thata Statewill defend itself againstunauthorizedincursionsby armedpersonnel

ofother States.

5.33. Costa Rica'scharacterizationofit calls for the followingremarks: fist,

Costa Rica gives no substantiationother than a singlepress account for her

assertion that a 'Tuing order"was issuedm8.Suchseriousallegationsshouldbe

substantiated by officialsources,not by sensationalpress accounts. Second, the

expression "firirinagrder," while it might sell newspapers, is inappropriately

inflammatory when usedin a pleadingbefore fie Court, It, in effect, suggests
thatNicaraguanofficers wereauthorizedto "shooton sight" when,in fact, by its

own terms, the press account in questiondescribesthe "order" as "Intercept,

4" NicaraguanPresidential DecreeNo. 65-200of 28September2005, OfficialGazetteNo. 188
of September29,2005. CRR, Vol. TI, nnex69.
428See "Amy guardsthe river", (LaPrensaI October2005). CRM, Annexes,Vol. V, Annex
182,p.743

(OriginalSpanish:"..Interceptar,capturarabrifuego esla ordenque recibi6 ayer la patrulla
nicaragilensede vigilanciadel rio Juan,en casode avistaruna embaracibncon guardiaticos
armados.

Enarbolandola Bandera deNicaragua,am1y blancola Ianchadcl Ejbcito Nacionalrecibi6ayer
la vozdezarpe delcoronelRicardoShnchez ,efedd destacamentosur,paracumplirlamisi6nde
proteger la soberania de1rio SaJuan. La nave reford 10spuestos militares nicaragiienses
ubicadosen ElCastillo,Bartola,Bocade SanCarlos,Sarapiqui,DeltSan JuandeNicaragua.
El capith JustoJod Gonzklez,jefe de sector fronterizoy de la palmlla de vigilaelria,

parti6 a1rnediodiadel viemes juntaWJ contingentemado y 10spertrechos necesarios para
cumplirsumisi6n.
El coronefShnchezdijo que la medida no afectarhla vida cotidianadc 10scolonos ni de 10s
turistas.

'Inspeccionaremosque se cumpla con el derecho a1 zarpe y en caso de las embarcaciones
costarricensesque ingresanpor elaactividadescornerciafcsy katuristano hayprobblema,
loquenotoleraremoses quela guardiricaingrese armada',advirdijefe militar.").capture or open fire," clearly treating the latter as a last r-sbut one that
wouldbe opento any Stateif armedforcesfromanother Stateentered itsterritory

without authorizationand refusedto lay down their anns or leave.172iu again

by its own terms, the press account relied upon by Costa Rica contains the

following quotation from ColonelRicardo Sbchez of the Nicaraguan Army:
"there is noproblem if Costa Rican boats navigateinthe river, for commercial

purposes [the original Spanish expressionis not givenor if they bring tourists.

But, we will not tolerate thatCostaRicm guardenters armed'742g .nan affidavit

given on 7 December 2006, Colormel Shchez, Chief of the Southern Military
Detachment,whichhad the responsibilityto provide security along the San Juan

River, states thatCosta Rican vessels carryingtourists were indeed permitted to

navigate on the San Juan River provided they complied with the applicable

Nicaraguanregulatoryrequirements430. Colonel Sanchezfurtherstates that"since

he has held [his]position, the Costa Rican Civil Guahas not navigatedthe San
Juan deNicaraguaRiver,norhas he received any permissionrequest toengagein

this activity"43'.Fourth,the preambleof the PresidentialDecree refersto the fact

that "Costa Rican authorities have resumed an intense campaign along with

statements made by some officials, with the claimof carrying out armed
navigation in Nicaragua's San Juan River." Examples of these provocative

statements by senior Costa Rican officials are provided below, at paragraphs

5.89-5.91. Giventhat such armednavigation isnot permittedby the 1858Treaty

or the ClevelandAward andthat it:has been expresslyprohibitedby Nicaragua, it
is only natural in view of Nicaragua's uncontestedsovereigntyoverthe river to

regard the unauthorized entry into Nicaraguan territory by armed forces of

430SeeAffidavitof ColonelRicardoSanchezMknd7zDecember2006. NCM, Vol.11Annex
91,pp.321-2.another State as a threat to Nicaraguan territorialintegrity and securityAny

State would respondas Nicaragua didto such threats to itssovereignty. Fifth,

after quoting theoperativeparagraphsof the decree,Casta Rica makes bold to
contendthat: "This orderalso amountsto a violationof ArticleIX of the Cafias-

J6rezTreaty, according to which neither Costa Rica nor Nicaragua "hall be

allowedto commit anyact of hostility againstthe other,whether in the port of
SanJuandelNorte,or on theSan Juanriver,or theLake of~icara~ua"'~~~.

5.34. It is of courseCosta Rica thatwould be"commit[ting][an]act ofhostility

against" Nicaragua by entering her territory under arms, not the other way
around. It is therefore CostaRica that would be in violation of Article IX by

engagingin armednavigationon the San Juan,not Nicaragua fordefendingher

territory. And this suggests sixthand finalobservation:Putting the situationin
the light most favourable to Costa Rica, there was clearly a serious dispute

regarding Costa Rica's armed navigation on the San Juan River. Why, then,

wouldCosta Rica inviteconflictby statingshewould do just that?

Costa Rica nextreturns to navigation by vessels of the revenue service.
5.35.
Shestates:

"It may be recalled that under the SecondArticle of the
Cleveland Award navigation by vessels of the Revenue

Serviceis explicitlypermitted:
'as may be related to and connectedwith [Costa Rica's]
enjoyment ofthe 'purposesof commerce'accorded to her in
[ArticlVI of the 1858Treaty],or as may be necessaryto

the protection of said enjoyment.'(Emphasis addedpy
CostaRicaf .)

"'CRR,para.3.88. The lastpar tf the phrase clearlypoints to defencematters.
The Central American Cow of Justice supported this
reading when it pointed out that in the zone of common
navigation, merchantmen as wellas public revenue vessels
have a freecourse over the River and free access to both

5.36. It has already been pointedout, in Chapter11,Section31,that:the decision

of the Central AmericanCourt:of Justicehas no precedentialvalue in the present
case,as theCourt there wasdealingwith a differentissue434But evenifthat case

were relevant, the Central American Court's decision will not support Costa

Rica's assertion. ThatCourt:did not read the Second Article of the Cleveland

Award as conferring rights as to "defence matters." To the contrary, it
understood theAward as permittinguse ofthe river, in CostaRica's own words,

by 'merchantmen" as well as "public revenue vesseIs": in other words, vessels

engaged in navigation"conobjetosde copnercio" or engaged,as necessary,in the

protectionof such navigation. This is no morethan what President Cleveland
decided in 1888. As explained in the ~ounter-~emoria al'ofthe available

evidence points to President Cleveland'sdeterminationto restrict navigation

the San Juan by Costa&can revenuevesselsto the protection of navigation"con

objetos de comercio,"not to a willingness, on his part, pernit:their use for

"defence" or related purposes. An examinationof the tvavaux pr&paratoiresof
theAward,including theRivesreport, confirmsthis conclusion.

5.37. President Cleveland explicitly placed two conditions on Costa Rica

regarding navigationby any of her revenuevessels on.the SanJuan River:First,

43CRR,para.3-89(footnoteomitted).
43SeeNR, paras2.124-2.128.

43See,e.g.NCM,paras.3.1.46-3.1.57;4.2.26-4.2.27.thevesselsmust be"relatedto andconnectedwithherenjoymentofthe 'purposes

of commerce'accordedtoher in [Article VI of the1858 Treaty]";or second, such

navigation must be "necessaryto the protection of said enjoyment"436.Costa

Rica, in the passage from her Reply quoted above,focuses upon the second
condition. Insighi:intowhattheArbitratorintendedby this condition isprovided

in the secondpart of the report preparedby AssistantSecretaryof StateRives,to

whom President Cleveland delegatedthe task of drafting his arbitral award.

These portions of Rives' second report were notin any way questionedby the

Arbitrator;indeed,they appeartohaveguidedPresidentCleveland's findings.

5.38. Rives first summarizedCosta Rica'sargumentsregarding navigationon

the SanJuanwith warships. In thesearguments, CostaRica: drew an analogyto

ports of fiee entry and asserted that theywere consideredto be accessibleto

foreign men-of-war; contended that "by the usage of nations navigation of
territorial watersby foreign public vesselscan only be forbiddenby express

stipulation...;'"7and frther contended that Article 1V of the 1858 Treaty,

requiring that both States "contributeto the defence of the river in case of

externalaggression," meant that she ""mustbe permittedto maintainher vessels

onthe SanJuan in orderto guardand defendit withall theeficiency withinher
reach''438.These arguments have particularresonance today,one hundredyears

later,sincetheyaresimilarto thoseCostaRjcamakes in this case.

5.39. Rives responded bluntly to Costa Rica's contentions concerning

navigationon the SanJuanRiverbyher "publicvessels":

436ClevelanAward, op.cit.,para.Second. CRM,Vol. 11,Ann16.

437Ibid.
438RivesReport,op.cifp.56of originalhandwrittenversiNCM,Vol.IT, Annex 71,p. 253
(emphasiadded). "Some of these argumentsmaybe dismissedat once.

The prohibition of acts of hostility on the river, cannot be
construed as conferring on Costa Rica a right to maintain
upon its waters public vessels in time of peace. The
implication, instead woulseem tobe the otherway.

The right of Nicaraguanvessels to land freely on the Costa
scan side confers no right on Costa Rica to maintain a
river police. She has undoubtedly the rightto establish

Custom Houses alongthe River and to maintain aforce of
revenue officers.But this forcneednot necessarilypafxol
the river in boats. This may be a convenient way of
preventing smuggling; butit inot so necessaryan incident
to therightsof Costa Rica toenforceher customslawsas to
be inevitably implied ex-necessitatefrom the provisions of
thetreaty.''439

5.40. Thus, even navigation by public vessels of Costa RJca's revenue and

customs service is not ordinarily necessaryto protect her navigational rights on
the river, As Rivesfound, customs enforcementona riverasnmow and sparsely

traffickedasthe San Jum canjust as effectivelybe performedfromland. Rives'

obvious reluctance to find in the Treaty a right of navigation for Costa Rican

public vessels is not surprisingin light of another passage in the secondpartof
his report,inwhich he emphasizesthe consequencesof Nicaraguan sovereignty

overthe SanJuan River. Thepassage reads as follows:

"It must not be forgotten that the sovereignty and
jurisdiction of Nicaragua extend over allthe waters of the

San Juan. In the unusual and forcible language of the
Treaty, she possesses exclusively the dominion and
supreme controlof these waters.CostaRica is boundednot
by thethalweg, or the middleof the stream, butby its right
bank. Any vessel navigatingthe river is,therefore, within

43Ibid pp.56-57oforiginalhrtndwriversion(emphasisadded).

240 Nicaraguanterritory;and onNicaragua fallsexclusivelythe
duty ofpolicingthe

5,41, This passage highlights the difficulty, in viewof Nicaragua's exclusive
sovereigntyover the river, of findingrightsin Costa Rica to navigate on the Sm

Juan with public vessels of her securityforces. Italsa shaws that the official to

whom President Cleveland delegatedauthorityto prepare a recommended award

concludedthat the Treatycompelledthe conclusionthat Nicaragua"exclusively"
had the right, andduty,to policethe stream.

5.42. In Tight of the foregoing, only the rare circumstances would make

navigation on the river by Costa Rican revenue servicevessels "necessary to the

protection of [the] enjoyment [of Costa Rica'srights of navigation 'conobjetas
de corpzercio']."As Rives wrote, Costa Rica was perfectly capable of enforcing

her customs laws from her own territory, and if doing so from the Nicaraguan

river was not necessaryat the time of the ClevelandAward it would seem even

lessnecessary today.

5.43. CostaRica's argumentin 1888, regarding ArticleIV ofthe 1858Treatyof

Limits, also sounds remarkably similar to her argument today. Costa Rica's

prior argument is worth quoting at length because it so closely parallels the

content andtenorof her currentpresentation:

"All that I have said in this portion of my work in
explanation of the factsand law whichrelate to the subject
might be erroneous, badly brought, irrelevant, and
absolutely inadmissible on general principles, and,
nevertheless,it:would be truethat Costa Rica can navigate

with men-of-war and other Government vessels an the

440Ibid.p. 5ofariginahandwritteversion(emphasiadded). waters of the San Juan river. It is Nicaragua herself who
has solemnly grantedthat right by an article of that very
same treaty whichshe aIlegesto be doubtful,or capable of

differentinterpretation.
'CostaRica shall also be bound,' says the second part of
Article IV of the treaty, 'owingto the portion of the wight

bank ofthe San Juan river, whichbelongs to it,...to co-
operatein its custody; and thetwo Republicsshall equally
concw in its defence in case of foreign aggressions; and
this will be done by them with allthe efficiency that may
be withintheirreach.'

It canbe seen by these phrases,as plainly and transparently
as theycanbe,that CostaRica has not onlythe right but the
duty, or to follow exactly the language of the treaty, the
"obligation,"not onlyofwatching, guarding, and defending

itsown river bank, but of contributing to the custody and
defenceofthe other bank belongingtoNicaragua.

Let it notbe saidthattheituthorityto navigatewith men-of-
war is only confined to the special case of foreign
aggression. The treaty does not refer to this case
exclusively, but speaks also of gumd or custody, which

means watching, vigilance, and other thingsof permanent
character and necessarilyprevious toactual defence. This,
especiallyin a river, cannotbe improvisedat the very same
instant that trouble arises; since, inorderthatit may be
possible and efficient, a perfect knowledgeof the locality,
which cannot be acquired except by navigating the same

river,is absolutelyndispen~able."~~'

5.44. Rivesfomd CostaRica's ArticleIVargumentmpessuasive:

"The stipulationsof ArticleTV throw no light on this questionAll
that Article requires is that Costa Rica should repel foreign
aggression on the river with all the efficiency within her reach.

[Emphasisin original.]If undertheterns of the Treaty,CostaRica
is notpermittedto maintainvessels of war on the River she cmot

~rgument ofCostaRica,op.cit.,pp. 159-160. Val.11Annex 5. be regarded as derelicifshe fails to opposeforeign aggression in

that quarter by her naval forces, Impossibilitiesare not required.
CostaRicawould only be boundto contribute tothe defenceof the
stream by landa ,modeofdefence, it may be addedwhich seems
better adapted to a River of the size and character of the San
JUCI~,''~~~

5.45, Nothing in the Second paragraph of President Cleveland's award is

contrary to any of the quoted passages from the Rives report. Indeed, all
indications are that the Arbitratorbasedis findings on Rives' analysis. Thus,

when PresidentCleveland states that Costa%ca may navigate on the San Juan

with such revenue vessels 'bs may be necessary to the protection of said

enjoyment," he isbest understood as incorporating the concept of "necessity"

articulated by Rives. As fives wrote, while itmight be "convenient" for Costa
Rican revenue officers to ply the San Juan in revenue vessels to prevent

smuggling,they "need not necessarilypatrol the rivein boats." Patrollingon the

river "is not so necessaryan incident to the rights of Costa Rica to enforce her

customs laws as tobe inevitablyimpliedex-necessitatefiromthe provisionsof the

treaty77443.

5.46. The conclusion isunmistakable: when PresidentClevelandrejected Costa

Rica's allegedright to navigate withshipsofwar, he necessarilyalso rejected the

rationalesCostaRica had offeredto supportthatwould-beright, includingArticle

IV of the 1858Treaty and the need to "guard" the river. Insofar as CostaRica

has repeatedly accepted the ClevelandAward as binding --a position expressly
reiteratedin both the Memoriaa lndReply --she cannot now be heard to argue

that PresidentCleveland'sdispositionof her argumentsconstitutes anythingless

442RivesReport,opcit.pp.56-58of originalhandwrittenversion. NCM, IT,nnex 71, p.
253-254(emphasisadded).
"3 Ibidp.57 of originalhandwrittenversion(emphasisadded).than resjudicata. Indeed, it is telling that Costa Rica has admitted that "the

President correctly gauged the scope of Costa Rica's right[to navigate with

public vessels]"444. Accordingly, this Court cannot but follow President
Cleveland'slead andreject Costa Rica's claim thatshehas eitherthe right or the

obligation to patrol the San Juan River with police boatsperforming security-

relatedfunctions.

5.47. This conclusionis borne outby CostaRica's actualcustoms enforcement
practicesoverthe last 150years sincethe Treaty ofLimitswas executed. As will

be shown below, CostaRica hasfailed to submit any evidencethat her revenue

service or other customs enforcement vessels ever navigated on the San Juan

River for the purpose of protecting her enjoymentof the right to navigate"con
sbjetos de cornercio." To the contrary, the evidence shows that Costa Rica's

customsenforcementactivitiesover the last century anda half have been carried

out on land, or on rivers exclusively within Costa Rican territory (i.e, the
Sarapiqui,the SanCarlos,andthe Colorado Rivers).

5,48. This background renders implausible CostaRica's next contention:that

President Cleveland"ruled that CostaRica'spublic vesselswere entitledto their

own, specific treaty right to navigateon the Costa Rica seeks to
support this contentionin two ways: firstby quoting paragraphSecond of the

ClevelandAward; andsecond, curiousiy, by referring to the fact that President

Cleveland rejected Rives' proposalof a broadwightof navigationon the riverfor

Costa Ricm public vessels. These bases of Costa Rica's argumentwill be
examined inturn,

~4 CRR,para.3.90.
Ibid.5.48. First, merely referringyet again to the Secondparagraphof the Cleveland

Award does not assist Costa Rica. The most obvious problem the paragraph

poses for Costa Ricsl has just been noted: all of the evidence --including

PresidentCleveland'shavingbanned navigationby CostaRicanwarships,and his
dispositionto restrict navigationby CostaRicanrevenuevessels to circumstances

when it is necessaryto protecther rightof navigation"cobjetasde comercio" -

- points in the directionof no navigation by Costa Ricanpublic vessels, not the

opposite.

5.50. Second, as even Costa Rica recognizes446P , resident Cleveland rejected

the broad right of navigation "with vessels of war or of the revenue service"

proposedby GeorgeRives. Rives' proposalwas based on a theorysimilarto the

position advocated by Costa Rica in the arbitration: assimilation of a right of
public vessels to navigate on the San Juan Riverto the generarightto navigate

with public vessels in the watersof a State'sterritorial sea. Costa Rica seeks to

turn President Cleveland's rejectionof this proposal to her advantage, arguing

that rather than restricting her navigation rights, the Axbitrator was actually
enlarging them:

"President Cleveland ... considerEed]that Costa Rica held
more than simply a 'privilege'enjoyedby everybody. This
is why he ruled that Costa Rica's public vessels were
entitledto their own, specifictreaty rightto navigate on the
~iver,''~~~

The effect of Costa Rica's argumentis thashe professesto consider that
5.51.
the explicit controls placed on her public vessels by President Cleveland(no

warships; revenue service vessels may use the river only to protect navigation

44Seeibid.

44Ibid."con objetus de comercio") are preferable to the broad latitude accorded those

vesselsunderthe Rivesproposal, Thatis, sheasksthe Courtto view this limiting

decision by President Cleveland in a light favourableto her, But, the effect of
President Cleveland's action isprecisely the contrary. In rejecting Rives'

proposal regarding "vessels of war or the revenue sewice," President Cleveland

demonstrated clearly his determinationto respect Nicaragua's sovereignty over

the SanJuan Rives byprohibitingthe laseof theSm Juan by Costa Rican public
vessels, withonlyone exception: revenueservicevessels engagedin protectionof

therightto navigate"conobjetosde cumevcio."

5.52. With respectto President Cleveland's languagei ,t is telling that he chose
a form of words that makesclear that CostaRica'sright of navigationon the San

Juan with revenue vessels is derivativeof and entirely dependenton navigation

"conobjetusde comercis" under ArticleVI of the 1858 Treaty. Itisnot a free-

standingright. Thus, Costa Rican public vesselsare only permitted on the river
to the extenttheirpresence"may be relatedto and connectedwith" or "necessary

to theprotection of' her "enjoymentof the "purposesof commerce' accorded to

her" in Article VI. By necessary inference, Costa Ricanrevenue service and
otherpublicvessels arenut permittedon the SanJuan for anyotherreason.

Section11. Evidenceofthe Parties'SubsequentPractice

5.53. Costa Iiica attemptsto support her claimto a broad right to navigate the

SanJuan withpublic vessels carryingpolice with normal arms by invokingwhat

she callstne "solid practicesupportingthat claim. T'hefallacy of this assertion

will be exposed in detail in the following sectionsof this chapter.the Court
will read,CostaRica's argumentsnot only findno supportin therecord, they are

expressly refuted by that State's own evidence. Before turning to that point'however,Nicaraguawill first addresselementsof thehistorical record that show

why there was and is no practice to buttress Costa Rica's case. In short, the
evidence availableis conspicuousin its sparsenessprecisely because, until Costa

Rica'spolicy change in1998,both partiesalwaysunderstoodthat Costa Rica had

no right tonavigatethe SanJuanwithpublic vessels.

5.54. The parties agreed to submittheir disputeconcerning the validity and
interpretationoftheTreatyof 1858 to arbitrationbyPresidentClevelandby treaty

dated 24 December 1886~~~. But the agreement to submit their dispute to

arbitrationdid notputan end to theireffortsto settle thecase extra-judicially, To
the contrary,they continuedtonegotiatebetweenthemselves inan effortto arrive

at a mutuallyacceptableresolution. Those effortsyieldeda treaty dated26 July

1887 which affirmedthe validity of the Treaty of 1858, resolved paints of
disputedinterpretationarisingfiomthat treaty,andcreatednewrights. The 1887

Soto-CarazoTreaty was promptlyratified by fonnal act of the Constitutional

Congress ofCostaRicaon 9 August 1887,just14days afteritsexecution.Itwas

ultimately rejected by Nicaragua, however, whichdecided to maintain her
objectionsto theTreatyof 1858and pressforward withthe arbitration,

5.55. Although the 1887 treaty never came into force, it does contain a

provisionbearing directly on the issuesnow beforethe Court. Nicaragua, of
course, recognizes that the 1887 treaty does not have the force of law.

Nonetheless,to theextentthatitwas ratifiedby theCosta%can Congress(injust

two weeks, no less), it constitutesprobative evidenceas to how Costa Rica

SeeNCM,para.4.contemporaneously understood her right (or non-right)to navigate the San Juan

with public vessels underthe Treaty of 1858, especially to the extent that her

contemporaneous understandingcontradicts the position she now takes in this

litigation449.

5.56. Article VI of the Sob-Carazo Treaty addresses the issues of disputed
interpretationof the Treaty of 1858, and provides that "[tlhe aspects of

questionable interpretationof the Treaty af 15 of April 1858 that have been

presented to date areresolved in the following therein stated. One of

the issues so resolved concerned CostaRica's right to navigate on the Sm Juan

with public vessels. Accordingtoparagraph3 ofArticle W:

"The right, grantedto CostaRica, of navigationfor [abjetos
de comercio]in the San Juan River,from itsmouth to three
English miles before Castillo Viejo, dues not include

navigation with war or Jiscul vessels exercising

5.57. Thus,as of 1887,just 29years afterthe conclusionofthe 1858Treaty and

on the eve of the Cleveland Arbitration,Costa Rica recognized that she had no

right to navigate on the San Juawithpublic vesselsexercisingjurisdiction. It is

unlikely thatPresident:Cleveland would havebeen unaware of this Treaty that
would have put an end to his arbitration. As Arbitratorhe could not have failed

to note that the Treaty had been tlly acceptable to one of the parties, and the

thinkingbehindhis Awardwould have takenthis intoconsideration.

449See Cme concerning Militav and Paramilifmy Activitiin and against Nicaragua
(Nicaraguav.UnitedStatesoAmerica)Judgmentof 27June1986,Merits,pgas. 64-73,

450CaM, Vol. 11,Annex15,p. 90.
451Ibi(emphasisadded).5.58. This interpretation, of course, flows naturally from the plain text of
Article VI of the Treaty of1858 which givesNicaragua"exclusivedominionand

supreme control (smo imperio)" over the San Juan River. Indeed, the

significance of theword ccexclusive" inArticle VI shouldnot be overlooked. In

English as well as Spanish, its meaning is both simple and indisputable.

