711.922/107: Telegram

The Minister in Siam (Neville) to the Secretary of State

37. Department’s 33, November 7, 9 p.m. Siamese will accept proposal 2 (b) with the addition after “most favored nation” of the words “upon the principle of reciprocity” at the end, or will accept the proposal if it is altered to read “It is expressly agreed that nationals of the United States of America, including corporations, partnerships and associations, who are legal residents of or are organized under the laws of any state, territory or possession of the United States of America which accords to nationals of Siam the right to acquire, possess and dispose of immovable property, shall be accorded the right to acquire, possess and dispose of immovable property in Siam, upon the principle of non-discriminatory treatment”. The Minister informed me that the idea of reciprocity must in some way be conveyed in order to comply with the Cabinet’s instructions.

With regard to the exchange of notes the Siamese would like to omit the wording “which is considered an integral part of the treaty” [which will?] require submission to the Assembly, and instead refer specifically to the article of the treaty concerned in each case. The Minister insists that the Cabinet has power to bind the Government, and that interpretative phrases or declarations of policy [do not [Page 884] require?] legislative approval. So far as the real property exchange is concerned, the Siamese would like the new paragraph to read as follows: “With respect to lands of which American nationals, partnerships, corporations or associations are the rightful owners, whether or not they now possess papers of any kind, they may apply to have title papers issued in the regular way.” The rest of the letter would follow the exchange of 1920 except that the opening paragraph would refer to real property held by Americans, rather than by American missionary societies, and that paragraph 3 would be omitted.

If the foregoing arrangements are acceptable, am I to proceed as indicated in the last paragraph of Department’s 29, November 4, 1 p.m.

Neville