#71. United States-Nicaragua Negotiations of 1912-1914 Leading to the Bryan-Chamorro Interoceanic Canal Treaty* PROPOSED INTEROCEANIC CANAL TREATY BETWEEN THE UNITED STATES AND NICARAGUA INTRODUCTORY NOTE. On December 15, 1912, the American Minister notified the Department (File No. 817.812/5) that the Government of Nicaragua desired to negotiate a treaty with the United States giving to the latter a thirty-year option to acquire a strip of and for canal purposes under conditions similar in form to those of Panama, the consideration being: (1) payment by the United States of three million dollars gold at the time of the exchange of ratifications, and an additional sum to be agreed upon, together with an annual rent charge, at the time of the exercise of the option; (2) grant to the United States pending the negotiations of a discretionyright to let a subsidiary privilege of putting the existing waterway into navigable condition for light-draught vessels; and (3) grant to the United States of a naval station in the Gulf of Fonseca and one on Corn Island, if these should be desired. The advantages to Nicaragua besides the cash payment were the guaranty of the peace and independence of the Republic, the development of its great resources through capital attracted by the definite settlement of the question, the prospect of eventual construction of the canal, and dimination of a constant European incentive to revolution. The adantages to the United States were the preparation for further growth of its coastwise commerce, elimination of foreign political' mfluence, the service of a caveat against any more canal concessions or territorial privileges such as had been attempted with European and Asiatic powers, an additional important defense of the Panama Canal, and an effective means for guaranteeing the Washington con rentions. This proposal resulted in the signing of a treaty between the United States and Nicaragua, February 8, 1913, which was submitted to the Senate on February 24, 1913.1 PROPOSED INTEROCEANIC CANAL TREATY BETWEEN THE UNITED STATES AND NICARAGUA The No. 817.812/61. The Minister of Nicaragua to the Secretary of State. [Memorandum-Translation-Extract.] 1. On February 2 I transcribed by cable to President Díaz the terms of the latest draft of the Canal Treaty now in negotiation between the United States and Nicaragua. Foreign Relations of the United States, 1913, pp. 1021-1022; and Foreign Relations. 1914, pp. 953-54, 966. Not acted upon by the Senate during 1913; in the course of the year amendments were proposed by Nicaragua which led to negotiations for replacing it with a new one, a draft of which was received by the Department on October 81, 1913 (File No. 817.812/54). 2. On February 4 I received a cable from my Government advisin me that President Díaz was gratified that the Secretary of State ha agreed to the draft of the Canal Treaty; and on the same day he sen a cable to President Wilson in the following terms: The effect of the Platt Amendment on Cuba has been so satisfactory' tha since your Government is considering a canal convention with Nicaragua, respectfully request that said convention be made to embody the substance o the Platt Amendment, so that my countrymen may see Nicaragua's credit im proved, her natural resources developed, and peace assured throughout th land. I believe that revolutions will cease if your Government can see its wa clear to grant the addition of the Amendment as requested. 8. I have also received a cable from President Díaz instructing m to act with the greatest possible urgency, in order that the Treaty, i the said terms, be immediately submitted to the American Senate fo its approval. In previous conversations with the Secretary of State I have ha occasion to inform him as to the terrible economic situation now pre vailing in Nicaragua, to the point of a practical bankruptcy of th trade of the country; and further, that besides claims of natives an foreigners to whom the Government owes large sums for money loaned and merchandise supplied during the war of 1912, there a pending other claims by German, British and Italian subjects wh have had recourse to diplomatic channels in demanding payment their bills. The Government of Nicaragua thinks that the best mode of settlin its economic problem is to be found in the conclusion of the Treat with the United States as proposed, which, while improving Nic ragua's credit, guarantees peace, so desired by Nicaraguans, e hausted by continual revolutions. The present Government of Nicaragua has adopted, frankly an decisively, a policy of rapprochement towards the United State seeking through that friendship the assurance of peace in Nicaragu the development of its natural resources, and a means of improvin its finances; and in the pursuance of this policy it has moved steadil forward without regard to the protests and opposition of certai Latin countries. I believe, therefore, that in accordance with th spirit of amity the time has arrived for the Government of the Unite States to lend some aid to Nicaragua. To effect this, we confide in the interest shown by President Wilso in the future and happiness of Central American countries, and i the altruism and nobility of heart of the Secretary of State, M › Bryan. : "LEGATION OF NICARAGUA, Washington, February 12, 1914. File No. 817.812/98...) .::. 1 M The President of Nicaragua to the Minister of Nicaragua. [Telegram-Translation.] MANAGUA, August 3, 1914. Canal treaty which you sent me in your cable of to-day meets wit my entire approbation. Advise me when the treaty has been signed >Translation left at the Department by the Minister on August 4, 1914, i File No. 817.812/1026. The mundo The Secretary of State to the President. h The undersigned, the Secretary of State, has the honor to lay before the President with a view to its transmission to the Senate to receive the advice and consent of that body to its ratification, a Convention" between the United States and Nicaragua, signed at Washington on August 5, 1914, granting to the United States, in return for a money payment for the benefit of the Republic of Nicaragua, the exclusive proprietary rights necessary and convenient for the construction, operation and maintenance of an interoceanic canal by a Nicaraguan route, the lease for ninety-nine years of Great and Little Corn Islands in the Caribbean Sea, and the right to establish a naval base on the Gulf of Fonseca. Feli Respectfully submitted, }: DEPARTMENT OF STATE, Washington, August 8, 1914. W. J. BRYAN, " Not printed. 