Accordingto Webster'sCollegeDictionmy,it means"not admitting of something
else"; "oomitting ftom consideration or account"; "limited to that which is

designates'; "shutting out all others from a part or share"452.The dictionaryof

the Spanish Royal Academy is to the same effect. '%xclusivo"means "qua

excluyeo tienefuerza y virtudpara excluir"; "zinico,solo, excluyendoa cualquiev

otro (that which excludes or has the power or right to exclude; unique, only,

excluding any other)"453. Costa Rica herself has always recognized that
Nicaragua alone enjoys sovereignlyover the river454. The acceptance of any

Costa %can jurisdiction on or over the San Juan River would therefore be

inconsistent withthe plain terms of Axtick VI of the Treaty of 1858-- exactly as

Costa Rica recognized when she ratified the 1887 Soto-Carazo Treaty and

thereafter.

5.59. It is for this reason that President Clevelandtook such evident paitinsto
circumscribe Costa Rica's right to navigate the San Juan with vessels of the

revenue service. By anchoring them in, and making them attendant to, Costa

Rica's right to navigate "con objetosde comevcio"under Article VI, he ensured

that this narrow exception to Nicaragua's otherwise exclusive sovereigntywas

kept withinproper bounds.

452RandomHouseWebster'sUnabridgedDictionary,SecondEdition1998.

453 Royal Spanish Academy, Dictionmy of the Spanish Language, Twenty-second Edition,
Availableahnp://www.rae.es/.
45SeeCRR,para. 2.69Seealso,CRM,Vol. 111, nnex80.5.60. The soundness of President Cleveland'sruling, and the logic of his

rejectionof CostaRica's arguments,were well captured at the timeby one of
CostaRica'smost prominent jurists, RicardJoimknezOrearnuno,who served as

Presidentof CostaRica onthee separateoccasions. Writing aboutthe Award

justafieritwas issuedin 1888,he explained itas follows:

"Las Novedades [a Spanishlanguage newspaper]of New
York criticizes theawardbecause it does not giveus the
right to navigatein thSm Juan with vesselsof war. The
criticism, would say, is unfounded, The emphasis with
whicharticle6 of the treatyconsignsthat Nicaragua shall
have the dominio and sovereig~tyover the waters ofthe
river manifestsa desire to establisha difference between
the rightsthat were agreedthat Nicaraguaand Costa Rica
would have in those waters, Now,if merchant ships and

vessels of war of both Republicsnavigate freely and
indistinctly on the river; whereis it manifested, what
practical effect doesthesolemndeclaration have thatthe
dominionandsovereignty overthewaterscorrespondingto
Nicaragua? The rest of that article corroborates this
meaning.It was considered that thatabsolute affirmation
wouldtakeaway from Costa Rica all use,all enjoymentof
the river, and as that was not theintention,the exception
wasput immediatelythereafter, whichstipulatedthat Costa
Rica would have in said waters perpetualrights of fiee

navigation, with 'objectof trade.' the exceptiondues
notalso appear inthearticleinfavor ofvesselsof war, the
infe~encsislogical:itwas notthoughtthat Costa Rica had
that right.The argumentthat is gleaned from ;;uticle4,
regarding the obligatithatCostaRica hasto contributeto
the defenceof the riverincase of foreignaggression, was
perceived as much less thanconclusive.Costa Rica shall
contributeto that defence when the foreseen hypothesis
occurs.In themeantime,intime ofpeace, withoutthemost

remote riskof hostilities,to pretend that ourvesselsof war
navigateto contributeto a defencethat no attack provokes
is to get to the subtlenesswith which the Nicaraguans
examined the treaty. CostaRica,byvirtueof articl4, was
obligatedto defendthe San Juan as an ally of Nicaragua;
and, when has itbeen seenthat an ally, by being an ally,
pretendsto have the right, without therebeing a wax, to transit with&OOPS through the allied territory, navigate its

internal waters with vessels of war or station fleets in its

5.61. Nicaragua iscontent to adopt the words of PresidentJirnknezOreamuno

as her own. Costa Ricahas not the right of navigationof the SanJuan River with

any public vessels,includingpolicevessels,performingdefenceor other security-

related functions. Just as Nicaraguapreviously the only exceptionto
this rule arises in the eventf foreign aggressionas mentioned in Article TV of

the Treaty of 1858, inwhich case Costa Rica may (at Nicaragua's request)

contribute to the defence of the river, There has, however,never been any such

foreign aggression,and CostaRica.

5.62. It may be seen from the foregoing that Costa Rica has failed to offer a
persuasive response to Nicaragua's showing,in the Counter-Memorial,that the

Applicant State lacks "public rights of protection, custody and defence" of the

San Juan River. These alleged rights find no basis in the I858 Treaty as

interpretedinthe 1888Cleveland Award,whichtogether constitutethe applicable

law in this case. To be sure, the ClevelandAward recognizesa limited right of
CostaRica to navigate the San Juan River with vesselsof her revenue service.

Nicaragua has alwaysrecognizedthat right. However, aswill be shown below,

Costa Ricahas presentedno evidencethat she eversoughtto exerciseit --that is,

she has offeredno evidence that she ever sought to use the San Juan River to

protect navigation "con objetos de comercio," Nor has Costa Rica presented
evidencethat Nicaraguaeverdeniedorprevented herexerciseof thisright.

455RicardoJimhnez Oreamuno,His Thoughts,1980,p. 55.NR, Vol. 11,Annex 32 (emphasis
added).
456SeeNCM, paras.4.2.28-4.2.36;5.2.1-5.2.12. B, COSTA RICAN PUBLIC VESSEL S AVENEVER ATTEMPTET o PROTECT
NAVIGATIO "CNON ~BJETOSDE COMERCIU"OR HAD THE NEED TO DO SO

5.63. Nicaraguaagreesthat CostaRicahas aright under ArticleVI of the 1858

Treaty of Limits, as interpretedby paragraphSecondof the ClevAward, to
navigate on the San Juan River "with such vessthe revenue serviceas may

be related to and connected withher enjoyment of the 'purposesof commerce'

accordedto herin said articor,as may be necessaryfor the protection of said

enjoyment"457.

5.64. However, thereis no evidencethat Costa Ricaever exercisedthis right, or

that Nicaraguainterfered withit. At no place in her Memorial,or in her Reply, or

in any of the 317 annexes to her pleadings, does Ricaacite even a single

example ofnavigationon the San Juan River by a vessel of her revenue service
related to, or connectedwiornecessaryfor the protectiofher enjoymentof

the "purposeof commerce," Nor doesCosta Rica offer evidencethat Nicaragua

preventedor otherwise interfered with the navioftany such vessel. This is

a rather remarkable omissionfiomCostaRica's pleadings, and it cannot have

been anoversight. Etmust meanthat CostaRica hno suchevidenceto offer.

5.65. This conclusionis reinforcedby theevidenoa navigationby her public

vessels that Costa Ridoes submit. This evidence, consistofga handfulof

contemporaneous documentsfiom 1892, 1894-1909, 115,1968, 1991-1992and

1994-1998,as wellas affidavits fromcuxrentanformer police officers, shows
that navigation on the San Juan River by Costa Rican public vehas been

infrequent and foverylimited purposes,and thait hanever been related to,

45ClevelanAward,opcEt,para.SecoCRM,Val.11,Annex16,p. 98.

252connectedwith, orfor the purposeof protectingcommerce.Rather,CostaRica's
evidence demonstrates thaton the relatively rare occasions when her public

vesselshave navigated onthe San Juan River theyhavedoneso for one of three

pwposes: (1)to bring suppliesor replacementpersonnelto policeposts in Costa
Rica; (2)to cany out certainlawenforcementactivities;or (3)to delivermedical

or other social servicestoipariancommunities. None of theseactualuses of the

riveris relatedta, connectedwith, or necessarytoprotect CostaRica'senjoyment
of the "purposes of commerce,"and thereforenone of them is encompassed

within the right affordedto Costa Ricanrevenueservicevessels underparagraph

Second of the ClevelandAward,That explainswhy Costa Rica regularlysought
and obtained prior authorizationfrom Nicaraguabefore navigatingon the river

with her publicvessels foreachof thesepurposes. On occasion,as Costa Rica's

evidence showsandNicaragua doesnat deny, Nicaraguarefksed to authorizethe
requested navigation. But Nicaragua's reksal cannot constitute a violationof

Costa Rica's rights becauseCostaRicanpublic vessels haveno right to navigate

on the riverwhen the navigationis not relatedto, connected with,or to protect
CostaRica's enjoymeno tf navigation""conobjets decornevcio."

5,66. As demonstratedabove,the SanJuan River stopped serving asan outlet

for Costa Rica's foreigntrade soon after the Treatyof Limitswas executedin
1858, Forthereasons explained inChapter 111 ,tparagraphs 3.53-3.58,theroute

fiomcentral Costa Rica to PuertoViejode Saxapiqui by land, andthen down the

SarapiquiRiver to theSan Juan River andfiom there tathe sea, andwas soon
abandoned in favorof otherroutes tothe Atlantic,especiallyafter the railroad

was put into operationbetween Central CostaRica and Puerto Lim6n on her

Caribbean coast in the last quarter of the nineteenth century. Costa Rica's
commerceon the San Juan Riverwas strictly local, consistingof nothing more

thantrade in basic goods andgroceriesbetween theCostaRicaninteriorand thefew andsparselypopulated ripariancommunitiesthat existed on the right bank:of

the San Juan, and between those communities andthe Nicaraguan town of Sm

Juan del Norte. As shownin Chapter111n , othing has changedinthisregard for
the past century and a half. Tradeon the San Juan River has remained strictly

local,and of low volume,carriedon in small, privately-ownedboats operatedby

soleproprietorswithoutcrews458.

5.67. This explains why Costa Ricahas never employedrevenue servicevessels
on the San Juan River to protect her enjoymentof commerce there. The trans-

Atlantic trade via theSan Juan River envisioned in the mid-lgth century, and

which Costa Ricasoughtto safeguardby insistingthat:her commercialnavigation

rights be recognized in the 1858 Treaty, never materialized. That was the
commerce that Costa Rica intended to protect with herrevenue service vessels,

not the local tradebetween small communities along theSan Juan River that has

actuallytaken place, This trade has been so localizedthat for much of the last
150 years Costa fica has treated it as internal, ahas had no customs posts

through which goods enteringCostaRican waters fi-omthe SanJuan have had to

pass. During those periods when customs posts were maintained, Costa Rican

authoritiesrequired vesselsto stopforprocessing only aAerthey entered Costa
Rican wtt.ters,that is, after they left the San Juan and enteredthe Sarapiqui,the

San Carlos or the Colorado Rivers. They conducted no customs enforcement

activitieson theSanJuan itself.

5.68. Costa Rica's contemporaneous documentary evidence reflects no
navigationby Costa Rican revenue serviceor other fiscal or customs vessels on

the San Juan. Nor does it reflect any customs enforcementby Costa Rican

458SeeNR,paras.4.12-4.22vessels on the San Juan. Costa Rica admitsthat she had no Revenue Guard at all

until1886(28 years afterthe Treaty of Limits was executed),and even then that
it was establishedon the Colorado~ivef~~. Belying Costa Rica's assertions,the

reports of the local Guard commanders covering the period 1894 to 1909 s~y

nothing about the presence of Costa Rican vessels on the San To the

contrary,the report of3 1March 1894states:"The security services alongthe San

Carlos, Sarapiqui,Tortuguero,Revantazbn, and ParsirninaRivers and the Pereira

and Palma charnels all in CostaRica, asshownbelow in SketchMap 8, continues

uninterrupted;the less important channels are also safeguarded as long as the

other duties allow it"46'.The San Juan River is conspicuous by its absence Irom
this list.

"9 See CRM,para. 2.1.

4G0See "Report of the Commander ofthe Post Rio Colorado-ColoniaIrazito theGeneral
Inspector of the Treasur31 March 1894". CRM, Annexes, Vol. VIAmex 211; see also
"Report ofRafaelCmz, Commanderof the Post Rio Colorado, tothe General inspeof the
Treasury,Note No.89, 10March 1895". CRM, hexes, Vol.VI, hex 212; "Report of the
Sub-Inspectorto theTreasofColorado tohe General Inspectorof the Treasury,24 November
1908". CRM, Annexes,Vol. VI,A1~1ex215; "Report ofthe Sub-Inspector to the Treasuryof
Barradel ColoradototheGeneralInspectorof the Treasury,7 December190CRM, Annexes,
Vol. VI,Annex 216,

461"Reportof the Commanderof the PostRia Caiorado-ColoniaIraziito the General.Iofpector
the Treasur31March 1894". CRM,hexes, Vol.VI,Annex 211. ALLEGED LOCATION5 WHERE COSTARlCAN

5.69. The reporof 10 March 1895 describes the aofacoverage otwo

Guard postonthe bank of the ColoRiver,antwo onthe Costa Ricanbankofthe SanJuanRive?". Allof theareasmentionedaxein CostaRica.Theareas

covered bythetwopostson the SanJuan,at themouths ofthe Sarapiqui and Sm
Carlos Rivers,extendfiomthoseposts upriwr, that is, insideCostaRicanwaters.

Thelistedcoveragedoesnot includethe SanJuan. Thesamereportdescribesthe

seim of ''thee boats caving imported goodsfrom San Juan deI Norte, that

attempted to go unnoticed by the guardsinorderto avoidthe payment of export

rights..?"63.Thedescriptionof the event(theonlycustoms seizurementionedin

the report)makesit plain that it occurredupon theboats'entryinto Costa&can
waters. Equallyunhelpfulto Costa Rica is thereport:of7December1909which

was presumablysubrniaedbecause of the statement that"I ordered, up to the

SarapiquiGuardPost, to conduct ageneralhomesearchof the neighbors on the

marginsofthe SanJuanRiver atthebeginningofthismonthwiththe purposeof

finding out whether any revolutionarieshad taken refuge theref14", Quite

obviously,a '"generalhome search"couldonlybe undertakenon land, Thereis
no mention or reason $0 assume that navigationon the San Juan River was

attendant to this activity.

5.70. Citing these very reports, Costa Rica argues in her Memorial that
9,465
"Lu'jndoubtedlthesefiscalguards usedthe SanJuanto performtheir duties .

Tothe contrary,thereports themselves makeno mentionofanynavigationonthe

SanJuanRiver, and leavenoreasonto presume that itoccurred. All othe Costa
Rican posts mentioned in the reports were accessibleby river transport from

46See"ReportofRafaelCrua,Commander of thPostRioColoradoto theGenerainspectorof
theTreasurNote No.89, 1March1885".CRM,Annexes,Vol. VT,Annex212.
"'Ibid.p. 865.

4G"ReportoftheSub-hspectortothTreasuryofBarradelColoradtotheGeneralInspectorof
theTreasur7, December1909".CM, Annexes,VolVI,Annex 216.
CRM, para.4.89.within Costa Rica, withoutthe need to transitheSan JuanRiver.And a11of the

mentioned riparian communities wereaccessible to the Costa Rican Guards

without traversingthe SanJuanRiver.

5.71. CostaRica's evidence jumps fiom 1908to 191 5,with the presentationof
tworeportsfromthe customsinspectoratRosalia,a CostaRicantownlocatedon

the San Carlos River, upstream from its mouth, whichis at the San Juan River.

These reports describe activities ientirelyinside CostaRica, between Rosalia

andBoca San ~arlo$~~.Thereisnomentionofanyactivityonthe San Juan.

5.72. The nextjump in CostaRica'sevidenceIsfrom 19 15 to 1968,a distance

of 53 years for which she providesno evidenceof her activities. CostaRica

presents three 1968 reports from a Revenue Guard inspector at Boca San

~arlos"~. Woneof them mentionsanynavigationontheSan Jua Rniver,letalone
navigationrelatedorconnected toenjoymentofthe"purposesofcommerce."The

reportof 26 July 1968 istypical.Itsays "I am sendinga cornplaintfiledin this

office by Mr. Pablo Lozano, regarding lpecac located in the place named

MFIERMTO, by the SatrJuan ~ivef"'~~.This is a referenceto a tiny riparian

hamleton theCostaRicanbank of the river.It is accessiblby land from Boca

4" See"Note kom Commandantof the RosaliRevenueGuard tothe DeputyInspectorof the
Treasury,20 Octobe1915". CRR, Vol. 1Annex 31; see al"Notefrom Commandant of the
RosaliaRevenueGuard totheDeputyInspectooftheTreasury,18December1915". CRR,Vol.
11Annex32.
467See "Notefram Sub Inspectoof thRevenue Guard inBoca deSan Carlos to Lieutenant
Lopez ofthe GeneralInspectorateofthe Treasury,26 July 1968".Vol.I%, nnex33;see
also'WotefromSubInspectoroftheRevenue GuardinBocade SanCarlostoLieutenant Lopez
oftheGeneralInspectorateoftheTreasury,29July1968CRR, Vol.11Annex 34; 'Wotefrom
Revenue Guardof Bocade SaoCarlosto ChiefofPersonnelof the General Inspectofa.the
Treasury,5August1968".CRR,Vol.11,Annex35.

468'WotefromSubInspectorof.theRevenueGuardinBocade SanCarIostoLieutenanLopezof
theGeneralInspectoraof theTreasury,July1968". CRR,Vol.TI,Annex33.San Carlos, There isno indicationin the report of any use of the San Juan River

to get there, or if there were, what relevanceit wouldhave, since the matter did

not involve commerce on theriver. The same could be said for the report of 29
July 1968, whichmentionsonly that the inspector went"to the place callePoco

Sol, by the SanJuan River, in order to verify the felling of tree.77469.Again,

there isno mention of navigation on the San Juan River, and the event had no

apparentrelationto commerceon the river.

5-73. Finally, Costa Rica jumps another 23 years, fxom 1968 to 1991, and

presents threereports fromthe Chief of Police atPuerto Viejo de Sarapiquidated,

respectively August 1991, April 1992 and May 199~~". None of these reports
refers to any specific activities carried outon the San Juan River, let done

activities related to, connectedwith, or to protect the enjoyment of navigation

"conobjetos de comercio." There is no mention of any customs enforcement,

because thew was no customs activity; thecustoms post thathad formerlybeen at

Puerto Viejo de Sarapiqui had been removed decades earlier. The May 1992

report statesthat: "On Thursday, 21 May 1992, we patrolled on the Sm Juan
River up to IslstsMorganand to the mouth ofSan JuandelNorte, and everything

was normal""'. This is the first and only mention of any patrolling activityby

Costa Rica on the San Juan River between 1858 and 1992, and there is no

"' Wote from SubInspectorof the RevenGuardinBoca de SanCarlosto Lieutenant Lopezof
the GeneralInspectorateofthe Treasury,29 July 1968". CRR,V, nnex34.

47See"Costa RicanPolice Major, Francisco CorCordoba,to CostaRicanMinisterofPublic
SecuritLuisFishmanZ., NoteNo. C.D. 0666-91,19August 1991". CRR,Vol, 11,Annex 36;
see also "Costa RicanPoliceMajorand Chief ofthe Post, Francisco CordobaCordoba,to Costa
Rican Directorof CivilGuard,Lieutenant ColonelGuillermoSkenz,NoteNo. C.D.O.81-92,
29 April 1992"CRR, Vol. 11,Anne37; seealso"CostaRicanChiefof Post, Major Francisco
Cordoba Cordoba,to Costa RicaDirectorof the Civil Guard, Lieutenant ColonelGuilleao
Siem, NoteNo. C.A. 372-92,25 May 1992". CRVol.11Annex38.

47"Costa Rican Chiefof Post, MajorFrancisco CordobaCordoba,to CostaRican Directorof the
Civil Guard, LieutenantColonelGuillemo Sienz, Nob No. C.A.372-9May5 1992". CRR,
Vol. 1, nnex38.explanation as to the purpose of the activity. There is no indication of any

relation to,or connectionwith, the enjoymentofthe "purposesof commerce."

5.74. That is all the evidence Costa Ricapresents, in her two pleadings and

related Annexes,on her use of revenue or other fiscal vessels to "protect" her

enjoymentof navigational commerceon the San Juan. By the 1970s,Costa Rica

had removed her customs inspectionfacilities from the right bank of the San

Juan, as well as from Puerto Viejo de Sarapiquiand Rosalia. Thereafter, there

was no customsenforcement with respectto any goods emanatingfromthe Costa
Rican riparian communitieson the San Juan, or from San Juan del Norte. That

situation has persisted to the present day. This is confirmed by the affidavit

testimony, attached hereto, of each sf the fiveNicaraguan Army commanders

who have been directly responsiblefor maintaining security on the San Juan

between 1979 and 2006~~~. The commanders alltestify that the only CostaRican

commerce on the river has been local, that it has never been threatened or

endangered,that Costa Rica has never dispatchedpublic vessels to the San Juan

for thepurpose of"protecting"this commerce,thatCostaRicahasnot maintained

any customsposts on her sideof the river or required goods entering CostaRica

from the §an Juan to pass through any customsinspection, and that Costa Rica
has never carried out or attemptedto carry out any customs enforcementactivity

on the The following conclusions musttherefore be drawn: (1) Costa

Riczthas not demonstrated thatshe has ever employedrevenue servicevessels,or

otherpublic vessels,on the SanJuan Riverfar the purposeof protecting her right

472SeeTaIaverAffidavitMR,Vol.11,Annex78; see alsShnchezAffidavit,NR,Vol.11,Annex

77;see alsoLargaespadaAffidaviNR, Vol. 11Annex 72; see also MembreiioAffidavNR,
Vol.11,Annex73;seealsoCentenoAffidaviNR, VoI.11,Annex 69.
473See TalaveraAffidavit,para8-10.NR, Vol. 11,Annex78;see alsoSanchezAffidavit,
paras4 & 6-7.NR,Vol. 11,Annex 77;seealsoLargaespadAaffidaviparas.3 & 7-9. NR,Vol.
11Annex 72;Membreiio Affidavit,paras.4& 9-10.NR,VoI. 11Annex 73;CentenoAffidavit,
para.4. NIIVol.11,Annex69.of navigation"conobjetos de comevcio" on the river;and(2) CostaRica hasnot

demonstratedthatNicaraguahas everviolatedthe right referred ta in paragraph

Second ofthe Cleveland Award.

5.75. WhileCosta Rica hasneversenther revenue orother public vesselsonto

the SanJuan Riverfor the purpose ofprotecting navigationalcommerce, she has

sentpublicvesselsontothe fiverfar threeotherpurposessince 1858,as indicated
above: to bring suppliesand replacementpersonnel to policeposts; to cany out

occasionallaw enforcementactivities;and to providesocial servicesto riparian

cammunities. Theseactualuses ofthe river by CostaRica, and the responsesof
Nicaraguan authoritiesin grantingor denyingpermissionfor them, are discussed

in turbnelow.

5.76, As explainedabove, Costa Ricadoes not havea rightto use theSanJuan
Riverfor thepwpose ofbringing suppliesor replacementpersonnelto her police

posts. Thispurposeis far removedfrom navigation con objetosde comercio or

navigationwith vesselsof the revenueservice toprotect theright to navigatefor
the"purposes of commerce."As such,it is not a right emanatingfrom the 1858

Treaty or the Cleveland Award.Since there is no right, CostaRica's use of the

riverfor thispurpose hasalwaysbeen subjecttoNicaragua'sdiscretion.

5.77. CostaRica claimsthather securityforces have habituallynavigatedonthe

riverto supplyand bring replacementtroops to policeposts, and that they have
done so without obtaining prior authorization from ~icaragua~~~.But the

"',SeeCRR,paras.3.91-3.95,4.50,4.70-4.73.evidence Costa Rica offers does not support this claim.In fact, Costa Rica's

documentaryevidenceon this supposedpractice covers only a fow-year period,
between 1994 and 1998. Costa Rica presents no documentary evidence that the

practice existedduringthe first13yearsafterthe Treatyof Limitswas executed,

between 1858and 1994;and she admits that she stopped navigatingon the river

for the purpose of supplyingher police posts in mid-1998and never resumed this

activity475.

1. Costa Ricu'sEvidenceRegardingtheSupply ofBorderPosts

5.78, The documentation suppliedby CostaRica concerningher usesof theSan

Juan River during the period 1994-1998consists of a single report, dated 18
December 1998, which was prepared by the Commander of the police post at

Boca Sarapiqui,Major HugoEspinoza Rodriguezof the Guardiu ~ivi$~~. The

23-pagereport helpfully presents ayear-by-yewaccountof navigationon the San

Juanby CostaRican public vessels. Citingthisreport, Costa Ricaclaimsthat: "A

register of Costa Rica's police navigation shows thatbetween August and

December 1994therewere 33 return journeys onthe Riverto Barradel Colorado,
107during 1995, 126in1997 andfive inJune 1998. Theregister alsoshowsthat

Costa Rica's police navigatedthe San Juan in the directiof Boca San Carlos

twicein February 1995,18 times in 1996,40 timesin 1997and23 times between

January and June 1998''~~. This is incorrect. The figures mentioneby Costa

Rica cannot have been derived from Annex 227, orfkom any other document

47See CRM, paras.5.105,5.109-5.seealso CRR,paras.4.50-4.52.
476SeeFirst CommandantM, ayor Hugo Espinoxa,SarapiquiAtntCommand,to General
Director ofthe BorderPolice, ColonelMax CayetanoVega,Note 3054-98,PDecember
1998.CRM,Annexes,Vol.VZ,Annex227.

