PERIOD FROM 1871 TO 1905. 735 



4th March last was really better for Her Majesty's Government than 

 that made by your Lordship of 15,OOOZ. up to the end of last year. 

 With a view, however, to a prompt settlement of the question, and to 

 entering upon a negotiation as to the regulations respecting the 

 fisheries which were to prevail hereafter, he was ready to accept the 

 sum of 15,500?. for the Fortune Bay claims and those of American 

 fishermen who had been prevented from fishing for bait, as well as 

 for all claims arising out of any interruption of American fishermen 

 on the coasts of Newfoundland and its dependencies up to the 4th 

 March last. 



Earl Crranville to Sir E. Thornton. 



FOREIGN OFFICE, April 28, 1881. 



SIR: I have had under my consideration your despatch of the 4th 

 instant, reporting the substance of a conversation you had had that 

 morning with Mr. Blaine as to the means proposed for arriving at a 

 settlement of the claims of the American fishermen concerned in the 

 dispute which had arisen with the Newfoundlanders at Fortune 

 Bay in the month of January 1878. 



I have informed you by telegraph this day, in reply, that Her 

 Majesty's Government are not prepared, without a previous examina- 

 tion of the individual claims, to make any further advance upon the 

 gross sum of 15,000/. which you have been authorized to offer to the 

 Government of the United States as compensation for the losses sus- 

 tained by the American fishermen in consequence of these transac- 

 tions. They are, however, willing to abide by the proposal which has 

 been made to Mr. Blaine, and accepted by him, that the amount of the 

 claims should be referred to Washington for inquiry and adjustment 

 between himself and you. 



I request that you will convey to Mr. Blaine the views of Her 

 Majesty's Government in the sense of this despatch. 

 I am, &c. 



(Signed) GRANVILLE. 



Mr. Blaine to Sir Edward Thornton. 



DEPARTMENT OF STATE, 

 Washington, May 6, 1881. 



SIR: I was advised by Mr. Lowell, by his dispatch of the 9th of 

 March last, that Lord Granville would either pay 15,000 in the 

 Fortune Bay matter for a receipt in full against all claims up to and 

 including the close of the past year, or he would refer the matter to 

 yourself and me for adjustment. 



I chose the latter, because I had at that time no means of know- 

 ing with deftniteness whether there might not be claimants whom I 

 could not properly bar by a receipt given without an opportunity of 

 a hearing assured to them. 



_As I told you in our first consultation, I did not seek the reference 

 with any desire to urge you to a larger sum than was offered by Lord 