96-673 - 77-42 #72. An Interoceanic Canal Treaty Between Nicaragua and the United States, August 5, 1914 (The Bryan-Chamorro Treaty) and Ratification by Both Countries in 1916* INTEROCEANIC CANAL (BRYAN-CHAMORRO TREATY) Convention signed at Washington August 5, 1914 Senate advice and consent to ratification, with amendments, February 18, 19161 Ratified by Nicaragua April 13, 1916 Ratified by the President of the United States, with amendments, Ratifications exchanged at Washington June 22, 1916 Entered into force June 22, 1916 Proclaimed by the President of the United States June 24, 1916 39 Stat. 1661; Treaty Series 624 The Government of the United States of America and the Government of Nicaragua being animated by the desire to strengthen their ancient and cordial friendship by the most sincere cooperation for all purposes of their mutual advantage and interest and to provide for the possible future construction of an inter-oceanic ship canal by way of the San Juan River and the great Lake of Nicaragua, or by any route over Nicaraguan territory, whenever the construction of such canal shall be deemed by the Government of the United States conducive to the interests of both countries, and the Government of Nicaragua wishing to facilitate in every way possible the successful maintenance and operation of the Panama Canal, the two Govern *Bevans, Treaties and Other International Agreements, 1776-1949, v. 10, pp. 379–381. 'The U.S. amendments read as follows: "In Article I, line two, after the words 'United States' insert a comma (,) and the following words: 'forever free from all taxation or other public charge,' followed by a comma (,). "At the end of Article III strike out the period (.) and add the following: 'or other public purposes for the advancement of the welfare of Nicaragua in a manner to be determined by the two High Contracting Parties, all such disbursements to be made by orders drawn by the Minister of Finance of the Republic of Nicaragua and approved by the Secretary of State of the United States or by such person as he may designate.' "Provided, That whereas Costa Rica, Salvador, and Honduras have protested against the ratification of said Convention in the fear or belief that said Convention might in some respect impair existing rights of said States; therefore, it is declared by the Senate that in advising and consenting to the ratification of the said Convention as amended such advice and consent are given with the understanding, to be expressed as a part of the instrument of ratification, that nothing in said Convention is intended to affect any existing right of any of the said named States." The text printed here is the amended text as proclaimed by the President. 22 UST 663; TIAS 7120. ments have resolved to conclude a Convention to these ends, and have accordingly appointed as their plenipotentiaries: The President of the United States, the Honorable William Jennings Bryan, Secretary of State; and The President of Nicaragua, Señor General Don Emiliano Chamorro, Envoy Extraordinary and Minister Plenipotentiary of Nicaragua to the United States; Who, having exhibited to each other their respective full powers, found to be in good and due form, have agreed upon and concluded the following articles: ARTICLE I The Government of Nicaragua grants in perpetuity to the Government of the United States, forever free from all taxation or other public charge, the exclusive proprietary rights necessary and convenient for the construction, operation and maintenance of an interoceanic canal by way of the San Juan River and the great Lake of Nicaragua or by way of any route over Nicaraguan territory, the details of the terms upon which such canal shall be constructed, operated and maintained to be agreed to by the two governments whenever the Government of the United States shall notify the Government of Nicaragua of its desire or intention to construct such canal. ARTICLE II To enable the Government of the United States to protect the Panama Canal and the proprietary rights granted to the Government of the United States by the foregoing article, and also to enable the Government of the United States to take any measure necessary to the ends contemplated herein, the Government of Nicaragua hereby leases for a term of ninety-nine years to the Government of the United States the islands in the Caribbean Sea known as Great Corn Island and Little Corn Island; and the Government of Nicaragua further grants to the Government of the United States for a like period of ninety-nine years the right to establish, operate and maintain a naval base at such place on the territory of Nicaragua bordering upon the Gulf of Fonseca as the Government of the United States may select. The Government of the United States shall have the option of renewing for a further term of ninety-nine years the above leases and grants upon the expiration of their respective terms, it being expressly agreed that the territory hereby leased and the naval base which may be maintained under the grant aforesaid shall be subject exclusively to the laws and sovereign authority of the United States during the terms of such lease and grant and of any renewal or renewals thereof. ARTICLE III In consideration of the foregoing stipulations and for the purposes contemplated by this Convention and for the purpose of reducing the present indebtedness of Nicaragua, the Government of the United States shall, upon the date of the exchange of ratification of this Convention, pay for the benefit |