47CRM, para.4.105.attached to Costa Rica's pleadings. The report itselfidentifies only ninejourneys

on the river, in total, duri1994, 26 in 1995,23 in 1996, none in 1997and two
in 1998. But more important than the number ofjourneys istheir purpose. A

close reading ofthis detailed account of the actual uses of the SanJuan River by

Costa.Rican public authorities reveals that there was not a single episode of

customs or tax law enforcement, not a single episode of protection of commerce

on the river,and not a single report of threats or danger to such comerce, The
document shows that Costa Rica simply did not use the river in any manner

related to, connected with, or toprotect the right of navigation"con objetos de

comercio." Instead, the principal use of the river bCosta Rican public vessels

was for the purpose of supplying and bringing replacetnents to police posts at

various locations on the right bank of the San JuanBy far, the largest numbeof
journeys was for this purpose. Apparently, not all sf these journeys were

specificallyreported.The section covering 1997, which does not describe what

voyages were made, says that: "no relevant eventswere recorded on the San Juan

River. Everything went normal during this period, besides for some small

operations related to undocumented Nicaraguan immigrants who came into the
national territory. The regular border staff'relief changes were made normally

while navigatingthe San Juan ~iver"~~~

5.79. The report does not state whether Costa Rican authorities obtained, or did

not obtain, permission fromtheir Nicaraguan counterpartsto navigate on the river

prior to undertaking their "regular border staff relief changes." Nor does the

report state what conditions Nicaragua imposed. It is completely silent on these

subjects. It merely states in several places that "no anomaliesre reported, but

47~6
FirsCommandant, MayorHugo Espinoza,SasapiquiAtlanticCommand,tGeneralDirector
ofBorder Police, ColonelMaxCayetano Vega,Note 3054-88,P.F.S.,18 December 1998".
CRM, Annexes,Vol.VI, Annex 227, p.962.only activities related therelief of personnel'y4919941, orthat "[elveqthing
went normal and only carrying out the regular stareliefchanges were made at

the borderposts"480(19961,or that "regular border staffrelief chanwere made

nonnally while navigatingthe SanJuan River" (1997)48'.Costa Rica supplied no
documentary evidence to demonstrate what the "normal" practice was, with

respect toher use of the river to bring supplies and relief staff to her border posts,

during thisperiod.

5.80. The evidence issuppliedby the Nicaraguan Army commanderswho were
directly responsible for security on the SstnJuan River betwee1994and 1998,

and wha issued authorizationsto Costa kca's Guctrdia Civi tlnavigate on the

river to conduct their supply and relief operations. According thisevidence,
the Guardia Civil routinely requested and obtained prior authorization from theNicaraguan authoritiesbeforesending its vesselsonmissionsto supplytheCosta
Rican borderposts. As testifiedby BrigadierGeneralDenis Membreilo Rivas,

who commandedNicaragua's SoutherM n ilitary DetachmenfromFebruary 1992

to December1995:

"During this period, I was requesteby a Guardia Civil
Commmder attheborderpostatLosChiles,Costa Rica,to
authorizetheGuardia Civiltonavigateintheir own vessels
along theSanJuanbetweentheirpostat Boca de Sarapiqd
and their postsat Delta(wherethe ColoradoRiver begins)

and Barra del Coloradoto bring suppliesand replacement
personnel to those posts. The Costa Rican Commander
explained that it would facilitate these supply and
replacement operationsif theuardia Civil coulddo itby
river,because the roadswere not very good. I gave my
perrnissian for this practice. Prior to each of these
operations, which occurred approximately once every

month duringmytenureat theDetachment, a GzaavdiaCivil
officer requestedauthorizationto make thejourney. I gave
the authorization, and communicated it by radio to the
Nicaraguan military post at Boca de Sarapiqui. The
Gzdardz' aivilvesselthenreportedto thatpost as itbegan
its journey, andreportedto the Nicaraguanpost at Delta
when it left Nicaraguan waters. At a11 times while

navigatingon the SariJuan,the CostaRicanofficers were
prohibitedfrombearing arms; theywere required to carry
theirarmson the floor oftheboat.At somepoint, 1 began
to requite that a Nicaraguan soldierbowd the vessel at
Boca de Sarapiqui and accompanyit during its journey
through the Nicaraguanriver; he disembarked at Delta,
when the vessel entered the Colorado River.Similarly,
whenevera Nicaraguan Armyvessel enteredCosta Rican

waters, either to attend meetings with Gua~dia Civil
off~cersor as part of ajoint operation,we were requibyd
the CostaRicanstorequestpermissionbeforeenteringtheir
territory,andto placeow arms on the flaor of the vessel.
We considered thisa normalpractice in deferenceto the
Statethat exercisessovereignty overthewaters.82

48Mernbreiioffidavit,para1NR,Vol. 1,nnex73.53 1. The Costa Rican reportof18 December1998confirmsthat this practice

was mutual. There are several examples mentionedin that report.: on 23

September 1994 a Nicaraguan Army vessel at Boca de Sarapiqui "requested
permissionto enter theCoseaRican territorythroughinlad waterwaywith the

purpose of attendinga meetingat theAtlanticCommand.ColonelWalter Monge

Rodriguez, FirstCommanderof the Unit is notifiedthereof and he himself

authorizes thisUnit toenterouterritorwithout on 1January 1995, a
sirnil aqsuest was made and the Costa Rican commander "granted the

authorization...and stated that they were authorized to enter that jurisdiction

provided that they did not bear any similarrequests were made and

authorizationsgiven, subjetotherequirementthat theNicaraguanArmyvessel

carry no arms while in CostaRican waters, on10 August 1995 and 26 March
1996485.

2. CostaRiccs'sChangein Policy inMay-July 1998,andNicaragua's
Response

5.32. The practice continueunderBrigadier GeneralMembrefio'ssuccessoras
Commander of Nicaragua's SouthernMilitary Detachment,Brigadier General.

CesarOvidio Largaespada Pallaviciniwho held thispositionfiomJanuary 1996

toOctober1997. Astestified byBrigadierGeneralLstrgaespada:

""Relationsbetween the Nicaraguan and Costa Rican
securitypersonnelstationedalongthe San.JuanRiver were

4gCRM, Annexes,VolVl,Annex227,p.944.
4aIbid .947.

48Seeibid .,.953,959. generallyexcellent duringthe time1 sewed as Chief ofthe

Military Detachment. Periodically, theNicaraguan post
commanders would meet with their Costa Rican
counterparts, either atthe Nicaraguanor the Costa Rican
post, andexchangeinformationoncriminalactivity.

...My headquartersalso authorizedthe Guardia Civilto
navigateon the river, intheirownvessels,for the purpose
ofbringing suppliestotheir postsatBocaSanCarlos, Boca
de Sarapiquiand Delta.Thesetripsweremade on average
once every month. The procedure was as follows: the
Guardia Civil requestedauthorizationto make a particralax
tripfor the purposeof bringingsuppliesto particular posts
on a particular date; authorizationwould be given by

Nicaragua, andthe Guardia Civil vessel would begin its
journey by reporting to the Nicaraguan post across the
river; a Nicaraguan sergeant wouldboard the vessel and
would accompany themon their itineraryon the San Juan
River; the Guardia Civilpersonnelwere not permitted to
travel armed,so their rifleswereplacedonthe floorof the
vessel and the Nicaraguan.sergeant made sure that the
stayedtherewhilethevesselwasinNicaraguan water^^"^^

5.83. Costa Rica has submitted affidavits.fromseveral of her Guardia Civil
officers who participated in these supplyand relief missions on the San Juan

River, for the purpose of supportingher claimthat theGuardia Civilregularly

navigatedon the riverwith their armsand withoutpermissionfrom Nicaragua.
But even these affidavits corroboratethe testimonof GeneralsMembrehoand

Largaespadaby stating that"fromaround nineteenninety-fourand thereafter,the

NicaraguanArmyasked one of the membersof the [GuavdiaCivil] to disembark
leavingtheirarmsonthevesselinorderto infom or communicatethe navigation

to theArmy authorities.Later,,,theNicaraguanAmy determinedthat thevessel

486Largaespadaffidavit,paras.NR,Vol.11,Anncx72.

267comingfrom Costa Rica had tobe accompaniedduringthe navigation.. .,748me

Guardia Civi officers acknowIedgethat the Nicaraguan authorities were always

notified in advanceof any voyageby a Costa &can public vessel, although they

attempt todownplaythe significanceof this by claiming it was"out of courtesy
,489
and as ameasureof mutualsecurity'A88 or"for coordinationpurposes ,

534, The normal practice of Costa Rican requests and Nicaraguan

authorizations continued into 1998, under Brigadier General Largaespada7s
successoras Commanderofthe SouthernMilitary Detachment,Brigadier General

Francisco Orlando Talavera Siles, who exercisedresponsibility for security over

the San Juan River from October 1997 until June 2000. Between January and

May 1998,the normalpractice continued withoutincident. That is, the Guardia

Civil requested authorizationfrom the NicaraguanArmyprior to each voyage of

one of its vessels to suppland relievestaff at its posts along the river, and the

Nicaraguan Army grantedthis authorization, subjecto the requirement thatthe
Costa Rican vessel report at the Nicaraguan military posts upon entering and

exiting the San Juan, and that theGuardiaCivil officers navigate unarmed490.

This state of normalcy is confirmed by the 18 December 1998 report of the

Gua~diaCivilcommanderat Boca Saxapiqui:'Trom January 98 through May 98,

487AffidavitoFirstLieutenaDanielSotoMontero(GuardiaCivil oCostaRica), 27 January
2006. CRM, Annexes,VolIV,Annex 89,p.480.

488Affidavitof SergeCarloLuisAlvaradoShnchm(GuardirCivilofCostahca),27 January
2006. CRM,Annexes,Vol.IV,Annex88, p.476.

489AffidavitDanielSotoMontero.CRM, Annexes,Vol.IV,Annex89,p. 479.
"' SeeTalaverAffidavipara. 3. NVol.11,Annex78.the book of minutes comprehensiveof two hundred pages doesnot record any
,741
irregularitiesor eventsonthe SanJuanRiverduringthesemonths .

5.85. The Memorial itself recognizes that prior to July 1998 there were no

Nicaraguan violationsof Costa Rica's rights "of a systematic or permanent

character"". "Bcyontrast in the periodafter July 1998,Nicaragua adopted a
policy involving systematicand permanent violations of Costa Rica's rights,

which continueto the present It is important,therefore,to examinethe

events that occurred in the middle of 1998, which gave rise to Costa Rica7s

claims'inthiscase.

5.86. 'we begin with Costa Rica's own contemporaneousaccount of these

events, as described in the 18 December 1998 report from the Costa Rican

commander atBoca ~ara~icjd'~. The accountstarts on 1 June 1998,with the
report: of a complaint from Colonel (now Brigadier General)Talavera, the

CommanderofNicaragua'sSouthernMilitary Detachment,about recent incidents

inwhich Guardia Civil vessels had detainedNicaraguancitizens navigatingon

the San Juan, on the suspicion that they were planning to enter Costa Rica

illegally:"Colonel Talavera of the FJicaraguanAnny] complained that no one
navigating theSan Juan River should be detained, since accordingto Colonel

Talavera,same days ago some officers ftom Delta Zero[a Guardia Civilpost]

had forcedsomepersonsto get off the boat. Thatevery timepersonnelfromthe

4"CRM,Annexes, Vol, VI,Annex227,p. 962.

49CIZM,para.3.01.
49"~id.,para.3.02.

49See "FirsCommandant,MayorHugo Espinozato GeneralDirectorof BorderPolice,"18
December1998. CRM, Annexes,Vof.VI,Amex 227.Atlantic Command[of the GuardiaCiviq navigatethe SanJuan River,they milst

placethe ams 011thefloorofthe ~essel.""~

5.87. The seizure and detentionof Nicaraguan citizensnavigating on the San

Juan by the Guavdiu Civi lbout which ColonelTaIaveracomplained, reflected
the implementation by the Guardia Civi olf a new Costa Rican government

policy, adopted inMay 1998by the incomingadministrationofPresident Miguel

Angel Rodriguez. Prior thereto, Costa Ricahad not detained or attempted to

detain Nicaraguan citizenson theSan Juan.Indeed,priorto the comingto power

of President Rodriguez, Guavdia Civil vessels had complied with all the
conditions establishedby the Nicaraguan Amy, including the requirement that

they navigatewarned and accompaniedby Nicaraguansoldiers. However, on 8

May 1998,the same day that President Rodrigueztook his oath of office, his

newly-appointedMinisterof Public SecurityJuan RafaelLizano, announcedthat

Costa Rica was adopting amuch more aggressivepolicyon theSanJuan Riverto

confront immigration from Nicaragua. As reported in the Costa Rican press:
"The Minister,..revealedthat throw beganbecausethe fomer Governmenthad

permittedthe presence ofrnicaraguan] militaryescortson the Costa Rican boats,

a situationhe prohibiteupon assumingthe responsibilityfor the securityof the
,496
countryon 8May.

5.88. Consistent with the changed policy of the newly-installed Costa Rican

government, the Guardia Civi gnored the conditions imposedby Nicaragua,

496'cC~UnfyirminMeetingwith.h~icara~uanN s"c'n,29 July 1998NR, Vol.11hex
19 (OriginalSpanis"ElMinistrorevel6adernque el lio naci6porquGobiernoanterior
permiti6 lpresencidecustodiomilitareselas lancbasticasituacibn que 61prohia1b
asumirlaseguridaddpaisel8demayo.").which it had previouslyaccepted,and began to send itsvessels onto the river

armed and unaccompaniedby Nicaraguan soldiers,and for the purpose of

intercepting and detaining Nicaraguans thoughtto bebound illegally for Costa
Rica. According to the Costa Rican report of 18 December 1998, under the

heading "Captureof Undocumented Personsat the Border": ""On 14-06-98, at

14:00 hows,JorgePadillafiomPostDelta # 13 at Boca Tapada,Pital,San Carlos

reported that he kept four undocumented Nicaraguancitizens and they were
,497
transportedto theImmigrationOffice of San Carlosat 16:02 haws ,

5.89. Accordingto the same Costa Ricanreport,similarincidentsoccurredon

17 hne, 20 Jrxne,23 June and 24 June, with the Guurdia Civi lontinuing to
implement:CostaRca's aggressivenew policyof detaining Nicaraguanson the

SanJuan River on the simplesuspicionthatthey wereattemptingto enter Costa

Rica illegally;once interceptedonthe river, theNicaraguans werearrested by the

Ouardia Civil and brought to the CostaRican side for prosecutio$98. In

response to these actions, which Nicaragua consideredunprecedented and a

violation of her sovereignty, Brigadier GeneralTalavera arranged to meet

personallywith the regionai commander ofthe GuavdiaCivil, Colonel Walter
Navmo Rornero, atthe latter's headquartersin Los Chiles, Costa Rica. The

meeting was scheduledfor 25 June, but although Brigadier General Talavera

arrived attheappointedtime and location, hisCostaRicancounterpart:did not,

and no meetingtook place499.Whenthe two seniorofficers subsequentlymet,

BrigadierGeneral TalaveraprotestedCostaRica'sactionson the San Juan, and

49CRM,Annexes, Vol.VI,Annex 227,p.963.

49See""CostRaicaGuardsPointGunsat NicaraguaBoaters",LaPrensa,30 Jul1998).NR,
VoI.II, Annex20; seealso 'XicaraguansDenounceCosta Rican Harassmenton National
TerritoryLaPrenm, 2 Aug.1998).NR, Vol.JI,Annex21.
49SeeTaIaveraAffidavit,paraNR, Vol.IT,Annex78.reminded ColonelNavarra that Costa Rica was not authorized to interfere with
500
Nicaraguansnavigatingon the river, or to carryor use ams while on the river .

ColonelNavarro responded: "[Ijfthe Army of Nicaragua was not going to stop
Nicaraguans .fromusing the river to enter Costa Rica illegally,then the Gzaurdiu

Civilwould do itv5''. ColonelNavarro'sposition was fully consistentwith that

of the new Costa Rican government in San JosC. As stated by then Foreign

Minister Ricardo Rojas: "Surveillanceby Costa Rica is necessary in that zone

because there is a lot of illegal immigration, smugglingand other anomalies,

which make itnecessary ro guard that southern part of the river."'02 From
Nicaragua'sperspective,CostaRica was asserting, forthe first time in 140 years

since the Treaty ofLimits was signed,a new "right" to navigate onthe San Juan

River with public vesselsfoxthe purpose of law enforcement -- wholly unrelated

to navigation "conobjetos de comercio" -- an attribute of sovereigntyvestedin

Nicaragua, whosedominion and supreme control (sumo impsrio) over the river
had been recognized as"exclusive" inthe 1858 Treaty and ever since, The "last

straw," asfaras Nicaraguawas concerned,occwred on 7 July,when two Guurdia

Civi vesselsrandownand stopped a Nicaraguan passenger boatas it navigated

past the CostaRicanpost at La Cureiia.When the CostaRican officers attempted

to board the Nicaraguan boat and conduct a search they discovered that the
passengers included the Nicaraguan Minister of Tourism, and several my

o~~icers~~~.

SeeTalaverAffidavit,para4NR,Vol. XI,Annex78.

Ibid.
"AlemiinRejectArbitration",(La.Prensa, 25 July1NR,)VoI.11,Annex 18(Emphasis
added) (OriginSpanish:"La vigilancpor parkde CostaRicasedebea que por esa vise
presenta rnucha inmigraciilegalcontrabandosy otros anomalias, hacen necesariala
custodiadelapaxtcsmdel140.").

503SeeTalaveraAffidavit,p4.aNR,Vol.11,Amex 77.5,90. Following these actions by the Gurardia Civiland statementsby senior

Costa Rican authorities,Nicaragua decidednotto authorize Eurthe ravigationon
the San Juan by the Guurcaia Civil.Nicaragua'sdecision was communicatedto

the Guardiu Civil by BrigadierGeneralTalavera, through hislieutenant,on 14

July 1998~'~. This is reflected inthe CostaRicanpostcommander's reportof 18

December 1998:"On 14-06-98 [sic], at 16:IOhours, Sergeant WilliamNerrera

fiom Post Delta # 7, Costa Rica, informed that at the post appeared First

LieutenantRenatoRios-Chrdenas, Chief of the Postof the Nicaraguan Army at
Delta CostaRica [sic]. He informed that, as instructedby LieutenantColonel

Orlando Talavera, Commander of the South Detachment of the micaraguan

Army], the passageof anyCostaRican authority vesselswas restricted asof that

date throughthe SanJuan ~iver.'"" Costa Rica acknowledges in herMemorial

that 14 July 1998(not 14 June 1998, as erroneouslyrecordedin her Annex 227)
was the date on which Brigadier General Talavera'smessage was delivered506.

On the same day, Costa Rica retaliated by imposing similar restrictions on

Nicaraguan Army vesselsseekingentryinto Costa Rican waters,accordingto the

contemporaneous Costa Ricanreport: "at 18:10 hours, Major Hugo Espinoza-

Rodriguez informed...thatas ofthattimeand date,entranceaf anyofficerof the
micaraguan Army]or of anyNicaraguanpolice officerintoCostaRicanterritory

was prohibited.'J07

50See"BorderROWwith Nicaraguan (s", acibn,165uI1998).NR, Vol.11Annex17; see
alsoTalaveAffidavipara5. m, Vol. 11,Annex78.

'0'mote of the Intend[sicCommanderin Sservice [siofAtlantic Command, Sarapiqui,
DanieSotoMontero,to CostaRicanForeiMinistry14February2006". CRM,Annexes,Vol.
VI,Annex240,p.1049.
'0SeeCRM, para5.110.

'0CRh4,Annexes,Val.VI,Annex227,p. 964.5+91, Nicaragua's account of the facts is not materially different fkom that

provided by Costa Rica. Brigadier General Talaverahas confirmedthat in June

1998the Guardia Civi began to detainNicaraguancitizenswho were navigating

on the San Juan and suspectedof planningto enter CostaRica illegl1o8. Upon
learning of these unauthorized activities by the Guardia Civil, which he

considered anaffi-ontto Nicaragua's sovereignty,he protestedto the Costa Rican

authorities, and insisted that they stop detainingNicaraguans and refkain from
carryingor usingfirearmswhileonthe river. Whenthe Guavcdia Civildisregarded

his instructionand continuedto arrest Nicaraguanson the SanJuan, he advised

them that they were no longerauthorized to navigate on the river. Costa Rica

retaliated by forbidding Nicaraguan Army vessels from entering Costa Rican
waters,As Brigadier GeneralTalaveratestified:

"..[tJ]ntil June 1998 ...vessels of the Costa Rican

GzkardiaCivilwithout authorizationfrommyheadquarters,
began to intercept Nicaraguan vesselscaving Nicaraguan
passengers in Nicaraguan waters,based on the suspicion
that they were planning to enter Costa Rica illegally. The
Guardz'r rivil forced the Nicaraguan vessels toland on
Costa Rican territory, where all the passengers were
immediatelyarrested.I again protested these unauthorized

and un1awCI violations of Nicaragua's sovereignty to
Colonel Navarro, explaining that Nicaragua could not
tolerate the Guavdia Civil entering Nicaraguanwaters to
arrest Nicaraguan citizens in their own country, especially
without having violatedany law, and that they were not
found to have an illegal status in our territory. I
communicatedto him that he and his forceswere forbidden

from detaining Nicaraguanson the San Juan River, andI
reminded him that Costa Rican security personnel were
prohibitedfrom transporting,carrying,or usianns onthe
SanJuanriver. ColonelNavarrorespondedthat if the Army
ofNicaraguawas not going to stopNicaraguans from using
the riverto enter Costa Rica illegally, then tGuardia

SeeTalaveraAffidavit,para. 4. NR,Vol. 11,Annex78.

274 Civilwoulddo it. As a resultof that incident,and Colonel

Navarro's reksal to discontinue the Guardia Civil's
forcible detention of Nicaraguans, I ratified my order
prohibitingtheGum-diu Civilfromnavigatingonthe river.
Costa Rica responded by prohibitingany Nicaraguanarmy
or police officer ffam entering Costa Rican territory,
includingCosta Ricanrivers, anddeclaringthatif any such

personwere foundon Costa%can soilor watershe would
bedetained."509

3. DiplomaticEfovts ToRestore theStatus QUO Ante

5.92. Diplomatic effortsto resolve the dispute quicklyensued. The Chief of

Staff of the NicaraguanArmy, GeneralJavier Carrih, was sent by Nicaragua's

President tomeet withthe Costa RicanMinister of Public Securityand senior

GuardiaCivil GeneralCarrih offeredto resumeauthorizing the
Guardia Civilto navigate on the river to bring supplies and relief staff to its

riparian police posts, based on the same conditions thathad always applied,

namely:that requestsfor authorizationwouldbe madeprior to eachvoyage, that

the Guardia Civil vessels would stopand report at the NicaraguanArmyposts
upon enteringandexitingthe San Juan andthatthey would travelunarmed,with

weaponsstoredon the floor ofthe vessel5". CostaRicarejectedthe offerand no

agreementwasreached512.

5.93. By this time, publicsentimentin Nicaraguawas aroused, and pressure

was buildingforthe Government to standfirmagainst CostaRica's pretensions

with respect totheSan Juan. Nevertheless, diplomatiactivity continued,and on

Ibid.

'I0SeeCarrihnAffidavit,pa10. NR,VolIf,Annex68.
511Ibid.

532Ibid.30 July 1998,the NicaraguanMinisterof Defence,Jaime Cuadra, and the Costa

Rican Minister of Public Security, Juan Rafael Lizano, issued a joint

communiqu4announcing that:

"1. The crew of the vessels of the Public Force of Costa
Rica that carry out reIief of poliand the supply of the
borderpostslocatedon the wightbank of the §an Juan River

will navigatealong the aforementionedriver after having
given therequired notice carrying only their normal arms,
and the Nicaraguan authoritiesmay accompany the Costa
Ricanvessels making thisjourney alongthe Sm Juan River
in their own separate means of transportation. Should the
Nicaraguan vesselnot accompany theCosta Rican vessels,

the latter maycarry out their rounds in keepingwith the
corresponding border post reports as indicated in this
agreement.

