THECUBAREVIEW 2^ 



Sugar shall be shipped in sound jute bags containing approximately 325 pounds each. In all cases where 

 ■shipment is made in second-hand bags there shall be deducted not less than 15 cents for each second-hand bag. 



The Buyer reserves the right tc order larger quantities shipped in any month if tonnage is obtainable and sugar 

 is produced and available. 



The Buyer will notif.v the Seller from time to time of proposed allocations of sugar for shipment as between 

 the United States and other countries and shipments shall be made as directed. 



The Seller undertakes to pay all lighterage charges and all shipping expenses, and also all Cuban taxes, both 

 ■domestic and export. 



The Seller also undertakes to pay all necessary expenses at the port of discharge to effect delivery to Buyer on 

 such safe wharf or refinery dock as may be designated by Buyer. 



The Seller airrees to pay to the Buyer a commission of one-half of one per cent, on the sugar allocated for 

 ■shipment to countries otlier than the United States and Canada. 



The Seller agrees to pay on the sugar allocated for shipment to the United States and Canada, a brokerage 

 to be calculated on the average tons of Cuban sugar handled by brokers in the United States heretofore acting in 

 their legitimate capacity as brokers in the three year period of 1915-16-17, but the total disbursement for this 

 purpose shall not exceed S.350,000. The concurrent decision of the Buyer and the Cuban Commission shall be 

 final and conclusive on any question cr dispute arising under this clause. 



In the event of any steamer being lest its cargo shall be settled on the Bill of Lading net weights and Cuban 

 tests as soon as possible but not later than 30 days after proof of loss. 



The parties obligated thereto will use due diligence and every effort to provide tonnage, but are released from 

 respopsibilitv by acts or circumstances beyond their control. 



Marine Insurance to be covered by the Buyer from shore to shore including the risk of lighterage to and from 

 the vessels at ports of loading and discharge. Sugar shall not.be loaded on any steamers or other vessels not accept- 

 able to the insurers under Buyers' average rate policy, unless specific directions to load an unacceptable vessel 

 are given by either the Buyer cr the Seller. When such specific directions are given, the excess insurance over an 

 average rate of 31c. per $100 shall be paid by the party ordering the vessel loaded. All war risk is for account of 

 Buyer. 



3. The Buyer shall have the right from time to time to assign this contract, without recourse, in respect to 

 any part of the sugar contracted for herein, to the Governments of the United Kingdom, Canada, France or Italy, 

 or to any duly constituted agency representing all or either of said governments, or co any sugar refiner of the 

 United States'. The Buyer, upon making anv such assignment, shall give notice thereof to the Seller. 



4. The purchase of the sugar crop of 1018-1919 by the Buyer as herein provided is made in reliance upon the 

 representation and agreement of the Cuban Government that it will effectually prohibit any sugars of the 1918-19 

 crop from being shipped or exported from the Island of Cuba except under this contract, and that it will enact 

 such laws and promulgate such orders and decrees as are necessary to faithfully fulfill and observe the stipulation 

 and condition aforesaid. 



In the event of failure on the part of the Cuban Governmen"- to take the action above provided or to faithfully 

 fulfill and observe said stipulation and condition or in the event of the inoperation, recissicn or suspension thereof 

 the Buver shall have the option, upon notice in writing to the Seller, to cancel this contract in respect to any ua- 

 •deliveied portion of the said sugar crop cf 1918-1919. 



If the Seller fails to deliver the sugar required to be delivered to the Buyer under this contract or if an> sugar 

 is directly or indirectly shipped or exported from the Island of Cuba by the Seller or his principal to any consignee 

 other than the Buyer or its assigns, the Buyer shall have the right either in law cr in equity, to sue for and recover 

 all damages resulting therefrom, whether or not the above option of cancellation is exercised. 



5. This c ntract is also made in reliance upon the representation and agreement cf the Cuban Government 

 that it will place no restrictions or embargoes on the export of molasses to the United States. 



6. All matters of disagreement arising under this contract between the Buyer and the Seller which cannot 

 be adjusted by them to their mutual satisfaction, shall be left to arbitration in Washingtom. But before any 

 arbitration can be called by the Seller the matter in dispute shall be submitied by it or him to the Cuban Com- 

 mission and its approval of and consenc to the arbitration obtained in writing. For the purposes of the arbitration, 

 the Buyer and the Seller shall each select one arbitrator and the two so selected shall select a third, and the decisicn 

 of any "two of said arbitrators shall be final and conclusive upon the parties thereto. Any expenses attached to 

 such arbitration shall be di^^ded equally between said parties. It is agreed, however, that as to disputes arising 

 on shipments to the United Kingdom, France or Italy the arbitration clause in Schedule B shall apply. 



7. The Cuban Commission is acting hereunder solely in a representative capacity as an administrative 

 agency of the Cuban Government under the express authority of said Government and its members do not assume 

 nor shall they be charged with any personal liability. Upon the execution of this contract the Cuban Government 

 ■will promptly take such governmental action as is necessary on its part to carry out its terms. It is understood 

 and agreed by the parties hereto that the obligations of the Buyer hereunder are conditioned upon the undertakings 

 of the Cuban Government herein expressed and upon the faithful fulfillment and observance thereof. 



8. It is contemplated bv the Buver and Seller that the gi eater part of the sugar delivered for shipment to 

 the United States will be resold directly or indirectly to the Atlantic and Gulf sugar refiners of the United States, 

 who will be made the consignee of such sugar. For the convenience of the parties in all such cases, it is agreed that 

 before departure of vessel from loading pert the Seller, upon the request of the Buyer, will execute -syith the con- 

 signee a confirmation in the form of Schedule A hereto annexed, and will settle with such consignee in accordance 

 with this contract, and it is further agreed that the Buyer will guarantee performance by the consignee. All 

 such consignments shall be negotiable Bill of Lading. 



9. It is agreed that the Seller or his principals shall not export from the Island of Cuba during the terms 

 this contract any edible syrups fit for human consumption from which sugar may be commercially extracted with 

 out the consent of the Buyer. 



10. Should any unforeseen circumstances such as war, rebellion, insurrection, political disturbances, strikes, lack 

 of fuel, riots or civil disturbance in the Island of Cuba prevent the making of the sugar covered by this contract , 

 the seller shall so advise the Buyer immediately and thereupon shall be released from delivery of such portion of 

 • he crop as cannot be made or delivered, but the Seller agrees to use due diligence to carry out this contract in its 

 entirety notwithstanding the circumstances mentioned. 



Should any unforeseen circumstances, such as war, fire, explosion, acts of God and public enemy, strikes, 

 riots, car shortage, lack cf fuel cr disturbances in the United States prevent the Buyer from receiving, or 

 delivering or the refiners of the United States from refining the sugar purchased under this contract the Buyer 

 shall immediately give notice of such conditions to the Seller and thereupon the Buyer shall be released frorn any 

 damages by reason of non-acceptance of raw sugar (except sugars afloat) during the time that the above conditions 

 continue, but the Buyer will use all due diligence no., withstanding the unforeseen circumstances to carry out this 

 contract as far as possible in its entirety. 



In witness whereof, the parties hereto, being duly authorized, have executed tliis agreement as of the day 

 and year first above written. 



UNITED STATES SUGAR EQUALIZATION BOARD, INC., 

 By 



President. 

 Secretary, 



Cuban Commisf:ion 



By 



Agents of various Cuban producer^ acting severally for the producers of sugar in the Island of Cuba under 

 authorizations dated October 24, 1918, and filed -with the Buyer. 