2. The Costa Rican authorities must report to the
Nicaraguan ,,E3 throughout theirjowney along the San
Juan River.

5.94. The Cuadra-Lizano CommuniquC,as it came to be called, was never

implemented. Wadit been, it would have authorized theGuurdiaCivil toresume

navigating on the SariJuan River forthepurpose of bringing supplies and relief
staffto Costa Rica's police posts along the river,subject,as before, to prior

notification and reporting at all Nicaraguan Army posts en route, In contrast to

the prior authorizations issuedby Nicaragua, however, this one would have

enabledthe GuardjaCivil officersto carry "their normal arms,and would have
provided for Nicaraguan Army accompaniment in a separate vessel.

Implementation proved impossible becausereaction to the communiquC in

Nicaragua washostile.Publicopinionwas ovenvhelminglyagainstit, as were the

Nicaraguan President and Congress, who denounced it as a violation of the
Nicaraguan Constitution, whichforbids the transitf foreign militaryor security

Cuadra-LizanCommuniquC ,p.cit. CRM,Vol.13Annex28,p. 195(emphasisadded).

276forces throughNicaraguanterritory, evenfor humanitarian purposes, absentan

Act of~on~res$'~. On 18 August 1998,after due consideration,the Nicaraguan

Congress formally rejectedthe communiqu6,leaving itwithout legal effect5I5.

The following day, 19August 1998, Costa Ricaretaliatedby announcingthat it

would prohibit any navigation by the NicaraguanArmy on the Colarado River,

which connects theSanJuanRivertothesea5I6.

5-95. These mutual prohibitions have remainedin effect eversince. As stated

in Costa Rica's December 1998report of activitieson the river: "no relevant
eventswerereported during themonths of Augustand September of 1998,except

for the factthat'passageof Costa Ricm authoritiesthroughthe San Juan River

remained prohibited. FOPthis reason, border staff reliefchanges at the major

posts weremadeby landusingpolicecars"517.As of October1998: "no activity

wasrecorded ontheSanJuan River,allbeingnomal, conductingthe borderstaff

reliefby land,inourlandvehicleswithout anyspecialocc~~~ences"~'~.

5.96. InJuly2000, a high-level delegationfromCostaRica'sMinistryofPublic

Securitytravelledto Nicaraguato reopena dialogueon this matterwith General
Carrion, then the Nicaraguan Amxy Commander,and his staff+ Representing

Costa Rica were her new Minister of PublicSecurity, RogelioRarnosMartinez

'ISeePolitical ConstituofNicaraguaof 1987Art.92 provide"Thepassageorstationinof
foreignmilitaryvessels,airpandmachineryforhumanitariapnurposemay beauthorized,so
long asthese arerequesteby the Governmentof the Republic anratifiby the National
Assembly".NR, Vol.11Annex 54.

51SeeResolutionoftheRepublicof Nicaragua'NationalAssemblyontheJointCommvniqu6
Cuadra-Lizano,0 July1998.OrdinarySession#5.Managua, 18 August1998. NCM, Vof. 11,
Annex 66.
5'see""CostRaicaRetaliates"(,Prensa15August1998). NR,VoI.11,Annex 22.

'ICRM,Annexes, Vol.VE,Annex 227,p964.
'lIbid.(who had replaced Juan Rafael Lizano), Colonel Walter Navarro Rornero, and

Colonel CarlosAlvarado Valverde, International LegalAdvisor to the Ministry.

According to a contemporaneous Aide-Memoireof the meeting -- a meeting
which CostaRica failsto mention inboth herMemorial and herReply -- Minister

Rarnosproposed the reestablishmentof the previous conditions,stating that "We

understand yoursituation inprohibitingnavigationon the San JuanRiver, it is an

issue thatgoesbeyondyour control due to the level reachedby the events. I:hope

that you also understandour situation and our urgent needto supply and relieve
border post personnel"51g.Colonel Alvarado, theMinistry's InternationalLegal

Advisor, recalledthat under the prior arrangements "the police navigated with

their M-16 weapons stored on the bottom of the vessels (this is not armed

navigation but rather navigation with arms), with prior permission from the

Nicaraguan Army, which also verified the personnel and the contents of the
3,520
vessel at each micaraguan] post that the boat passed.. . General Carri6n
agreed that Nicaragua had expeditiously issued in "a fraternal spirit" verbal

permits and authorizations"for navigation on the river to supply and relieve the

personnel assignedto your country'sborder posts at Sarapiquiand El Delta.. ~521

But he also recalled that "[tlhe abuse of such pemissian led us to prohibit

navigation over the San Juan River, whenyou began to patrol the river to

intercept illegal immigrationand demandrights claimedby Minister Lizano, but
which our Highest Authority hasstatedthat you donot havew5**G . eneralCarri6n

stated that he wasprepared to work with hisCosta Rican counterpartsto find a

solution to their problem, but that this could only be accomplished formally

5'9Aide-Memoire: Meetingbetweenthe Commander-in-Chieff theNicaraguan Army and the
Ministerof Public Securityof CostaRica, 21 July 2000. Cani6n AffidAnnex 1 tothe
Affidavit. NR, Vol.11,Annex68.
520Ibid.

521Ibid.
522Ibld.through an Act of Congress, becauseof constiltional requirementsin Nicaragua.

"[Tloday," he said, "the only viable way" is for the National Assembly to

promulgate a law "that will allow for the permanent supply and relief of your

border post forces."'"

5.97. The law was never enacted. Strained bilateral relations with Costa Rica,

principallycausedby Costa Rica's aggressiveeffortsto extendher rights overthe

river beginning in May 1998, contfibuted to a political climateinManagua that

was not conduciveto approval ofthe necessarylegislation. As a consequence,the
prohibition on navigationon the San Juan Riverby the Guavdia Civi remains in

force. Nicaragua maintains thatshe is entitled to prohibit Costa Rica from using

the river to supply and bring relief staff to her ripariaborder posts, because

Nicaragua enjoys exclusive sovereignty over the river, and Costa Rica has no

right-- under the1858 Treaty ofLimitsor the ClevelandAward --to navigateon
the river for thispurpose,which is not relatlo, connectedwith, or to protect the

right of'navigation"con objetosde comercio."

5.98, Even if, avguerzdo,Costa Rica could be said to havea right to navigate on

the river for suppland staff reliefpurposes- a propositionNicaraguavigorously
opposes - the conditions Nicaraguaimposed during the period 1994-1998,when

she authorized Costa Rica to use the river for such purposes,were a reasonable

exercise of Nicaragua's sovereignpower over the river. The inconvenience

caused to Costa Rica by compliance with these conditionswas negligible. Costa
Rica herself acknowledges that her rights were not materially violated by the

system that was in place priorto July 1998''~. Even thereafter, when Nicaragua

523Ibid.
524SeeCRM, para5.112.ref sed to grant the Guardia Civil further authorizations to use the river, the

inconvenienceto CostaRica has been minimal. New roadways, and even landing

strips for aircraftmakesupply and staff reliefoperations by land practical and
convenient. As Costa Rica's own evidence shows, since the prohibition was

ordered in 1998,the Guardia Civilhas continuedto bring suppliesand reliestaff

to its posts alonthe San Juan River by land,as well as by internal Costa Rican

watercourses525, Roadways, whose construction began prior to 1998, now
connect to allof the Costa Rican border and police posts, and facilitasupply

and staff reliefoperations. Sketch Map 10 is an enlargement of the relevant

section of a Costa %can roadmap produced by Ecornapas S.A., a Costa Rican

firm t shows, in brown lines,the roadsconnected to Costa Rica's bee border
posts on the San Juan, at Boca San Carlos, Boca Saragiqui, and Delta. (The

completemap has been deposited withthe Court.)

SketchMap 10:Roads to CostaRican Military Posts (road depicted ibrown;
full mapsubmitted to the Court)

525SeeCRM, Annexes,Vol.VI,Annex227.5.99. The litany of ills imagined by Costa Rica as a result of her alleged
inabilityto supplyher riparianpostsvia the SanJuan --increasedcrime, drugand

arms trafficking,and illegalimmigration --havenot cometo pass. CostaRRa has

submitted no evidence of a growth in anyof these activities resulting from her

relianceon land transport,rather than river transport.,to supply her posts on the

SanJuan River.

4. The PracticePrior tothe 1990s

5.100. While the evidence is clear and uncontested that Costa Rica has not

supplied or brought relief staff to her border posts vithe San Juan since July
1998, there is a dispute overwhen the practice of supplyingthese posts via the

river began. As indicated, Costa Rica's documentary evidence shows that the

practice was in effect as of 1994~~: Nicaragua's evidence, consisting of the

testimonyof the militarycommanders of the SouthernMilitaryDetachment,dates
the beginning of the practice to some point in Brigadier GeneralMembrefio's

tenure as commander, which began in February 1992. The only other

documentaryevidence recording the use ofthe riverto supplyCostaltican border

or security posts is a report date9 March 1892 --100years earlier --from the
captain of the Costa Rican vesselAdela,reflecting hisrequest tothe Nicaraguan

commander at Castillo Viejo for permission to traverse the portionof the Sm

Juan above CastilloViejo, where both banks belongto Nicaragua, for thepurpose

ofnavigatingto the Rio Frio and into CostaRica to bring suppliesand staff relief

to the postatTorrim ~olorado~*~.TheAdela incident hasalreadybeen addressed

52SeeCRM, Annexes,Vol.Vl, Annex227.

s2See "Repor tf CirA. NavarroAssistantto theInspectoratet,o theGeneralInspectorof the
Treasury,March1892." CM, Annexes,Vol.VI, Annex209.at length by Costa ~ica~~'and by ~icaragua'~~,and it is also addressed in the
Appendix of thisRejoinder. Its mentionhere issimplyto point out, for the sake

of completeness, that it involved Costa Rica7snavigation on the river for the

purpose of supplying and bringing staff relief to a security post, and that, as

describedin paragraphs4.2.19-4.2.22of the Courater-Memorialt,he Costa Rican

securitypersonnelfelt it necessaryto hide theirweaponswhile traversingthe San
Juan. But whatever the interpretation of this event, it would still be a single

incident, and there is no documentary evidence, until 1994, of any regular

practicein regardto thesupplyof CostaRicanborder orpolice posts. Thereis no

evidenceof any kind, documentaryor testimonial,regarding Costa Rica's use of

the Sm Juanto supplyor bring staff reliefto her securityposts between 1892and
the 1960s.

5.101. With respect to the practice between the 1960s and the early 1490s,

Nicaragua has submitted affidavits fiom Eden Atanasio Pastora, a former

revolutionary (and later counterrevolutionary)commander who lived in Costa

Rica nearthe SanJuanRiver inthe 1960sand 1970s,and who conductedmilitary
operations against successiveNicaraguan governments from that region in the

1970s and 19802~" ad fi-omColonel Juan Bosco Centeno Arostegui, who

commandedNicaraguan governmentforces along the San JuanRiver from Julyto

December 1979, and fiom January 1982 to June 1991~~'. According to Mr.

Pastora, during the 1960s and 1970s, the Nicaraguan Government,under the
Somoza dictatorship,maintainedtenserelationswith CostaRica (which it always

suspected of extending sympathyand support to its opponents), and did not

SeeCRM,paras4 . .85-4.87;CRRpar1.15.
52See NCM,paras.4.2.19-4.2.22.

53See PastoraAffidav. R,Vol11,Annex75.
53See CentenoAffidavi. R,Vol11,Annex69.pennit Costa Rican security forces to navigate on the SanJuan River. Although
the Somoza dictatorship was overthrown in July 1979as the result of a popular

revolution, and the revolutionary government was friendlier to Costa Rica,

dissatisfaction with the new governmentsoon led to a counterrevolution,part of

which was led by Mr. Pastorafrom bases inCostaRica along the SanJuan River.

The river became a majorzone af cambat in the conflictthat engulfed Nicaragua
during the 1980s.As a result of the fighting, transit on the river was extremely

dangerous,and CostaRican securityvessels avoidedit532. Costa Rica7switnesses

agree, As testified by Costa Rican police officer DanielSoto Montero, whose

affidavit isannexed to the Reply: "due to the armed conflict that existed in

Nicaragua atthat time, theCostaRicanpolice did notnavigatethe San Juan River
for security reasonsas the river was within the war area"533.The war ended in

1990. However, far the first few years thereafter, as testified by Colonel

Centeno, Costa Rica7spolice posts along the right bank ofthe San Juan "were

supplied, and the policemenwere periodicallyrelieved, either by river transport

from within Costa Rica (via the San Carlos River or the SarapiqulRiver) or by
road. These policeposts were not supplied orrelievedby traversingthe San Juan

~iver"~~~.Costa Rica's police officers testify otherwise. Theystate that Costa

Rica police vessels began navigating the river in 1990 or 1991, without

restrictions imposed by Nicaragua. Nicaragua standsby the testimony of Mr.

Pastora and Colonel Centeno, and by the account of events given by Colonel
Alvarado, the International Legal Advisorto the Costa aican Ministry of Public

Security,inhis meeting withGeneralCarribn,theNicaraguanAmy Commander,

in July 2000.As recorded in the contemporaneousAide-Memoireconcerningthat

53SeeParstoAaffidavit,pa6. NR,VoI.11, nnex75.

53AffidavitoDanielSotoMontero,DeedNo. 151-1,27 January2006.CRM, Annexes,Vol.
TV,Annex 89,p.479.

r3CentenoAffidavit,paraNR, Vol.11,Annex69.meeting, Colonel Alvarado acknowledged, before 1998, the Guardics Civil
"navigated withtheir M-16 weapons storedon the bottom of the vessels ...with

prior permission from the Nicaraguan Amy, which also verifiedthe personnel

and contentsof the vesselat eachpost that theboat passed"535.However, even if

the affidavitssubmitted by Costa Rica were taken at face value, theywould not,

in light of the testimonial evidence covering the period prior to1990, and the
documentary and testimonial evidence covering the period from 1994 to the

present, supplythe basis for a conclusion thatCosta Rica had establisheda right

to navigate freely on the San Juan with her police vessels, orthat Nicaragua

accededto sucha right.

5.102. Costa Rica claimsin these proceedings thatshe has a right to carry out

law enforcement activitieson the Sm Juan River, andto navigateon the river for
the purposeof conductinglaw enforcementactivitieson the CostaRican bank of

the river. Again, this so-called rightis not encompassed within the right to

navigate on the river "conobjetos de comercio",or the right to navigate with

revenue service vesselsrelatedto, connected with,or to protect theenjoymentof
navigation "con objefos de cumercio." The evidentiary record, as well as the

language of the 1858 Treaty of Limits and the Cleveland Award, belie the

existence of such a right.The evidence shows that, on those extremely rare

occasions when Costa &can security personnel carried out law enforcement
activitieson the San Juan, it was always pursuant to express authorizationfiom

Nicaragua.

53rCarri6nAffidavAnnex 1 tothAffidavitNR,Vol. 11, nnex68.

2845.103. Costa Rica has submitted only three documents that mention law

enforcement activitiesby her securitypersonnelon the river. The firstof these

documentsis dated 31 October 1892, and is a report fromthe Chief ofthe Guard
atthe ColoradoRiverto theGeneral Inspectoraf theTreasury. He statesthat:

""Iould also like to communicate thatduringa meetingI

had with the Customs Manager of Nicaragua aboardthe
steamer, he gave me the authorityto seize all contraband
and criminalswho put up a resistancealong the coastsof
Nicaragua.He grantedme this powerwiththe authorityof
his government underthe condition that I would allow
them to enter Infiemito [in Costa %can territory]toseize
the contraband crossing toward"Castillo" so they could

protect themselves;that he would set up a guard in the
Colorado bihrcation md in the Nicaraguan coast for
mutualprotection whilepursuingsmugglersand criminals,
since this was the only way to guarantee protection for
honest farmers and settlerswho cometo take possessionof
thesecoasts."53G

5.104. Quite obviously, the source af the Costa Rican Guard's authority to
conduct the contemplatedlaw enforcement activitiesin Nicaragua'swaters was

the specificand limitedgrant conferredby theNicaraguanCustoms Manageron

behalf of thegovernment, It should alsobenotedthatthe permissiongranted by
Nicaragua was part of a reciprocal agreement, including authorization far

Nicaraguatoact withinCostaRicanterritory, for jointlawenforcementactivities.

If the1858 Treatyor the ClevelandAward had empoweredCostaRican security

forcesto conductlaw enforcement activitieson the San Juan River,the grant of
authorityfromtheNicaraguanCustomsManagerwould havebeenunnecessary.

'36Reportof the Chief theGuard [resguardoof CoIorado,JuaFrancisco Zeledbn, to the
GeneralInspectooftheTreasurof 31October 189CRM, Annexes,Vol.VIAnnex210.

2855.105. The second document submittedby Costa Rica relating to her alleged

rightto conduct law enforcementactivitieson the riveris the "JointCommunique

Issued by the Army of the Republic of Nicaragua and the Ministry of Public

Security of the Republic of Costa Rica" (the so-called Cuadra-Castro

Communiqui), dated 8 September 1995~~~T . he 103-yeargap between the first
two documents submitted by Costa Rica on this subject is revealing In Itself

Costa Rica has failed to submit any documentary evidence that she carried out

law enforcement activitieson the San Juan River between 1892 and 1995.

Notwithstanding the passage of more &an a century, there is a consistency

between the two documents. Like the 1892 document, the 1995 Joint
Communiqu6 pertains to joint law enforcement activities on the river by

Nicaraguan and Costa Rican security forces, and describes an express grant of

law enforcement authorityby Nicaragua to Costa Rica. The purposes of the

documentare statedin its firsttwo operativeparagraphs:

"FIRST: In the interests of strengthening the National
Security, sovereignty and independenceof our countries,
the Nicaraguan Army md the Costa Rican Public Farce

will coordinate,as of this date, the operationalplans that
involve our authorities and allow for the necessary
development of joint, parallel patrolling at the border of
both countries, therebyjoining forces in the battle against
the illegaltsaficking of persons, vehicles, contraband of

any natureandjoint operations, followingthe exchangeof
informationandplanningcarriedoutby bothparties.
SECOND:As of thismoment,the chiefs of theborderunits

of both countries will coordinate and cooperate more
closelyinplanningmd carryingoutjoint pasallelpatrolling
along our countries'ommon border, exchangingoperative
informationof the common entities involved, with respect

to all activities affecting the stabioftthe terrestrial and
aerial border zone related to drug trafficking, arms

537See "JoiCommuniqu@ Issueby the ArmyoftheRepublicofNicaraguaandthe Ministrof
Public SecurioftheRepublicofCostaRica,8 September1995"CRM,Vol.11, Annex 27. trafficking, smuggling, rustling, naval piracy, illegal

trafficking of persons and the presenceand/or passage of
criminalgangs."538

5,106, Once again, Costa Rica's ability to conductlaw enforcement activitieson

the San Juan River emanatedfrom an expressgrant of authorityby Nicaragua, as

part ofanagreement to engage injoint law enforcement.It did not emanate from

the 1858 Treaty or the Cleveland Award. The Cuadra-Castro Commmiqu6
formalized the joint law enforcementpatrols that were already being conducted

by the NicaraguanArmy andthe Costa RicanGuardia Civil. Theexistence ofthe

practice is shownin the third and finaldocumentsubmittedby Costa Ricarelated

to law enforcementactivities,which is the report of 18December 1998prepared

by the Costa Rican Guard Commanderat Boca de Sarapiqui,which has already
been discussedabove539.The report includesan entryfor 14 June 1995 underthe

heading "Delegation of the Command and the Sandinista Popular Army

Patrolling Operation," It describes a 'ljointpatrolling operatiincoordination

with the SandinistaArmy in Curefiaarea"540.A similarnote, for 27 June 1995,

describes a voyage '"to the place known as Banderas in Costa Rica ..in
coordinationwiththe SandinistaPopular Armywith the purpose of patrolling the

area, navigating on the San Juan ~ivet'~". A notation for 29 February 1996,

captioned "Cooperation of the Atlantic Cammand with the Sandinista Army

Trackingand Capture,"describes the&urdia Civil'sresponseto theNicaraguan

Army'srequest "to send a patrol unit to the river..orderto cooperatewith the
[Army] with the capturing of the [Nicaraguan]soldiers [who had deserted their

posts] in the area of el Jobo, Delta Costa Rica, located within Costa Rican

53Ibid.
53SeeCRM, Annexes,Vol.VI, Annex227.

54Ibid .950.
54Ibid.,951.juri~diction.''~'~Significantly, the 18 December1998 report, which covers the

period between 1994 and 1998, does not identify a single, specific law

enforcementactivity undertakenon the SanJuan River by Costa Rcan security

forces other than those conductedjointly with the NicaraguanAmy - except for
the arrest and detentionof suspected illegalimmigrants from Nicaragua in June

and July 1998, discussed above, which Nicaragua vigorously protested, and

which led Nicaragua to terminate the authorizationshe had previously given to

the GuardiaCivilto navigateon the San SuanRiver.

5.107. Apart from these documents, theMemorial cites two affidavits supplied

by Ezaardiu Civi officers. These affidavits,as discussed above,refer mainly to

Costa Rica's use of theriver to supply and bring relief staffher border posts.

They identify no specific law enforcementactivities carried out on the San Juan

River by Costa Rica alone. The only specific event mentioned involved joint
action with the Nicaraguan Amy. As testified by GuardiaCivil officer Daniel

Soto Montero: "the Atlantic Command conducted joint operations with the

Nicaraguan Armyduring thoseyears. Such was the case of thekidnapping of a

Germantounst and a Swisstourist guide in Boca Tapadade San Carlos, and the
kidnapping of a Dutch couple in Altamira.Both events occurred in nineteen

ninety-six"'".

5.108. The conclusionto be draw is that CostaRica has no independentright to

navigate on the San Suan River for the purpose of conducting law enforcement

activities, and that Costa Rica may only navigate on the riverto conduct law

54]bidp.957.
54AffidavitofDanielSotoMonter27January2005.CIIM,Annexes,Vol.VI,Annex89.enforcementactivitieswhen she hasthe expressauthorizationof Nicaraguato do

so.

5.109. Nicaraguadoesnot prohibitCostaRica ftom navigatingon the $an Juan
River, withher public vessels, for the purposeof providingmedical and other

socialservicesto the residents of ripariancommunities on Costa Rica's side of

the river.Nor isit Nicaragua'spolicyto discourage thedeliveryof such services
via the San Juan River. All that Nicaraguarequires is that the vessels usingthe

river for this purpose register theirpassengersand crew with the Nicaraguan

authoritiesatpointsof entry andexitonthe SanJuan River. Passengersand crew
must also comply with Nicaraguan immigrationrequirements, includingthe

possessionof a valid passportand,dependingon countryof origin,a Nicaraguan

visa.Thesearenot unreasonableconditions,andinanyevent,Nicaragua is free to
impose thembecause there is no right affordedto Costa Rica under the 1858

Treatyof Limits orthe ClevelandAwardto navigateonthe San Juan with public

vesselsfor thepurposeofprovidingsocialservices to ripasiancommunities.This
has nothing to do with navigating the .river'%onobjetos de cornercio", or

navigating itin a mannerrelatedto, connected with,or forprotecting navigation

far "p~oses of commerce."

5.110, As testified by Brigadier General Largaespada,who commanded the

SouthernMiIitaryDetachmentbetween January 1996 andOctober1997:

"On certain occasions,other Costa Rican officials - not
belongingto the GuavdiaCivil - requestedpermissionta

navigate theSan Juan River,among them, officials from
the SocialSecwityAgency ofCosta Rica and theMinistry
of Education.Thiswas alsothe casefor non-governmental
organizations, like the Costa RicanRed Cross, which brought medicines to the locaI river communities, or

transported the sick. These vessels followed the same
procedureas in the caseof theGardia Civil:permissionto
navigate was requested in advance; authorization was
given; the vessel reportedto the Nicaraguan border posts
and registered the passengersand crew; and it was allowed
to navigate. As a courtesy, no departure clearance

certificateswererequiredand nofees werecharged."'"

5.111. Costa Rica has produced no evidence to contradict Brigadier General

Largaespada's description of Nicaragua's reasonable and lawfill treatment of

Costa Rica's use of the river to deliver public services.In fact, Costa Rica's

evidence corroboratesBrigadier General Largaespada'saccount. As attested by
CostaRica'switness GabrielaMazariegosZamora, a medical doctorfor the Costa

Rican National Health Systemwho provided medical services to La Curefia,

locatedon the rightbank ofthe SanJuan,which shereachedby navigatingon the

river: "That inherpersonal experience,she visited La Curega on four occasions,

departingfromBoca SanCarlos.She statesthat, at thebeginningof eachjourney,
they were forced [translationnote: this is CostaRica's translationthe Spanish

word "obligados"which, in Nicaragua's view should be translated as the less

contentious"obligated" or "required"]to stopat the borderwithNicaragua where

they had to report to thearmy of that country, a requirementthat they always
complied with but for which they were never charged any fees. They had to

report: themselves again on their way back ~orn La Cweiia to Boca San

~arlos"~~'. To the same effect are the statements from other Costa Rican

witnesses: "She states that doctors and officials from the Costa Rican Social

SecurityInstitutionhavealways navigated theSanJuanRiver in orderto fxavelto

544
Largaespad affidavi,ara. 6NR,Vol.11,Annex72.
545Affidaviof AnaGabrielaMazariegosZamora, 14February2006CRM, Annexes,Vol. IV,
Annex 98.the townsof Boca Curefia and Chorreras, giventhat there are no adequate roads

to these towns. She points out that the Nicaraguans did not charge for this

navigation, although they did haveto report to the Nicaraguan post7y54"6; hat,

accordingto her duties, she personallymade heaIthcare visits to the towns of

Boca CureEiaand Chorreras, travellingtherevia the San Juan River. She states
that the Nicaraguan Army didnot cha~geforthis navigation,althoughtheywere

requiredto reportto thatpost.""

5.112. CostaRica complainsthat,aftersheinitiatedthis case,her healthcare and

other socialserviceproviders werepreventedfromnavigatingon the San Juan,

and were unable to continue delivering their services to the Costa Rican
communitiesonthe rightbankof the river, However,her evidence in supportof

this claim consistsprincipallyf affidavitsfromvarious Costa Ricangovernment

workers attestingto difficultiesthey allegtohaveencounteredin securing visas

fromNicaraguan consularauthoritiesthat wouldpermitthemto enter Nicaraguan

territory, Although CostaRica devotes fourpages of her Replyto a painstaking
accountof Dr. ThaisChing7s effortsto obtainaNicaraguanvisa sothat she could

navigateon the San Juan,the undisputed factis: she receivedone"'. Costa Rica

herself acknowledgesthat the difficultiesexperienced by Dr. Ching were not

typical:"Onotheroccasions,however,theNicaraguanstutharitieshave responded

quite quicklyto CostaRicanrequestsfor permissionto navigate,"5" Costa Rica
assertsthat therewerenoproblemsin securingauthorizationfor her social service

providers tonavigateonthe San Juan"until May 2006,"whichwas eight months

54Affidavitof KattPatriciaCorralBarboza,16 Februar2006. CRM, Annexes, Vol,IV,
Annex99.
54Affidaviof SandrDiazAlvarado16February2006. CRM,Annexes,Voi.TV,Annex100.

548~ee CM, paras.6.2.14-6.2.15.
54CRR,para.4.36.after this caswas fileds5'Dr.Ching'srequest for a visawas made in June and

granted in July of2006. By May 2007, Costa Rica admits, her government

workers were securing Nicaraguan visasmore expeditiously.Fox example" says
the Reply"on 22 May 2007 the Coordinatorof the NorthernRegional Office of

the Costa Rican Ombudsman's Ofice, Ms. Laura Navarro. ..request[edj

'authorization7 forIMAS [Costa Rica's Joint Institute for Social Assistance]

officials who wouldbe participatingin a regional Environmentand Health Fair
that wasto be held by the high school oBoca San Carlos, and who intendedto

talcethe opportunityto visit poor families in thecommunitiesof BoSan Carlos

and La ~urefia."~~'Nicaragua provided therequested visas on 25 May, that is,

within three days552. Oproblems inobtainingNicaraguan visas to travelon the
Sm Juan at any time thereafterare identifiedin the Reply,whwas filed on 15

January2008.

Conclusion

5.113. The conclusion is inescapable that Nicaragua has not violated Costa

Rica'srights respectinuseof the SanJuan Riverby CostaRican public vessels.

Neither the 1858Treatyof Limits nor the ClevelandAwardprovides Costa Rica
with a right to navigaon the SanJuanwithher public vessels. AccozdingZys,he

has no such right, since the parties are agreedthat:Costa Rica enjoys only such

rights of navigation as are provideinthe Treaty of Limits and the Cleveland

Award. Whilethose insfmmentsestablish that Costa Rica may have a duty to
sendher public vesselstothe defenceofthe river in case of externalattack, when

requested by Nicaragua, she has not the right to place vessels oher security

CRR,para.4.30.

551CRR,para4.36.
552CRR,para,4.37.forces on the river absent such circumstances, and it is undisputedthat these

circumstanceshavenever presented themselves; in these proceeding CsostaRica

does not allege that the river has ever been attacked, or that Nicaragua has
preventedhexvesseIsfi-omcorning to its defence.

5.114. The onlynavigation rightthatthe controlling legalins~~ents provideto
I
Costa Rican public vessels is the right accorded by Article Second of the
ClevelandAward to vesselsof CostaRica'srevenueservice to navigateon the

river when such navigation is related to or necessaryto protect her right to

navigate'kconobjetos decornercio." Even vesselsoftherevenue servicehave no

general right of navigation onthe river. Their rightto navigate is expressly
limitedto circumstances in which their navigation is necessarto the protection

of the right underArticleVI of theTreatyof Limitsto navigate "con objetosde

comevcio," Nonavigationrightsare providedto vesselsofthe revenueservicein
any other circumstances,and no navigation rightsare provided to other public

vessels inanycircumstances,

5.115, The evidence shows that Nicaragua has neverviolated, abridged or
interferedwith CostaRica'sright to have vesselsof her revenue service use the

SanJuan Riverta protecthex righttonavigate "con objetosde comercio." Inthe

firstplace, Costa Ricahas producedno evidenceto show that she everexercised
this right, or attemptedto exercise it. To the contrary, the evidenceshowsthat

CostaRicahas had noneedto send her revenueservicevessels onto the SanJuan,

and hasnot done so,becausethe kind of commerce that has been carriedout on
theSanJuanafter 1858is merelya localtrade ingoods,ofsmallvolume,andnot

the kind of international trade that was anticipated when the Treaty was

negotiatedand executed, whichmight haverequired theuse of revenueservice
vesselsfor its protection. More directlto thepoint,Costa Rica has introducedno evidencewhatsoeverto show that Nicaraguapreventedher from exercising

herrightto navigatewith vessels ofherrevenueservice atanytime, let alonefor

thepurposeofprotectingherright tonavigate "con objetosde comercio." In fact,
thereis no suchevidencebecause Nicaragua never interfered witth he exerciseof

thisright.

5.116. Theevidenceshows that, in theI50 yearssincethe Treaty ofLimitswas
executed, CostaRicanpublicvessels have navigatedon the San JuanRiver for

onlythreepurposes --and never toprotectthe right to navigate"conobjetos de

comercio," These three purposes are: (1)to resupply and bring replacement
personnelto Costa Rican borderpostsaccessible by the river (aswellasby land);

(2) to engage in joint Iaw enforcementoperations with Nicaraguan security

personnel;and (3)to deliver social servicesto ripariancommunitieson the right
bank of the river.None of these uses of the river has involvedvessels of the

revenue service,andnone has been for thepurposeofprotectingnavigation "con

rsbjetosde comerciu." This isundisputed, The upshotis, none is sanctionedby

the Treatyof LimitsortheClevelandAward,and%herefore ,oneoftheseuses of
the riverby Costa Rican public vessels is the subject ofany navigation right

provided by the either of the twolegalinstruments thatboth parties regard as

controllinginthese proceedings.

5.117. The evidenceshowsthat, on each and every occasionwhenCostaRican

public vessels navigated onthe San Juan forone of these three purposes, the

navigatian was not in the exercise of a right claimed by Costa Rica, but a
consequence ofthe express priorauthorizationgivenbyNicaragua in response to

Costa Rica's request for Nicaragua's permission to navigate on the river.

Nicaragua's granting of thispermissionin the exerciseof her discretionand the
conditions thatNicaragua placed on the permitted navigation,as well asCostaRica'sacceptanceof and compliancewith these conditionsp, rovide furtherproof

that, apartfromvesselsof CostaRica9srevenue serviceengaged intheprotection
of navigation "con objetos de comevcio,"no other Costa Rican public vessels

enjoya right to navigateon theriver. Accordinglythe conditions that Nicaragua

has placed on Costa Rica'suse of the riverwith her publicvessels to resupply
border posts, or to deliver social services to riparian communities,cannot

constitute violationsof Costa Rica's"righto engageintheseactivitieswithher

publicvesselsbecause she has none.

5.118. The evidence shows that there was only one, very brief series of

embarkationsby Costa Rican public vessels undertaken without express prior

authorizationby Nicaragua.These occurred in June and July 1998when Costa
Rica abruptlychangedher longstandingpolicy andpractice,and senttheGuardia

Civil and its vesselsonto the San Juan to engage in amed interdiction and

detentionofNicaraguanboats andpassengers thoughttobe immigratingillegally
into Costa Rica. Nicaragua's response was immediate and firm. She instructed

the GuardiaCivil to stop conducting law enforcementactivitiesunilaterally in

Nicaragua's sovereignterritory, and especially to stop detaining Nicaraguan
nationalsand their vessels inNicaraguan waters.Whenthe Guardia Civilrehsed

to do so, under instructionfrom the new governmentin San Josd, Nicaragua

prohibited all hrther navigation on the riverby Guavdia Civil vessels, The
Guardia Civilhas not navigatedon the river since then. Thesefacts,which are

undisputed,further support Nicaragua'sconclusionthat CostaRica has no right

under theTreatyof Limitsor the ClevelandAwardto navigateon the San Juan
Riverwith herpubIicvesselsfor lawenforcement purposes,absentexpressprior

authorizationfromNicaragua.5.119. FinaIZy,even if, hypothetically speaking,Costa Rican public vessels

(otherthanvessels of her revenue service engaged in protectingavigation"con
objetos de camercio")were to enjoy a right under the two controlling legal

instrumentsto navigateon the river, theconditionsimposedbyNicaraguawould

not violate Costa Rica's"right" becausethey canstikte reasonable exercisesof
Nicaragua'ssovereign authoritytoregulatenavigation inherwatersindefenceof

her legitimatenational interests. Indeefor more thanfiveyem, followingthe

conflictinNicaraguaand afiernormal navigationin the riverwas reestablished,
andunder thegovernmentsof twosuccessiveCosta Rican Presidents, CostR aica

accepted without objection and fully complied with Nicaragua's requirements

that she: requestprior authorizationfiornNicaragua beforeusing the riverwith
vesselsof her GuardiaCivil; stop for registrationand inspectionat Nicaraguan

army postsalongtheroute;deposit the weaponscarried by her securitypersonnet

on the floorof the vessel while transitithe SanJuan;and allow a Nicaraguafi
soidierto accompanythe vesselwhilein Nicaraguanwaters.Thereasonableness

of these conditions isself-evident,givenNicaragua'sinterestsin protecting her

sovereignty against thearmed presence in her territory of foreigmilitary or
security forces, aswell as her interests in environmental protection, law

enforcement,navigationals.afetyandborder security(describedin ChapterIV).

5.120. The reasonablenessof Nicaragua'sconditionsonnavigation by Euardia
Civil vessels was certainly evidentto the Guardin Civil,which accepted and

compliedwiththem untilthemiddle of 1998,when a newly-elected Costa Rican

President completelyreversedprior policy. And their reasonablenesswas again
apparentto CostaRica inJuly 2000, when she expressedto Nicaragua'sArmy

Commanderawillingnesstoreturnto the pre-1998conditions.5.121, For all of these reasons, Costa Rica has failed to demonstrate that

Nicaragua has violatedher allegedrightsof protection,custody and defence of

the San Juan River.6.1. In ChapterV of her Reply, CostaRica discussesher claimedremedies in

the present case, as well,as Nicaragua's requestfor a Declarationon her rights

fromthe Court.The present chapter answers thispart of Costa Rica'sargument.
However,since the Declardian requestedby Nicaraguacannot be separatedfiorn

Costa Rica7s own request for a "[d]eclaration of violations of Nicaragua's

obligations"S53 , ey willbe dealt with together in SectioI of the chapter,before

turningto otherCostaRica'salleged""entitlementsi "n SectionTI.

SectionI. The declaration^^^Requested by the Parties

6.2. In thelistof remediessoughtinher Memorial, CostaRicamentionsfirst a

"Declaration of violationsofNicaragua'sobligations"554 .his requestis formally

made and detailed atlengthin paragraph 2 ofCostaRica'sSubmissions inboth
her ~emoriaP'' and her R~JJ~'~e ,venthoughshe does not discussin the latter

Nicaragua's denialof violations557T .here isno need forNicaraguato say more

about this matter;sufficeit to recallthat,absentmy breachof her obligationsby

Nicaragua, therecan be no questianofreparation ingeneral.or of adeclarationby

the Courton these alleged violationsinparticular558.

55CRM, para. 6.02-6.03.

55]bid
SSCRM, p.147

55CRR,p. 211.

55SeeNCM, pp.239-241,paras. 7.1.2-7.1.4,4.1.18-4.1.36,4.1.46, 4.2.36, 6.5,.1.1-.16
5.1.20,md5.2.2-5.2.11.
55Nor,of course,of 'kcessation"ofthoscallegedbreaches.6.3. Forherpart, in her Counter-Memorial,Nicaraguahas requestedthe Court

$0 make a formal Declaration in its Judgment on the extent and limits of Costa

Rica's right ofnavigationon the San Juan ~iver"' in order to put an end to the

Applicant's global strategy of expanding her rights under the 1858 Treaty of
Limits at Nicaragua's expense.As couldbe expected, Costa Ricaasks the Court

to reject thatrequest, in line withher claimfor anunlimitedright of navigatioon

the river. However, bothrequests show that theparties agreeat least that such a

Declarationwouldbe in accordance withthe Court'sStatuteandfunction560.

6.4. Costa Rica describes Nicaragua's request for a Declarationas a'"counter-

claim" and tries to cast doubt on its admissibility, although without openly

challenging itS6'.In fact, Nicaragua has avoided formally advancingher request

as a "counter-claim"for twomain reasons:

- First, she envisages her request not as an autonomous claim but as a

pure alternativeto the contentof the declaration requestedby CostaRica herself7

i.e.as the consequenceof the necessaryrejection of the Applicant's submission;

- Second, Nicaragua wouldbe satisfied with such a Declaration being

made anywherein the Judgment,whether in the dispositgitself, or the motives

(reasoning), The importantissue is that the Cow make clear theextent and the

Iimitsof Costa Rica's rightof navigation"with afiicles oftrade" (can ubjetos de

55NCM,para. 7.2.1-7.2.6.

Forformalrecognitionsothipossibilitsee CTCMp,ara.6.02NCM,para. 7.2.3and CRR,
para.5.02.comevcio) on the San Juan River withthe hopeto avoidmisunderstandingsand

new crises inthefuture.

6.5. This being said, even werethe Court to considerthat this request amounts
to a counter-claim, itwould be admissible under Article 80 of the Rules (as

amended on I February 2001). It has been made inthe Counter-Memorial in

paragraph 7.2.6, in which Nicaragua formallyrequested"the Court to declare
that:

i.Costa Rica is obligedto comply with the regulations for
navigation (and landing) in the San Juan imposed by

Nicaraguan authoritiesin particular related to matters of
healthandsecurity.

ii.ostaRica has to pay for any special services provided
by Nicaragua in the use of the San Juan either for
navigationorlandingon theNicaraguan banks.

iii.osta Rica hasto complywith all reasonable charges
for modern improvements in the navigationof the river

withrespectto its situationin1858,

iv. Revenue service boatsmay only be used during and
with specialreference to actual transitofthe merchandise
authorizedby Treaty,

v. Nicaragua has the rightto dredgethe San Juan in order
toreturnthe flow of water tothat obtainingin 1858 evenif
this affectsthe flowof watertoother presentday recipients

ofthisflow such as theColoradoRiver."6.6. In her Submissions, Nicaragua also requestedthe Court, "to make a

formaldeclaration on the issues raiseby Nicaragua in Section2 of Chapter 7,"

and this request "comes within thejurisdictionof the Court and is directly
connectedwiththe subject-rnatterofthe claim"of Costa Rica.

6,7. Costa Rica does not challengethis connection,except inregard to point

(v), which, she alleges, "is without merit and without incidencefothe present

case"562.This isnot so. First, asdescribedin the Application and confirmed in
Costa Rica's MemoP.ial: "The present proceedings (...) concern breaches by

Nicaragua af CostaRica'srights ofnavigation and relatedrights in respect of the

§an Juan ~iver"'~~.Second,the dredgingof the San Juanis in direct connection

to navigation on theriver,because itis a measure that is required to restothe
lowerreaches of theriverto navigability. Third,theensuing discussionby Costa

Rica herself, confms that this request bas a direct bearing on the rightsshe

claims, Shecitesan extract ofthe Cleveland Award according towhich works of

improvement may be executed by Nicaragua "provided such works of
improvementdo not result (. ..) in the destmction or serious impairment ofthe

navigationof thesaidriver oranyof itsbranchesat any point whereCosta Rica is

entitledto navigatethe In fact,ratherthan destroyorimpairnavigation

on the Iower San Juan (where Costa Rita enjoys a right of navigation) the

dredgingof the riverwouldonlyimproveand enhanceit.

6.8. The problemsposed by the deviationof thewaters of the SanJuan to the
Coloradoare long-standing.This variation or change in the water flow occurred

562CRR,para. 5.31.
563CRM, para,1.02.

564CRR,para.5.3, quotingtheClevelandAward.CRM,Val.11,Anne16.very soon afterthe Treatyof Limits cameintoforceon 25 April 1858. In certain

Nicaraguan circles, it has always seemed remarkablethat shortly after the
Colorado River(a branch of the San Juan) was cededto Costa Rica in 1858 it

startedto carrythe waters thatbeforeflowedout to sea throughthe Nicaraguan

branchthatwas supposedto bethemain branchofthe river.

6.9. In a note from the NicaraguanMinistry of Foreign Relations to the
Minister of Foreign Relations of Costa Rica dated 13 December 1859,that is,

barelyayear andahalfafterthe 15April 1858 Treaty,Niczraguastatesthat:

"The attention of the governmentof Nicaragua has been
forciblycalledto the conditionof the portaf SanJuan del
Norte,whichhasbeenfilled up andalmostrendereduseless

on account of the sand whichhas accumulated init ever
sinceits watershaveabundant1yflowedintothe channel of
the Coloradoriver; and such a state of things must also
demand theattention of CostaRica, becausethe interest of
the latter in this subject is not less felt, sinceby existing
treatiesshehasthe rightofnavigationandfiee importearn
there."565

6.10. Costa Rica herselfacknowledgedin her Argument toPresident Cleveland
that the Nicaraguan branchof the San Juan suffereda loss of water flow to the

CostaRicanbranch (the Colorado):

""Thegeographicalpointnamed in 1858, the mouth of the
San Juan river, has not changedits position, although it

may be thatthe volumeof waters emptied throughit into
the oceanis now lessthan in 1858, and although itmaybe
also thatthe watersof theColoradoriverhaveincreased or
foundnewoutletsthroughtheCafiodehimas oranyother

'",ArgumentofCostaRicaop.cit.p,233.NR, Vol.11,Annex6.
56Ibid.6.11. General Alexanderinhis firstAwardof 30 September1897,in describing

the Bay of SanJuan pointedout,"Thepeculiaritiesofthisbay,to be noted,isthat

the river bringsdownvery littlewater dwing the annuaI dry season. When that
happens, pavticularlyoflateyears...amanmight cross dry-shod.3567

6.12. This factis mademoreexplicitby the Report to the Inspector Generalof

the Costa Rican Treasury of 16 March 1906:"'Duringthe summer, allthe water

fiom the San Juan River follows the cowse of the Colorado, left almost
,9568
completely dry the first..

6.13. As indicated above, this question is squarely beforethe Court: it is a

matter of greaterimport to navigationon the river than the simplequestion of

regulation of that navigationthat appears to concern CostaRica; put simply,

withoutsufficientwatertonavigate, any discussionofnavigation rightsis entirely
academic, Furthemore, Nicaragua'srighttomake improvementsto theriveris a

matter thatwas addressedin the Cleveland Award: CostaRica "can not prevent

theRepublicofNicaragua from executingather own expense and withinher own

territory such works of improvement, providedsuch works of improvement do
not result..i~thedestructim orserious impairmentofthe navigation of the said

riveror any of itsbranchesat anypointwere CostaRica isentitledtonavigatethe

same."569Theseimprovementsrefer toany actionstakenby Nicaragua'Yokeep

55CRM, Vol.11,Annex18atp. 531(emphasisadded).
CRM, V01.VIAnnex214 atp. 878.

56Ibid para.7(emphasisadded).thenavigation of theriver orportfiee andunembarrassed,orto improve itfor the

commonbenefit."570

6.14. And, "The boundary line betweenthe Republics of Costa Rica and

Nicaragua,on theAtlantic side, beginsattheextremityofPmta de Castillaat the

mouthofthe SanJuandeNicaragua River,asthey bothexirfed on the15" day of

April,1858."~~'

6.15. Based on the ClevelandAwardthere isno question thatNicaragua has the

right tobring the riverand its mouth to the statethey were in on the date of the

1858 Treaty.Far fromdestroying or seriouslyimpairingnavigationonthe river,

Nicaragua's restorationofthe water flowthatexisted in 1858 wouldonly --to use
President ~levdand's words -- "improve it for the common benefitvg2.

Furthermore,Nicaragua doesnot need CostaRica'spermissionto proceed with

these works, As President Cleveland decided, Costa Rica "can not prevent the

Republicof Nicaraguafiom executingat her own expenseand within her own
territory anyworks of improvement.. ."573Costa Rica has only a right to an

indemnificationifthe damagesorimpairmentsmentioned byPresident Cleveland

0ccw.r.

6.16. Nicaragua is not askingthe Cow forany indicationas to the amountof

water that Nicaragua has the right to recover. The request is simply for a

Declarationthat Nicaragua hasthisrightin general. If dredging works are begun

57Ibid.,par4.
57Cleveland Award,op.cit.,paraCRM, Vol.11,Annex16(emphasisadded).

57Ibid.
'7Ibid.itwill be CostaRica7stask ofproving theoccurrence of any damagesthat -- it

might be added --arenot offsetby thebenefitsobtained.

6.17. In respectto thefourother items includedin theDeclarationrequestedby

Nicaragua,some remarksmustbe brieflymade:

* Concerningtheright of Nicaraguanauthoritiesto issueregulatians

for navigation (and landing)in the SanJuan, in particularrelated
to mattersof environmental protectionc ,ontroland preventionof

crime, navigationalsafety and border protectionand security,and

the correlativdutyof Costa Ricato complywith them, Nicaragua

has shown in Chapter IV that her regulations are a necessary
consequence anda reasonableexercise ofher sovereigntyover the

bed andthe watersof the river574t,he environment and safetyof

whichshehas both arightanda duty toprotect575;

The obligationfor Costa Rica to pay "for any special services

provided by Nicaragua in the use of the San Juan" by no means

"contradict[s]the perpetualright of free navigation"576t;hese are

twoseparate matters: thenavigationon theriveris freeprovided it
is "with articles of trade" (con objetos de comercio)but by no

means does it implythat Nicaragua isrestrainedfrom charging

fees for such services as safety inspections(departureclewance

certificates)orimmigrationprocessing(touristcardslsn;

57See NR,Chap.II,Sec.Iparas.2.66-2.81andespecially2.74.

57See NR,paras.4.35-4.68.
576CRR,para.5.28.

57See above,paras.4.86-4.91. e The same reasoning appliesto point (iii) - regarding reasonable

charges for modem improvements to navigation of the river.
Nicaraguadoesnot put into questionthe ClevelandAward which

decided that "[tjhe Republicof Costa Ricais not bound to concus

with the RepublicofNicaraguain the expensesnecessary".forthe

improvementof the river578; butthis is a different issue. If, for

example, Nicaragua,withoutinfringing therights ofCostaRicato
free navigationwith articlesof trade, would decideto build on her

om territory acanalparallel to the river,it isquite clear thatthe

Treatydoesnot conferon CostaRica a right offree useof sucha

canal - evenifhernavigationwerewitharticlesoftrade;

* Lastly, CostaRica asserts that by requesting a Declarationby the

Court:that "revenue sewice boats may only be used during and

with special reference to actual transit of the merchandise
authorized by ~reaty"*~~N , icaragua attempts '30 limit Costa

Rica's freeright of navigation, and its right of navigation with

revenue service vessels expressly recognisedin the Cleveland

ward."^^' As shown &oves8', this is not an attempt by

Nicaragua to limit a right belongingto Costa Rica; it simply
reflectsthe expresswordsof theClevelandAwarditself

57ClevelandAward, op,citpara4.CRM, Vol.11,Annex26 (emphasisadded).
579CRR,para. 5.3(quotingNCM, para.7.2.6(footnote omitted)).

58Ibid
589ee paras.2.129-2.150. "The Republic of Costa Rica under saidtreaty and the
stipulations containedin the sixth article thereof, has not
the rightofnavigation ofthe river San Juanwith vesselsof

war; but she may navigate said river with such vesselof
the revenue serviceasmaybe related to and connectedwith
her enjoymentof the 'purposes of commerce' accorded to
her in said article,or as maybe necessaryto the protection
of said

6.18. Furtkemore, as indicated above in Chapter V, there isno evidence that
Costa Rica has ever navigatedthe San JuanRiverwith revenuesewice vessels or

that she has ever requested permissionto do so and been denied or hindered in

her exercisebyNicaragua.

6.19. As a consequence, NicaraguaClly persists in her request and formally
requests the Court to make the Declaration the text of which is reproduced in

paragraph6.5above.

Section11. Costa Rica'sFurther ContentionsRegarding Remedies

6.20. As for the rest, CostaRica'sReplyfocuses on threepoints:
""Nicaragua'sclaim that Costa Rica seeks to exercise dipiomatic

protection";

"Assurances and guarantees ofnon-repetition";and

"Compensation".

Nicaragua will briefly answereachof thesepointsin turn.

582ClevelanAward,op. cit., para.Second. CRM,11Annex 16(emphasisadded).

3086.21. Inher Counter-Memarid, Nicaragua notedthatthe claims made by Costa

Rica'"concerningthe 'obligation'which would be incumbentuponNicaragua'to

permit riparians of the Costa Ricarm bank to fish in the River for subsistence
pwposes' and, moregenerally,her claims for compensationfor the losses and

expensesincurredby Costa Rican citizens, ,,,could onlybe madeas a matterof

diplomatic protection, the conditionsfor which are not hlfilled inthe present
casem5". This defect ismoreparticularly apparentin relationto the Costa Rican

claimsrebutted in ChapterIV of the presentRejoinder.

6.22. First and foremost,it must be noted in respect of these claims that the

alleged "rights" thus "protected" are not mentionedin the Application and are
anly artificially "related" to the navigationrights which arethe only subject-

matter of said Application.Consequently, the claimsare inadmissibleand the

Court:should dismissthem on this ground. Only in the alternative would the
questionof whetherthe conditions forthe exercise of diplomatic protection are

met evenarise.

1. AbsenceofRelationwith the Application

6.23. A firstremark is inorder:in spiteof the impressionthe Applicanttries to

giveby callingthem "Relatedsights",the claims are not admissible;they strnot
parotf theApplication which doesnotmention anyof themandclearly limitsthe

casetorightsrelatedtonavigation(under the 1858 Treaty ofLimits).

5gNCM,para.7.1.10.6.24. Indeed, inthe 2005 Application, a list of the "rights of Costa Rica on the

SanJuanRiver" hasbeenput forwardincluding:

"(a) the perpetual rightof free navigation for commezcial
ptuposes of CostaRicanboatsand theirpassengers;

(b) the right for boats of Costa Ricato touch at part o:
the banks of the river where the navigation is common,
withoutpaying any dues except suchas maybe established
by agreement betweenthe two Governments;

(c)the rightto navigatethe river in accordanwith Article
Secondof the Cleveland Award;

(d) the right to navigatetSm Juan River inofficialboats
for supply purposes, exchangeof personnel of the border
posts along the right bank of the river with their official

equipment,includingthe necessary arms and ammunitions,
and for the purposes of protection, as establishein the
pertinentinstruments;

(e) the rightnot to have navigatioon the river obstructed
or impaired at any point where Costa Rica is entitled to
navigate."

All said "rights" are clearly rights which, in one way or another, have prima

faciea directconnectionwith navigation,as such.

6.25, New %her relatedrights", which allegedly "ariseffomthe sametreaty or
from other international binding instrumentsand whichalso have consequences

relativeto the navigationof the San 3uan7""appeared in the Memorial. Costa

Rica includes inthese new "otherrelatedrights" "a customaryright to fish on its

waters for subsistencepurposes for residents livingon the CostaRican bank of
tlle San ~uan.'"~~Such a formulation clearly shows that thereis no connection

whatsoever between the allegedly breached obligation and the "'freedomof

584CRM, para.4.118.

585CRM, para.4.118(3).navigation with articles of trade" stemmingfrom 1858Treaty of Limits. In the

Reply, there is not even an attempt to relate this "customary right to fish''to

navigation.

6.26. In the same way, CostaRica tries to broaden the scope of the disputeby
adding"the right of CostaRicanvesselsto cany their own flag"586 and the "right

...of not having to fly the Nicaraguan flag"587 with the understandingthat they

constituterights "'related'to the rightof freenavigation."588

6.27, It might be true, as Costa Rica submits, that"it isup to Costa Rica,and

not to Nicaragua, to formulate its However,this is to be done in the
Application,an essentialpoint that hasbeenignoredby the Applicantin this case.

Asthe PermanentCourtput it as earlyas 1933:

"it isthe Application which sets oat the subject of the
dispute,and theCase, though it may elucidatethe terms of
the Application, mustnot go beyond theZimitsof the claim
as set outtherein."'90

6.28, This is nevertheless, without any doubt,what Costa Rica does in her
overall strategy to widen the object of the dispute far beyond the scope of her

Application,which was only related to the 1858 Treaty and the rights therein

contained. Thereisno logicalor legalconnectionbetweenthe "customary rightto

fish" andthe 1858Treaty - sinceit is, asallegedby CostaRica,a customaryright

58CW, para.4.10.
58CRR, para.3.98.

58CRR, para.3.97.
'"CCR,para. 3.11.

PCTJ,1933, SeriesA/f3, Case concerningtheAdministration ofthe Prince vonPless
(PreliminaryObjectio,.14.and not a treatyright stemmingfiom this instrument- or to he navigation.And

in the same vein, the alleged rightto fly the Costa Rican flag has nothing do
with the 1858 Treaty - which does not mention this issue at all - or tofree

navigation.

6.29. Nicaragua does not dispute the right of Costa Rica to amend and to

supplement her submissions in the proceedings, even if Costa Rica did not

expressly reserve her rights on this possibiliin itsApplication,This right is
nevertheless not unlimited. As the Court stated recentlyin the Territoriala~d

Maritim D ispute betweenNi'carapfuaandHondurascase:

"[Tlhe mere fact thataclaim isnew is not in itself decisive
foxthe issueof admissibilityIn order to determinewhether
a new claim introduced dwing the course of the
proceedings is admissible theCourt: will need to consider
whether, 'although formally a new claim, the claim in
question canbe considered as included in the original claim

in substance'(CertainPhosphate LandsinNauru (1Vauru v.
Australia), Preliminu y Objections, Judgment, I,C.J.
Reports 1992, pp, 265-266, para. 65).For this puxpose,to
find that the new claim,astsmatter of substance,has been
included inthe original claim,it:is not sufficientthat there
shouId be links between them of a general nature.

Moreover,
'[a)n additional claim must have been implicit in the
application (Temple of Preah Vihear, Merits, Judgment,

I.C.J.Reports 1962,p. 36)or must arise 'directlyout othe
question which is the subject-matter of that Application'
(Fisheries Jurisdiction (Federal Republic ofGemany v,
Iceland), Merits, T.C.J.Reports 1974,p. 203, para. 72)'
(Certain Phosphate Lands in Nauru (Nauru v. Australia),

Preliminary Objections,Judgment, LC.J. Reports 1992, p.
266,para. 67)."59"

59'Te~.riforInd MaritimeDispute between Nicaragua and HondurastheCaribbeanSea
(NicaragtdvHonduras),JudgmentICJReports2008,para.110.6,JO. The "customaryfishing rights" and the"right tofly the Costa Rican flag"

in paticular have neither been included in the 2005 Application, nor are they
implicitin theApplicationwhich clearly focused onlyan navigational and (truly)

related rights, i.e., rights related to navigatiIn.addition, they clearly do not

arise "directly out of the question which is the subjject-matter of that

~pplication"~~ ie., the allegedbreachof CostaRica's right to free navigation.It

is indeed not necessary to ruleon the alleged existence,or the alleged violation,
of any customary right to fish or on any right to fly one flag or another,in order

to determine ifthe right of ""feenavigation" hasbeenviolated,

6.31. Under these circumstances, the issues concerningthe "related" rights of

fishing and of flying the CostaE;tcanflag are inadmissibleunderArticle40 of the

Statute and Article 38,paragraph 2, ofthe Rules of COW.

2. Non-Exhaustion ofDomesticRemedies

6.32. Inher Reply,Costa Rica embarkson a lengthy discussion of the relations

between treaty claims and diplomatic protection claims, in respect to these so-

called "related rights"593. Her main argument is that "Costa Rica's rights of
navigation arenot claimedas a matterof diplomaticprotectionbut as treaty rights

belonging to Costa ~ica*'~'a~nd that "[iln anyevent, even if Costa Rica's claim

for compensationfor losses causedto Costa Rica for charges, visas and permits

requiredby Nicaragua for CostaRican vesselsand Costa Rican citizens couldbe

592FisheriesJurisdiction (Fedral Republic ofGermanyv.Iceland), Merits, JudgmeICJ
Reports1974,p.203,para72.
59CRR,paras. 5.04-5.09.

59Ibid.para.5.05.charstcterisedas a diplomatic protectionclaim, that claim is incidental to Costa

Rica's claim for heown treaty rightsThe dominant claim isCostaRica's claim
forherom navigationrightspursuant tothe Treatyof ~imits.'"~~

6.33. Thisprecisely isa Eundamentald.ifference withthe case concerningAvena

and other MexicanNationals, which is the exclusivebasis for the reasoning of

CostaRica. As made crystal clearby the Court in the passageofitsJudgment of
31 March 2004 quotedby Costa ~ic$~~, the basis of the Court's decision inthat

case isto be found inthe very "special circumstancesof interdependenceof the

rights of the Stateandofindividualrights", since Article 36, paragraph 1,of the
1963 Vienna Convention on Consular Relationscreates rights not only for the

Applicant State but also for the national In the presentcase,the

1858Treaty of Limits clearly creates no internationright whatsoever for any

individual,

6.34. The solutionof the Judgmenl inAvena cannot,therefore, be transposedin

the present case where the alleged rightsof the Applicant State and of the

individualsconcernedare differentinnature: they stemfrom the Treatyfor Costa

Rica;for the individuals,theycan onlyrise to the surfaceat the internationallevel
afler the allegedly injuredparties have exhaustednationalremedies. Far ffom

being inter-connectedand interdependent,the respectivesightsof CostaNca and

her nationals are clearly distinct. One can easily imagine a violof the 1858

Treaty having no bearing on Costa Rican nationals, whereas this cannotbe the
case concerning the right of consular notification. A claim for monetary

'"lbid .ara. 5.07.
'"See CRR,para.5.08.

59ICJ Report2004,p.36,para.40; seealso Judgmentof 2001, LaGrand,ICJ Reports2001,p.
494,para77.compensationfor the injuries suffered by the individualscan consequently not

arise until legal remediesare exhausted.As the Court:stated in theInterhandel

case, "the State where the violation occurred should have an opporhmity to

redressitby itsownmeans,within theframeworkof its own domesticsystem77598.
The InternationalLaw Commissionhas stated that"it is only if these [locall

remediesfail that the result soughtby the international obligation will become

definitivelyunattainableby reason oftheactofthe

6-35. It should also be noted that in the present case, ifbreaches of her

obligationscouldbe attributedto Nicaragua (quod non),the harm caused would,
apparently,have'been caused mainlyto non-Costa RRm nationals through the

charges for "touristcards" and "immigration fee$"'" or by the requirementof

visasG0'.In her Rep&, Costa Rica goes as far as to allegethat "Nicarstgua's

unlawfblrestrictions and hindrances to CostaRica's use of the San Juan River

have causedconsiderable harm ...to the inhabitants themselves,many of them
Nicaraguan national^. ''sta Rica certainly can not act on behalf of

Nicaraguan or obes non-Costa Ziican nationals supposedly prejudiced by

Nicaragua's allegedlywrongfulacts.

59Interhandel(Switzerlandv.UnitStateofAmerica),JudgmentPreliminaryobjections,ICJ
Reports1959p. 27.
59ILC Yearbook1977,Vol. 1Yd Part,p30,para.2)oftheCommentaryofDraftArticle22 on
Stateesponsibility.

'0CRR, para4.09.

'0CRR, paras.4.03seealso4.26and4.33.6,36. In her Reply, Costa Rica insists on her request for assurances and

guarantees of non-repetition603A . ccordingto the Applicant such a request would

be justified by "Nicaragua's continuingdenial of the very existence of Costa

Rica's Mghts.This is precisely", she adds, "the situationin which assurancesand

guarantees of non-repetition are required...'"04 With all due respect, this is
absurd. Following this line of reasoning would mean that assurances and

guarantees of non-repetition are due in all cases brought before the Cowt. By

deiinition,every case impliesthat there exists a dispute between the parties, that

is, according to the well-knowndefjnitionby the Permanent Court, consistently

appliedby the Court,"adisagreement on apoint of law orfact,a conflictof legal

views or of interests between two persons"60i; and, a dispute exists when "the

claim of one party is positively opposed by the other'"06. As a matter of

definitionany dispute beforethis Court necessarily impliesthat one of the parties
denies, or interprets differentlythe rights invoked by the other, Consequently,

this wouldmeanthat eachand everycaserequires thatthe Courtorderassurances

and guarantees of non-repetition.

CRR,para.5.10-5.15.

'04CRR, para. 5.12.

PCIJ,Judgment of30 August t924, Mavromrnatis alestineConcessions,SerA,sNo. 2, p.
11; see alsoe.g.8 October 2007, Territorialand MaritimeDispute between Nicaragand
HondurasintheCaribbean Sea,par.130.
ICJ, Judgment2 1December 1962,SouthWest AJiicaPreliminaryObjecbions,CJ Reports
1962,p. 328;see alsoe.g.:3December 2006,Amed Activitieon theTerrifoyof the Congo
(newApplication :2002) (DemocraticRepubliof the Congov.Rwanda), p.40, par. 90or13
December 2007, Territorial and Maritime Dispute (?Vicaragv.aColombia), Preliminav
Objectionspara.41.6.37. ftis the view of Nicaragua that this isnot, and must not be, so. The

Court's Judgmentsare compulsory,and when States consent to the Court's

jurisdiction, they acceptthat the Judgmentwill be "final and without appeal"in

the words of Article 60 of the Statute, Ifand when, as in the present case,the

requested assurancesand guarantees would add nothingto the compulsorynature
of the Judgment,it is not tenable that"the circumstances (...)requiref160that

such a request be satisfied. It can add nothingto the obligationsof the States

appearing in Court and accepting itsjurisdiction, as in the present case. As

Nicaragua has recalled in her Counter-Memorial,the Court has frequently

declared that "it 'neither can nor should contemplate' the possibility that its
Judgments would not be implemented by the ~arties"~'~.Costa Rica's request

mns againstthis presumption.

6.38. Thejurisprudenceinvoked by the Applicantmustbe checkedagainst this

fundamentalconsideration.Inlightof it,itwill be apparentthat:

* In LaGr~ndandAvena,theJudgments limited themseIvesto take

note of the assurancesgiven by the RespondentstateM9,which, in

fact, added something to the usual consequences of the

responsibility oftheStateas decidedinaJudgment;

607See Article30(b) of theILC Articleon the Responsibilityof Statesfor Internationally
WrongfulActs.
"ONCM,para. 7.1.13See e.g,PCIJ,Judgment,17August1923, S.S.Wimbledon,SeriesA,No.
1,p. 32; 18September 1928, SerieA, No, 17, Facbny at Chorzdw (Claimsfor Indemnity)
{Merits),SeriA, No. 17,pp.62-63;ICJ,20 December 1974,NuclearTests,ICJReports1974,
p.272,para.60,andp. 477,para63,or26 November 2984,MilitaryandPararnilitayActivities
in and against Nicaragua(Jurisdiczionof the Courtand Admissibilityof theApplication),ICJ
Reports1984,p.437,para.101.

"' SeeJudgmentsof 27 June2001,LaGrand,ICJ Reports2001, para124 andpar.128(6); and
31 March 2004,Avena andOtherMaican Nationals,ICJ Repor'ts2004,para.15andpara.153
(10). In the Genocidecase,the Coud did not "direct thatthe Respondent

provide guaranteesand assurances of non-repetitionin relation to

the established breaches ofthe obIigationsto prevent andpunish
genocide'7610 w;hile the Court recognized that ''the Respondent

failed to comply both with its obIigation to prevent and its

obligation topunish genocide deriving from the Convention, and

that its international responsibilitis thereby engaged,'76"and
while the breach was continuing at the time of the Judgment,the

Court considered "that the declaration [by which it gave an

appropriate satisfactionto the Applicant]is sufficient as regards

the Respondent's continuing duty of punishment, and therefore
does not consider that this is a case in which a direction for

guarantees of non-repetitionwould be indeed, the

guarantees and assurances required could, in the circumstances,

have addednothingto the Court's decision;and

In the case concerning Armed Activities on the Tevito~ of the

Congo (Democratic Republicof the Congov. Uganda),the Court,

withoutincludinganydecision on that matterin thedispositifof its

Judperzt, considered that,
"if a State assumes an obligation in an international

agreement b respect the sovereignty and territorial
integrityof the other States parties to that agreement (an
obligation which exists also under general international
law) and a commitmentto co-operate withthem in order to

"'OJudgmentof 26 February 2007, AppEicationof the Convention on the Prevention and
Punlishmelotfthe Crimeof Genocide (BosniaHerzegoviv.Serbia andMontenegro),Merits,
para.466.
Ibidpara.450.

"'"Ibid.,para.466. fulfsiuch obligation,this expressesa clear legallybinding
undertakingthatit willnotrepeatany wrongful acts.In the
Cowt's view, the commitmentsassumedby Uganda under
the TripartiteAgreement mustbe regarded as meetingthe
DRC's request for specific guarantees and assurances of

non-repetitianThe Court expects and demands that the
Parties will respect and adhere to their obligationsunder
thatAgreement andundergeneralinternationallaw.'"13

6,39. It goes without sayingthat what holds true for commitments taken in a

treaty iafortio rrie forobligations ensuingftom a Court's Judgment.In the

present case, byno stretchoftheimagination cantheCourtdirecttheRespondent
to give anyassuranceor guaranteeofnon-repetitionwhichcouldgo beyond what

theCourt itselfcoulddecide by way of satisfactionor of a declaratoryJudgment.

The present situation isvery similarto thatprevailingin the case concerningthe

Land and MaritimeBoundary betweenCameroon and Nigeri a here the Court
statedthatit:

"cannot envisage a situation where either Party, after
withdrawing its military and police Forces and
administration from the other's territory, would failto
respecttheterritorialsovereigntofthat~arty.'"'~

6.40. This remark also applies to Costa Rica's request thattwo Nicaraguan

decrees "and all other relevant measures be abrogated""'. Not only is this

requestabusivelyvague (what are the "othermeasures" Inquestion?),but also it

goes farbeyond the"inherent limitationson the exerciseof thejudicial kction

61"~dwent of19December2005,ICJReports2005para257.
67.Judgmentof10October2002Merits,ICJReports,para.318.

61CRR, para,5.15.which the Court, as a court of justice, can never ignore."6 A1m6ong those

limitations, the most fundamental is theone which prompts the Court to refrain

fi-omissuing ordersto sovereignstates617.

6.41. In paragraph 6.15 of her Memorial,Costa Rica makes a series of entirely

unsubstantiated claims for compensation, which she simply reiterates in

paragraph 5.15 of her Reply, also without any attempt to substantiatethem. For

her part, Nicaragua noted in her Counter-Memorial that the Court could not

accede to such cavalier claims since the Applicant had only made '%cry broad

assertions as to the [injuries] allegedly endured and [given] no indication

whatsoever asto the causeof thosedamages.''618

6.42. In the Reply,Costa Rica explains that "[iJn fact CostaRica's Memorial

contains detailed specification first of Costa Rica's rights, then of Nicaragua's

violations of those rights'"". This begs the question - which is not, for the

purpose of the present chapter, related to the alleged breaches committedby

Nicaragua,but which relates to the losses allegedlysufferedby CostRica.And,

'16ICJ,Judgment,2 December1963,NorthernCameroons,Pre1imina~;vbjectionICJReports
1963,p.29.
"' See e.g.PCZJ, 1925,MavrommatixJemsalem Concessions, SerieA, No. 5, p. 50;ICJ,
Judgments,13 June1951,Haya de laTorre,ICJ Repopt1951,p. 79;27 June2001,LaGrand,
ICJ Reports 2001, para. 1(7);31 March 2004, Avenaand Other MexicanNationals, ICJ
Reports2004,para.31;14 February2002,Arrest Warvanof 13April2000,ICJReports2002,
para.76.

NCM,para, 7.1.7(footnoomitted).
6'9CW, para5.17;see alsopara.5.22(ii).in this respect, it is certainlynenough to simplyrefer, as the Applicantdoes6",

to the list given,without anyexplanation,in oneparagraph of the Reply.

6.43. Contrary to what Costa Rica seems to think for purports to understand),

Nicaragua, by no means challenges, as a matter of principle, the possibility of

requesting the Court:to determinein a later stage of the proceedings the amount

of compensation due for damages resulting fiom internationally wrongful.acts

when the responsibility of the Respondent has been duly decided in a fist

Judgment.As was made extremely clearin the Counter-Memorial: "the form and
amount of compensation can be reserved for a subsequent phase of the

proceedings'"1. But Nicaragua alsofirmly maintains that "this does not mean

that the Claimant in a case before the Court can simply contend that it has

endured an injury without establishing the precise and effective name of said

injury and that ithas been causedby the alleged internationallywrongfulact or

6.44, Curiously, Costa Ricatries to take advantageof the decision of theCourt

in the Fisheries Jurisdictioncase623A . ll artificial quibbles aside, the important

part of this Judgmentis one thatCosta Rica seems to attribute not to the Court,

but to ~icara~ua~~~T .his sleight of hand is understandable since the Court's

62Ibid:"WhereCostaRicahas requested compensati-nto be assessedina separaphaseof
these proceedingsthasspecifiedthe particucategoryofloss,whetherinthefarmofcharges,
expenses and costsdirectlresultingfiom Nicaragua's internationallyrongful acts";the
correspondinfootnote(557)simplyindicates:"CRM,para.6.15";see alsCRR, para. 5.2(ii)

andh. 577.
62NCM, para7.1.5.

62Idem.7.1.5.
62See CRR, paras.5.1and 5.21-5,22.

6MCJ:CRR,para.5.21:"But it WCARAGUA] arguesthattheCourt'ispreventedfrommaking
anall-embracingfindingof liabilitywhichwouldcovermattersasto whicithasonlylimitedposition is decisive on the question: "In these circumstances, the Court is

prevented from making an all-embracingfinding of liability whichwould cover

matters as to which it has only limitedinformationand slender evidence"625 .n

other words, when the Court, for one reason or another626,has only "limited

infomation and slender evidence" on the alleged damages, it cannot make a

general finding of liability (or responsibility) as Costa Rica is requesting.

Moreover,it must be noted that, in the FisheriesJurisdict ciaon,Germanyhad

offered much mare evidence on the damages far which compensation was
required thanthe list inparagraphs 6.15 of the Counter-Memorial and 5.16of the

Reply,which is repeatedly invokedby Costa Rica as specifyingthe lossesit has

allegedIy suffered and their relation to Nicaragua's alleged internationally

wronghl

informationand slenderevidence".The corresponding footno(570)is prudentlymorehonest:
WCM,para.7.1.7,citingICJ1974,p. 204(para.76)".
625
IC3,Judgment, 25 Suly1974,Fisheries JurisdictionCase (Gemanyv.Icelauld),ICJ Reports
1974,para.76.

626Inthe 1974case, themainrelevant circumstancewas the fatat the Applicant statehadnot
submitteda claim for paymentof a certainamount of money as compensation andthe Court
deemed itinappropriatetorequestfkrtherevidence(ibidInt.epresentcase,theApplicant itself
refusestoprovidetheCourtwithsuchevidence.
627See CRM, paras. 5.16-5.17and 5.22 (ii)The whole text ofboth paragraphs (whichare
identical)readsasfollows:"compensationshouldincludinteraha:

(a) the Ioss causedto Costa Rican vessels arising frothe so-called"departureclearance
certificate'imposedonCostaRicanvesselsnavigatingtheanJuanRiver;

(b)the Iosscausedto CostaRicaforthecharge of tourism cards,transitpermitsand immigration
fees imposedonCostaRicanvesselsnavigatingthe SanJuan River;
(c) theIoss causedto CostaRica for the charge afconsularvisato any CostaRican citizen
seekingtonavigatetheSanJuanRiver;

Id)tilelossescausedto CostaRicaforthe furtherexpensesincurreby CostaRicancitizensthe
consequentiallossesitheir activitiaswellasall othermaterialandmoral damagesufferedby
them;6.45. The position of the Court in the Fisheries Jurisdiction case and the

conclusions whichcan be drawn fom it are amplyconfirmed by the case-law

whichCosta Ricamentionsin paragraphs 5.20 and 5.23 of herReply and which

deservescloser scrutiny.Inchronolagica~ order,those decisionsare:

* In the case of the Factory at Charzbw, the Permanent Court

declaredthat the Polish Governmentwas "under an obligationto

pay, as reparation to the Geman Government,a compensation

corresponding tothedamagesustainedby the [German Companies
OberschlesischeStickstoffwerkeand BayerischeStickstoffwerke]

as a resultof "Poland'sunlawful attitude"and. theCourt accepted

to reserve "the fixing of the amount ofthis compensationfor a

fbture judgment"628B . ut before making this decision,the Court

carefully ascertained"whether these Companies have in fact
suffered damage as a consequenceof that attit~de'"~'.On the

principleof the Polish responsibility,the Court laid down "the

guidingprinciples according towhich the amount of compensation
r,630
due may bedetermined , andit "discarded forwant of evidence,

indemnity for [another]damage alleged by the Bayerische"on the

followingbasis:

(e)theexpensesandcostsincurredbyCostaRicaas a resulof Nicaragua'sviolationscausing
CostaRicatobe unabletoresupplythpolicpostsalongtheCosta&can bankthroughtheSm
JuanRiver;
(fintereatprevailinratesfromthetimtheclaimaroseuntipaymentofthejudgment;and

(gsuch othereliefatheCourtmay deem appropriate".
62PCIS,Judgment,13 September1928,TheFuctog, atCharzciw,ClaimforIndemnit Myerits,
SerieA,No. 17,pp.63-64.

629bid.,p.30;seethensuingdetaildiscussiopp.30-34.

Ibid ..46. "The Courtmust howeverobservethat it has not beforeit
the data necessaryto enable itto decides tothe existence
and the extent of damage resulting fram alleged

competition of the Chorztjwfactory with the Bayerische
factories;the Court is not even in a position to say for
certainwhether themethods ofthe Bayerischehavebeenor
are still being employed at Chorzbw, lzor whether the
products of that factoryare to be foundin the markets in
which the Bayrischesells or might sell products fiom its

own factories.In these circumstances,the Court can only
observe that the damage allegedto have resulted .from
competitionis insufficientlyproved.''31

In theCovfu Channelcase,"[tlhe Albanian Government [had]not

yet stated which items, if any, of the various sumsclaimed it

contests, and the United Kingdom Govement [had] not

submitted its evidence with regarto them [,t]he Cowt therefore
[considered] that fwther proceedings on this subject [were]

necessary~363,and in the Hostages case, where "the form and

amount of [the)reparation"couldnot be determinedat the dateof

the initial ~ud~rnent~'~t,he existence and consistency of the
damagewereopentodoubt.

In both theCrsseConcerning Military and Paramilitary Activities

i~and agains Nicaragua, and that ConcerningArmed Activities

on the Territoryofthe Congo(DemocraticRepublicofthe Congo
v. Uganda), it is apparent that at least "a certain amount of

"IIbid .p.56-57.
9 April1949,Merits,Rec. 1949,p.26;seealso,Judgment,ISDecember1Cog% Channel,
Compensation, ec. 1949,p. 245.
633ICJ24 May 1980,Judgment, 1980,UnitedStats D@lomaticand ConsularStinTehran,

ICJReports1980,para90. evidence''oftheallegedinjuryhadbeenprovided duringthephase

ofdeterminationofresponsibility."634

6.46. Notwithstanding the particular circumstancesof each case, it clearly

appearsthat CostaRica has notcompliedwith her dutyto offer an "amount of
evidence" of the injury allegedlysustainedand of its causalrelation withthe

alleged internationallywrongful actsof Nicaragua,sufficient to allowthe Court

to appreciatethe seriousnessof her claimfor reparation. Mutatismutandis, the

now firmly established Oil Plafovrns jurisprudencecanbe used as a guideline:

"the Court cannot limititselfto notingthat oneof the Partiesmaintainsthat such
a dispute [damages] exists,and theother denies it,Itmust ascertain whether the

violations ofthe Treaty of 1955[of 18581pleaded by Iran [CostaIiica] do or do

not fallwithintheprovisionsoftheTreaty[arethe cause of the allegeddamages]

and whether,as a cansequence,thedisputeis ane whichthe Courthasjurisdiction
~635. Similarly, in the
vatione rnateriae to entertain [compensationis due].,,
present case, it fell toCosta Rica to establish the reality of the damages she

complainsof and a "sufficiency of subject-matter between the

allegedwrongkl acts on the one hand and these allegeddamages.She has not

fulfilledthisduty.

Likethe casesconcerningthecourseofboundariesbetween States; where
6.47.
the Court avoids expressingits viewson the respective responsibilitiesof the

parties, inthepresent case the Court willno doubtavoid mixing the legal issues

634See Judgments of27 June 1984,Military and Paramilitary Acciviries in wd against
Nicaragua, Merits,ICJRepor1986,para.284;and 19December 2005,ArmedActivitieonthe
Territoryof the Congo{DemocraRepublicoftheCongo v. Uganda),ICJ Reports2005paras.
259-261.
63TCJJ,udgment,12December1996, OilPlatfbrms,PreliminaryObjectiICJ Reports1996p.
810,para.17.

63JudgeDameRosalynHiggins,SeparateOpinion,ibid.,p854.concerningtheregimeof theborder with that ofthe allegedresponsibiIityof one

or the other party. In theCase Concerning theLand aud Maritime Boundary
betweenCameroonandNigeria, the Court declinedto'"seekto ascertainwhether

and to what extent Nigeria'sresponsibilitytoCameroonhas been engagedas a

result" of the occupationof the Bakassi~eninsula'"'~.Similarly,in the present
case,the Declarationsrequestedby thepartiesasto theregimein questionwill be

sufficientanswerstotheirrespective concerns.

6,48. These remarksare made, as are all the commentsin the present section,
for the sole sake of the legal discussion and with the purpose of answering

exhaustively all the arguments madeby Costa Rica in her Reply. The

fundamentalpositionofNicaraguais andremainsthat Nicaraguahas not violated

any of the obligationsincumbenton her under the 1858 Treaty of Limits as
interpretedby the ClevelandAwardof 1888.To thecontrary,it isCostaRicathat

hasseriouslyinfringedNicaragua'ssovereigntyovertheSan JuanRiver. And this

iswhyNicaraguahas requestedaformalDeclaration by theCourt.

6.49. Costa Rica is rightto note, inthe Introduction of her Reply, that the

reservationsincludedat theend of Nicaragua's ~ounter-~emoriaP~~ arenot(and

are notpurportedto be) counter-clairn~~~A ~.lthoughthe rightsthereinreserved
and thebreaches of the I858 Treaty by Costa Rica mentionedin Nicaragua's

reservationsarenotdirectlytheobject ofthe presentcase, theyare clearlpartof

the general background.Withthese reservationsNicaraguawishesto make clear

thatthere are more issues concerning the rights of navigation on theSan Juan

63Judgmentof 10October2002,Merits,ICJReports,p. 452,para.319.

63SeeNCM,p. 251.
"'SeeCRR,para. 1.17.- River and its outlets thanare reflectedin the claims brought by Costa Rica and

are presently before the Court.With this in mind, Nicaragua expresslyreaffirms

her right to"bring claims againstCostaRica for theecological damage done to
the waters of the San Juan River as well as for the diversion of itstraditional

waterflow into agricultural,industrialand otheuses in CostaRicanterritory and

intotheColorado ~iver."~~'

"O NCM, p.25I, para.3.On the basis of the facts and legal considerations forth inthe Counter-

Memorialand theRejoinder,theCaurtisrequested:

To adjudge and declare that the requests of Costa in herMemorial

andRepplyare rejectin general,and iparticularon the followingbases:

(a) Eitherbecausethere inobreach of thprovisionsaf the Treatyof

Limits of 15 April 1858 or any other international obligation of
Nicaragua.

(b)Or, as appropriate, because the obligation breach of which is
alleged,isnot anobligationunder the provisionof theTreatyof

Limits of 15April 1858orunder generalintematianal law.

Moreover,the Courtis alsa requestedtmakea formalDeclaration on theissues
raised by Nicaragua in SectioTIof ChapterVII of her Counter-Memorialand

reiterateinChapter W, Section3,ofherRejoinder,

CARLO Sose ARGUELL O6mz
Agent of theRepublic ofNicaragua

15 July 2008 APPENDIX

1. Costa Rica has attached to her Reply an Appendix entitled "Some

Historical Issues," Most of the issues in this Appendix are not relevant to the

questionsthat are before theCourt.Thosethathave any relevancehavebeen dealt

with in the textof this Rejoi~der.Nonetheless, simply to set the record straight
Nicaragua attachesthisAppendixto herRejoinder.

Section I. TheSanJuanRiver

ii. The subjects addressed in this section and the section that follows --

regarding the issue of Nicaya --are historical rather than juridical in nature,

because the Treaty of Limits, the Cleveland Award and the awards af General

Alexander have established the boundary betweenNicaragua and Costa fica,
rendering the difficult task of interpreting colonial documents or colonial and

post-colonialeflectivits unnecessary.

iii. Regardingthe first of thesehistoricalissues, Costa Rica states that during

the colonial period --that is, before independence-- the San Juan River did not
belong exclusivelyto eitherofthe provinces.

i. In order to demonstrate the above, Costa Rica states"' that Nicaragua

that the Royal Charter of 1573 establishes that the mouths of the

Desaguaderobelong to Nicaragua, butthat paragraph 5 af this Charterstipulates
that the concession granted to Diego de Artieda begins: "on the northern part

CR, A 05,
64WCM ,aras.1.2.11and 1.2.3.fiom the mouthsof the Desaguadero. 9,643The followingphrases ofthe Replyare

confusing: first it states that the mouths of the Desaguaderoare included inthe

concession,then that theyare not. Subsequently,CostaRica statesthat paragraph
12 of the Charter adds "ques a Iaspartes deNicaragua,"and that this addition

must be translatedas "that is to the parts of Nicaragua" andnot astranslatedby

Nicaragua:'%at belongsto~icara~ua"~'~.

v. The more completetext of Paragraph 12 of the Royal Charter stipulates

that the territory of Costa Rica would extend".., on thenorthern part, from the

mouths of the Desaguadero, that belongsto Nicaragua (ques a alapartes de
Nicaragua), all across the land, to the Province of Veragua." The correct

translationof thisis not the literaltranslatofthe old Spanish text. Inany case,

"artes de Nicaragua"does notmean "partsof Nicaragua"but it isanotherusage

of the term "partido de Nicaragua" which was the way these territories were

identified:puvtes orpartidos. Thephrase"ques a''can onlytrulybe translatedas

that "belongsto". If this differenceof opinion were relevantto the case it could
be easilyresolvedby an expert opinion suchas the one Nicaragua providesin this

Rejoinderon the pertinent phrase"conobjetos de comercia", But in any case,

any personwho has weadDon Quijotewouldhaveno difficulty understanding that

Nicaragua's translationis correct.

vi. Costa Rica adds645 that in any case, the RoyalChatter of 1573does not

establish any change in possession of the entire course of the river or any
significantchangeof the borders,or any modificationof the rights of navigation

and fishing awardedby theRoyal Charterof 1540and the Orderof 1561.

643RoyalChartetoDiego ArtiedaNCM,Vol. 11Annex 86,p.302.

644CRR,p. 214,h. 606..

645CR,A 09.vii. Apart from the above, Costa Rica citesM% document to which no prior

reference has been made: a Royal Charter of 1576, in which authorization is
granted to Diego Lopez to conquer and populate the Province of Lataguzgalpa,

which includes the land"fro he mouth of El Desaguadero to the northup to

Cape Camaron." According to Costa~ica'~~,this demonstrates that the territory

of Nicaragua did not reach the mouths ofthe Desaguadero. Such importance is
assignedto this aspectthat a mapis attachedafterpage 21ofthe Reply.

viii. The reality is that Diego L6pez never proceededwith the conquest and

population of Lataguzgalpa,because he was unElbXto find partnerswho would

facilitate thmoney required to cover the implied costs, as occurred on many
other occasions.The resulwas that Lataguzgalpadid noeven begin to exist.

ix. In spiteofthe above, accordingto Costa ~ica~" the territorynorth of the

San Juan was left to the ProvinceoLataguzgalpa and Costa fica continuedwith

the same limits establishedby the Royal Charter of 1540 and corrected by the
RoyalCharterof 1541and the Orderof 1561.

x. Costa Rica that thissituation continued in the eighteenth

centuryand that thisisconfirmed by the report by Luis Diez Navano to the
CaptainGeneralof Guatemalain 1744,which states thatCosta ICica'jurisdiction

is"from the north, from themouth af the San Juan river until the Shieldof

Veraguas at theKingdom of TierraFirme," and by the Costa Rican Constitution

of 1825, which indicates the "mouth of the San Juan River" as the northern

64CR,A 10.
64CR, A II.

@ CR,A 12*
64CR,A 13.border6". Clearly, Costa Ricegives an inclusive characte$0 the word "from" in

English and "desrde7in Spanish,whichis contraryto commonusage.

xi. The paragraphs above attempt to provide a bit of order in a conhsing

account of colonial recordsthat seeks tmakeone forget the fact that the Royal
Chartersonly set borders in a conditional manner. Thatis, limitswere set so that

the concession holder could exercise conquest andcolonization within them.

However, if these acts were not carried out, the limits disappeared. This is

completely different from the borders set by Royal Orders (Reales C&dulas),

which marked provincesto be createdor thatwere alreadyestablished.

xii. With respect to the Royal Charter of 1573, however, upon which

Nicaragua supportedher right over the San Juan River, it is importantto note the

opinion of the Costa Rican Academyof History - soimportantthat, although it

is cited in footno29 on page 20 of the Counter-Memovial, it is reproduced here:
",+.it wouId not be until 1573, withthe Royal Charter granted to Mieda and

Chirinos, that a significant change occurred with the respect to the limits. This

latter date would alsofix the limits that would reign during the entire colonial

regime'765'

xiii. Apart from the documents cited, the geographical reality indisputably
points to thefactthat theSm Juan River couldonlyhave been part of Nicaragua

inthe colonialperiod.Thus, thereareno Costa Ricancitiesthat abutthe San Juan

and would have needed its waters for navigation. The river was almost

exclusively used for commercialtraffic between the Nicaraguan cities on Lake

Nicaragua,particularlythe city of Granada,that handledmost of the commercial

CR, A 14.

HistariadeIcentenariode la entdedCavadldnaCostaRica(1561-1961),1961.p. 45.See
NCM,para. 1.2.11.traffic to anfrom Spain and the Caribbean.The fort of Sa~lCarlos defendingthe

San Juan River is and has alwaysbeen in undisputedNicaraguan territory.There

was absolutely no reason why the Spanish authorities would even have
considered giving the jurisdiction othis waterway to Costa Rica whose main

citieshadno accessto the river.

Section TI. TheMatterof Nicoya

xiv. Nicaya was a territory that, duringthe colonial era, famed part of

Nicaragua, Its limiwith CostaRicawas theEl SaltoRiver.

xv, Costa Rica states652that Nicaragua claims that Njcoya was annexed
unilaterally by Costa Rica, exploiting the conflict in which Nicaragua was

involved in 1824, and that legally it remained a part of Nicaragua when the

border treaty negotiations of1858 began, According to Costa Rica, these two

statements lackanyfoundation.

xvi. In support of her thesis, Costa Rica alleges653that Nicoya participated

togetherwith CostaRica in the electioof deputiesto Spanishcourtsin 181 3 and

1820;that Nicoya decided to joinCosta Rica in a plebiscite in 1824,which was
ratified by the Central American Federal Congress in 1825; and that Nicaragua

did not include Nicoyas part ofherterritorin her 1825Constitution.

xvii, With respect to the above, it is important to observe that Nicoya's

participation in the election of deputiwas due to thefact that, without said
participation,Costa Ricawould have been deprived of the right to participain

the courtsbecauseshewould nothave hadthe requirednumber of inhabitants. In

CR,A 15.
65CR,A 27-18.addition, this participationwas only for thesake of the electionsand did not

constitutean annexation*

xviii. Inrelationto theplebiscites,it mustbe notedthattheplebiscite itselfis an

acknowledgmentand the clearestproof that this district (partido)was part of

Nicaragua. AZI the formercolonial possessions ofthe SpanishCrown,including
Costa Rica and Nicaragua,have acceptedthe principleof utipossidetis izariin

the settlementof territorialquestions.Wheneverthis principlehas been vioIated

or ignored,there havebeen serious and lasting consequencesT. he principlwas
accepted preciselyto avoid situationslike that provoked by the CostaScan

annexationofpartsoftheterritoryofNicaragua.

xix. The dateof Independenceof Nicaraguaand CostaRica is 15 September

1821 andthe firstplebiscitetookplacein 1824.This plebiscite was held ata time
when Nicaragua was divided and in the midst of a civil war, with opposing

governments in Leon and Granada. In addition, the lack of credibility of

plebiscites held in territoriesunder foreign occupationand without impartial
oversightis wellknown. The tnth is that afewlandownersinNicoyadecidedto

breakaway from Nicaraguatohavemorecontrolovertheirproperties.

xx. Finally,it is trthat theNicaraguan Constitution of1825 did notinclude
Nicoya onthelist of administrative areas.Butthesame istrueof theCosta Rican

Constitutionof the same year. In fact the Costa Rican Constitution gives a

geographic description of her territory and does not divide itabstractly in
administrative areaswith undefined territoryas does Nicaragua's. The Costa

Rican Constitution states:"Article2.The State'sterritory willextend,for now,

from west to east, Erom the Salto River, which divides it fkom that of
7,654
Nicaragua. .. .The Salto River was precisely the limit of Costa Rica with

65FundamentalLaw ofthe StateofCostaRica. CRM,Vol. Annex 193.

336Nicoya.The ConstitutionofNicaraguastipulatedin Article I1that, "Theterritory

of the State embraces the districtsof Nicaragua,Granada, Managua, Masaya,
Segovia,Subtiava, andEl Realejo." The mostthat can be saidof theNicaraguan

Constitution IsthatNicoyais not mentioned by name,as,for example,Matagalpa

or Bluefields were not mentioned by name, as fur example Matzgalpa or
Bluefieldswere alsonot mentionedby name, but not that it was excludedas the

CostaRicanConstiltion mostcertainlyexcluded Nicoya.

xxi. With respect to the claimthat the annexationofNicoyawasratifiedby the

Federal Congress, whatthe Reply fails to mentionis that the Resolutionof this
Congresswasprovisional innature.Theannexationwas accepted inthe wording

of the Resolution,""Fr the timebeing, and untilthe demarcation of the territory

provided by Art. V11of the Constitutionis made. .+'"55 What was stipulatedin
ArticleVII af the FederalConstitution was:"The demarcationof theterritoryof

the States willbe made by a Constitutionallaw withpresence ofthe necessary

data." However,the Federationended in 1838 without havingpassed this law.
Therefore,the annexationremainedprovisional innatureuntilthe Treaty of 1858

putan endtothis question.

xxii. In theReply, one clearlyseesthe intentionto deny thatthe recognition of

Nicaragua's sovereigntyover the San Juan River was the quid pro quo for
recognitionof Costa Rica'ssovereigntyinNicoya,but rather thatthe sovereignty

over the San Juan was balanced withCosta Rica's right to free na~i~ati01.1~~~.

Withthis argument, the intentisto givea highervalue to freenavigation,making
itappear as the only thing received by Costa Rica, since she already held

sovereignty overNicoya, However,this argumentseems to contradictthe prior

"'DecreeoftheFederalCongressof CentralAmerica,9 De1825. CRRVol.11,Annex5.
"'CR, A 21.paragraph657i,n which it is stated thatthe Treaty of Limitswas intimately linked

with the Costa Rica - FCIixBelly Nicaragua Canal Agreement of 1 May, 1858
(two weeks after thetreaty), This agreement established that the two countries

would be co-sovereigns over the canal and, therefore, have the right to

navigation,In this way,conhsion is generatedbetweenthe right to navigatioon

theriver and thatof ahypotheticalcanal.

xxiii. The detaiIs of that agreemenare irrelevantsinceitwas not ratifiedBut

apart from thisfact the cantext inwhich it was signed should notbe lost. The

treaty came about fiom the intrigues of French adventurerwho passed himself

off as aconfidential agent of his government,attemptingto exploit the stateof
mind of aNicaraguan president whose country had recently been the victim of

William Walker's filibustererinvasion and remained fearfiilof new invasions.

The adventurer presented the apparent opportunity to obtain not only the
constructionof the desired inter-oceaniccanal but also the protectiof France

and other European countriesagainst the threat of new filibusterer invasions.

Only months before, Nicaragua had signed the Cass-Irisarri Treaty and, in the

United States, there was a refusal to commit to stopping an attack by new
invasion forcesfi-omthat countrytoNicaragua.

xxiv. Faced with this situation, the Nicaraguan president enthusiastically

accepted theproposals of the French adventurer,and Costa Rica took advantage
of this acceptance. However, these were no practical effects, as the French

government discovered the abuses carried out in its name, and the treaty was

neverratified.

657CR,A 20.xxv. In thefinalparagraphof SectionB~~~ it,is stated that Costa Ricahas not

attemptedto conquerand annex any Nicaraguanterritory. If this statementhad

not been made in the Reply,it would not have been appropriateto recall that,

duringthefirst filibustererinvasion,CostaRica,withthedesire to appropriatethe
inter-oceanictr-ansitroutby force, had occupied militarypostsalong the San

Juan River. On 14 October 1857, she sent an ultimatum $0 the Nicaraguan

commanderto surrenderthe fortat San Carlos,situatedat the beginningof the

San Juan River on LakeNicarapa. This was considered by Nicaraguato be a

declarationofwar, asreflectedinadecreedated 19October 1857,"'

xxvi. This effort by Costa Rica to conquer and amex Nicaraguan territory

provoked theriaction ofthe UnitedStates,Thus,Nicaragua citedinher Counter-

Memorial the note senby the United StatesSecretaryof Stateto his Minister in

Nicaragua inwhichhe expresses concernthatCostaRicapretends"to appropriate

to itselfportionsoftheTerritoryof~icara~ua."~~'

A. THE COSTACAN CONSTITUTIO NFS1825AND 1841

xxvil. Costa Rica claimed inher Memorialthat the limits set inits Constitution

of 1825were equivalenttothose set inthe Decree of Bases and Guarantees of

18416",whereasintruththerights basedon utipossidetis iuriswererespectedin
1825,andin 184 1,thisprinciplewasviolated.

658CR,A 22.

659SeeNCM, para, 1.2.43.
"' NotefromLewis CaseSecretarofStatoftheU.S,,to WilliaCareyJonesSpeciaAgmt
oftheU.StoCentralmerica.NCM, Vol11,Annex37.

'" SeeCRM,para.2.13.xxviii. The~epl~~~ s~ates that Nicaragua attached aMap No. 3 to her Counter-

Memorialwith the intention of showingthe border pursuant to the Costa Rican
Constitutionof 1825. However,Costa Rica maintainsGG t3at thismap showsthe

startof the line at the mouth of the ColoradoRiver,not at thaof theSanJuan,

and the line ends at the Tempisque River, not at the Salto River. Costa Rica

trther claims that the Constitution doesnot establisastraight line between the
mouth ofthe San Juan andthe Saltofiver.

xxix. Firstof all, itmust be pointed out: that the Colorado River is reallya

mouth of the SanJuan River, and iwas not until the ClevelanAward in 1888

when it was decided that this was not theborder; that the name ofEl Saltowas
later changed to Ternpisqrte;and that when the Constitutionstipulates the start

and end points of the border but does not indicatethe line betweenthem, it is

logicalthatsaid linebe a straightline.MapNo. 3 isan illustrationof the situation
as understood contemporaneously. It is takenfiom a set of maps prepared under

the directionofMr. Ephraim Squier whowasappointed Charge d'affairesof the

United Statesto CentralAmericain 1849and wrote extensivelyaboutthe area.

xxx. With respect to the non-inclusionof Nicoya in the Constitutionof 1825,
Costa Rica statesthat the Constitution was issued eleven months before the

decree of annexation, for which reason itincludes the expression "'fornow."

Costa Rica fails to note, however,that this decree was provisional in naturas

indicated above in parstgraphxxi. As a result, Nicoya did not belong toCosta
Rica until after the 1858Treatyand should nothave been included in the Costa

Ricandecreeof 1841,just as it hadnot:been includedin the 1825 Constitution.

66CR,A 23.

66CR, A 24. B. NEGOTIATIONF SORTHE INTER-OCEAN CACNAL

xxxi. Costa Ricastates664that Nicaraguaclaimsto have actedaloneinthe cam1
and transit contracon the San JuanRiver, and that Costa Rica'spretensionof

having participated alone or jointlyin canal treaties has no historicalor

documentarybasis"'.

xxxii. With respect to the above,it must be notedthat the Award of President
Cleveland decided that:"The Treaty of Limits of the15&day of April, one

thousandeight hundredandfiftyeight, does not givethe Republicof CostaRica

the right tob&'.aparty to grants that Nicaragua may make for inter-oceanic

canals..."666Furthermore, if Costa Rica has no right to be a party, then

Nicaragua,as the exclusivehalder ofthis right,may grant to any othercountry
includingCosta Rica saidright.

xxxiii. This is what occurred withthe Montealegre-JimdnezTreatyof 1869, in

which Nicaragua granted Costa Rica the right to participate in the Ay6n-

ChevalierTreaty,which was notratified. Anothertreatcitedby Costa~ica~~i's
the one signedby the two countriewith FklixBelly, referredto in paragraphs

xxii-xivabove,andwhichalso was notratified.

xxxiv. Theonlynavigation contractcitedby Costa~ica~" is one thatwas signed

on 24June,1857, afew weeksafter theendofthefirstfilibustererinvasion,when
Nicaragua had not yet recovered controlof the San Juan River transit route.

6MCR,A 29.
66SeeNCM, paras.1.3.and1-2.48-49.

'"ClevelanAward ,p,cit.,para.CRM, Vol.11,Annex16.
CR,A 30.

CR,A 32.Moreover, asexplained above, CostaRica herself had taken over controlof the

San Juan route and even threatened to take by force the Nicaraguan garrison

stationed inthe fartof San Carloson the San Juan River. All of which led to a

Declaration of War by Nicaragua against Costa Rican in Decree No. 139 of 19
October 1857.669This single contract onlywith ironycouldbe consideredto have

established a righofCostaRicaoncmal matters

xxxv. Costa Rica also that several treaties signed by Nicaragua,

including theCass-IrrisarriTreaty withthe United Statein 1857,statethat these
treaties "shall not be construedto affethe claims of the governmentof Costa

Rica to a free passagebythe SanJuan River fortheir personsandpropertyto and

fromthe ocean." Thetruth is thaallofthesetreatiesrecognizeonlythe existence

of a Costa Rican claim, and not aright,Also, they were priorto the Cleveland

Award, which intepreted the clause of the 1858Treaty regarding Nicaragua's
exclusiverightto enterinto SanJuan River canaltreaties,

Section 111. Costa RScanNavigation onthe SanJuan Riveras of 1888

xxxvi. This section ofthe Appendix of the Reply attempts to demonstrate that,

after 1888,Costa Rica hascontinuednavigation on revenue service cuttersand

other public vessels, contrarytowhat has been affirmed by Nicaragua in hex
Counter~emorial,~~'

66See DecreeNo.139,19Oct.1857 . CM,Vol. 11,Annex57p.203
670~~,A 31.

67See NCM, para4.2.7.xxxvii.The materialcontainedin this section bas been addressedin the text of

thisRejoinder in Chapter V. Withone exception,this Appendix willnot revisit

thecasesthat have alreadybeen dealt within other sections.

xxxviii. This exceptionisthe incident oftheAdela, whichis also dealtwith

inChapter V above: The Adela incident provides, clearproof

that CostaRica as recentlyafter the 1888 Cleveland Awardas 1892 was aware
thather boats could notnavigate withweapons anywhereon the SanJuanRiver.

Furthermore,the incidentis a clear confession by Costa Rica of aviolationshe

committedagainst the treatyand ClevelandAward.In fact, this incident brought

up by Costa~ica supportsthecaseofNicaragua.

xxxix. Costa Rica states (A 35 and CRM 4.85-6) that the Adela left the San

Carlos River and travelledup the SanJuan River with a Commanderof he

InspectorateGeneralof Revenue and eight guards,seeking toestablish a postat

Territn Colorado on the banksof the Frio River.In the words of the Inspector
Generalhimself inthereport sent tohis superiorshestates:

XI. "Beforeentering thewaters under exclusivedominiurnof Nicaragua,1 did

hide in Costa Rican territorythe arms and ammunitions that f carried for that

post,and thus the guards havingbeen disarmed 1 left them on board of said
steamboat whileat a place called'El Ticho'and I went before themto 'Castillo

Viejo'with the intentianof requesting,as I did, permission frothe commander

of that fortress to cross the San Juan River with the aforementioned
weapons. ..9672

67Report ofCiro A.Navarro,Assistantto the Inspector,oethe General Inspecofrthe
Treasury,March 1892. CRM,Vol.VI,Annex209.xli, The results of his request were that "the steamboat carrying the guards

was searched, as weElas the river's coastlines, and the Castillo was reinforced
with at least25 soldiers."

xlii, Costa Rica states that Nicaragua has presented this incident as a

demonstrationthat Costa Rica does not have the right to navigate theSan Juan

with weapons673 but that this is a false interpretation of events6", and has
provided a mapthat showsthe course of theAdela. Themapdoesnot clarifthe

commander's reason forconcealingthe weapons in Costa Rican territorybefore

going to request permission,Itislogicalto assume,however, thatthe reason was

so that the Nicaraguan commanderat El Castillowould not know that the Costa
Rican vessels had navigated with weaponsin the part of the river where she has

the right to navigate with "objetos de comeircio". The fact that she was

deliberatelydoing this without the knowledge ofNicaragua does not prove she
was doing sobased on any rights; itprovesthe opposite.

xliii. The Inspector left the boat "before entering the waters under exclusive

dominiurn ofNicaragua". Therefore the boat with the weapons wasmoored on

that partof the river where CostaRica has rightsofnavigation.Nonetheless,the
inspector tookthe weapons out of the boat and hid them on Costa Rican soil.

Why was this necessary ifthe boatwiththe weaponswas moored in that pastof

theriverwere shehad rightsofnavigation?

xliv. After the Nicaraguan headof the garrison found out that the Adela was
carrying weapons, he immediately wentto the place were the boat was moored

and searchedit. That is, he searchedthe CostRican steamboat whileon that part

of the rivewhere CostaRicahas rights of navigation.This search was obviously

67SeeNCM, paras.4.2.2.-4.2.21.
674~ee~~,gm. 1.15.anticipated and that is why the Costa Rican captain had hidden the weapons,

which only points to thefact that they hew they were not allowed to navigate
withweapons.

xlv. The AdeZu incident only confirms Nicaragua's position that she has

always exercised control over the watersof the San Juan River and that Costa
Rica has nevernavigated the rivet openly with weapons.That shemayhave done

so secretly is another matter; but those surreptitiouactionsare not proof of

rights.

Conclusion

xlvi. The rights of navigation and passage grantedto Costa Rica by theRoyal

Charterof 1541were notin effectat the timeof independence.

xlvii. Nicoya was annexed provisionally to Costa Rica in 1825, and this

annexationcontinuedprovisionally until.th2858Treaty ofLimits.

xlviii.Recognition of her sovereignty over Nicoya constituted part ofthequid
pro quo that CostaRica receivedin acknowledgingNicaragua's sovereigntyover

the SanJuanRiver.

xlix. The Costa Rican Constitution of 1825 is in accordance with the uti

possidetisiuris of 181 and contradictsthatof 1841,which includesNicoya.

1. Costa Rica cannot participatein canal contracts,unless Nicaragua grants

herthis right.

li, Costa Rica has theright to navigationon the San Juan River only in the
limited manner granted under the Jerez-Cafias Treaty and Cleveland Award. LISTOFANNEXES

VOLUMEI1

AGREEMENTS

ANNEX 1 Convention Between Nicaragua and Costa Rica, 3
Supplementalto theConventioofJuly13'"ofthisYear,
Relatedto the Improvemenof thColoradoorSanJuan
fivers (Rivas-Esquive21December1868

ANNEX 2 Conventianon BiodiversityConservationand Protection 9
ofPriority WiAreas inCentraAmerica, 5 Jun1992

ANNEX 3 Inter-Institutional Conventionfor Environmental 17

Conservation and the Sustainable Use of Natural
Resources Signed Between thhe Ministry of the
Environmentand NaturalResourcesand thheSandinista
People'sArmy,29 March 1995

ANNEX4 Final Minutes from the fV Nicaragua-Costa Rica 23
BinationalMeeting13May 1997

PLEADINGSOF COSTAEUCA

ANNEX 5 Argumenton the Questionothe Vala'diof thTreatyof 27
Limits Between Costa Rica and Nicaragua andOther
SupplementaryPoifitsConnectedwith it,submittedto the
Arbitration of the President ofe United States of
America, Filed on Behalof theGovernment of Costa
Rica.Washington: GibsoBros.,1887

ANNEX6 Reply to theArgument of Nicaraguon the Questionof 39

the ValidityorNullityof the TreatyofLimiAprifl5,
1858,to bedecidedby ThePresidentoftheUnitedStates
of America, as Arbitrator, Filedon Behalf of the Governmentof Costa Rica.Washington: GibsonBros.,
1887

DIPLOMATIC COmSPONDENCE ANDRECORDS

ANNEX 7 Instructionscarrbydthe specialMinisterappointedto 43
the Government of Nicaragua, Mr. Francisco Maria
Orearnuno'sDiplomatic MissitoNicaragua, 1838

ANNEX 8 "Protocol ofthe conference of 10 January 1854." 49
Published in Esgueva, Antonio. The Borders of
Nicaragua afid CostaRica inthehistorical docume~zts,
Managua: IHNCA-UCA2 , 007.pp.336-337,Document
No. 132a

ANNEX9 "Protocol of the conferenceof 9 February 1854." 53

Published in Esgueva, Antonio. l%e Borders of
Nicaragua and Costa Rica in the historical documents.
Managua:IHNCA-UCA,2007.pp. 340-341,Document
No. 132e

ANNEX 10 "Memorandum from Costa Rica, dated 13 February 57
1854, mentionedithe protocoofthe conferenceof17
Febmary." Publishei~Esgueva,Antonio. The Borders
ofNicaraguaand CostaRica in thehistoricaldocuments.
Manapa: INNCA-UCA, 2007.p. 344?DocumentNo.

134

ANNEX11 Message ofthePresidentof theRepublic[of CoRicaj 61
tothe Congress of 6 September 1857. Published in

GacetadelSalvador,Cojutepequ7,October1857

ANNEX 12 Note &om William Carey Jones, Special Agentaf the 69
United States to Central America, to Lewis Cass,
Secretaryof StatetheUnitedStates2November1857

ANNEX13 Note from William Carey Jones, Special Agentof the 75
UnitedStateof Americato CentraAmerica,to General
Lewis Cass, Secretaryof Stateof the United States, January1858

ANNEX 14 Letter from Eduardo Montealegre,Foreign Ministerof 79
Nicaragua, to Lorenzo Guerrero, Director of the
Nicaraguan InstituofTourism,1 September 1999and
EmailFromDr. Alfiedo FerretLugo, General Secretary
of the Nicaraguan Tourism Institute, to CBlanco
Marina, 13September1999

PRESS REPORTS

ANNEX 15 "CostaRicansDamageFlora inthe SanJuan River,"La
Prensa (Managua),3June 1991

ANNEX 16 "TouristanGuide Ki~happed,~a Nacidn(SanJosk),3
January 1996

ANNEX17 "Border Rowwith Nicaraguans,"LNacidn (SanJosd),

I6July1998

ANNEX18 "Alemin Rejects ArbitratiCostaRica Accepts New
MeetingwithNicaragua,La Prensa(Managua),25 July
1998

ANNEX19 "CountryFirmin MeetingwithNNicarag~ans,aNacidn
(SanJosC),2July 1998

ANNEX 20 "CostaRicanGuards PoinGuns atNicaraguanBoaters,"
LaPrensa(Managua),30 July 1998

ANNEX2.8' "NicaraguansDenounce Costa Rican Harassment on
National Territory," Prensa (Managua),2 August

1998

ANNEX 22 "Costa Rica RetaliatesLa Pvensa (Managua), 15
August 1998

ANNEX 23 "AnotherCosta%can Map 'TakestheRiver,"'El Nuevo Diario (Managua),26August1999

ANNEX24 '31ndioMaiz Declared World BiosphereReserve,"La 133
Pre~sa (Managua)1,0July2003

ANNEX 25 "CrocodileDevourschild in the Indio River,"La Prensa137
(Managua),0 April2007

ANNEX26 "Crocodile Kills 13-year old boyWho Was Bathing in 143
the River,LaNacidn(SanJosd),5 May 2007

ANNEX27 "Costa Rican Mine Has Unleashed Concern in 149
Nicaragua,"MiamiHerald(Miami, FL),21June 2008

BOOKSAND TREATISES

ANNEX28 Folhan, Jr,David I.The NicaraguaRoute.Salt Lake 155
City,UT: UniversitofUtahPress, 1972

ANNEX29 GonzhlezVillalobos, Paulino. The Sarapiqui Route: A159
SociopoliticalHistoof 'Road. San JosP;Institute de
Investigaciones Sociales, Universde Costa Rica,

1976

ANNEX30 Efouk-,Richard J. 'The Developmenof ForeigTrade 173
and Communication inCostaRicatothe Constructioof
the FirstRailway",(TheAmericas,Vol. 10,No. 2., 1853,
Qct.,pp.197-209)

ANNEX 31 JirnknezPCrez,Ignacio. The Manateeofthe San Juan 189
River and the Tortuguero Channels: Ecology and

Conservation,Managua:ARAUCARIA,2000

ANNEX32 Jimdnez Orearnuno,Ricardo.His ThazaghtsSan Jos6: 193
Editorial CostaRica, 1980

ANNEX 33 LeBnSaenz, Jorge.The EvolutiofForeign Tade and 197
Maritime TransporofCostaRica: 1821-1900,SanJosh:
Editoriade laWversidad deCostaRica, 1997ANNEX 34 McNeil, Jean. ThRough aide to Costa RicaFourth
Edition (April2005New York: RoughGuides, 2005

ANNEX 35 Molina, FelipeReport on theBorder QuestionsRaised
Beheen the Republic ofCosta Rica and the Statof
Nicaragua.Madrid: Tmprentade la Viuda de Calero,
1850

ANNEX 36 Molina,FelipeStudyoftheRepublicofCostaRica.New
York: S.W.BenedictPrinters,1851

ANNEX37 Molina, Felipe.Memoir on the Bounday Question
Pending Behveen the Republiof Costa Rica and the

.StatofNicaraguaWashington:Gideon& Co.: 1851

ANNEX 38 .RodriguezBolafios, Jose Alberto & Borge Carvajal,
Victor GuillermoThe Railroato theAtlantic in Costa
Rica.San JostUniversityof CosRica:X979

ENVIRONMENTAL REPORTS

ANNEX39 UNESCO Manand theBiospherePrdgrammeCertificate
for the SanJuaRiver BiosphereReserve of Nicaragua,
15September2003

ANNEX 40 Ministryof the Environmentand NatuResources,Son
JuanRiver WildlifeRefugeManagementPlanManagua:
ARAUCARIA-MAREnA-AEC 2005

ANNEX 41 Meyrat, Alan,The Biological Stretchof Southeast

Nicaragua: Important Spacefor the Conservatiof
NatureMARENA-ARAUCAFSA,2006

ANNEX42 Ministry of the Environment and Natural Resources,
Indio MaizBiologicalReserveManagementPlan2005-
2010Period,Fowth Version9May 2006

ANNEX43 Public Prosecutor's Officean Carlos, RiSanJuan
Province, Nicaragua. "Criminal Complaint 000/06." 21
December 2006ANNEX 44 ""ThAnnotatedRmsar List: Nicaragua,"TheRamsar 285
Convention on Wetlands. Available at

http:l/www.rrtmsar.org/profile/leicaragua.htm

ANNEX 45 "BiosphereReserve Information for No San Juan," 291
UNESCO-MB Biosphere ReservesDirectmy. Available
at ~~:l/www.unesco.ordmabdblbribrdirldirectorlu/
biores.asp?mode=all&code=NIC+O2

ANNEX46 Nicaragua, Ministry of the Environmenand Natural 295
Resources, "Species under threat of Extinction:
Maizand BOSAWAS BiosphereReserves,2008

ANNEX 47 Ministry of the Environment and Natural. Resources, 301

"Southeast Nicaragua Biosphere Reserve: Strategic
Program 2008," Available at:
http://www.marena.gob.ni/index.php?option=~~m~~emos
itory&Itemid=l1&func=fileinfo&id=S23

MILITARYDOCUMENTS

ANNEX48 Anny of Nicaragua, "Action Plan for Issuance of 305
Departwe Clearance Certificinthe SanJuan River,"
5July2001

LAWS, DECmES AND EUZGUILATIONS

ANNEX 49 CostaRica, "Basis for the formation of a Company, 309
namedthe SarapiquiCompany....PublishedinReplyto
theAvgzdment of Nicaragua on the Question of the

ValidityorNullitof the Treatof Limit sf April 1.5,
1858,tobedecidedby thePresidentoftheUnitedStates
of America as Arbitrator. Washington, Gibson Bros.,
1887.DocumentNo. 26,pp.144-146

ANNEX 50 CostaRica, DecreeNo.14 of 1860,DecreeClosingthe 315
MoinandSarapiquiPorts Nicaragua, AgreemenNo. 5, Accessioand Ratification
of the Conventionon InternationalTrade in Endangered
Species of Wild Fauna and Flora, 23 April 1977.
PublishedinLaGacetaNo. 183,15 August 1977

Nicaragua, Decree No. 161 Law Creating the
Nicaraguan Tourism Institute,14 November 1979.

PublishedinLaGacetaNo. 62,20 November 1979

ANNEX 53 Nicaragua,RegisteNo.3743 - R/F79 1975,Regulations
on the Issuance, Fonnat and Use of Special Towisrn
Cards,25 May 1993

ANNEX 54 Political Constitutionof the Repubof Nicaragua of
1987anditsReforms,Articles 92 and 130

ANNEX 55 Nicaragua,Law No. 495,GeneralTousism Law, 2 July
2004,Published inLa Gaceta NO. 184, 22 September
2004

ANNEX56 Nicaragua, PresidentialDecree No. 57-2005, 31 August
2005

ANNEX57 Ministry ofthe Environment and Natural Resources

Ministerial Resolution No.029-2006, including the
almendrotree(Dipteyx Panamensis) inthe Nicaraguan
Closed Season System of Wild Speciesin theListof
Indefinite National Closed Seasons16 June 2006.
Published iLaGaceta,No. 141,21 July2006

ANNEX 58 The New Pocket Dictionmy, othe SpanishandEnglish
Languages.London,1 809

ANNEX 59 RoyalSpanish AcademyDictionaries

a) Royal Spanish Academy, Dictionary of the
Castilian Lunguuge.Fourth Edition. Madrid, Viuda de
Ibarra1803
b) Royal Spanish Academy, Dictionmy of the Castilian Language.Fifth EditionMadrid, lmprenta

Real, 1817
c) Royal Spanish Academy, Dictiuna~ of the
Crrstiliananguage. Sixth EditionMadrid, Impremrta
Nacional, L22
d Royal Spanisla Academy, Dictk'oa;zaot the
Castilian Language. SeventhEdition. Madrid, Imprenta
Reall 1832

e) Royal Spanish Academy, Ddctio~ary of the
&'csriHiLnanguage.Elgh%hEdition. Madrid, Irrmprenta
Nacional,1837
IF) Royal Spanish Academy, Dictionmy of the
CastiliaLanguage. NinthEdition.MMd, lrnpreritade
XI.ranciscoMariaFemhndea;,1843
g) Royal Spanish Academy, Dr'cti'onav of the

CastilianLanguage. Tenth EditionMadrid, Impre~ta
Nacional, 1852
h) Royal Spanish Academy, Dicfio~aakplof the
Cuslz'liLa~page. EleventhEdition.Madrid, Imprrenta
deDon ManuelRivadeneyra,1 869
i) Royal Spanish Academy, Dictio~ary of the
CastiEilianguage. Twelfth Edition. Madrid, Impsenta

deD.Gregorio Hemando, B884
j> Royal Spanish Academy, Dictiouary oJ'the
Castilian Language. Thirteenth Edition. Madrid,
Xmpsantade ioSres.Hemando ycompafiia,1899

ANNEX60 Velazquezde La Cadena, Mariano.A Dictionary of the 371
Spanish and EnglishLarzguageNewYork:D.Appleton
andCompany, 1858

ANNEX 61 Porter, Noah ed. Webster's Revised Unabridged 375
Dictionaryof the EnglishLanguage,SpringfiMA:, G.
& C.MerriamCompany, 1913

ANNEX62 Royal Spanish Academy. Dictionary of the Castilian 379
Language. FourteenthEdition. MadriImprentade 10s
SucesoresdeBernando, 1914 EXPERT OPINIONS

ANNEX 63 Letter from Mr. Neil Johnstone, Directorof Langu383
Sewices and Documentation Division of the World
Trade Organization to Ambassador Aliciaartin,
PermanentRepresentativetheRepublic oNicaragua

tothe Officeof UnitedNations,Geneva,12October
2006

ANNEX64 Formal Opinion of Dr. Manuel Seco Reyrnofdthe 387
RoyalSpanisAcademy, 2 May2008

WITNESSSTATEMENTS

ANNEX65 ABURTOESPINOZA,William8March 2008

ANNEX 66 ACEVEDOLEDEZMA, Rigobert27 May 2008 407

ANNEX67 BORGESEQUENESB , enedictoAdam,26May2008 411

AMVEX 68 CARRI~NMCDONOUGH GTe, eralJavier Alo24oJune 417
2008

AmEX 69 CENTENOAROSTBGUI,LieutenantColonelJuan Bosco, 429
March2008

ANNEX 70 GARC~AL~PEZ,CaptainMario,9March2008 435

ANNEX71 JARQUmLOPEZ, MartinAntoni4,June2008 441ANNEX 72 LARGAESPADAPALLAVICINI,Brigadier General CBsa447
Qvidio9March2008

ANNEX 73 MEMBRE~O WAS, BrigadieGeneral Denis10 March 453
2008

ANNEX74 MOLINAPEREZ,Lieutenant Colonel WaAbraham,26 461
May2008

ANNEX75 PASTOM,Eddn Atanasio,10March 2008 493

ANNEX 76 PONCEORTIZFranklin7March2008 479

ANNEX 77 SANCHEZMBNDEC Z,lonelRicar9oMarch 2008 485

ANNEX78 TALAVEM SEES, Brigadier GeneralFranciOrlando,491
19May 2008 LISTOF WS AM) PHOTOGRAPHS

NUMBER TITLE PAGE

1 The SarapiquiRouteEnvisionedBefor1858 116

2 ApproximateTerritoryConcededby Nicaraguato Costa 120
RicaintheTreatyofLimits

3 CostaIiican TourisRoutefrom1990stoPresent 175

4 The IndioMaiz Grand Biologica2Reserve and thSan 183
JuanRiverWildlifeRefuge,producedbytheMinistryof
theEnvironmentandNatural.Resources

Habitatof the Manatee,fromJimBnez.E5eManateesof 185
5
the San Juan River and the TortzdgueroChannels:
Ecology and Consewation.Managua: ARAUCARM,
2000,p.33

6 Map showingprotected areas adjacento thSan Juan 189
River

7 NicaraguanArmy and MARENAPosts on the SanJuan 198
River

8 Alleged Locations Where CostaRican Public Vessefs 256

Navigated(shown inred)

9 Nicaraguanand CostaRicanMilitaryPosts 264

10 Roads to Costa Rican MilitaryPosts, produced by 280
EcoMapas,S.A.

MAP

1 2855 Map showing Nicaragua's claim to 121
GuanacmtdNicoya , PHOTOGRAPHS

Photograph of Wetlands of theIndio Maiz Biological 183
Reserve

Photographofa PoisonDart Frog 183

Aerialphotographof the SariJuaRiver,taken fromthe 193
Nicaraguanside

Photographs ofCostaRicanresidentsfoundtakenfreshly 193
cutplanksof woodinto CostaRicaon theSanJuan River

PhotographofaPactca 195

PhotographofaDeer 195

PhotographofaTapir 195

PhotographofaRedMacaw 195

Photographsshowingthe course ofthe SanJuan River 210
darkening after 5PM;photographs taken at5:40, 6:06
and 6:20inMarch,2008

Document Long Title

Rejoinder of Nicaragua

Links